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The joint USDA-ARS and Institute of Agriculture and Natural Resources study also found greenhouse gas emissions from cellulosic ethanol made from switchgrass were 94 percent lower than estimated greenhouse gas emissions from gasoline production.

In a biorefinery, switchgrass biomass can be broken down into sugars including glucose and xylose that can be fermented into ethanol similar to corn. Grain from corn and other annual cereal grains, such as sorghum, are now primary sources for U.S. ethanol production.

In the future, perennial crops, such as switchgrass, as well as crop residues and forestry biomass could be developed as major cellulosic ethanol sources that could potentially displace 30 percent of current U.S. petroleum consumption, Vogel said. Technology to convert biomass into cellulosic ethanol is being developed and is now at the development stage where small commercial scale biorefineries are beginning to be built with scale-up support from the U.S. Department of Energy.

This study involved 10 fields of 15- to 20-acres each. Trials began in 2000 and 2001 and continued for five years. Farmers were paid for their work under contract with UNL and documented all production operations, agricultural inputs and biomass yields. The researchers used this information to determine the net energy estimates.

Switchgrass grown in this study yielded 93 percent more biomass per acre and an estimated 93 percent more net energy yield than previously estimated in a study done elsewhere of planted prairies in Minnesota that received low agricultural inputs, Vogel said. The study demonstrates that biomass energy from perennial bioenergy crops such as switchgrass can produce significantly more energy per acre than low input systems. Less land will be needed for energy crops if higher yields can be obtained.

Researchers point out in their study that plant biomass remaining after ethanol production could be used to provide the energy needed for the distilling process and other power requirements of the biorefinery. This results in a high net energy value for ethanol produced from switchgrass biomass. In contrast, corn grain ethanol biorefineries need to use natural gas or other sources of energy for the conversion process.

In this study, switchgrass managed as a bioenergy crop produced estimated ethanol yields per acre similar to those from corn grown in the same states and years based on statewide average grain yields.

"However, caution should be used in making direct ethanol yield comparisons with cellulosic sources and corn grains because corn grain conversion technology is mature, whereas cellulosic conversion efficiency technology is based on an estimated value," Vogel said.

Vogel said that he does not expect switchgrass to replace corn or other crops on Class 1 farm land. He and his colleagues are developing it for use on marginal, highly erodible lands similar to that currently in the Conservation Reserve Programs. All the fields in this study met the criteria that would have qualified for this program. Using a conservation cellulosic conversion value, researchers found that switchgrass grown on the marginal fields produced an average of 300 gallons of ethanol per acre compared to average ethanol yields of 350 gallons per acre for corn for the same three states.

The researchers point out that this was a base-line study. The switchgrass cultivars used in this study were developed for use in pastures. New higher yielding cultivars are under development for specific use in bioenergy production systems.

Switchgrass yields continue to improve, Vogel said. Recent yield trials of new experimental stains in the three states produced 50 percent higher yields than achieved in this study.

"Now, we really need to use an Extension effort to let farmers know about this new crop," Vogel said.

Future research will include further studies of improving management practices including work on improving establishment and harvesting methods, improving biomass yield, and improving conversion efficiency and net and total energy yields, Vogel said.

Switchgrass in this study employed UNL’s best management practices for switchgrass, including no-till seeding, herbicides, weed control and adaptive cultivars. This study was also based on farm fields up to 20 acres instead of smaller research-scale plots typically less than about 100 square feet.

Six cellulosic biorefineries that are being co-funded by the U.S. Department of Energy also are in the works across the U.S. that should be completed over the next few years. These plants are expected to produce more than 130 million gallons of cellulosic ethanol per year, according to the U.S. Department of Energy.

“It is obvious that strategic planning for wetland rehabilitation and long term protection of impacted ecosystems is a priority. The Minister for Primary Industries and the Government have known about these conditions for years. The environment, professional fishermen, recreational anglers and tourism industries will be severely impacted without long term management.

“Local conservationists have been campaigning for years for improvements in land use management after approximately 150 years of extremely high levels of ecosystem modification including clearance, cropping, drainage, artificial floodgates and burning. The pre-European Richmond River floodplain had a very high biomass of standing vegetation that provided what we are increasingly recognising as an ‘essential ecological service’ – that is the remediation, organic buffering and filtration of poor quality flood waters.

“Restoring forested wetlands on the floodplains will not only help clean up floodwaters, but will store and capture carbon and will also lead to long term stability for the river based fishing industry.

“Unfortunately climate change looks set to deliver greater volumes of water to the north coast. This will only increase pressure on the river and wetland ecology and should prompt the Government to act.

“It’s a bitter irony for the professional fishermen that they are classed as ‘harvesters’ and not ‘primary producers’, and therefore are not eligible for low interest loans under the Natural Disaster Relief Scheme, while the primary producers changing the floodplain are.

