Ethanol and Biodiesel from Waste
A fruit-waste processing plant in Oregon has its own 2 to 3 MW ethanol production facility on site. Much of its funding came from state government programs. Along with their own process waste, some of their feedstock comes from sources free or low-cost for the taking. They have a ready market for their ethanol at state regulated (and mandated) gasoline blending stations. This is exploiting value-added use of agricultural products to cascade future income through ingenuity and incentives. Some of the existing tax, production and carbon credits were not secured by legislation when they began their endeavor.
This type of project is not for the meek or overly cautious, although it can be engineered for profitability. The design, construction, and commissioning is intense and complex - it is a refining plant essentially. It requires a significant amount of capital outlay. Unlike a closed loop agricultural system such as for BioGas or Biomass Gasification, the energy product produced is not used primarily by the producer. Market forces can have higher significance for these open loop systems.
Biodiesel might be equally or more feasible for an agricultural enterprise if the waste feedstock is high in fat and protein. This would be most viable for meat packing and trimming facilities, food services that produce a lot of waste oil, and rendering facilities.
Financial and tax incentives presently in place or soon to be legislated into law will increase the viability of ethanol and biodiesel for waste projects such as these.