Biomass Energy - A Policy Outlook: Programs, Legislation and the New Congress

Transcription

1 Biomass Energy - A Policy Outlook: Programs, Legislation and the New Congress This Webinar is brought to you by: Biomass Thermal Energy Council (BTEC) With the generous support of the U.S. Forest Service Wood Education Resource Center 1 PM ET, January 27, 2011 The work upon which this publication is based was funded in whole or in part through a grant awarded by the Wood Education and Resource Center, Northeastern Area State and Private Forestry, U.S. Forest Service. This institution is an equal opportunity provider. 1

2 Quick Notes - Seymour Quick Notes Two Audio Options: Streaming Audio and Dial-In. 1. Streaming Audio/Computer Speakers (Default) 2. Dial-In: Use the Audio Panel (right side of screen) to see dial-in instructions. Call-in separately from your telephone. Ask questions using the Questions Panel on the right side of your screen. The recording of the webinar and the slides will be available after the event. Registrants will be notified by . 2

3 I. Event Introduction - Seymour Presentation Outline I. Introduction Joseph Seymour II. Legislative Review Jesse Dickerman III. Current Programs Steve Marshall IV. The New Congress Patrick Rita V. Q & A, Next Events Joseph Seymour [Full presentation will be available online, 3

4 I. Event Introduction - Seymour Speakers Jesse Dickerman, Director of Industry & Government Relations, Zilkha Biomass Energy Steve Marshall, Assistant Director: Cooperative Forestry, USFS Patrick Rita, Founder and Principal, Orion Advocates Moderator Joseph Seymour, Program Coordinator Policy and Government Affairs, Biomass Thermal Energy Council 4

5 I. Introducing BTEC Seymour Joseph Seymour - Moderator Program Coordinator Policy and Government Affairs Biomass Thermal Energy Council Project Assistant, Technology Transition Corporation 5

6 I. Introducing BTEC - Seymour About BTEC Mission & Composition The Biomass Thermal Energy Council (BTEC) is a nonprofit association dedicated to advancing the use of biomass for heat and other thermal energy applications. BTEC engages in research, education, and public advocacy for the fast growing biomass thermal energy industry. Formed in January 2009 by eight companies, BTEC currently has 88 members from 34 U.S. states, Canada, Austria, and Denmark Includes landowners, fuel refiners, appliance manufacturers, project developers, nonprofits, universities, and others 6

7 I. Introducing BTEC - Seymour Current BTEC Membership A3 Energy Partners Fröling GmbH Price BIOStock Abundant Power Fuel Pellet Technologies Proe Power Systems ACT Bioenergy Fulton Companies Public Policy Virginia Alliance for Green Heat FutureMetrics Rainforest Alliance American Agriculture Movement Gavilon Group Re source Professionals Group American Wood Fibers Green Clean Heat Richmond Energy Associates APEX Indeck Ladysmith Sandri Companies Bear Mountain Forest Products Innovative Natural Resource Solutions Santa Energy Corporation Beaver Wood Energy Integrated Biomass Resources Scandtec Biomass Combustion Systems International Renewable Energy Technology Institute Sewall Company Biomass Commodities Corporation International Silica Technologies Skanden Energy Biomass Energy Resource Center International WoodFuels Southland Bio Energy Biomass Energy Works Jesse E. Lyman Pellets State of Montana DNRC Biowood Energy Krieg DeVault State University of New York (SUNY ESF) Chip Energy Lignetics of Virginia Tarm Biomass Clean Power Development Maine Energy Systems Twin Ports Testing Comact Equipment Maine Pellet Fuels Association Vapor Locomotive Company Confluence Energy Marth Vecoplan Control Labs Montana Community Development Corporation Vermont Wood Pellet Corinth Wood Pellet National Network of Forest Practitioners Viability Cousineau Forest Products New England Wood Pellet Viessmann Dejno's New Horizon West Oregon Wood Products Ecostrat Northeast Mill Services Western Ag Enterprises EnTec Works Ontario Sawdust Supplies Westervelt Renewable Energy Enviva Materials Oregon Forest Industries Council Wilson Engineering Services Ernst Biomass Paraclete Bioenergy WoodFuels Virginia Ewing Bemiss & Co. Piney Woods Pellets WoodPellets.com Fuel Pellet Technologies Plum Creek Woodstone Forest Energy Corporation PowerStock Zilkha Biomass Energy Froling Energy Pratt & Whitney Power System s Turboden 7