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According to APA Business Development Manager Rudi Petrig, APA Group was not happy with the plan by eight retailers – under the REMCo Retail Market Rules in Western Australia – to change gas pricing rules under the national gas pool plan. APA Group (APA) owns, or has an interest in, over 10,000km of gas transmission pipelines in Australia, and owns the Mondarra gas storage facility in Western Australia. The document was published in January 2008. APA transports close to 40 per cent of Australia’s natural gas consumption

APA disagrees on gas price pool for WA: Petrig said APA "does not agree" with some REMco views on allocation, reconciliation and swing processes in Western Australia.

REMco logic not acceptable, says APA: REMCo had said there was

– "complexity of the allocation, reconciliation and swing rules;

– lack of understanding amongst the participants of how to correlate the impact of the changes to data with the final results;

– compounded by the departure of M-Co as a potential provider of training …"

APA disagrees: The allocation, reconciliation and swing processes relating to Western Australia were established in the manner as currently implemented in order that there be complete equality with the way in which balancing was to be dealt with between the two interconnection pipelines in Western Australia.

Complexity barrier: Petrig wrote, "If as a result of achieving this equality, the rules are "complex", then that is an inevitable consequence and the rules should be accepted rather than requiring them to be changed.

Lack of understanding barrier;"On the REMco comment – "lack of understanding amongst participants", APA suggested that this was " a question of having the right people with the necessary skills to undertake that activity and not a question of changing the rules because they are difficult to understand. Also the fact that the "departure of M-Co as a potential provider of training in this area" should not he used as the reason to change the rules, rather it is a matter of finding a replacement provider of training.:.

Operation of Swing Service; "APA does not agree with your comments relating to the operation of swing gas in Western Australia that "It is generally acknowledged that these rules represent an imperfect compromise to the commercial tensions that existed when the rules were being developed and that changes are needed…" APA understands that the concerns that have been expressed are concerns raised in the operation of swing in South Australia and not in Western Australia.

Price has so far not varied much: Petrig argued "In Western Australia it is only rarely that swing is significant and the cost is a one day only cost if the shippers all nominate two days later to account for their swing. There have been only a very few occasions where there has been a recurrence of significant swing and on those occasions it was caused because the shippers had not corrected their nominations."

Equality between the pipelines the key: Petrig said APA understands that the Gas Market Leaders Group is currently evaluating the potential for a Short Term Trading Market (STTM) to be implemented in Australia. APA also understands that this market is not contemplated to be introduced into Western Australia. Howver, should the operation of a STTM be introduced in Western Australia. APA would be concerned if the current issues regarding the treatment of equality between the pipelines relating to the Swing process which has been long and hard fought for by new market entrants, be undermined such that shippers would be potentially disadvantaged when using one pipeline or the other". APA supported the continuing operation of the current RRMR for Western Australia.

Reference: Rudi Petrig, Business Development Manager, APA Group, Review of REMCO Retail Market Rules, 1 August 2007.

Erisk Net, 18/1/2008

“It’s a very welcome boost and provides greater certainty and security for agricultural producers, other water-critical industries and the environment.

“The additional water for irrigators and industry will bring much-needed benefits for the economies of many regional centres, towns and villages in western NSW that have struggled during the drought” Mr Rees said.

Burrendong Dam is now at 20.4 per cent capacity providing enough water to allow:

o increased water allocation for town utilities, high-security licence holders, and domestic and stock users to 100 per cent of entitlement;

o general security licence holders to access 100 per cent of the water suspended in their 2007/08 accounts,

o approximately 13,000 megalitres of water suspended from the environmental water account to now be accessed

o water trading between Cudgegong and Macquarie licensees to re-commence.

“During the drought we were forced to suspend the Macquarie Cudgegong Water Sharing Plan, however, this extra water means we can now allow irrigators within the valleys to start trading water again,” Mr Rees said.

“This will provide much- needed additional water for production or funds to help ease the financial pressure many of the region’s irrigators are feeling.”

The Department of Water and Energy will review the water- sharing plan suspension in light of current and future water availability, and revise water allocations and restrictions as appropriate.

Acting Minister for Primary Industries, Linda Burney, added, “Recent rainfall across parts of northern NSW gives us renewed hope that in 2008 we may see a change in fortunes for the State’s drought-weary farmers.

“The Bureau of Meteorology’s rainfall outlook says the chances of exceeding median rainfall over January to March are between 60 to 75 per cent.

“The State’s summer crop area is well down on previous years, however, grain prices are very strong and with some more rain at the right time some farmers may secure a bumper harvest.

“These falls boosted sub-soil moisture levels and raised farmers’ spirits ahead of the 2008 winter crop which will see dual- purpose cereal crops planted as early as March.

“Compared to the last seven years we are off to a great start,” she said.

“Continuing rain to renew pasture growth and boost soil moisture is now needed to build on this. For example, at Forbes soil moisture levels for this time of year are the best seen since January 2000.

“And while the country looks dry, there is an amount of moisture under the surface in most parts that come March will help early establishment of winter crops.

“Summer rains will come at some cost. Croppers will be required to maintain fallow paddocks free of weeds to conserve precious moisture and soil nitrogen.”

The area of NSW in drought is 69.4%, 14.9% is marginal and 15.7% is satisfactory.