The liquid-coal military industrial complex

Air Force and liquid coal industry interbreed

Posted by Joseph Romm (Guest Contributor) at 2:28 PM on 24 Jan 2008

Read more about: energy | coal | coal-to-liquid fuel

A friend just sent me this remarkable story, "Former Air Force official joins leading coal-liquids developer," which appears in the little-known Aim Points, "A daily summary of news, messages and communication tactics to help AF people tell the AF story."

It looks like the "tactic" AF people are being told about is the good-ol' revolving door:

Ron Sega, up until last year the Air Force's chief energy executive, has joined the board of directors of coal-to-liquids (CTL) fuel developer Rentech, Inc., on Dec. 18, according to a statement issued by the company. Rentech develops synthetic fuels for the Air Force alternative fuels program, using coal and other feedstocks.

Sega resigned as Air Force under secretary in August 2007, after in part leading an effort within the Air Force to develop alternative fuels not based on petroleum and thereby reduce dependence on imported energy supplies.

"As the Air Force's chief energy executive, Dr. Sega led the creation of a new energy strategy for the Air Force," a strategy that addressed "demand-side energy efficiencies, supply-side energy assurance options and the establishment of a culture of conservation," according to the Rentech statement.

The statement cites Sega as saying: "I am exited to be joining Rentech, a company that is committed to using a wide array of domestic resources to produce environmentally sound fuels that will help ensure our nation's energy security."

The Air Force aims to act as a catalyst for the synthetic fuels industry by using its huge buying power to guarantee demand, service officials have said. Officials say that in the near term, coal is the only feedstock that can provide sufficient energy output from synthetic fuels, and will therefore be the dominant feedstock in the so-called "synfuels" program for the time-being.

CTL fuels have drawn criticism from environmentalists, who fear that without carbon capture and sequestration during the manufacturing phase, CTL technology could release twice the amount of carbon dioxide into the atmosphere that petroleum-based fuels do. In response to these fears, the Air Force has committed itself to buy only CTL fuels that are no worse for the environment than conventional fuels, in effect requiring carbon capture and reuse or sequestration.

Yeah, I'll believe that when I see it. Note to Air Force: "Carbon capture and reuse" is not bloody likely, unless maybe the AF wants to get into the carbonated beverage business.

The final paragraph has one of those laughable claims that make you wish some people were hooked up to lie detectors as if life were some sort of reality show, rather than the surreality show it really is:

A Rentech spokesman says Sega's appointment does not serve to cement ties between the Air Force and the company: "That is not why we put him on the board. He is just a very competent qualified person," says the spokesman, pointing to Sega's distinguished career as an astronaut, academic and Air Force official.

Seriously one of his qualifications for being on the board is that he was an astronaut! I can hardly wait until Rentech tries to sell liquid coal to NASA!

This post was created for ClimateProgress.org, a project of the Center for American Progress Action Fund.

For story: The liquid-coal military industrial complex
2 Comments | Post a Comment

Actually, it's very bloody likely...

I understand your doubts here, but Rentech already has long-term contracts in place with Denbury Resources who will capture and buy ALL of their CO2 --- they released this partnership about the middle of last year. It is essentially "pre-sold" to them (contingent on the plant actually being built). With sequestration, emissions are much less than they would be from petroleum based fuels. Denbury uses the CO2 to inject back into mature oil fields which reduces greenhouse gases and helps produce more oil through through their process (makes it the process more efficient, which in effect helps reduce US dependence on foreign oil even more).

Maybe I'm missing something...could you explain why you are so against these companies, who are actually trying to do something different than big oil? It doesn't look like you had all the facts about this "remarkable story" before you posted.

As far as the ex-air force guy joining the board...of course that is so Rentech can get closer to the AF and help lock in sales contracts...so what? That's just smart business...

