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  Home Page » Opinion » Editorial » San Juan Bioenergy

San Juan Bioenergy

New energy economy represented locally

When Gov. Bill Ritter was campaigning in 2006, he spoke often of bringing to Colorado a "New Energy Economy" that capitalized on the state's abundant renewable-energy sources both to move away from traditional petroleum-based energy as well as cultivate economic opportunities. As governor, Ritter has continued championing that effort in Colorado, and has some successes across the state to show for that advocacy. Dove Creek's San Juan Bioenergy plant is one such example.

The plant will celebrate its grand opening Saturday, after several years of planning and development by its CEO, Jeff Berman. It is an event deserving of commemoration on a number of levels, not least of which is the foundational ethic that drove Berman's effort to build the plant: a greening of energy options in Southwest Colorado. That fundamental commitment mapped a circuitous journey to the plant's opening this week, but with the changing environment through which Berman has navigated his idea into reality has come new opportunities for the region - in terms of economic possibilities and energy sources. And it is just the beginning.

Seeing both a need and an opportunity to grow and produce biofuels in the region - partially in response to his work at Colorado Wild to encourage ski areas to move away from using traditional diesel in their operations - Berman identified Dove Creek as an appropriate site for the plant. That location provided the agricultural resources - climate, land and expertise - necessary to fulfill Berman's vision of opening a plant that was relatively self-sustaining: The crops used for producing fuels could be grown virtually on the production site. That benefit, coupled with Dolores County's need for economic stimulus, made Dove Creek a logical and mutually beneficial choice. The town donated land for the plant and paid for power during construction. That investment will likely reap rewards for the municipality as the plant comes on line.

Initially, because of changing market conditions and other difficulties with financing the plant's construction, production will focus on sunflower oil for human consumption. While that was not Berman's initial vision, the shift reflects his awareness of and responsiveness to market conditions. That sensitivity bodes well for the plant's success in that it demonstrates a cautious approach to management that will not overcommit the facility during an unfriendly period in the marketplace. Instead, Berman has positioned the company to respond to fluctuations in the market and grow accordingly. That structure meshes well with the emergent nature of alternative energy.

Berman's plans to grow the facility as market conditions allow are both bold and realistic. Eventually, he aims to produce 2.5 million gallons of oil a year from 50,000 to 60,000 acres of crops. Those are high numbers that will take some time to reach, and incremental progress is a wise approach. It also allows for correlative ideas to develop in conjunction with reaching production goals. Already San Juan Bioenergy has plans to put the plant's carbon dioxide and heat emissions to beneficial use. That is the kind of innovation that will contribute to the "New Energy Economy" Ritter is cultivating. In turn, it is a small but important piece of the necessary nationwide effort to move away from fossil fuels as essentially the sole source of energy in the United States.

Berman and his partners deserve congratulations and support for bringing San Juan Bioenergy on line. The facility's evolution will be interesting to observe.