The Victory Plant

Biofuels Council of Advisors on Science, Technology and Economics complete the Victory Plant draft standard; certification, promotion expected to start in 2012

Last July, the Digest launched a project called “Victory Plants” and set about recruiting a Biofuels Council of Advisors on Science, Technology and Economics to define a threshold standard for advanced manufacturing in biofuels, by April 2012 (for the Advanced Biofuels Leadership Conference, in DC).

An organization has been established, a draft standard has been developed, and after stakeholder dialogue, the Victory Plant organization expects by the end of the first half of 2012 to commence certifying projects and promoting their benefits to communities, counties, states and national governments.

Why “Victory”?

The term “Victory Plant” represents victory over carbon, victory of the innovative spirit, and victory over the devastating impact to communities of dependence on imported fuels. In the Second World War, 20 million victory gardens were planted, according to the USDA. By 1945, half of the US fruit and vegetables harvest (as much as 10 million tons) came from home and community-based Victory Gardens.

The goal? To simplify the dialogue about advanced biofuels, chemicals and biomaterials, and thereby secure broader, more sustainable community support and help speed up the rate at which advanced bioenergy plants are built.

Over the summer, a dialogue with readers took place and it became clear what the Victory Plant project should be:

Neutrality. One thing is clear – stakeholders have said, emphatically that they support the concept as long as it is technology, feedstock and fuel-neutral, and focused on cost reduction as much as time reduction. Cost savings, you say, are the real key to meeting Renewable Fuel Standard goals.

Non-prescriptive. Another thing is clear – stakeholders want specific targets, and support the certification of any and all designs as Victory Plants, so long as they meet the overall cost goals, and meet the low-carbon targets established under the US Energy Security & Independence Act.

Global scope. Stakeholders felt that, while the low carbon targets are specific to the US, Victory Plants can and should be built and certified globally.

Economics plus science. Stakeholders want a Biofuels Council of Advisors on Science, Technology and Economics to certify plants that meet Victory Plant goals, to supervise and adjust Victory Plant standards as necessary, and to establish the standards on feedstock contracting that would ensure that Victory Plants can sustainably produce fuels and biomaterials over the long-term. They also wanted to ensure that Victory Plant standards reflected not only sound science, but sound business sense.

Broad industry support. Stakeholders wanted to ensure that an industry effort of this magnitude received broad industry support – there was a resistance to “sideshows” or efforts that had issued white papers with worthy goals that were broadly ignored. The effort must be practical, stakeholders said, and to become so, it needed broad support.

Specific benefits. Stakeholders wanted the benefits of bringing a Victory Plant to a specific community to be well understood, specific, and accurate. Stakeholders felt that it was essential that benefits be clear – making projects better understood buy communities and stakeholders outside the industry was a benefit in the designation as a Victory Plant. Benefits? Direct and indirect job and economic impact, the benefit in carbon mitigation, and direct contribution to energy independence.

More on Victory over fuel dependency

The wartime logo for Chevron featured a Winged V, for Victory

Based on current vehicle and fuel statistics, a 25 million gallon advanced biofuels facility would provide fuel self-sufficiency to a town (or region) with 50,000 people drive some 40,000 gars and use about 28 million gallons of fuel in doing so. About the same amount of fuel that a cellulosic biofuels plant will ultimately generate.

Today, Ames spends about $98 million dollars on fuel (overall, they spend $112 million at the pump, but $14million pays for fuel taxes). Now, there isn’t any oil drilling going on in Ames, and wherever that money goes – to Canada, Iran or Texas, it doesn’t stay in Ames.

Instead, it goes to a bank in Houston, perhaps, or maybe Caracas. From there. it’s ultimately invested by bankers there, and paid to the workers in those far-away places.  And where do they spend or invest? Generally, in the world around them. In their infrastructure, stores and dreams. As they should.

But what happens when all that money stays at home? Its spent or invested, generally at home. Building the local community in the way that the local community wants to grow. Building a world based on that community’s values, and people, and imagination.

More on the Biofuels Council of Advisors on Science, Technology and Economics

Last summer, a small group of volunteers: Scott Miller as president, and a council consisting of Sandy Webb, Gillian Harrison, Ben Thorp, Bob Wimmer, Doc Williamson, Robert Rapier, Rakesh Radhakrishnan, and Brian Yeh – set about defining what a Victory Plant should be.

The draft Victory Plant standard 1.0

Economics: A Victory Plant must produce (or project that it will produce) fuels (including capex and opex) at or below the average global cost of gasoline, diesel or jet fuel based on $100 per barrel Light, Sweet Crude Oil (NYMEX). The Executive Committee shall establish this price for each fuel classification.

The project sponsor shall establish its cost by submission of :

a) bank loan documentation (or an affidavit by the bank loan officer that figures cited by the project in its application correspond with figures claimed in bank loan documentation);
b) loan guarantee documentation (or an affidavit by the loan guarantee officer that figures cited by the project in its application correspond with figures claimed in loan guarantee documentation); or
c) based on affidavit by the project sponsor, subject to audit, which audit shall be completed prior to receiving documentation.

Production: ≥5,000,000 gallon/year production on a fuel equivalent basis; chemicals and other non-fuel products would be adjusted to reflect a fuel-equivalence; adjustment to be determined on a case by case basis but adjusting by BTU/gallon compared to energy content of conventional fuels (e.g., gasoline, diesel, jet fuel) would be a first approximation.

Emissions benefit: ≥50% reduction in GHG against a 2005 baseline for a conventional fuel. Evaluation basis would be any government-approved sustainability/life-cycle assessment measure or methodology including RSB, RED, GREET, and ISO, or certification as an advanced biofuel by the EPA.

Certification

The Victory Plant group will be gathering feedback at the Advanced Biofuels Leadership Conference in DC next week, and through other stakeholder outreach in the month of April, and thereafter will issue a final standard and invite projects (such as first commercial plants, or large demonstration-scale projects) or proposed projects to certify as Victory Plants.

Promotion

The Victory Plant group will be using social and online media, as well as in-person presentations and promotional partnerships, to spread a message to towns, counties, states and countries that technologies exist that, independently certified, can help them meet their low-carbon and energy independence goals, at affordable costs that are, as of today, represent a savings over the cost of crude oil.

For more information

For more information on joining the Biofuels Council of Advisors on Science, Technology and Economics – that will oversee the Victory Plant standards, the certification process, and promotion.

OR

To provide feedback on the proposed Victory Plant draft standard 1.0

OR

For more information on certifying your project as a Victory Plant.

OR

For more information on how Victory Plants can help your community or region establish energy independence, reduce carbon intensity and fight pain at the pump.

OR

For more information on becoming a Victory Plant promotion or marketing partner.

Contact Biofuels Digest by email here – with “Victory Plant” in the subject line. We’ll connect you quickly with the right people in the Victory Plant team.