8 I. Sponsoring Entity - Seymour Project made possible by the USDA FS WERC BTEC awarded a grant from the USDA Forest Service s Wood Education and Resource Center (WERC) in June 2010 to advance education and outreach on biomass thermal energy The Center's mission is to work with the forest products industry toward sustainable forest products production for the eastern hardwood forest region. Previous webinar - Green Heat for Homes: Benefits and Challenges of Residential Biomass Energy, Next webinar Biomass Emissions and Air Quality All questions and attendee feedback will help form future activities. Remember to answer the survey at the webinar s conclusion! 8

9 II. Policy Overview Dickerman Jesse Dickerman Director of Industry and Government Relations, Zilkha Biomass Energy Policy Committee Chair, Biomass Thermal Energy Council Biomass Thermal Energy: Legislative & Regulatory Review 9

10 II. Policy Overview - Dickerman Biomass Energy Use and U.S. Thermal Demand Energy Use Fuel Energy Use - Sector Residential 20% ' ' Industrial 68% ' Commercial 12% PetroleumCoal Gas Nuclear Renewable Trans. Elec. Thermal/ Other Primary Renewable Energy Consumption Other renewable 15% Biomass 41% ' Hydropower 44% Source: USDOE Energy Information Administration 10

11 II. Policy Overview - Dickerman Legislative Opportunities and Outcomes Proposed Legislation from the 111 th Congress Residential Incentives H.R H.R HomeStar Stove credit & the Continuing Resolution Commercial/Industrial Incentives S TREEA (S & H.R. 5805) Renewable Thermal Standard Sec. 610 of S (Renewable Electric Standard) and S. 20 (Clean Energy Standard) 11

12 II. Policy Overview - Dickerman Federal Regulatory Developments Biomass Neutrality and the EPA PSD Tailoring Rule 3 Year Deferral Boiler MACT Rules Area/Major Source Biomass Boilers Long extension denied Deadline of February 21, 2011 Reconsideration Process and comments Biomass Crop Assistance Program Revision New rules narrow scope of eligible materials 12

13 II. Policy Overview - Dickerman Biomass Energy Policy Progress Policy Presence on Thermal >25 supportive bills introduced in the 111 th Congress Bipartisan support, House and Senate Many angles: grants, loans, thermal RECs, rebates, tax credits, others. Open Communication with Agencies Continuation of a modified BCAP (USDA) PSD Tailoring Rule (EPA) Hostile 2010 environment for tax credits Sec. 45 PTC removed for biomass power, 25(c) stove credit reduced Recovery Act provisions: Sec grants extended, 48(c) AEMTC cut 13

14 III. Current Programs Marshall Steve Marshall Assistant Director: Cooperative Forestry, U.S. Forest Service Existing Biomass Thermal Programs Updates & Thoughts 14

15 III. Current Programs - Marshall The Biomass Crop Assistance Program (BCAP) Provides financial assistance to owners/operators of agricultural and non-industrial private forest land to establish, produce, and deliver biomass feedstocks. Two supporting types of assistance: Matching payments for the delivery of eligible material to qualified biomass conversion facilities by eligible material owners. Annual payments to producers of eligible biomass crops on contract acres within BCAP project areas. Recent Changes: Initiated in 2009, suspended in 2010, revised rules in late 2010, new limits on eligible materials. 15

