Pacific Biodiesel
 renewable · sustainable · community-based
Pure Hawaiian macadamia nut oil, processed by Pacific Biodiesel on the Big Island, inspired the company's expanded line of beauty products.

Pacific Biodiesel Newsletter
3rd Quarter 2016 
In This Issue
 
  • Agriculture and Recycling Fuel Company's Innovations
  • Big Island Plant Achieves Record Production
  • Pacific Biodiesel Logistics Adds New Customers
  • Streamlined Phone System Enhances Customer Experience
  • Supporting Our Community
  • Pacific Biodiesel Attends HTA Annual Conference and Expo
  • On the Campaign Trail
  • Employee of the Quarter
  • Industry Trends
  • Legislative Updates 
  • Upcoming Events
     
 
 
 
Editor: Joy Galatro, Marketing Director 
Staff Writer & Layout: Beth Mathias, Marketing Associate
 
For more information
about Pacific Biodiesel visit
  www.biodiesel.com or contact
Beth Mathias at bmathias@biodiesel.com







Our Mission:
 
To promote a clean, sustainable energy future through the community-based production of renewable fuels. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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On Earth Day 2016, the Pacific Biodiesel plant on the Big Island became the first biodiesel facility in the United States to earn certification by the Sustainable Biodiesel Alliance for showcasing sustainable biodiesel production and distribution practices.   







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Agriculture & Recycling Fuel Company's Sustainability Innovations         
Marketing Director Joy Galatro shares updates on latest initiatives   
 
Pacific Biodiesel's roots are in recycling. Two decades ago we saw the opportunity to divert tons of waste cooking oil and grease
Joy Galatro, Marketing Director 
from Maui's landfill and turn that into a renewable fuel. Today our company produces the nation's highest quality biodiesel, the first U.S. fuel to be certified by the Sustainable Biodiesel Alliance.
     Now our wheelhouse of recycling and renewable fuel is actively expanding into agricultural upcycling initiatives designed to expand our feedstock varieties while supporting local farmers.
     Over the past five years, Pacific Biodiesel has successfully tested sunflowers and other biofuel crops grown in Hawaii as potential year-round feedstocks for producing biodiesel to help our state create jobs and grow a clean, sustainable energy future. With Hawaii's recent legalization of industrial hemp as well as the opening up of thousands of acres of agricultural land on Maui with the cease of sugar cane production later this year, those opportunities will continue to increase.
     Currently, Pacific Biodiesel is busy helping local farmers create new revenue streams by upcycling agriculture-related waste into high-value products - like high-protein algae grown on waste papaya as well as pure macadamia nut oil made from excess culls that were previously destined for the landfill. Earlier this month, our company showcased its luxurious macadamia nut beauty oil products in the Hawaii Pavilion at the Tokyo International Gift Show, exploring the potential to export this valuable "Made in Hawaii" product to the Japan marketplace. Read more about these latest initiatives in this newsletter.
     It's an exciting time at Pacific Biodiesel with new agriculture innovations and new market opportunities blooming locally and globally - all while our employees continue to share a sense of pride in our company's mission to fight climate change by giving Hawaii consumers the opportunity to choose clean, sustainable - locally grown - renewable fuel.
~ Joy Galatro, Marketing Director

Big Island Plant Achieves Record Production While On 100% Renewables  
Pacific Biodiesel is 29 years ahead of state schedule

The company's Big Island plant achieved yet another milestone in August, producing nearly half a million gallons of premium-quality biodiesel for distribution throughout the state. This volume sets a new monthly production record at the plant, exceeding the 458,000-gallon-per-month nameplate capacity.
     According to Plant Manager Tony Pastrama, "The team is focused on our ongoing goals which continue to improve our production, fuel quality and overall safety."
     The achievement is even more significant given the fact that the Big Island facility is now powered by 100% renewable energy. A new generator, which runs on 100% biodiesel, produces up to 315kW of electricity and is utilized at roughly 65% to 75% capacity. It is powering the plant's office, motors, pumps mixers and other electrical equipment at the plant.
     "The generator was the final
These Pacific Biodiesel plant workers, standing by the new generator and B100 fuel tank, were part of the Big Island team that helped make the transition to 100% renewable energy. 
piece needed to allow us to run on  100% renewable energy, which was a recommendation outlined in the audit earlier this year as part of our certification process with the Sustainable Biodiesel Alliance," said Jenna Long, Director of Operations for Pacific Biodiesel.
     Additionally, the plant's office utilizes a solar-powered hot water system and the plant produces its own heat/steam using distillation bottoms, a by-product of its biodiesel production.
      "Everything previously running on utility energy is now powered by this biodiesel-fueled generator. While the facility will occasionally go back onto the grid for preventative maintenance of the generator," Long continued, "the biodiesel we make right here at our plant will now power operation of the plant. Now that's full circle!"
      Pacific Biodiesel's Big Island plant has achieved operations on 100% renewables well in advance of the state's 100% renewable energy mandate by 2045.  
 
