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Liquid Transportation Fuels from Coal and Biomass: Technological Status, Costs, and Environmental Impacts (2009)
National Academy of Sciences (NAS)
National Academy of Engineering (NAE)
National Research Council (NRC)

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Prepublication Copy—Subject to Further Editorial Correction H Background Information on the Economic and Environmental Assessment of Biomass Supply The tables in this appendix present the background information and assumptions that were used in the panel’s economic assessments and greenhouse-gas emission analyses. They include comparisons of published and updated costs of harvest and maintenance (Table H-1), nutrient replacement (Table H-2), transportation for delivery (Table H-3), storage (Table H-4), and establishment and seeding (Table H-5) for different cellulosic feedstocks. The published yield values from which current and future projections were computed (Table H-6), and carbon-budget inputs for feedstock production (Table H-7) and bioprocessing (Table H-8) are also included. 242

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-1 Estimated Costs of Harvest and Maintenance for Cellulosic Feedstocks Type of Type of Cost Cost per Ton Cost per Ton Reference Feedstock (cited $) (2007 $) Corn stover Baling, stacking, 26 45 Hess et al. (2007) grinding Corn stover Collection 31-36 66-77 McAloon et al. (2000) Corn stover Collection 35-46 64-84 McAloon et al. (2000) Corn stover Collection 17.70 17.70 R. Perlack, Oak Ridge National Laboratory, presentation to the committee on November 19, 2007 Corn stover Up to storage 20-21 36-39 Sokhansanj and Turhollow (2002) Corn stover 28 36 Suzuki (2006) Corn stover Baling, staging 26 47 Aden et al. (2002) Corn stover Harvest 14 14 Edwards (2007) Switchgrass Collection 12-22 16-28 Kumar and Sokhansanj (2007) Switchgrass Harvest 32 32 Duffy (2007) Switchgrass Harvest 35 58 Khanna et al. (2008) Switchgrass Harvest, 123.5/acre 210/acre Khanna and Dhungana maintenance, (2007) establishment Switchgrass Harvest 15 26 Perrin et al. (2008) Miscanthus Harvest 33 54 Khanna et al. (2008) Miscanthus Harvest, 301/acre 512/acre Khanna and Dhungana maintenance, (2007) establishment Nonspecific 10-30 15-45 Mapemba et al. (2007) Nonspecific 23 38 Mapemba et al. (2008) Harvest and maintenance costs were updated by using USDA NASS agricultural fuel, machinery, labor prices from 1999-2007 (NASS, 2007a,b) 243

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-2 Estimated Costs of Nutrient and Replacement for Cellulosic Feedstocks Type of Type of Cost Cost per Ton Cost per Ton Reference Feedstock (cited $) (2007 $) Corn stover 10.2 14.1 Hoskinson et al. (2007) Corn stover 4.6 8.4 Khanna and Dhungana (2007) Corn stover 7 14.4 Aden et al. (2002) Corn stover 4.2 4.2 Petrolia (2008) Corn stover 10 21 Perlack and Turhollow (2003) Corn stover Whole-plant 9.7 13.3 Karlen and Birrell harvest (Unpublished) Corn stover Cob, top 50% 9.5 13.1 Karlen and Birrell harvest (Unpublished) Corn stover Bottom 50% 10.1 13.9 Karlen and Birrell harvest (Unpublished) Switchgrass 6.7 12.1 Perrin et al. (2008) Switchgrass 10.8 19.77 Khanna et al. (2008) Miscanthus 2.5 4.6 Khanna et al. (2008) Nutrient and replacement costs were updated by using USDA NASS agricultural-fertilizer prices from 1999-2007 (NASS, 2007a,b). 244

