Virginia-Maryland-DC E85
• Objective: 12 new public E85 pumps– Where:
• I-95 from Maryland to North Carolina border• I-64 from Charlottesville to Virginia Beach• Near federal and state E85-capable fleets
– When: • By September 30, 2008
– How:• Define and develop E85 supply chain• Partnerships of ethanol producers, fuel distributors/retailers,
vehicle dealers, owners of fleet Flex Fuel Vehicles (FFV)• General Motors Corporation is key partner• Grant money to help defray capital costs and risk
Grants and tax credits
• Up to $20,000 in grants available per E85 hose• 30 % federal tax credit• Grant money, tax incentives, GM marketing
support and government fleet dedication can reduce capital cost and lower investment risk, especially when:– An existing tank can be converted to E85– An additional tank can be added to a new build– A large FFV fleet will agree to fuel at the facility
2-year project cost
• $767,000 total project• $284,000 federal portion (37%)
– One of 13 competitive DOE awards
• $483,000 match (63%)– Sources: Virginia, Maryland, DC, private
First public E85 station in DC
• Georgetown Chevron dedicated June 28 • Mid-Atlantic Petroleum owns station, promises more• VeraSun Energy and General Motors were the key project movers
Energy Secretary Samuel Bodman and GM VP Elizabeth Lowery
Third largest ethanol producer
• Verasun Energy wants a larger East Coast presence
• Verasun plans to build E85 blend terminal in VA
• Terminal is missing piece of infrastructure puzzle
• Ethanol plant also is needed to complete supply chain to East Coast Mid-Atlantic area Verasun founded in Brookings SD
sells E85 under the VE85 brand in 9 states, including VA and PA, and DC
Navy Exchange model in Virginia
Navy Exchange public-private venture will pilot in VirginiaCould make E85 and other alternative fuels available to publicAt conventional convenience store-like locations
E85 now at DSCR
• Defense Supply Center in Richmond offers limited public access to E85
E85 station locator brochure• Back of brochure
lists public and private E85 pumps
• Custom cover for:– GM dealers– GSA fleet FFVs– Virginia fleet FFVs
Ethanol ProductionCurrently 3 companies developing
projects in VA.
–220 mgy corn-based (in 2 phases)–50 mgy hull-less barley based–Speculative plant site being developed
Speculative Site
Site is co-located with a large landfill that has deepwater barge access.
Plans are to create an energy park modeled after an industrial park.
Initial phase will install rail infrastructure and municipal solid waste-to-energy equipment.
Btu’s from waste-to-energy process will be used to generate renewable electricity for co-located utility partner with excess btu’s offered to park tenants.
VA Production Advantages
• Proximity to markets• Significant university level research in next
generation processes• Transportation infrastructure• Available and affordable process energy
(cheap btu’s)
Other
The soon to be released Ten-Year Comprehensive Virginia Energy Plan places a priority on alternative fuels. Ethanol production/use goals are included.
One short-term Plan recommendation is to eliminate Virginia’s dated label laws. There is evidence that retailers in certain conventional gas markets would sell RFG with E10.
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