Issues Comprehensive Report
Just as energy concerns are rising in the minds of many Vermonters, a group of public and private sector leaders report that the biofuels sector is taking off in the state. According to the Vermont Biodiesel Project Report, released in October 2006, consumption of biodiesel is heading toward one million gallons by yearís end with projections for upwards of five million gallons to be used in Vermont by the end of 2007.
Much of this demand for biodiesel was stimulated by the Vermont Biodiesel Project (VBP), an innovative renewable energy initiative that concluded its first phase of work in August 2006. The VBP is a public/private partnership between the Vermont Biofuels Association, the Vermont Fuel Dealers Association, the Vermont Sustainable Jobs Fund and the Vermont Department of Public Service. The Vermont Biodiesel Project has two main goals: build demand and increase supply in the state. The initial focus was to create a commercial-scale program involving large buyers that would be willing to use biodiesel blends for heating, transportation and other equipment. The main idea was that if sufficient demand could be created, the market would respond.
During the past two years, biodiesel activities expanded dramatically from small individual-scale production to commercial ventures that are emerging as part of the stateís energy sector. The demand stimulated by partners and participants associated with the VBP demonstrated a desire for this renewable fuel and led Biocardel Vermont, a newly formed Canadian company, to choose Swanton, Vermont as the location for a facility with a future capacity to produce four million gallon per year of biodiesel.
The VBP was able to leverage a small amount of public funds to generate significant investment in the state leading to a variety of exciting new business activities in the biofuels sector. The state has also benefited from the public/private partnerships formed during the project as well as the interest generated in meeting a portion of its energy needs from local resources that create new jobs and strengthen Vermont communities.
The VBP report, "Building Demand in the Biofuels Sector," includes an executive summary, project outcomes, findings and a set of recommendations.