Cleantech Blog: May 2008

Thursday, May 08, 2008

Give Me Your (Recycled) Heart

by Cristina Foung

My favorite green product of the week: pretty much anything from Fire & Light, but specifically the glass heart.

What is it?
This post is really in the spirit of Mother’s Day (if you’ve forgotten, it’s not too late – it’s this Sunday, May 11^th). So if you’re looking for something beautiful and green to show your mom/grandmother/aunt/wife that you love her and you love the planet, Fire & Light makes beautiful stuff. The glass heart is a piece from their giftware collection (for the more practical moms, you can call it a paper weight or you could opt for something from their dinnerware collection).

Why is it better?
Fire & Light makes their hand-poured colored glassware in conjunction with a partnership with the Arcata Community Recycling Center (and just for those of you who have never heard of Arcata, it’s one of the greenest spots in the country). They take recycled glass, turn it into a raw material by crushing it, and re-make it into something absolutely beautiful. As their tag line says, they "have recycling down to an art."

Where can you find it?
You can have something shipped directly from Fire & Light or you can check out their retailer locator. The large heart retails for approximately $32.

And if glassware isn’t your mom’s thing, here’s a wiki about other green Mother’s Day gifts that might have something more fitting.

Besides her green products column on Cleantech Blog, Cristina is a passionate advocate for green living at the Green Home Huddle at Huddler.com, which focuses on electric cars, energy efficient appliances, and other green products.

Labels: cleantech, Fire and Light, gifts, green tech, recycled materials

Monday, May 05, 2008

The Status of Carbon Sequestration

by Richard T. Stuebi

At a recent symposium on climate change solutions at Oberlin College, I heard a presentation by David Ball, who leads the Midwest Regional Carbon Sequestration Partnership (MRCSP) at Battelle Memorial Institute in Columbus.

His presentation was a fascinating collage of facts and observations about the status and prospects for in-situ sequestration of carbon emissions from coal powerplants and other large point sources. To wit:

CO2 must be sequestered deep underground to avoid cross-contamination with water aquifers, and also to find the low-density “spongy” strata underneath the impermeable “caprock” strata. This tends to be on the order of several thousand feet below the surface. In order to keep the CO2 underground at these depths, given the high hydrostatic pressures that pertain so far below the surface, the CO2 must be compressed to approximately 100 atmospheres before injection. No wonder the energy/capacity penalty associated with carbon capture/sequestration is so significant!

The average coal powerplant emits about 24,000 tons per day of CO2. Meanwhile, the largest pilot project attempted to date in the U.S. for carbon sequestration has only dealt with a volume of 10,000 tons per day. In the North Sea off of Norway, the carbon sequestration effort led by StatoilHydro (NYSE: STO) at Sleipner has been sequestering about 2800 tonnes per day since 1996. In other words, carbon sequestration has not yet been performed in anywhere near the volumes associated with powerplant emissions.

Notwithstanding the significant volumes of CO2 emitted in the upper Midwest from our fleet of coal generation and large industrial facilities, there is enough regional underground sequestration capacity to hold “hundreds of years’” worth of CO2 emissions. This was news to me: I had heard concerns that the carrying capacity of the deep underground reservoirs suitable for sequestration would be small relative to our current emissions.

As with many of the cleantech challenges, carbon sequestration is not a question of if something can be technically done. Rather, it’s a question if it can be done at an out-of-pocket cost that will be acceptable to politicians and their constituents.

Recent conversations I've had with a Norwegian company named Sargas, which is developing a 95% carbon capture technology applicable to pressurized fluidized bed boiler combined cycle power generation facilities, indicates all-in costs (including capital recovery and returns) of under 10 cents/kwh, perhaps to as low as 7-8 cents/kwh. This isn't too bad, but I suspect that the costs will have to proven at lower levels (or energy prices are otherwise going to have to rise much further) before many in the U.S. are assured that the potential economic impact of climate legislation won't be severe.

And, of course, sequestration doesn’t address any of the concerns associated with mining the coal to begin with. For some ardent environmentalists, that makes coal unacceptable, even with cost-effective carbon sequestration. That said, practically speaking for voters and officials alike, it’s hard to overlook such an inexpensive and domestically abundant fuel.

Richard T. Stuebi is the BP Fellow for Energy and Environmental Advancement at The Cleveland Foundation, and is also the Founder and President of NextWave Energy, Inc.

