Writing

Renewable Energy and Nonprofits

By Mike Gilligan

One way or another, most of us who exist in the world today will live to see the end of our society’s addiction to fossil fuels. As we near the end of the planet’s easily accessible petroleum reserves, which took many thousands of years to develop naturally, our demand continues to increase alarmingly. For the first time in over twenty years, the fuel efficiency of the average passenger vehicle (cars and light trucks) in the United States has actually decreased – two fewer miles per gallon from 2002 through 2004. Encouraging trends in the production of renewable power grid resources such as electricity that is generated by solar and wind are overshadowed by our growing demand of approximately 17 percent in the U.S. over the past 10 years (U.S. Energy, 2006, Table A1). Meanwhile the environmental destruction that is the result of our dependence on fossil fuels has been tremendous. The damage is clearly not limited to the high-profile events like the Exxon Valdez disaster. Toxic byproducts of the Oil and Gas Industry have been routinely contaminating our soil, water and air since the beginning of the Industrial Revolution. The worst environmental impacts are yet to come though. The United States, as a result of our consumption of fossil fuels, emits well over a billion tons of greenhouse gasses into the atmosphere each year. The Environmental Protection Agency predicts that the average surface temperature of the Earth will rise between 2.2 and 10 oF, “over the next century” (Climate, 2000, Changing Climate section, para. 2).

In addition to these ominous realities lurks the National Security issue. We in the United States, who make up 5% of the world’s population, consume 25% of the world’s oil, and we have only about 3% of the Earth’s proven oil reserves (Greene et al., 2004, p. 4). Our experience over the past three decades should alert us to the vulnerability that is caused by our near-absolute dependence on foreign oil. Oil supply crises of 1973, 1979 and 1990 were all the result of political instability in the Middle East. Critics of the current Iraq War cite our need for imported oil as the underlying cause of the many thousands of lives and the billions of dollars that have thus far occurred in the conflict. Indeed, our thirst for inexpensive oil has been the guiding force behind our foreign policy for more than half of a century. Even in light of the considerable adversity that our extensive involvement in this volatile region has brought about, we have failed to adjust our policies accordingly. “We currently spend well over $151 billion annually on oil, with more than 60 percent of this going overseas, more than $24 billion to the Persian Gulf alone” (Greene et al., 2004, p. 4).

Unless we act with a sense of urgency that is proportional to the magnitude of this issue, we will face a future of environmental catastrophes, political upheaval and economic despair. In his book, Biodiesel: Growing a New Energy Economy, Greg Phal refers to the point when increasing fuel demand exceeds declining production as the Tipping Point. The Department of Energy’s optimistic forecast calls for the ascending supply and descending demand graph lines to cross in 2037. Other credible predictions look for the divergence of supply and demand to occur around 2010 (Phal, 2005). Unless we make a dramatic shift away from the consumption of oil, the resulting inaccessibility to the requisite energy to power the infrastructures of developed nations will likely lead to a devastating global economic depression.

Only an alliance of our government, commercial and nonprofit will be able to achieve the necessary policies, funding and production to make this dramatic shift away from non-renewable energy sources.

No discussion of our energy predicament should exclude mention that efficiency and conservation need to play a great role in the overall campaign to diminish oil consumption. The recent rise of the SUV as the personal transport of choice demonstrates that massive remedial education is in order. This is a sphere where effort can be most effective when combined by government, business and nonprofit organizations. The Ad Council has recently finished production of a television public service announcement in cooperation with Environmental Defense that will remind millions of us of the threat of global warming. As is the case with all of their PSAs, air time will be donated by various media outlets (Ad Council, 2006). Consumer education is also available from government agencies and the energy industry. As vital as conservation is though, it must also be explicit that it is only one element of an effective campaign against our dependency on fossil fuels.

With our motives clearly understood we must seek alternative energy sources with the imperative unlike any other in our history. This endeavor – the peaceful and efficient withdrawal form this dependence which threatens all life on earth - will require high level collaboration between the government, industrial and nonprofit sectors. In the wake of the 1973 OPEC Oil Embargo, such cooperation yielded hopeful efforts to diminish petroleum dependency. Although R&D costs and subsequent stabilization of the oil markets caused the movement to deteriorate, some of the progress that was made is still being expanded on today. Solar (photovoltaic), geothermal and wind power generation have grown very slowly, and have achieved at least marginal significance in electricity generation. However, even when combined with other non-fossil-fuel-burning but environmentally detrimental hydro-electric and nuclear sources, renewable electricity generation is still secondary in terms of kilowatt hours to the traditional natural gas, coal and oil.