You are probably wondering who I am...just an independent capitalist pig who owns Rentech stock...but please, I challenge you to do some more research and see if you still believe what you wrote is accurate. If you find something I'm missing, maybe you'll give me a reason to sell...

by rockchalk at 7:59 AM on 25 Jan 2008

Air Force and Alternative Fuels

Rockchalk is right on. The author of the first story is simply unaware and very misleading in his comments. Let me try to clarify some of the erroneous information stated:

Dr. Sega is a very smart person who was the Air Force's senior leader for energy before his retirement. He is now a VP with Colorado State University. His affiliation with a producer of alternative fuels helps bring his university closer to the future producers of synthetic fuel. A great opportunity for coop students to learn more about this challenging and exciting new industry. Rentech obviously wants smart people on its board, particularly a person who knows what the Air Force objectives are and how to get to a greener fuel.
The Air Force does not buy fuel, nor does any other federal agency. The Defense Logistics Agency buys fuel for the entire federal government. Dr. Sega cannot influence a request for proposals decision by DLA because bids are based on price (lowest) for qualified fuels.
Carbon sequestration has been sucessfully performed for more than a decade in places all over the world. An energy plant in North Dakota sends over a million tons of CO2 a year to the oil sand fields of Canada for sequestration...which also serves to increase oil sand production. In the North Sea more than a million tons of CO2 have been sequestered for the past 10 years. There are over 3,000 miles of C02 pipeline in the US and this number will grown exponentially in the future. The US DOE has a CO2 sequestration partnership underway that will spend close to $800 million dollars studying additional sequestration technologies.

Sequestration is important because Fischer Tropsche fuels produce more CO2 than petroleum. Fortunately, the FT process creates a pure, concentrated stream of CO2 that can be easily captured and compressed to a liquid that can be transported for sequestration, enhanced oil recovery, or other reuse still be to explored. *Petroleum refining emits all of its CO2 to the air.

The US Air Force is testing and certifying its fleet to fly on synthetic fuel in order to provide greater sovereign options to defend our nation anywhere in the world. The United States is the Saudi Arabia of coal. The US has 250 years of coal that can be used for power and fuel. However, the Air Force is looking to reduce GHG emissions in the FT process with coal by introducing biomass into the feedstock. By creating greater sources of domestically produced alternative fuels, including biofuels, fuels made from animal fat, algae, switchgrass, etc (all non-food sources), the Air Force will further reduce demand for petroleum. This is good for the nation and the world. There is no silver bullet, only silver BB's that will provide a multitude of alternative resources for clean and better fuel.
The Fischer Tropsche produced synthetic fuel the Air Force has been testing has zero SOx and almost zero particulate matter. It is so clean that the engines produce no coking and are expected to have better maintenance characteristics. The FT diesel has 50-80% less NOx emissions which is being tested and certified in our ground vehicles.
The Air Force has stated consistently that it will only purchase alternative fuel that is produced in an environmentally friendly manner that is better than petroleum. Federal law states that federal agencies may only purchase unconventional fuels that produce equal or lower GHG emissions on a life cycle basis than petroleum.
The Air Force is working with the commercial aviation industry to certify our respect fleets to fly on cleaner synthetic fuel very soon. This will reduce emissions on a global basis. This cooperation and collaboration will serve to more efficiently and effectively introduce a cleaner and better fuel to the entire aviation industry.
The Air Force has reduced overall fuel consumption by over 500M gallons since 2003. The new goal for the Air Force is an additional reduction of $700 million in fuel savings. If the fuel isn't burned, it isn't GHG emissions.
There is so much misleading information about this subject it is easy to be confused. However, a little research on the web about carbon sequestration or the goals of the Air Force would be my recommendation to anyone before they caste dispersions on any individual or the Air Force.
The rest of the world is moving quickly to develop alternative fuels, particularly domestically produced synthetic/renewable fuels. The US Air Force is leading this effort with the DOE, DOT, FAA, USDA, EPA, DOC, and other federal agencies. It will take a collaborative effort for the US to successfully reduce our dependence on foreign oil produced primarly from state-owned petroleum companies. It will take a commitment and a strong will for the US to break its addiction and transition to cleaner fuels.

Onward and Upward!

by Paul Bollinger at 8:52 AM on 25 Jan 2008
[ Parent ]

ADVERTISING POLICY

You are not logged in. Thus, you cannot post a comment. If you have an account, log in. If you don't have an account, well, by all means go make one! Meet you back here in five.