agriculture sows a new path for lower carbon energy

Agriculture runs in the family for Paul Nees, who was raised on his father's Iowa farm.

Today, Nees is helping create added value for agricultural products like seed oils and animal fats, which can make lower carbon fuels.

“Farmers are now raising crops and livestock for both food and fuel,” said Nees, vice president of global supply and trading for Chevron’s Renewable Energy Group. “We’re taking their byproducts and turning them into renewable fuel products which, in turn, helps the agricultural industry be more profitable.”

The shift to quality, lower carbon fuels includes agricultural suppliers.

Their feedstocks, like soybean oil and animal fats, are needed to make renewable diesel and biodiesel. Such fuels emit less carbon on a lifecycle basis and can help improve air quality.

Chevron doesn’t buy crops like canola and soybeans directly from farmers. Instead, it works with companies that purchase and process plant seeds into oils. From there, Chevron turns it into quality, bio-based diesel.

The growing demand for renewable diesel and biodiesel, mostly used for transportation, is helping boost profits for farmers. They now have buyers for products that otherwise might have less value.