Growing New Product Offerings 
Company upcycles agricultural waste into high-value products           

Food waste is a hot topic and growing issue for communities across the nation, including here in Hawaii. Pacific Biodiesel is demonstrating once again that innovative solutions can turn agricultural "waste" into high-value products.
    
     Testing New Markets In Tokyo. Last year, Pacific Biodiesel began cold pressing excess macadamia nut culls from Big Island farmers and processors into pure macadamia nut beauty oil. The company is now expanding this product line and broadening its distribution strategy both domestically and internationally.
     Earlier this month, Pacific Biodiesel was one of 62 Hawaii companies that exhibited in the "Hawaii Pavilion" at the 2016 Tokyo International Gift Show (TIGS) organized by The Department of Business, Economic Development and Tourism (DBEDT). The event is billed as the largest international trade show in Japan with over 2,500 companies marketing gifts, consumer goods and accessories to over 200,000 domestic and international buyers.
DBEDT Director Luis Salaveria (at right) joined company representatives Joy Galatro, Bob King and Kelly King at Pacific Biodiesel's booth at the Tokyo International Gift Show.
     P acific Biodiesel founders Bob and Kelly King along with Marketing Director Joy Galatro attended the show to network with Japanese business contacts and other resources to gauge market potential and spark sales for the company's expanding line of Hawaiian beauty oils, which will be available for purchase both as finished consumer products and as bulk raw ingredients for use by manufacturers of cosmetic products for skin and hair.
     "Several significant leads were generated as a direct result of our visit to Japan and participation in this major industry trade show," said Bob King. "We're encouraged by the interest we've seen from potential importers, distributors, product manufacturers and retailers."
      Last year's gift show resulted in $5.4 million in export sales by Hawaii's participating vendors. This year's exhibitors are expected top $13 million in export sales.
     "Expansion of the state's trade sector will diversify and grow our local economy," said DBEDT Director Luis P. Salaveria. "Through TIGS, Hawaii's products are showcased around the world and have received international recognition for their quality and uniqueness. The value of the Hawaii brand is priceless in the global economy."

     Turning Papaya Into High-Protein Algae. Local farmers typically lose up to 35% of their crops due to papayas ripening too quickly for the export market. The moment the fruits turn yellow, they can no longer be packed for export so they get tossed into a landfill.
     On the Big Island, Pacific Biodiesel is helping papaya farmers turn this agricultural "waste" into a
Aaron King, Pacific Biodiesel biologist, monitors papaya at the start of the Zero Waste production line.  
new revenue stream through the Zero Waste Papaya Project. During this process, agricultural remains (such as fruit culls) are used as carbon sources for growth of biological organisms, such as various algae species, which in turn are used to make high-protein meal for animal feed and lipids for biofuel (although this is a less economically feasible concept).
     "This groundbreaking technology is a potential game changer in sustainable agriculture: it allows local farmers to generate revenue from off-grade products that are typically discarded, and the culls can be converted into locally produced oil, feed and fertilizer," said Bob King, President of Pacific Biodiesel.
     Pacific Biodiesel is working with Hawaii's Agribusiness Development Corporation (ADC) to turn waste papayas into a useful product. Pacific Basin Agricultural Research Center developed the lab scale process to use papaya waste to grow algae for local aquaculture and livestock feed. Pacific Biodiesel is working to scale the model to commercialization.
     "Agriculture is preservation. It's food, it's fuel, it's fiber and it's construction materials. There was a time in Hawaii when local agriculture on each island fed over a million people. Pacific Biodiesel obtained federal funding for 5 years of crop demonstrations that have not only proven the viability of biofuel crops, but have yielded real potential for food, fiber and even skincare co-products," said Kelly King, Pacific Biodiesel Vice President and candidate for Maui County Council. "Our company has demonstrated since its inception the benefits of recycling. It's a zero waste philosophy that's at the heart of our mission of sustainability."

