Green Options

OPEC seems concerned about loosing customers as developed nations pledge to invest billions in renewable energy projects.

BP originally planned to celebrate its 100th year as a company on April 1st, but when the news went public and protests were planned, the company backed down and has rescheduled to an undetermined date.

“Whenever and wherever BP attempts to hold a party to celebrate its tarnished centenary, we will be there to say ‘Your party’s over!’” said Art Not Oil’s Sam Chase. “BP’s one hundred years have seen a world plundered
and a climate torn asunder.”

After a $90 million shot in the arm from oil giant BP back in August, second generation cellulosic ethanol pioneer Verenium has started production of ethanol from non-food sources such as wood chips, grass straw, and trash at their Jennings Louisiana demonstration plant (PDF). This is the first such plant to begin operation in the US.

As most of the first generation corn ethanol world has started to exit stage left in a loud and raucous way, the pioneers of second generation cellulosic ethanol — what I like to call “celluline” — have been quietly conducting dress rehearsals for their grand entrance.

And now the world of cellulosic ethanol has an honest-to-goodness demonstration plant to prove that it works. The plant will produce 1.4 million gallons of ethanol a year. Although it’s not at the commercial scale yet (60+ MGY), this represents a huge leap forward for second generation ethanol, which to this point has been full of promises but lacking on deliverables.

The Environmental Protection Agency (EPA) has announced that, as a result of its enforcement actions, U.S. companies will spend a record-breaking $11.8 billion on pollution control and projects to clean up the environment this year.

Billboard, television and magazine advertising has been touting green this and green that for a while. I find the ones by companies such as BP and Chevron to be the most questionable, if not outright ridiculous.

In the October 2008 Atlantic magazine, as no doubt in many others, BP runs a full-page ad that says, “Investing in America’s most diverse energy portfolio.” It includes little clip art silhouettes for an oil drop, a gas flame, a wind turbine, the sun and a green plant, triggering our cutesy awwww factor. Then it says:

“Oil in the Gulf. Natural gas in the Rockies. Solar in Maryland. Wind in Texas. Biofuels research in California and Illinois. Diversity starts right here. BP is the largest investor in new U.S. energy development. In fact, over the last five years we’ve invested more than $28 billion in U.S. energy supplies.”

They are providing some concrete details for sure. Now is it true? (And, cynicism aside for a moment, if it is, will it do any good?)

It seems that BP is trying to make up for lost time — the worldwide oil giant has invested $90 million in cellulosic ethanol company, Verenium. This is BP’s first foray into the world of cellulosic ethanol (ethanol derived from non-food crops), and man is it a gigantic one.

The money will be distributed to Verenium over the next 18 months, with a likelihood of further investment and cooperation beyond that point. Under the agreement, BP will have broad access to Verenium’s research, production facilities, and technology.

Although relatively late to the fray, BP thinks this investment gives them the “most advanced technology for transforming [cellulosic material] to biofuels,” as Sue Ellerbusch, president of BP Biofuels North America said.

Verenium claims to have the edge in cellulosic ethanol production through genetic engineering of the microbes required to turn the cellulosic material (switchgrass, wood chips, sugarcane bagasse, miscanthus) into ethanol.