DECEMBER | NEWSLETTER
DECEMBER 2022 | A NOTE FROM JEREMY MORTL

Biomass Offers Solutions When Temperatures Get Low

This week brought heavy snow and icy conditions throughout most of the Midwest. Temperatures have been mostly mild through the beginning of December, but high heating fuel rates are already impacting families and businesses as they try to stay warm this winter.

The average residential home heating oil cost in the Midwest is currently $4.20/ gallon and Propane fuel is $2.27 / gallon. Minnesota is showing the highest residential natural gas rate in the Midwest at $21.09/thousand cf. With these high gaseous fuel rates, biomass heating is a great alternative to traditional heating appliances and a good utilization of our locally sourced natural resources.  

Green wood chips are readily available from many forest products companies in the Midwest. Green chips are often residues from forestry logging operations that would otherwise go to waste. 1 ton of green wood chips @ 5000 BTU/lb produces 8MMBTU of energy @ 80% efficiency. That same 1 ton of green wood chips is equivalent to 98 gallons of LPG or 68 gallons of #2 fuel oil. On average, a ton of green wood chips delivered in the Midwest is around $60. This price does fluctuate by region and the distance it needs to be trucked to your site but is far less than the alternative cost of gaseous fuels.

If you have a biomass heating project in mind or know somebody looking for information on a biomass heating project, please reach out to one of the Heating the Midwest team members to see how we can help. 

AUTHOR:
Jeremy Mortl
Messersmith Manufacturing
HTM Steering Committee President
UPCOMING EVENTS
  • January 18-20, 2023 – Lake States Lumber Association Meeting
  • February 28-March 2, 2023 – International Biomass Conference
STAKEHOLDER SPOTLIGHT
  • Green Friendly Pellet, LLC – Biomass Pellet Plant Equipment and Inventory for Sale
DECEMBER RESOURCE SPOTLIGHT
  • USDA Rural Energy for America Program Applications
  • Firewood Bank Financial Assistance Program
LOCAL BIOMASS
  • Biomass For Sale 
  • Biomass Wanted
IN THE NEWS...
  • EPA Takes Next Steps in Renewable Fuel Standard Program
  • AGH Urges IRS to Issue Guidance on Wood Heater Tax Credit Eligibility
  • Canada Invests in Renewable Natural Gas Facility Using Forest Biomass
INFO CENTER
  • EPA: Biomass Heating and Cooling Technologies
  • FutureMetrics: Compare Cost Between Coal and Pellet Fuel

HTM STEERING COMMITTEE
  • Jeremy Mortl* - President
  • T.J. Morice* - Secretary/Treasurer
  • Stacy Cook*
  • John Ackerly - National Rep
  • Bruno Zagar
  • David Neumann
  • Joseph Donnell
  • Becky Philipp
  • Tim Portz - National Rep
  • Ben Rose
  • Adam Sherman - National Rep
  • Patrick Serfass - National Rep
* Executive Members
BROUGHT TO YOU BY HEATING THE MIDWEST
UPCOMING EVENTS

January 18-20, 2023

February 28 – March 2, 2023
STAKEHOLDER SPOTLIGHT

Green Friendly Pellet, LLC

Full biomass pellet plant equipment and inventory for sale. Ready to deliver to your location. All walking floors, auto tarp trailers, 50 tons of pellets, all electrical, and the bagging line. Financing available. Call at 651-210-7717 or email sally@ndsafetypro.com.
DECEMBER RESOURCE SPOTLIGHT
Applications being Accepted for the USDA Rural Energy for America Program (REAP)

The United States Department of Agriculture (USDA) is making $300 million available under the Rural Energy for America Program (REAP) to expand renewable energy and support energy-efficiency projects for people living in rural America. Agricultural producers and rural small businesses are eligible applicants for loan guarantees and grants to develop renewable energy systems and to make energy efficiency improvements.

State and local governments, federally recognized tribes, land-grant colleges or universities or other institutions of higher education, rural electric cooperatives, public power entities, and Resource Conservation & Development Councils (as defined in 16 USC §3451) are eligible applicants for grants to conduct energy audits and provide development assistance.

The maximum Federal grant cost share is 40% of the total project cost and the maximum grant amounts are $500,000 for energy efficiency projects and $1,000,000 for renewable energy systems. Projects in underserved areas are prioritized for funding under this notice.
Firewood Bank Financial Assistance Program

A 5-year national program that provides $15,000 to any existing Firewood Bank.

Applications will be processed on a rolling basis until the end of summer in 2023 or until they run out.
LOCAL BIOMASS
Photo Source: Canva
Local Biomass Market
IN THE NEWS...
EPA Takes Next Steps in Renewable Fuel Standard Program for 2023-25
The EPA is proposing new regulations governing the generation of qualifying renewable electricity made from biomass that is used for transportation fuel in electric vehicles. The agency is seeking comment on this new component of the RFP program that would tie electricity generation from renewable biomass into the program for the first time. EPA will be soliciting public comment on the proposed rule and holding a public hearing in January. Register by January 3 to participate in the EPA public hearing on January 10. Details on how to register can be found at: https://www.epa.gov/renewable-fuel-standard-program/proposed-renewable-fuel-standards-2023-2024-and-2025.
AGH Urges IRS to Issue Guidance on Wood Heater Tax Credit Eligibility. 
IRS asked for comments, and we went into depth: We need the IRS to confirm $2,000 stove tax credit is in addition to $1,200 of other 25C measures and is available to renters, not just homeowners.
Canada Invests in Renewable Natural Gas Facility Using Forest Biomass.
The governments of Canada are investing more than $11.3 million to expand a facility in Thorold to produce renewable natural gas (RNG) and biocarbon. The facility will be the largest of its kind in Canada and the only RNG facility in the country to only use woody biomass.
INFO CENTER
EPA: Biomass Heating and Cooling Technologies
A collection of biomass information from the EPA that provides accessible resources for learning more about biomass technologies and its uses in various sectors.
FutureMetrics: Compare Cost Between Coal and Pellet Fuel 
Explore the costs per megawatt-hour between coal and pellet fuel using a new interactive dashboard by FutureMetrics. Adjust the sliders to see the how these two fuels stack up across different carbon tax costs per tonne.
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