Pacific Biodiesel Logistics Adds Customers 
Collection division expands services to meet customer needs         

A consistent presence in the industry and long-term relationship building helped spur third quarter growth for Pacific Biodiesel Logistics. Highlights of our newest customer accounts include:
  • After a $350-million-dollar renovation, the International Market Place in Waikiki has re-opened and will have a total of 10 restaurants and food courts in operation by the end of the year. Pacific Biodiesel will handle both grease trap servicing and used cooking oil collection. This redeveloped landmark will give a big boost to our local feedstock collection.
  • Also on Oahu, Pacific Biodiesel Logistics will provide services to Ka Makana Alii, the largest shopping and dining complex in Kapolei. Tenants include numerous restaurants, a movie theater and Oahu's first Hampton Inn and Suites. Pacific Biodiesel Logistics has been contracted to provide grease trap maintenance, used cooking oil collection and our newest service, drain cleaning and jetting. 
  • Residence Inn by Marriott, which opened earlier this month, has been added to Maui's long list of hotel and resort customers.
  • Big Island operations added the Kamehameha Schools Hawaii campus in Keaau.  
     Continued growth is anticipated at Pacific Biodiesel Logistics as new and existing clients are informed about the new supplemental services added to its menu. In response to customer needs, Pacific Biodiesel Logistics will now offer a wider r ange of ancillary services to its menu including:
  • Drain cleaning   
  • Hydro-jetting
  • Line snaking
  • In-line camera service (to view, record and diagnose problem areas)

Along with providing one-stop solutions for emergency grease-trap situations, these new capabilities allow Pacific Biodiesel Logistics to offer more preventative maintenance services for our ever-growing customer base. 

 
Company Streamlines Phone System, Enhances 24/7 Responsiveness
Enhancements designed to improve customer service 

This month, Pacific Biodiesel launched a streamlined approach to handling customer inquiries and service requests with a statewide single point of contact for customer calls.
     Effective immediately, the company's main phone number for all islands is (808) 877-3144. Previous main phone numbers for each island will now automatically route to this new central phone number at the company's headquarters on Maui.
     For customers statewide who need
Pacific Biodiesel customers will be assisted by Ferd Ballesteros, Dispatch Coordinator, at the company's Maui headquarters. 
dispatch or emergency service, those callers will now be assisted by Maui's Ferd Ballesteros, Dispatch Coordinator. The company is pleased to now provide 24/7 response to such emergency calls for grease trap service.
     "By centralizing response to our incoming service calls, we are enabling faster resolution of customer inquiries that can help reduce costs for our customers," said Jenna Long, Director of Operations. "Ferd is a skilled customer service associate who has years of experience as a service technician with Pacific Biodiesel Logistics, allowing him to effectively troubleshoot issues with customers during the call. This helps resolve many issues without requiring dispatch of a service technician, minimizes unnecessary emergency service fees, and helps our drivers better prepare when service calls are required."
     The new 24/7 response through the company's main phone number should simplify the process for restaurant personnel who need immediate assistance for major grease trap issues. This, combined with Pacific Biodiesel's expertise in setting the correct grease pumping frequency, allows the restaurants to prevent costly messes and downtime.
 
     
Supporting Our Community
Pacific Biodiesel partners with sustainability-driven organizations and events 
 
Indigenous Crop Biodiversity Festival
Pacific Biodiesel sponsored Maui's Indigenous Crop Biodiversity Festival (ICBF) with biodiesel-fueled generators, an exhibit booth and informational presentation. The event, sanctioned by the IUCN, preceded the World Conservation Congress which attracted over 10,000 conservationists to the 10-day Oahu conference.
     Kelly King was a guest speaker at the Maui festival's Special Lecture Series on August 26, where she focused her presentation on renewable energy for small islands.
Generators donated by Pacific Biodiesel provided all the power for the ICBF main event including this food truck. Kelly King showed off various oil seed crops to event attendees.
     The generators, fueled with B100, were provided by Pacific Biodiesel to power the August 27 main event at Maui Tropical plantation, including sound and lighting for the stage and electrical requirements for exhibitors and vendors. The Pacific Biodiesel booth featured the company's sustainable, community-based biodiesel production model as well as our Maiden Hawaii Naturals product line. 

