Summary of Specifications:
4.1. General/Background: The Federal Renewable Fuel Standard (RFS) was created under the Energy Policy Act (EPAct) of 2005, and established the first renewable fuel volume mandate in the United States. The original RFS program (RFS1) required 7.5 billion gallons of renewable fuel to be blended into gasoline by 2012.
Under the Energy Independence and Security Act (EISA) of 2007, the RFS program was expanded, requiring 36 billion gallons of fuel to be blended by 2022. RFS2, the EPA’s revised regulation, allows biogas that is used as a transportation fuel to be eligible to generate credits (Renewable Identification Numbers, or RINS), which can be purchased by obligated parties (refiners, fuel importer) to meet compliance with EISA.
The City of Grand Junction has begun a design/build project to clean biogas generated at the Persigo Waste Water Treatment Plant (WWTP), and deliver the compressed natural gas (CNG) product to an existing CNG fueling station. The CNG is used to fuel a fleet of Grand Valley Transit busses, the City’s growing fleet of CNG capable vehicles.
The current project under construction will include a conditioning system, capable of processing the existing 83 standard cubic feet per minute (SCFM) of biogas into approximately 45 scfm, or approximately 500 GGE per day of BioCNG vehicle fuel that will meet SAE J1616 compressed vehicle fuel standards. The remaining tail gas will consist of approximately 38 scfm of 27% to 30% methane, over 60% carbon dioxide, and a trace of oxygen and nitrogen. The conditioning equipment can process an additional 17 scfm of biogas over the current 83 scfm, and that will allow the City to increase WWTP flow from the existing 7.4 million gallons per day to approximately 8.9 million gallons per day at the current biogas production rate. At that time, approximately 600 GGE/day can be produced from the biogas. This project is scheduled for completion in early spring 2015.
Since the biogas from the WWTP will be used as a transportation fuel, the City of Grand Junction is eligible to earn renewable fuel credits (types D3 and D5) under RFS2. The City of Grand Junction is seeking a third party to manage the generation and monetization of fuel credits and serve as a commercial advisor for the City in the renewable fuel markets.