16 III. Current Programs - Marshall Community Wood Energy Program (CWEP) Grants to state and local governments to develop community wood energy plans and to acquire or upgrade wood energy systems. Similar to popular Fuels for Schools. Authorized funds of $5 million per year from FY 2009 through FY Currently not funded. Reflection on funding problems. 16

17 III. Current Programs - Marshall Rural Energy for America Program (REAP) Combination of incentives guaranteed loans, grants for renewable energy/efficiency projects, and grants for feasibility studies. Available to farmers, ranchers, rural small businesses, rural electric co-ops. Technologies: wind, solar, biomass, geothermal, hydro power and hydrogen-based sources. In 2010, more than $30 million in loans and grants for 516 recipient energy projects. Thoughts on thresholds. 17

18 III. Current Programs - Marshall Federal Energy Management Program (FEMP) Operated within the U.S. Department of Energy (EPACT 2005) Provides technical assistance and resources to help Federal agencies evaluate/implement renewable energy technologies, help meet renewable energy requirements. 3% in fiscal years % in fiscal years % in fiscal year 2013 and thereafter Forest Service and DOE exploring feasibility of energy projects. Room for private sector. 18

19 III. Current Programs - Marshall Wood-to-Energy Program USDA-wide initiative, supported by three Under Secretaries Natural Resources, FSA, and Rural Development Launched in October Pooling resources to advance renewable energy Six primary steps and associated action items 19

20 III. Current Programs - Marshall 2012 Farm Bill Thoughts and Potential As the 2012 Farm Bill nears, two items are in the discussion: Scale Focus on System 2012? 20

21 IV. New Congress - Rita Patrick Rita Founder and Principal, Orion Advocates Washington, D.C.-based Government Affairs Consultant Outlook on the New Congressional Environment 21

22 IV. New Congress - Rita New Congress, New Majorities, New Members Historic political swing, realignment of Congress Senate: Democrats 53 (-6), GOP 47 (+6) House: Democrats 193 (-63), GOP 242 (+63) New Environment Committee Leadership Members of Congress Staff Major Changes on Committees with Jurisdiction on Biomass House Agriculture House Energy and Commerce House Ways and Means Senate Agriculture Divided Government compromise or gridlock? 22

23 IV. New Congress - Rita New Environment House of Representatives Fulfilling Campaign Pledges Focus on Oversight Budget and funding methods Pay-go vs. Pay-cut President Pivoting to Middle 23

24 IV. New Congress - Rita Outlook for the Short Term Energy Legislation Renewable vs. Clean State of the Union Tax Outcome-based vs. technology-specific policy Farm Bill Senate hearings Programs: BCAP, CWEP, REAP, etc. Definition of biomass. Continued Shift/Focus on Regulatory PSD Tailoring rule, Boiler MACT 24

25 V. Discussion - Seymour Q & A Ask questions using the Questions Panel on the right side of your screen. All questions and comments will be recorded and incorporated in the webinar summary report. Also, please take a few moments to answer the survey questions. Stay tuned for the next webinar on Biomass Emissions and Air Quality, February

26 VI. Webinar Topics - Seymour Additional Webinar Topics in 2011 Biomass thermal and environmental markets: carbon credits, renewable energy certificates, and other environmental commodities. Biomass thermal energy and air quality: Overview of issues and concerns, existing technologies and those under development 26

27 VI. Upcoming Events - Seymour Upcoming Events Next webinar March, 2011: Air Quality and Emissions Additional resources ( -- Interviews (also on itunes Podcasts) -- Factsheets -- Presentation 27

28 VI. More Information - Seymour More Information This Webinar will be available on by Wednesday, February 3, Sign up to receive announcements on future webinars, factsheets, audio interviews, and BTEC news at Questions or comments on BTEC s WERC resources? Joseph Seymour, BTEC Program Associate, joseph.seymour@biomassthermal.org. 28

29 BTEC Board of Directors Thank you! If you want to learn more about the biomass thermal industry, BTEC, or membership, visit 29

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