In The Media - Biodiesel moving again

Location: Blogs

Posted by: Community Fuels

4/5/2006

St. Paul Pioneer Press, Minnesota. Fledgling Minnesota industry gets past March without any complaints.

March was a quiet month for Minnesota's biodiesel industry which is the best news it could possibly get.

After a winter besieged by quality problems, clogged filters and angry truckers, the biodiesel industry is optimistic it has finally solved its start-up headaches. Last fall, Minnesota became the first state to require biodiesel blended into all diesel fuel and then became the first state to waive its law. Twice.

But now, even the state's truckers have no complaints about the soybean-based fuel. And the lessons learned are guiding other states as they follow Minnesota's biofuels lead, officials say.

"Basically, things are going quite well," said John Hausladen, president of the Minnesota Trucking Association. "There are no reported problems. That means the system is working as we hoped it would all along."

For farmers, biodiesel was touted as the clean, green renewable fuel that could turn soybean fields into lucrative energy sources. Minnesota farmers built the first big biodiesel plants in the state, but almost as soon as they started producing the fuel last fall, quality complaints surfaced.

"We had our hiccups, but maybe it's a blessing in disguise," said Bob Worth, president of the state soybean association. The troubles produced serious consultations between truckers, farmers, state officials, refiners and chemists. As a result, Worth said, "Now, we have a better product."

It certainly led to tougher standards, said Edward Garvey, deputy commissioner at the state Commerce Department.

"First, biodiesel producers started to raise their game and make a concerted effort to police themselves and assure greater quality," Garvey said. "Second, petroleum purchasing folks raised their game, and their purchasing requirements went above and beyond what's in the statute. And third, we increased our enforcement."

But a fourth quality issue remains a question: Whether Minnesota's official standards are strict enough, especially during cold weather. That investigation continues. Said Hausladen, "We will withhold final judgment until next winter, but right now, things are looking very good."

Minnesota law requires all diesel fuel here to be blended with at least 2 percent biodiesel. The law took effect last September, but within a month, a bad batch of biodiesel had prompted state officials to waive the law temporarily.

Then in December, a more serious problem arose when fuel filters in trucks around the state began clogging and tests revealed biodiesel samples contained too much glycerin.

Faced with the alarming vision of a statewide trucking fleet halted, school buses stalled and fire trucks stranded, state officials quickly issued a 21-day emergency waiver, followed by a 30-day extension so that the industry could fix the problems.

In February, biodiesel quietly returned to the market. When March passed without complaint, the industry was relieved, and it seems to have defused any campaign to have the Legislature to erase the mandate.

"We have some confidence to win back," conceded Sherry Lowe with Minnesota Soybean, a state trade organization. "We probably did lose some believers, and we have to win them back. And the way to do that is to make sure the industry adheres to the (tougher quality) standards."

Minnesota's bumpy rollout has drawn much attention from other states debating their own mandates.

Worth offered his advice: "Get it done right; don't do a job halfway. Get it done right, and make sure there are standards."

Tom Webb

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