Persistence in the development of renewable sources of electricity is vital to the health of our planet. Thus far, success in power production has outpaced achievements in the transportation sector. In the United States, about 57 million out of the 81 million barrels is burned in transportation. Unfortunately, it seems unlikely that a viable method to power our vehicles with wind, solar or geothermal energy will be developed in the foreseeable future.

Perhaps the greatest implemented contribution to the reduction of emissions and oil consumption in transportation so far has been the hybrid electric drives. Though they make up only a small market share, certain vehicles manufactured by Toyota, Honda and Ford that employ this technology have demonstrated significantly improved efficiency.

Hydrogen-cell vehicles have achieved limited popularity in some fleet vehicles. The greatest undisputed advantage that this technology offers is truly zero-emissions vehicles, with the only byproduct being pure water. Many critics of the hydrogen economy movement cite technological problems that will impede progress in development. It is commonly believed, for example that, more energy is expended in the production of the hydrogen fuel than is created in its burning. Therefore, its Energy Return on Energy Invested (EROEI) is said to be negative. Also, critics say, the peculiarly small hydrogen atom is capable of leaching through metal containment tanks, causing significant fuel loss from the point of production to the point of use.

In their book Winning the Oil Endgame, the Rocky Mountain Institute (RMI) counters all of these criticisms against hydrogen-cell vehicles. One of RMIs highly publicized goals is the Hypercar® concept vehicle manufactured from ultra-light-weight composite materials. The first generation might be powered with existing hybrid electric technology as mentioned above. Ultimately RMI hopes that hydrogen fuel in subsequent Hypercar® models will replace gasoline combustion altogether. In an attempt at cross-sector cooperation for the common good, RMI has placed the design patents for the Hypercar® in the public domain – available to all interested manufacturers (Lovins, Datta, Bustnes, Koomey and Glasgow, 2005).

Biomass fuels are another key piece of the multi-faceted equation that can lead to a systematic withdrawal from oil addiction. Generally speaking biomass fuels are those which are derived from agriculture and forestry products and byproducts. The source vegetation that is used to produce the fuel is known widely as “feedstock.” Biomass fuels that have proven to be suitable replacements for petroleum include methanol, ethanol and biodiesel. Advantages of the biomass alternative include rural economic development, significantly reduced greenhouse gas emissions and a production system that is entirely domestic. While methanol does have great potential as a fossil fuel replacement, biodiesel and ethanol currently carry the most momentum and will be the main focus of this report.

If a successful collaboration between government, business and nonprofit interests can carefully guide our society through the implementation of a wide-spread switch to biofuels, there is a real possibility that our ecologic and economic environments will actually benefit from the production and expenditure of energy.

One great strength that biofuels have in our current political climate is that cultivating the necessary feedstock will be an economic boon to the rural economies of the United States and other nations where production takes place on a meaningful scale. Because farmers wield considerable influence with policy makers, the momentum behind increased production of biomass fuels is likely is favorable to alternatives such as hydrogen. The issues that impede progress along these lines are most likely to be addressed. Encouraging cross-sector alliances are presently growing. The nonprofit coalition 25X’25 advocates that policies be set in place to guide the U.S. to 25% renewable energy consumption by 2025. It is a partnership comprised mainly of agricultural interests, but works with environmental concerns as well (25X25, 2006). This initiative has tentative support from environmental advocates who want to ensure that we use this opportunity to eliminate problems rather than replace them with new ones (Little, 2006).

For more than thirty years, petroleum refiners have been effectively using ethanol as an additive to gasoline to reduce emissions and raise octane ratings. The proportions of ethanol in the mix are relatively small – 5% to 15%. These fuel mixes are designed for wide-spread consumer use and can safely power most of the cars and light trucks on the road today. Flex-fuel vehicles that run on gasoline-ethanol mixtures from 0% to 85% ethanol (known as E85), are currently available from several manufacturers, but is mainly intended for fleet sales. The only difference between a flex-fuel model and an ordinary gasoline burning engine is a computer chip that regulates the air-fuel ratio but, unfortunately retrofit replacement chip are not widely available. Recently, E85 has become available to consumers at retail locations. There are eleven such filling stations in Colorado alone. If E85 is not readily accessible to consumers at a given time and place there are no ill effects to the vehicle by filling up with conventional fuel (E85, 2006).

Our present technology poses some obstacles, both on the supply side and the demand side, for the implementation significant ethanol contributions. Fortunately, overcoming these limitations in the near future is realistically achievable.