Malama Wao Akua Exhibit at Hui Noʻeau
Pacific Biodiesel sponsored Mālama Wao Akua 2016, the Hui No'eau Visual Arts Center exhibition designed to raise awareness about the native species of Maui Nui (Maui, Lana'i, Molokai, Kaho'olawe). The opening reception featured hula performances and mele (songs) highlighting the importance of healthy watersheds in daily life. The art exhibit at the Makawao art center is open to the public through November 10.
Pacific Biodiesel Marketing Department representatives Beth Mathias and Kate Cheney attended the opening of the Pacific Biodiesel-sponsored native species exhibit at Hui Noʻeau.

Huliau Food and Film Fest
Bob and Kelly King were joined by
Pacific Biodiesel employees joined Bob and Kelly King at the Huliau Food and Film Fest.
several of Pacific Biodiesel's Maui employees at the Huliau Food and Film Festival held in August. Pacific Biodiesel sponsored the event that helped raise funds for the non-profit Maui Huliau Foundation, promoting environmental literacy and leadership development through film production. Pacific Biodiesel's Big Island facility was featured in one of the 2016 student film productions.

Pacific Biodiesel Attends HTA Annual Conference and Expo
New industry trends and fleet connections 

Pacific Biodiesel was out in force at the
Director of Operations Jenna Long, Senior Account Executive Dana Shinsato and Oahu Office Manager Ross Matsuo met with fleet representatives at the HTA Annual Expo on Oahu.
 
Hawaii Transportation Association's Annual Meeting and Expo. President Bob King and Director of Operations Jenna Long attended the two-day conference in Waikiki. Guest speakers included Pat Thomas, Chairman of the American Trucking Association; Del Won, Executive Office of the Public Utilities Commission; and Ford Fuchigami, Director of the Hawaii Department of Transportation.
     "It's always good to see our current customers and talk to other fleet representatives about the transition to biodiesel," said King following the conference. "The conference included a diverse range of interesting subjects."
     On Friday, two Pacific Biodiesel managers attended the conference Supervisor's Track which covered a broad scope of training and safety issues. Later that evening additional staff joined the team at the expo booth.   
   
On the Campaign Trail 
Kelly King readies for the general election             

Finishing in the top two for the South Maui County Council seat in the primary election, Kelly King and her campaign's "Pono Prosperity" message is resonating with residents. Highlights of her platform include:
  • Water & Agriculture - These two issues are at the core of sustainability, as they are the key resources for food and energy.
  • Sustainability - To ensure our community is healthy and self-sufficient in terms of basic needs.
  • Transparency - Above all, Maui County Council members must serve their communities with transparency and honesty.
  • Community and Shared Values - Community Planning is the overarching issue. We need to respect the work that went into these plans, and use our Countywide Policy Plan as a guide for decision-making.
     Kelly King's history of experience and collaborations with a wide  variety of people from grassroots to state and federal elected officials have garnered support from far and wide, including Grammy and CMA Lifetime Achievement Award winner and biodiesel advocate, Willie Nelson. Watch the Nelson family's endorsement of Kelly King on the "Endorsement" page at www.kellyking.org.
     To learn more about Kelly King's candidacy go to kellyking.org
or click here for your voter kit.

Kelly King discussed Maui County issues with students and community members at the September 27 candidate forum at University of Hawaii Maui College. www.kellyking.org #PonoProsperity.

Employee of the Quarter
Kaaihue receives co-worker recognition 
    
Fabrication Technician, Kaleo Kaaihue
Big Island Biodiesel's 3rd Quarter honoree is a member of the fabrication team at Pacific Biodiesel's Keaau facility.  
     Kaleo Kaaihue, who started with Pacific Biodiesel more than a year ago, was selected by his peers as an acknowledgment of his continued commitment to excellence. 
     According to Jon Self, Fabrication Supervisor, Kaaihue's positive attitude and exemplary work ethic set a great example.
     "Kaleo has been extremely diligent in learning a new trade here. As an apprentice welder Kaleo gives 110% to any project put in front of him and I trust him with my life," said Self. 
     When notified of the recognition, Kaaihue responded, "I'm thankful for the opportunity here at Big Island Biodiesel and extremely grateful for the teachings and lessons from Jon Self.  It's an honor to work with so many great people."
     This quarterly award is voted on by all employees at Pacific Biodiesel's Big Island refinery.