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-3 Estimated Distance and Cost of Transportation for Delivery of Cellulosic Feedstocks Distance Distance (miles) Type Reference 46-134 Round-trip Mapemba et al. (2007) 22-62 One-way Perlack and Turhollow (2003) 22-61 One-way Perlack and Turhollow (2002) 50 Round-trip Khanna et al. (2008) 50 Max one-way English et al. (2006) 50 One-way Vadas et al. (2008) Transportation Cost1 Type of Type of Cost Cost Cited ($) Cost (2007 $) Reference Feedstock Corn stover Per ton 8.85 12.5 English et al. (2006) Corn stover Per ton 10.25 27 Hess et al. (2007) DVC2 Corn stover 0.15 0.35 Kaylen et al. (2000) Corn stover Max DVC for 0.28 0.66 Kaylen et al. (2000) positive NPV Corn stover Per ton 10.8 10.8 Perlack (2007) Presentation Corn stover Per ton 13 31 Aden et al. (2002) Corn stover Per ton 4.2-10.5 11-27.7 Perlack and Turhollow (2002) Corn stover DVC 0.08-0.29 0.17-0.63 Kumar et al. (2005) DFC3 4.5 9.8 DFC range 0-6 0-13.3 Corn stover DVC 0.18 0.32 Searcy et al. (2007) DFC 4 7.3 Corn stover DVC 0.16 0.38 Kumar et al. (2003) DFC 3.6 8.6 Corn stover DVC Petrolia (2008) 0-25 miles 0.13-0.23 0.13-0.23 25-100 miles 0.10-0.19 0.10-0.19 >100 miles 0.09-0.16 0.09-0.16 DFC square bales 1.70 1.70 DFC round bales 3.10 3.10 Corn stover Per ton 10.9 13.8 Vadas et al. (2008) Switchgrass Per ton 14.75 14.75 Duffy (2007) 1 Transportation costs were updated by using USDA NASS Agricultural-fuel prices from 1999-2007 (NASS, 2007a,b). 2 DVC, distance variable cost, per ton per mile. 3 DFC, distance fixed cost per ton. 245

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Prepublication Copy—Subject to Further Editorial Correction Switchgrass Per ton 19.2-23 27-32.4 Kumar and Sokhansanj (2007) Switchgrass Per ton 13 28 Perrin et al. (2008) Switchgrass Per ton 10.9 13.8 Vadas et al. (2008) Switchgrass or Per ton for 50 7.9 17.1 Khanna et al. (2008) Miscanthus miles Nonspecific Per ton 7.4-19.3 13.7-35.6 Mapemba et al. (2007) Nonspecific Per ton 14.5 31.5 Mapemba et al. (2008) Woody biomass Per ton 11-22 Summit Ridge Investments (2007) 246

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-4 Estimated Storage Costs for Cellulosic Feedstocks. Type of Type of Cost Cost per Ton Cost per Ton Reference Feedstock (cited $) (2007 $) Corn stover 4.44 5.64 Hess et al. (2007) Corn stover Round bales 6.82 6.82 Petrolia (2008) Square bales 12.93 12.93 Switchgrass 16.67 16.67 Duffy (2007) Switchgrass 4.14 5.18 Khanna et al. (2008) Miscanthus 4.40 5.50 Khanna et al. (2008) Nonspecific 2 2.18 Mapemba et al. (2008) Storage costs were updated by using USDA NASS agricultural-building material prices from 1999-2007 (NASS, 2007a,b). 247

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-5 Estimated Costs of Establishment and Seeding for Cellulosic Feedstocks Type of Type of Cost Land Cost per Cost per Reference Feedstock Rent Acre (cited Acre (2007 Included $) $) Switchgrass Yes 200 200 Duffy (2007) Switchgrass No 25.76 46 Perrin et al. (2008) Yes 85.46 153 PV4 per ton Switchgrass No 7.21/ton 12.6/ton Khanna et al. 10-year PV per 142.3 249 (2008) acre Amortized 4% over 10 17.3 30.25 years 8% over 10 20.7 36.25 years Switchgrass Yes 72.5-110 88.5-134 Vadas et al. (2008) Miscanthus PV per ton No 2.29/ton 4/ton Khanna et al. 20-year PV per 261 457 (2008) acre Amortized 4% over 20 19 33.2 years 8% over 20 26.20 45.87 years Miscanthus Total No 1206-2413 Lewandowski Amortized (2003) 4% over 20 88-175 176-350 years 8% over 20 121-242 242-484 years Establishment and seeding costs were updated by using USDA NASS agricultural fuel and seed prices from 1999-2007(NASS, 2007a,b). 4 PV denotes present value 248