Labels: carbon sequestration, clean coal, cleantech, fluidized bed, green tech

Sunday, May 04, 2008

Only Renewables Gain Again (Week Ending 5/2)

Author: Mark Henwood

Broad market indices (Emerging Markets, EAFA, S&P500) all rose this week. Camino’s PurePlay™ indices were mixed.

The Solar index, comprised of 34 companies, followed last week's 0.2% loss with a 2.0% decline. 15 stocks increased and 19 stocks declined. In contrast to most weeks, no stock increased or declined by over 20% and nothing caught our attention to report here. The solar ETFs both declined, 3.5% in one case and 2.2% in the other. With a 74% overlap I suspect this much difference is more random than a sustained trend

The Renewable Electricity index managed a 0.4% increase with 8 stocks climbing and 15 retreating. Most notable on the increasing side was Energy Developments (ENE.AX) advancing 11.8%, continuing to recover from the 30% sell-off on April 14th. I discussed this sell-off in the Week Ending 4/18 summary and noted that some traders, myself included, saw the 30% move as a significant over-correction.

Biofuels followed last week’s loss with a 0.4% loss. There were 5 advancing stocks to 10 stocks falling. On the plus side Aventine (AVR) posted an impressive 22.0% increase for the week as a result of its first quarter results. In my view some of the key factors cited by Aventine for its improved operating performance included (1) wider spreads (fuel revenue – corn cost), (2) decreased conversion costs, and (3) benefits of the wet milling process on by-product production.

On the negative side the company reported a significant USD 21.6 million mark-down for its student loan ARS position. Considering that the company engages in significant long and short derivative transactions to hedge its physical and contract positions, I trust management is focusing sufficient attention on crucial risk management controls. I hope there are no similarities between investing in ARS student loan notes and commodity derivatives.

In contrast, Pacific Ethanol (PEIX) had a rough week in the market declining 11.7% despite an appearance by the CEO on Fast Money on the 25th and the start-up of the 60 million gallon per year Burley, Idaho plant. In defense of corn based ethanol Mr. Koehler noted that ethanol is the only significant alternative to petroleum based transportation fuels. More on this below.

Fuel Cells posted a smaller 0.7% decline this week with 4 stocks advancing and 3 stocks declining. YTD the index is down 31.3% for the year. This technology continues to struggle with product, fuel source, and profitability issues. Another view of the fuel cell industry discusses the sector in more detail.

Ethanol’s significance: How significant are the ethanol companies? Let’s take a look at Aventine. In their 1st quarter release the company reported producing 47.7 million gallons of ethanol. That’s roughly equivalent to 12,000 barrels of oil per day. In 2006 that would have ranked Aventine as the 50th largest oil producer in the US (EIA 2006 Annual Report). Granted, while that’s only 2% of the production of the largest US crude oil producer, it’s still pretty significant.

Mark is the founder of Camino Energy, an information provider specializing in globally traded sustainable energy stocks. All index computations and constituent changes cited above are available at Camino. He also is an investor in sustainable energy stocks. Mark has a position in ENE.AX

Thursday, May 01, 2008

Cleantech Blog "Power 10" Ranking Vol. I

I spend most of my day meeting and talking to companies in the cleantech sector. And those of you who know me know I have opinions on who is doing it right, and who is doing it wrong. So I thought it was about time to initiate the Cleantech Blog Power 10 Ranking of cleantech companies doing it right. Eligibility for inclusion in the ranking requires meeting a 6 point test. Suggestions for inclusions in future volumes are welcome. The 6 point test:

1. The company is energy or environmental technology related
2. I like their products
3. The market needs them
4. The company is smart about building their business
5. I’d like to own the company if I could (for the right price, of course!)
6. It is not already one of mine (my apologies to my friends Zenergy Power)

I have included cleantech companies big and small. Volume I surprisingly ended up with a lot more solar companies than I would have guessed, and no biofuels. Perhaps I really am a closet solar fanatic.