Industry Trends
  • California Governor Jerry Brown signs major climate bill
    "Climate change is real, and knowing that, California Map California is taking action," California Governor Jerry Brown said in September as he signed two major climate bills into law on
    September 8. California has often set benchmarks for environmental programs, and environmental leaders hope other places will follow suit. The new laws require the state to cut emissions at least 40 percent below 1990 levels by 2030. For more from the Los Angeles Times, click here.
  • Biodiesel from tallow and used cooking oil emit less NOx than soybean biodiesel 
    A study from the Mineta National Transit Research Consortium at San Jose State University found that biodiesel from waste cooking oil and tallow, primary feedstock for Pacific Biodiesel's Big Island facility, reduces the size and number of particulate emissions. See the details here.
  • National organizations and legislators call for end of petroleum industry tax breaks
    A loud cry from a diverse coalition of o rganizations calls for Congress to repeal almost $4 billion in taxpayer subsidies to the petroleum industry. In legislation sponsored by Senator Brian Schatz (D-Hawaii), senate members are asked to support the FAIR Energy Policy Act, phasing out special tax breaks for fossil fuel. Read more here.
Legislative Update
Bills move through congress to extend and reform the biodiesel tax incentive   

As noted by the National Biodiesel Board, the biodiesel tax incentive is slated to once again lapse on Dec. 31, 2016. On the organization's website it states, "We are urging Congress to pass a long-term extension of the incentive as proposed by Reps. Kristi Noem (R-S.D.) and Bill Pascrell (D-NJ) in H.R. 5340 and Sens. Charles Grassley (R-Iowa) and Maria Cantwell (D-Wash.) in S. 3188. The tandem bills would extend the incentive through 2018 and reform the tax incentive to a producer's credit aimed at domestic production."
     These common sense changes Capitol Building Washington DC would convert the tax credit from a  blender's credit to a producer's credit for domestic production. Currently the production tax credit allows foreign producers to access the credit if their fuel is blended in the U.S. Since foreign biodiesel often receives subsidies in the county of origin, the new bills would eliminate that loophole and level the playing field for domestic production.     
     All advocates of local biodiesel production are encouraged to contact their elected federal officials and request their support of bills H.R. 5340 and S. 3188. 
     For more information about these legislative bills and for info on contacting your elected officials click here for a link to the NBB's info page. 
 
Upcoming Events
The Pacific Biodiesel team around town  

Friday, October 7:
 
National Manufacturing Day -

Big Island Biodiesel Tours  
Pacific Biodiesel is participating with the Chamber of Commerce HAWAII to celebrate National Manufacturing Day by offering public tours at our Big Island refinery. Manufacturers from across the state will join in this effort to promote and build business and the manufacturing throughout Hawaii. 

October 25 & 26:
McDonald's People Summit
Pacific Biodiesel Logistics has been invited once again to participate in the McDonald's People Summit, which brings together franchisees, restaurant managers and employees along with selected vendors for two days of training and motivation. The Pacific Biodiesel team will be sharing our "full-cycle" story of waste to renewable fuel at this year's "Pokeman-Go" themed event.  
 
Wednesday, October 26:
Green Magazine, Leaders in Sustainability
Bob and Kelly King, co-founders of Pacific Biodiesel, are included in those being recognized as "Leaders in Sustainability" in the upcoming issue of Green Magazine. The launch party will take place at Mud Hen Water in Honolulu. 

Founded in 1995, Pacific Biodiesel is Hawaii's award-winning and internationally recognized producer of renewable fuels and the only commercial biofuel producer in the state. This Maui-based company established and operated the very first retail biodiesel pump in America and for the past two decades has built a solid reputation as a leading pioneer in the renewable energy industry. Throughout its history, Pacific Biodiesel's mission has remained constant: to promote a clean, sustainable energy future through the community-based production of renewable fuels. Today, with more than 80 employees statewide, Pacific Biodiesel excels in constructing and operating biodiesel processing plants, advancing process technology, and producing and marketing quality fuels. The company is also involved in many sustainable agriculture-related projects - including testing sunflowers as a potential year-round feedstock for producing biodiesel and exploring innovative ways to turn agriculture waste into useful products that can create new revenue streams for farmers, such as recycling waste papaya to grow algae for use in farm fertilizer and as feed for local aquaculture and livestock. With a nameplate production capacity of 5.5 million gallons annually, Pacific Biodiesel's Big Island plant utilizes state-of-the art distillation technology to produce the highest-quality biodiesel in the country.
For more information please visit our website at:
biodiesel.com
or contact Beth Mathias at:
bmathias@biodiesel.com
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