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State of the U.S. Biogas Industry State of the U.S. Biogas Industry Patrick Serfass, Executive Director www.americanbiogascouncil.org 1 americanbiogascouncil.org

American Biogas Council-State of the Industryamericanbiogascouncil.org/pdf/ABC-StateoftheInd-BiocyclePolicyPres.pdfAmerican Biogas Council: The Voice of the US Biogas Industry} The

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Promoting the Advancement of Anaerobic Digestion Technologies

State of the U.S. Biogas IndustryState of the U.S. Biogas Industry Patrick Serfass, Executive Director

www.americanbiogascouncil.org 1americanbiogascouncil.org

Promoting the Advancement of Anaerobic Digestion TechnologiesPromoting the Advancement of Anaerobic Digestion Technologies

American Biogas Council: The Voice of the US Biogas Industry

The only U.S. organization representing the biogas and anaerobic digestion i dindustry

134 Organizations from the U.S., Germany, Italy, Canada, Sweden, Belgium and the UK

ll d dAll Industry Sectors Represented: Landowners

Fuel refiners

Manufacturers

Project developers

Biogas users

Plant owners

Financiers

EPC firms

www.americanbiogascouncil.orgwww.americanbiogascouncil.org

Wastewater

Utilities

Promoting the Advancement of Anaerobic Digestion Technologies

Some of our members:

Dedicated to maximizing the production and use of biogas from organic waste

So e o ou e be s

www.americanbiogascouncil.org 3

Promoting the Advancement of Anaerobic Digestion Technologies

Input:Any organic waste

Farm

U bUrban

Wastewater

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Promoting the Advancement of Anaerobic Digestion Technologies

2,200+ biogas‐producing sites Currently Operational

171 Digesters on Farms (100 MW)171 Farm Digesters

1,500 Digesters at Wastewater Treatment Plants (only 250 use the biogas they produce)

l df ll b d563 landfill‐based energy projects (26 pipeline, 537 electricity/boiler)

11 000 it A il bl f D l t11,000+ sites Available for Development

Farms: 8,200 (only counting dairy and swine)—1700 MW

Wastewater Treatment Plants (WWTPs) 3 250 750 MWWastewater Treatment Plants (WWTPs): 3,250—750 MW

2,000 WWTPs > 1 MGD don’t have a digester

1,250 WWTPs producing, but not using biogas

www.americanbiogascouncil.org 5

Landfills/MSW?

Promoting the Advancement of Anaerobic Digestion Technologies

Clover Hill Dairy, Wisconsin1,250 cows300kW power300kW power

www.americanbiogascouncil.org 6

Promoting the Advancement of Anaerobic Digestion Technologies

Huckabay Ridge, Texas+10,000 cows + fats, oils and greases fromand greases from restaurants+2.7 million scf/day gas+650,000 MMBtu/year (the energ eq i alent of(the energy equivalent of 4.6+ million gallons of heating oil)

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Promoting the Advancement of Anaerobic Digestion Technologies

City of Tulare, California+11.5 MGD wastewater+500,000 scf/day gas500,000 scf/day gas+generates 1.2 MW, uses 2.7 MW+saves $1.2M/year in electricit costselectricity costs+provides 94.5% reliable power

www.americanbiogascouncil.org 8

Promoting the Advancement of Anaerobic Digestion TechnologiesPromoting the Advancement of Anaerobic Digestion Technologies

Working Groups

Agriculture

Committees

Legislative and Regulatory Affairs

Biofuel (Rolfe Philip, Yield Energy ‐ Chair)

Biogas to Electricity (Doug Litwiller, Energy Solutions, LLC (chair))

Biomethane to Grid (natural gas)

Federal Co‐Chairs : Ted Niblock, Homeland Biogas Energy; Amy Kessler, Turning Earth

State Co‐Chairs: Norma McDonald, Organic Waste Systems; Wayne Davis, Harvest Power

Biomethane to Grid (natural gas)

Construction (Bryan Steffen, FBi Buildings, Inc. (Co‐Chair))

Goal: Create an information database to enhance understanding of capital and

Education and Outreach

Chair: Nora Goldstein, BioCycle

Membership and Fund‐raisingenhance understanding of capital and operating expenses in order to educate and prepare the customer base

Digestate (Tom Ferencevic, Yield Energy ‐Chair)

Education, Outreach & Training

Feedstock

GHG Credit Markets

www.americanbiogascouncil.orgwww.americanbiogascouncil.org

Municipalities

Promoting the Advancement of Anaerobic Digestion Technologies

• Farm Bill programs – 2008 Energy Title, especially REAP

Policies Currently Helping the Biogas IndustryFarm Bill programs 2008 Energy Title, especially REAP (Rural Energy for America Program), as well as conservation and other financing programs• REAP: 19+ “new” grants announced last week. (See ABC

website: www.americanbiogascouncil.org/media_news.asp g g _ p• 2007 Energy Bill – Provides incentives for the use of biogas as

a transportation fuel• Section 1603 Treasury Grants – allows owners of property

qualifying for a tax credit in Internal Revenue Code Section 45 q y gor 48 to receive a 30% grant from the U.S. Treasury in lieu of the tax credit

• Federal Renewable Energy Production Tax Credit (PTC)-per kilowatt-hour tax credit for electricity generated by qualified

i l di bi U d R A tenergy resources including biogas. Under Recovery Act modification a facility which would qualify for the PTC can elect to take the Investment Tax Credit instead, but only if it is an electric generation facility

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Promoting the Advancement of Anaerobic Digestion Technologies

• Establish parity for biogenic energy in all federal programs

Policy Gaps and Opportunities Establish parity for biogenic energy in all federal programs

• Establish an investment tax credit for biogas facilities that does not require onsite electric generation

• Ensure continued funding for Farm Bill energy and conservation programs (i.e., REAP, etc.)conservation programs (i.e., REAP, etc.)