Sharp Electronics – In solar, still the biggest, and still growing. Enough said.
Det Norske Veritas – DNV is a massive 150 year old risk management firm. Their auditors underpin roughly half of the carbon markets. In carbon, audit and verification is everything. I could not leave them off.
IBM (NYSE:IBM) – What IBM is doing in smart grid is very exciting. They are part of a large proportion of the smart grid implementations that are in process, and a huge proponent of open standards. Smart grid is to electricity what fiber is to telecom. It underpins everything.
Applied Materials (NYSE:AMAT) – The future of photovoltaics lies in scaling thin film manufacturing process. Who better to do this than the dean of semiconductor capital equipment. I broke the story of Applied’s entry to solar in the blogosphere in 2006, and if anything underestimated how hard they were pushing. The whisper mill has been whirring that the installations of their plants are not on track. Not only do I have faith they will get there, I think it is critical to the industry that they do.
Fuel Tech (NASDAQ:FTEK) – I wrote about them in 2007. The CEO John Norris is a long time friend and an excellent operator. Cleaning up coal is a huge business that needs to be done, and they do it well.
Fat Spaniel – Distributed power, solar included, is a ticking time bomb without independent monitoring. Fat Spaniel does it the best.
Smart Fuel Cells (XETRA:F3C.DE) – I wrote about them recently. I helped create a fuel cell business in 2002. This is the first fuel cell company in 5 years that has intrigued me. They actually ship product with solid gross margins. That is a start.
First Solar (NASDAQ:FSLR) – Lowest cost producer in the photovoltaic business. Guaranteed to make the list until dethroned.
Global Solar – I have been following this company for a long time. CIGS is very hard and has broken (or is currently breaking) hundreds of millions or billions of dollars worth of wannabes. This management team, led by Mike Gering, respects how hard it is. And since they have actually been running a pilot plant shipping product for 3 years, so we need to take note when they say they have cracked the manufacturing scale nut.
Schott – Long a major player in crystalline silicon photovoltaics, amorphous silicon photovoltaics and concentrated solar thermal, where they are one of the top manufacturers of solar thermal receivers. That balance is unique, and exciting.

Neal Dikeman is a founding partner at Jane Capital Partners LLC, a boutique merchant bank advising strategic investors and startups in cleantech. He is founding contributor of Cleantech Blog, a Contributing Editor to Alt Energy Stocks, Chairman of Cleantech.org, and a blogger for CNET's Greentech blog.

Labels: Applied Materials, cleantech, DNV, Fat Spaniel, First Solar, Fuel Tech, Global Solar, greentech, IBM, Schott, Sharp, Smart Fuel Cell

Liquid (Green) Goodness for the 21 and Over

by Cristina Foung

My favorite green product of the week: VeeV Açaí Spirit

What is it?
VeeV is a liqueur (yep, in the US you have to be 21+ to drink it) made from açaí berries – these berries come from the Amazon and are known as a superfood full of nutrients and antioxidents (far higher than levels found in pomegranates or blueberries, although those are delicious too).

Why is it better?
First of all, if you’re going to drink, you might as well drink right. VeeV is made from 100% all natural ingredients (besides açaí, it’s got prickly pear and acerola cherry in there). It’s quite tasty straight up or mixed with other liquid organic treats (I’m a fan of adding a little lime juice and a few mint leaves, myself).

But more importantly, from berry to bottle, VeeV is green. The company ensures sustainable harvesting of the berries through the Sustainable Açaí Project (founded by the Sambazon, the makers of a delicious açaí smoothie). VeeV donates $1 from every bottle to the organization which goes to the farming communities, organic certification, and ensuring “wild harvesting” to preserve the surrounding rainforest biodiversity.

VeeV also offsets their carbon footprint with Climate Clean. VeeV’s distillery (which also distills Square One vodka) is the only one in the United States to be powered in part with renewable wind energy, not to mention VeeV’s distillation process uses 200% less energy than a traditional pot still. The company is also a member of a variety of social responsibility organizations, including Business for Social Responsibility and Co-op America, and they utilize a variety of recycled materials such as glass for their bottles and post-consumer waste for their shipping boxes.

Where can you find it?
Check out the VeeV website to find a retailer in Los Angeles, San Diego, the San Francisco Bay Area, and Napa Valley. If you’re outside of California, you can order it online for $34.99 from Mel and Rose or for $68 from 1-877 Spirits.

And if beer or wine (or juice) is more your thing, check out “Organic, Local, Solar Powered Booze” over at the Green Home Huddle.

Besides her green products column on Cleantech Blog, Cristina is a passionate advocate for green living at the Green Home Huddle at Huddler.com, which focuses on electric cars, energy efficient appliances, and other green products.

