CEC Awards $29 Million for Clean Fuels Technology

| USA, Sacramento CA

The California Energy Commission has approved more than $29 million for projects that advance biofuels and demonstrate California’s commitment to develop cleaner transportation fuels. The seven awards total $29,675,072 and are funded through the Commission’s Alternative and Renewable Fuel and Vehicle Technology Program (AB 118), completing the first two years of the program funding cycle. Of the seven projects approved, five relate to natural gas or biomethane for transportation.

“This is a major milestone for our program because it means we have awarded all $175 million from the first two years of the AB 118 program, plus another $14 million from the 2010-11 funding cycle,” said Energy Commission Vice Chair James Boyd. “We have awarded more than 82 grants, public agency agreements and program support contracts totaling $189.4 million in AB 118 funding, leveraging more than $425 million in private match funding and creating or retaining about 5,600 jobs. ”

The seven awards will infuse more than $44.5 million into the California renewable industry. Recipients estimate the awards will create or retain 616 construction, engineering and management jobs over the next three years. The proposed projects focus on reducing petroleum consumption and greenhouse gas emissions, providing jobs by advancing biofuel technology and installing alternative fuel infrastructure for fleets.

The list below refers to the natural gas and biomethane fuel for transportation projects:

Biostar Systems ($3,372,314 – Match Share $3,372,314)

BioStar Systems is partnering with Sonoma County Water Agency and Sonoma County Transit to produce 148,000 cubic feet per day of pipeline quality biomethane from dairy waste and food processor waste to support the Sonoma County Transit natural gas fleet. This facility will reduce waste transportation costs for Sonoma County’s food industry by an estimated $120,000 per year and cut greenhouse gas emissions by approximately 35,200 tons per year. The project will also generate approximately 94 jobs over the life of the project, including manufacturing and construction jobs.

South Coast Air Quality Management District ($2,600,000 – Match share $6,000,000)

The South Coast Air Quality Management District and their numerous partners will install and upgrade 11 compressed natural gas (CNG) and liquefied natural gas (LNG) fueling stations throughout Southern California. Several fleets are committed to using these stations, including shuttle service companies, taxi companies, public transit agencies, school districts, waste hauling companies, city fleets, utility fleets and goods movement trucks. It is anticipated that more than 100 green jobs will be created or sustained through this project.

USA Waste of California ($489,040 – Match Share $1,051,021)

USA Waste will upgrade a liquefied natural gas (LNG) station in the City of Corona (Riverside County) to add storage tanks, vaporizers and dispensers that will also add compressed natural gas (CNG) to their current LNG dispensing capabilities. LNG fuel reduces greenhouse gas emission by approximately 15 percent compared to diesel.

CR&R, Inc.* ($4,520,501 – Match Share $18,166,460)

CR&R estimates that this project planned for the City of Perris in Riverside County will produce 120,000 million BTUs of pipeline quality biomethane from nonrecyclable municipal waste using a two-stage anaerobic digestion process. This project would displace the equivalent of 865,000 gallons of diesel, enough to power 60 to 80 heavy duty trash recycling trucks, and reduce an estimated 57,740 tons of carbon dioxide between 2013 and 2020. The project would also create 100 construction jobs and eight permanent facility/operation jobs.

High Mountain Fuels* ($11,020,419 – Match share $11,020,419).

High Mountain Fuels intends to convert renewable landfill biomethane to liquefied natural gas for use as transportation fuel at the Simi Valley landfill facility in Ventura County. The project would demonstrate improved gas separation technology that uses new combinations of materials to provide better power efficiency and improved methane recovery than at other facilities. The project anticipates producing almost 6 million gallons of LNG each year to fuel the company’s waste hauling trucks, displacing 3.4 million gallons of diesel fuel. High Mountain Fuels estimates this project will create or retain up to 300 jobs and reduce greenhouse gas emission by more than 36,000 metric tons each year.

*The last two projects will be completed in two phases: administration/design (Phase 1) and construction/operation (Phase 2). The second phase will not begin unless the Commission approves the second phase after completing a thorough environmental analysis of the project.

Assembly Bill 118 (Núñez, Chapter 750, Statutes of 2007) created the California Energy Commission’s Alternative and Renewable Fuel and Vehicle Technology Program. The statute, amended by Assembly Bill 109 (Núñez, Chapter 313, Statutes of 2008), authorizes the Energy Commission to develop and deploy alternative and renewable fuels and advanced transportation technologies to help achieve the state’s climate change policies.

(This article compiled using information from a California Energy Commission press release)


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