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-5 Estimated Opportunity Costs for Cellulosic Feedstocks (Net Returns Forgone by Producer from Not Using Cropland to Produce Next Best Crop or Product) Opportunity Cost5 Type of Type of Cost Cost per Acre Cost per Acre Reference Feedstock (cited $) (2007 $) Corn stover Feed value 59.5/ton 59.5/ton Edwards (2007) 2.4 tons/acre 142.8 142.8 Corn stover Lost profits 22-58 22-58 Khanna and Dhungana (2007) Switchgrass Lost profits 78-231 78-231 Khanna and Dhungana (2007) Switchgrass or Lost profits 78 76 Khanna et al. (2008) Miscanthus Miscanthus Lost profits 78-231 78-231 Khanna and Dhungana (2007) Lost CRP6 Nonspecific 35 36 Mapemba et al. payments if (2008) harvest every year Nonspecific Lost CRP if 10.1 10.4 Mapemba et al. harvest once (2008) every 3 years Nonspecific Non-CRP land 10/ton 10.3/ton Mapemba et al. crops (2008) Nonspecific 78 76 Khanna et al. (2008) Woody biomass Alternative use 0-25 Summit Ridge Investments (2007) 5 Opportunity costs were updated by using USDA NASS agricultural-land rent prices from 1999-2007 (NASS, 2007a,b). 6 CRP stands for Conservation Reserve Program. 249

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Prepublication Copy—Subject to Further Editorial Correction TABLE H-6 Yield Values and Ranges for Different Bioenergy Feedstocks Reported in Literature Yield Biomass Type Assumptions Estimated Yield Reference (tons/acre) Corn stover Soil tolerance 2.02 Khanna and Dhungana (2007) Corn stover 2.4 Edwards (2007) Corn stover 2000-2005 mean 2.31-3 Vadas et al. (2008) yields for Wisconsin Switchgrass Iowa, Illinois field 2.58 Khanna and Dhungana (2007) trials Switchgrass 4 Duffy (2007) Switchgrass Farm-scale 2.23 (5-year average) Perrin et al. (2008) (northern South (Range, 1.7-2.7) Dakota to 3.12 (10-year southern average) Nebraska) (Range, 2.6-3.5) Switchgrass 3.8 Khanna et al. (2008) 19.74 (10-year PV) Switchgrass Nitrogen level 4-5.8 Vadas et al. (2008) Switchgrass Research blocks 7.14 (average) Lewandowski et al. (2003) 9.8 (best) Switchgrass 3.6-8.9 (previous) Shinners et al. (2006) Plot trials 2.3-4 (own) Switchgrass Plot trials 6.33 Fike et al. (2006) 4.64-8.5 Switchgrass Field trials Berdahl et al. (2005) Mean 1.12-4.1 Strains: Dacotah 1.11-4.22 ND3743 0.91-3.92 Summer 1.18-4.38 Sunburst 1.43-5.57 Trailblazer 1.15-4.88 Shawnee 1.06-4.5 OK NU-2 0.89-4.18 Cave-in-Rock 0.97-4.27 Switchgrass Plot trials Vogel et al. (2002) Iowa 5.2-5.6 Nebraska 4.7-5 Switchgrass Peer-reviewed 4.46 Heaton et al. (2004a) articles Switchgrass Farm trials Strains: Alamo (1 cut) 5.4-8.5 Kanlow (1 cut) 5.2-6.9 250

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Prepublication Copy—Subject to Further Editorial Correction Cave-in-rock 6-8.3 (2 cut) Switchgrass U.S. average 4.2 McLaughlin et al. (2002) Grasses County-scale in 3.4-4.1 Banowetz et al. (2008) Pacific Northwest (perennial ryegrass) 4.13-6.2 (tall fescue) 2.2-3.36 (creeping red fescue) Miscanthus Simulated 8.9 Khanna and Dhungana (2007) Miscanthus 14.5 average Khanna et al. (2008) 12-17 range 114.58 (20-year PV) Miscanthus Field experiment 5.71 (14-year) Christian et al. (2008) 3.43-11.73 (3-year) Miscanthus 4.5-13.4 Lewandowski et al. (2003) Miscanthus Projection 13.36 (mean) Heaton et al. (2004b) 10.93-17.81 Miscanthus Peer-reviewed 9.8 Heaton et al. (2004a) articles 251

