USDAS BIODIESEL FUEL EDUCATION PROGRAM

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USDAS BIODIESEL FUEL EDUCATION PROGRAM

• Sharon Holcombe
• Chief, Energy Environment Staff
• Office of Procurement Property Management

May 4, 2004
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What is Biodiesel?

• Fuel made from renewable oil crops such as
  soybeans, canola, and sunflowers
• Can also be made from recycled vegetable oils and
  animal fats (restaurant grease)
• Can be used pure (100) or blended with petroleum
  diesel, commonly as B20 blend
• Meets ASTM national specs - Can be used in any
  diesel engine just like petroleum diesel

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Where Can You Buy It?

• Directly from biodiesel producers and marketers
  in bulk list available at www.biodiesel.org
• Defense Energy Supply Center contracts
• Retail at some public pumps

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Why is this a USDA program?

• Agricultural feedstocks are primary source
• Increased biodiesel production will increase farm
  income and lower govt. payments
• Development of a biodiesel industry will
  stimulate economic growth in rural America
• Its in the Farm Bill of 2002!

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USDAs Biodiesel Experience

• Started in 1999 on a pilot basis 5200 gals
• Increased use every year since
• Over 760,000 gallons used through FY 2003
• Helped us achieve EPACT goals
• Won White House Closing the Circle Awards
• Expanded use to heating applications
• Employees like it!

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ARS Visitors Center Bus
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Legislative Language

• Eligible entities are nonprofit organizations
  and institutions of higher education
• Must have
• - knowledge of biodiesel fuel production, use,
  or distribution and
• - ability to conduct educational and technical
  support programs

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Program Goals

• Stimulate demand for biodiesel
• Encourage further growth of a biodiesel industry
  in the United States
• Increase U.S. renewable energy resources
• Reduce dependence on petroleum imports

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USDAs Responsibilities

• Published a Request for Applications in FR
• Announced the Proposed Rule in the FR with a 30
  day comment period
• Announced Final Rule in FR on 9/29/03

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USDA Oversight Committee

• Develop program objectives
• Award initial FY 2003 grants
• Monitor program activities
• Evaluate progress
• Authorize/reauthorize grants on an annual basis
  through FY 2007

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Program Objectives

• Enhance current efforts to collect and
  disseminate biodiesel information
• Coordinate with other biodiesel programs
• Create a nationwide networking system to deliver
  information
• Identify and document biodiesels benefits
• Gather data on information gaps

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Initial Grant Awards

• FY 2003 2 renewable Grant Awards
• National Biodiesel Board (NBB) - 770,000
• University of Idaho - 190,000

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Expectations

• Workshops targeted at new audiences
• More media coveage about biodiesel
• Educational materials aimed at increasing public
  awareness and acceptance
• More emphasis on public health benefits
• New partnerships
• Increased stakeholder coordination

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Health Environmental Benefits

• Biodegradable
• Reduces air toxics and cancer causing compounds
• Environmentally preferable fuel
• Reduces most forms of air pollution but slightly
  increases NOX

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More Benefits

• Life cycle analysis of biodiesel made from
  renewable resources shows significant reductions
  in CO2 compared to diesel.
• Favorable energy balance compared to petroleum
  fuels
• Anecdotal from USDA experience drivers report
  decreased eye and hand irritation and like the
  pleasant smell

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How does this fit with EMS?

• Environmentally preferable product
• Our program encourages green purchasing and
  product replacement
• Educate fuel purchasers and fleet users
• Demonstrate and document biodiesel benefits
• Expand current uses of biodiesel, such as heating
  applications

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Information Resources

• USDA www.usda.gov/oce
• National Biodiesel Board www.biodiesel.org
• Univ. of Idaho www.biodieseleducation.org