On the supply side, far too little ethanol is being distilled for far too high a price, to make a meaningful impact on our oil consumption. In order to make ethanol cost-competitive with gasoline, we must create more suitable feedstock. Since ethanol is derived from cellulose, it makes sense to seek out a feedstock that yields the highest possible amounts of this natural fiber. The vast majority of ethanol now being produced in the United States is derived from corn and soybeans. Extensive research indicates that the most favorable agricultural product for the production of ethanol is switchgrass. This grass is native to North America and is mostly used for forage and hay. It promises tremendous ecologic benefits when compared to typical row crops like corn and soy. Cultivation prevents rather than causes soil erosion and the nitrogen runoff from fertilization is minimal. Environment aside, switchgrass simply yields much more cellulose (and therefore much more ethanol) per acre than the grains and beans that are used today. Also high in cellulose is corn stover. Stover is the vegetation (the stalks and leaves) that remain in the field after the crop is harvested. Corn growers plow the stover back into the soil because it currently has no market value, it prevents erosion and returns carbon. According to Greene, “…Recent analysis suggests that as much as 90 percent of the stover could be collected if all corn were grown using no-till practices” (Green, 2004, p. 34).

On the demand side of the equation, ethanol lacks consumer appeal because of high per gallon prices and lower efficiency. Flex-fuel vehicles can only travel about two-thirds as far using E85 as compared to conventional gasoline, i.e. they need to refuel approximately every two-hundred miles rather than three-hundred. This is because ethanol does not burn with as much intensity as gasoline. This problem has been addressed on an experimental basis by increasing compression rations in dedicated ethanol burning motors. The high cost of ethanol will subside when feedstock is changed as mentioned above, and production methods are improved. Extensive research is underway on many fronts as to the most effective ways to catalyze cellulose sugars into ethanol. Here again the united action of government, industry and nonprofits is required to realize this potential. With expected improvements we can realistically expect to replace 7.9 million barrels per day by 2050 (Greene, 2004).

As promising as ethanol is, it is not the only or even fastest growing biofuel today. Biodiesel is made from oil producing crops and used cooking oil. In the United States the best sources of these oils are peanuts and sunflowers. As with ethanol, the popular corn and soybeans yield significantly fewer gallons per acre, again making feedstock a central issue. One-hundred percent biodiesel, known as B100, can be used to fuel diesel engines manufactured after 1994 without modification. Biodiesel can also be used in some home heating applications and to run electrical generators (Phal, 2005).

The real obstacles to more growth are on the supply side. The industry in the United States has not yet reached maturity. According to the National Biodiesel Board, there are only eight retail locations in Colorado that offer B20 (a mix that contains 20% biodiesel) and two with B100 (Biodiesel Board, 2006). Although these numbers are expected to grow substantially in the near future, it cannot be said that biodiesel is currently accessible to consumers in this country. As a comparison, Germany has 1,800 retails outlets – The United States has 300.

The coming end to our oil addiction may potentially turn out to be our finest hour. Our government must provide the funding necessary to make alternative energy economically viable. The nonprofit sector must seek to direct policy and conduct research. Finally the commercial sector must take hold of the reigns of industry to implement this huge transition. The cost of failure is incomprehensible. The rewards of successful cooperation are a environmentally sustainable society that continue to function with a bolstered economy and national security.

 

 

References

Ad Council, The (2006), Global Warming. Retrieved March 31, 2006 from http://www.adcouncil.org/default.aspx?id=325

 

Energy Information Agency/U.S. Department of Energy (2006). Annual U.S. EnergySupply and Demand: Base Case. Retrieved April 1, 2006 from http://www.eia.doe.gov/emeu/steo/pub/a1tab.html

 

Environmental Protection Agency (2000). Global Warming – Climate. Retrieved March31, 2006 from http://yosemite.epa.gov/oar/globalwarming.nsf/content/Climate.html

 

Greene, Nathaniel et al. (2004), Growing Energy: How Biofuels Can Help End America’s Oil Dependence. Retrieved March 24, 2006 from the Natural Resource Defense Council Web site: http://www.nrdc.org/air/energy/biofuels/biofuels.pdf

 

Griscom Little, Amanda (2006), Ethanol Farm, Retrieved on April 3, 2006 from Salon.com (subscription required) Web site at: http://www.salon.com/opinion/feature/2006/03/25/muckraker/index.html

 

Lovins, Amory B., Datta, E. Kyle, Bustnes, Odd-Even, Koomey, Jonathan G., Glasgow,Nathan J. (2005), Winning the Oil Endgame: Innovation for Profits, Jobs and Security, Snow Mass, Colorado: Rocky Mountain Institute

 

National Biodiesel Board, The (2006), Retail Fueling Sites ( Colorado), Retrieved on April 1, 2006 from http://www.biodiesel.org/buyingbiodiesel/retailfuelingsites/showstate.asp?st=CO

 

Phal, Greg (2005), Biodiesel: Growing a New Energy Economy, White River Junction,Vermont: Chelsea Green Publishing