Labels: cleantech, green tech, VeeV Acai Spirits, wind energy

The Secrets of Curitiba

By John Addison (4/30/08). Talking with the former Mayor of Curitiba and architect, Jamie Lerner, is like talking with Santiago Calatrava about designing buildings or having an imagined conversation with Frederick Olmsted about designing parks. Jamie Lerner designs cities. More accurately, he helps all create a strategic vision of cities for people, not cities for cars.

I talked with Jamie Lerner at the EcoCity World Summit after he delivered his keynote speech to political leaders and urban planners from over seventy countries.

As one of Brazil’s most popular mayors, Lerner was elected three times. He helped transform Curitiba from collection of shanty towns to a beautiful and sustainable city of about two million. At a time when many Latin Americans were disenchanted with their politicians, Jamie Lerner had a 92% approval rating. Following his success as mayor, he served as governor of the state of Parana for 8 years.

In the late sixties, Curitiba had a contest for the best urban design for their city’s future. In 1968, the city incorporated many of the ideas of young architect Lerner into the Curitiba Master Plan. In 1971, he was appointed mayor of Curitiba.

Facing a budget crisis, he had to search for big ideas that could be implemented with little money. He greened the city by involving citizens in planting 1.5 million trees. He solved the city’s flood problems by diverting water into lakes in newly created parks. He lifted some children from poverty by paying teenagers to keep the parks clean.

Educating and involving children are at the heart of solving most problems, from poverty to transportation, observes Governor Lerner.

Any leader will tell you that change is likely to be met with strong resistance. Thinking like an architect, Jamie Lerner wanted to beautify the city with pedestrian boulevards that were car-free. Shop owners were up in arms, fearing that the change would destroy them. Then Mayor Lerner convinced some to take part in a thirty day trial. Shoppers loved it. Before the trial ended, the merchants asked that the pedestrian zone be expanded to include more streets.

Like most cities, Mayor Lerner saw a city with clogged roads that divided where people lived from where they worked. Jamie’s wisdom sparkles with humor, “A car is like a mother-in-law, you must get along but not have her run your life.” He envisioned solidarity. Ecocity Videos

Lerner got the city moving. Curitiba could not afford the light-rail systems of Europe and the U.S. which often cost more than $20 million per mile. Curitiba invented rapid transit using buses.

Bus rapid transit is successful for many reasons. Payment is simple, fixed price regardless of distance traveled. For those without prepaid passes, payment is made when entering bus shelters not while boarding the bus. Curitiba’s shelters are inviting transparent tubes with LED lighting that allow all to wait in safety. Express buses travel on dedicated lanes on major streets. The buses are double articulated to carry up to 300 people per bus, and up to 50,000 per day. Buses arrive frequently. Inviting pedestrian walkways and bikeways bring people to the stations.

Since implementing bus rapid transit, Curitiba’s population of people has tripled, yet its population of cars has declined thirty percent. Governor Lerner explained that there were only 25,000 daily passenger rides on Curitiba buses in 1974. By 2008, there are more than 2.4 million passenger rides daily. In Curitiba, bus rapid transit is far more popular than cars. 85% of the systems use the rapid transit.

Jamie Lerner, the inspiring architect and governor, has been invited around the world to help with new urban design and transportation solutions.

Transit is getting more popular in the United States, with gasoline now at record prices in all fifty states. Increasingly the United States is adopting the secrets of Curitiba. In Los Angeles, when Richard Hunt, Executive Vice President of LAMTA, showed me the Orange Line, the lessons of Curitiba were everywhere. Stations were safe and inviting. Electronic signs displayed minutes until the arrival of the next bus. Fares were paid before boarding the bus, so that there would be no cue delays as people paid drivers. Articulated buses use dedicated bus pathways. During peak hours, buses arrive every three to seven minutes.

The Orange Line has been so popular that ridership not expected until 2020 was achieved in seven months. Soon LAMTA’s bus rapid transit system will cover 35 southern California cities and cover 420 miles.

Bus rapid transit invites millions in U.S. cities such as Las Vegas, Pittsburgh, Boston, Orlando, Miami, Oakland and Kansas City. As America falls into a recession while oil and gasoline prices soar, rapid transit and smart growth urban development provide solutions.

Jamie Lerner has an answer, “cidade não é problema; cidade é solucão.” The city is not a problem; the city is a solution. Cities like Curitiba are model solutions from driving less and enjoying life more.

Labels: bus rapid transit, clean fleet, cleantech, smart growth, urban development

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