Renewable Fuels

Biofuels

In the United States, the majority of biofuels are produced from corn, and internationally the majority are produced from sugar. Neither source is zero carbon (though sugar is a cleaner feedstock). We therefore focus on advanced, second generation biofuels made from plants such as switchgrass, farming residue such as cornstalks, and food and yard waste. Our team has considerable experience in the biofuels sector, and we belive there are compelling opportunities to invest in next generation biofuels.

Biomass

We focus on companies that utilize biomass from particular sources, specifically the wood products and paper industries as well as wastewater and municipal solid waste, to produce clean electric power. We are particularly interested in companies that focus on more efficient or scaleable thermochemical conversion of biomass through such processes as pyrolysis and gasification. This will enable us to invest in companies that address the challenges of generating clean electricity (as well as potentially other products such as clean biodiesel) in areas where other clean energy options may not be available.

Renewable Natural Gas (RNG)

Renewable Natural Gas, also known as Sustainable Natural Gas or biomethane, is a clean, waste-derived fuel. It is a replacement for traditional fossil fuel natural gas and will be a key component of our transformation to a clean energy economy.

RNG captures and methane from existing food waste, landfills, animal manure, wastewater, and other sources of everyday waste and converts it into clean natural gas through a conversion process that includes biodigestion.

The abundance of the waste materials cited above across our economy allows for production of substantial quantities of biogas. According to various estimates, the United States could produce up to 10 trillion cubic feet of RNG annually by 2030, which is more than five times California’s projected natural gas consumption.

Like wind and solar energy, RNG has been identified by federal, state, and local governments as an increasingly important component of the United States’ energy mix. Due to RNG’s abundance and clean energy characteristics, federal, state, and local incentives have been implemented to grow the RNG market.

VC Fuel believes that RNG projects and technologies will continue to accelerate and become a critical component of our clean energy economy. Critically, RNG can leverage existing infrastructure, from waste production facilities to natural gas pipelines to multiple residential, commercial, and transport demand infrastructure. We have partnered with a company that focuses on capturing methane from a variety of sources, including dairy farms, and converts it into clean natural gas.