• Extend Section 1603 deadlines, and underlying tax credits.• Increase flexibility for states to regulate buyback prices for

renewable energy generation, by supporting PURPA Plus• Support Rep Doggett’s HR 66 Waste to Energy bill for biogas• Support Rep. Doggett s HR.66 Waste to Energy bill for biogas

facilities using wastewater or municipal waste• Support the NAT GAS Act for natural gas vehicles (upgraded

biogas = renewable natural gas)Ensure that biogas is fairly treated in any Federal Renewable• Ensure that biogas is fairly treated in any Federal Renewable Energy Standard or Clean Energy Standard

• Encourage expansion of DOE Biomass Program to include biogas technology

www.americanbiogascouncil.org 11

Promoting the Advancement of Anaerobic Digestion Technologies

i i i h i d if hPositive Economic Impacts to the Biogas Industry if the Sec. 1603 12/31/11 Deadline is Extended

Total Projects: 324*

Total Power Capacity: 649 MW*

Total Industry Investment: $3.5 billion

Average: $5 74 million/MWAverage: $5.74 million/MW

Average: $12.6 million/project

Number of Companies Developing 1603-Developing 1603-

Eligible Projects Now(Avg projects/company/

state: 2.6)

www.americanbiogascouncil.org 12*As reported by individual companies to the American Biogas Council, Fall 2011

Promoting the Advancement of Anaerobic Digestion TechnologiesPromoting the Advancement of Anaerobic Digestion Technologies

California Snapshot with Comparisons to U.S. Totals

US Today: 30 biogas to pipeline projects (4 AD, 26 landfill); 0 000 /d 2 illi / 2 6

Type (EIA: 2009) Capacity (megawatts)

Percent of CA

40,000 MMBTU/day = 14.2 million MMBTU/yr. = 216 MW

2/3 to California = 144 MW

Even if gas to CA doubles ( ) l ( ) (megawatts) of CA 

TotalTotal Net Summer Electricity Capacity (California) 65,948 100.0

Total Net Summer Renewable 16 295 24 7

(300MW) or triples (450 MW), just a drop in the RPS bucket

Yet, CA regulations can havea HUGE impact on growing the Total Net Summer Renewable

Capacity (California) 16,295 24.7

Geothermal 2,004 3.0

Hydro Conventional 10,144 15.4

Solar 450 0.7

a HUGE impact on growing the biogas industry in CA and the US at large

Project developers want to build d b ld h

Solar 450 0.7

Wind 2,650 4.0

Wood/Wood Waste 646 1.0

MSW/Landfill Gas 306 0.5

digesters in CA AND build themin other states to sell the renewable gas to CA

CA pays a premium for

www.americanbiogascouncil.orgwww.americanbiogascouncil.org

Other Biomass 96 0.1CA pays a premium for renewable gas to support its RPS

Promoting the Advancement of Anaerobic Digestion Technologies

• Take Legislative Action

Thank You – Get Involved!Take Legislative Action • How? www.AmericanBiogasCouncil.org (click on

“Legislative Action”)• Become a Member of the American Biogas Council (dues start

@ $100-$1,000)@ $100 $1,000)• How? ABC Website, or call/email me

• Sign up for the FREE Biogas News• How? ABC Website, or give me your card

Patrick Serfass, Executive DirectorAmerican Biogas Council1211 Connecticut Ave NWSuite 600Washington, DC 20036

202 640 6595

www.americanbiogascouncil.org 14

[email protected] (yes, it will come to my inbox)

Promoting the Advancement of Anaerobic Digestion Technologies

Additional Slides

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Promoting the Advancement of Anaerobic Digestion Technologies

Potential Methane Production from Agriculture (manure only)+ 88 billion scf - enough for 894,000 homes or to make 8.8 billion kWh of electricity (NREL)

+ 8 241 f 1 667 MW f 13 1 illi MWh/ f l t i it+ 8,241 farms; 1,667 MW of power; 13.1 million MWh/year of electricity (AgSTAR)

www.americanbiogascouncil.org 16

Promoting the Advancement of Anaerobic Digestion Technologies

Potential Methane Production from Urban Waste+ 536 billion scf - enough for 5.5 million homes or to make 54 billion kWh of electricity only counting landfill waste (NREL)

www.americanbiogascouncil.org 17

Promoting the Advancement of Anaerobic Digestion Technologies

Potential Methane Production from Wastewater+ 20 billion scf - enough for 200,000 homes or to make 2 billion kWh of electricity (NREL)

www.americanbiogascouncil.org 18

Promoting the Advancement of Anaerobic Digestion Technologies

LRA. 2010 achievements…

Federal/National – identified sponsor,Federal/National identified sponsor,  Rep. Ron Kind to propose biogas ITC bill to be added to House Way & Means clean energy package

I l bbi d f t id f biIowa – lobbied for setaside for biogas projects (non‐wind) which shifted renewable energy tax credits from large wind to non‐wind projects (1.5 cents/kWh d $4 50/MMBTUand $4.50/MMBTU

Indiana – lobbied to include waste heat recovery and biogas in Voluntary Clean Energy Program, passed in late MayEnergy Program, passed in late May

Indiana – worked with Utilities Regulatory Commission to approve Voluntary FIT (NIPSCO) for 30MW – 12 cents/kWh and 2MW N t M t i

www.americanbiogascouncil.org

2MW Net Metering

Promoting the Advancement of Anaerobic Digestion Technologies

Food Waste Digester

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