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Prepublication Copy—Subject to Further Editorial Correction Table H-7 Carbon Inputs to Biomass Production (adapted from Farrell et al. 2006) Agricultural Phase Corn Ethanol Cellulosic (Switchgrass) Nitrogen-fertilizer emissions 1,638 547 (kg CO2 eq/ha) Phosphorus (kg CO2 eq/ha) 102 3.4 Potassium (kg CO2 eq /ha) 70 2.4 Lime (kg CO2 eq /ha) 228 - Herbicide (kg CO2 eq /ha) 69 10.4 Insecticide (kg CO2 eq /ha) 5.4 - Seed (kg CO2 eq /ha) - - Transport emissions (kg CO2 39 3 eq /ha) Gasoline (kg CO2 eq /ha) 114 - Diesel (kg CO2 eq /ha) 248 341 Natural gas (kg CO2 eq /ha) 46 - Liquefied petroleum gas (kg 61 - CO2 eq /ha) Electricity (kg CO2 eq /ha) 56 42 Energy used in irrigation (kg 4 - CO2 eq /ha) Labor transportation (kg CO2 - - eq /ha) Farm machinery (kg CO2 eq 21 21 /ha) CO2 from land-use change - - (kg/ha) Total from agricultural 2,703 971 production (kg CO2 eq /ha) Conversion per acre (0.405 ha/acre, 2.24 lb/kg) 2,452 lb CO2 eq /ac 881 lb CO2 eq /ac Conversion per ton (assume 4 tons/acre) - 220 lb CO2 eq /ton 252

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Prepublication Copy—Subject to Further Editorial Correction Table H-8 Carbon Inputs to Biomass Refining, Including Transportation of Biomass (adapted from Farrell et al. 2006) Biorefinery Stage Corn Ethanol Cellulosic (Today) Transport of feedstock to 49 51 biorefinery (g CO2 eq /L) Primary energy (g CO2 eq - - /L) Diesel (g CO2 eq /L) - 5 Coal (g CO2 eq /L) 885 - Natural gas (g CO2 eq /L) 365 - Electricity (g CO2 eq /L) - - Biomass (g CO2 eq /L) - - Capital (plant, equipment) 8.8 29 (g CO2 eq /L) Process water (g CO2 eq /L) 25 19 Effluent restoration (BOD at 20 20 PWTPs7) (g CO2 eq /L) Transportation of - - chemicals to plant (g CO2e/L) Total biorefinery phase (g 1,353 124 CO2e/L) Coproduct credits (g 525 106 CO2e/L) Total biorefinery phase 828 g CO2 eq /L 18 g CO2 eq /L accounting for coproduct (g CO2 eq /L) Conversions: Initial value 828 g CO2 eq /L 18 g CO2 eq /L [0.4/0.4]/0.38 L/kg ~331.2 g CO2 eq /kg ~6.84 g CO2 eq /kg ~2,896,675 g CO2 eq ~91,998 g CO2 eq /ha [8746/8389]/13450 kg/ha /ha ~37,259 g CO2 eq /ac [26] ~1,173,153 g CO2 eq ~37.3 kg CO2 eq /ac 0.405 ha/acre /ac 0.001 kg/g ~1,173 kg CO2e/ac TOTAL 4,307 lb CO2 eq /ac 964 lb CO2 eq /ac (agriculture phase + biorefinery) Conversion per ton: assume 4 tons/acre - 241 lb CO2 eq /ton 7 BOD at PWTPs stands for biochemical oxygen demand of effluent at waste-water treatment plants 253

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Prepublication Copy—Subject to Further Editorial Correction REFERENCES Aden, A., M. Ruth, K. Ibsen, J. Jechura, Neeves, J. Sheehan, B. Wallace, L. Montague, A. Slayton, and J. Lukas. 2002. Lignocellulosic Biomass to Ethanol Process Design and Economics Utilizing Co-Current Dilute Acid Prehydrolysis and Enzymatic Hydrolysis for Corn Stover. Golden: Natioanl Renewable Energy Laboratory. Banowetz, G.M., A. Boatang, J.J. Steiner, S.M. Griffith, V. Sethi, and H. El-Nashaar. 2008. Assessment of straw biomass feedstock resources in the Pacific Northwest. Biomass and Bioenergy 32:629-634. Berdahl, J., A. Frank, J. Krupinsky, P. Carr, J. Hanson, and H. Johnson. 2005. Biomass Yield, Phenology, and Survival of Diverse Switchgrass Cultivars and Experimental Strains in Western North Dakota. Agronomy Journal 97:549-555. Christian, D., A. Riche, and N. Yates. 2008. Growth, yield and mineral content of Miscanthus x Giganteus grown as a biofuel fo 14 sucessful harvests. Industrial Crops and Products 28:320-327. Duffy, M. 2007. Estimated Costs for Production, Storage, and Transportation of Switchgrass. Iowa State University. Accessed on April 22, 2008 at http://www.extension.iastate.edu/agdm/crops/pdf/a1-22.pdf. Edwards, W. 2007. Estimating a Value for Corn Stover. Iowa State University. Accessed on May 22, 2008 at http://www.extension.iastate.edu/agdm/crops/pdf/a1-70.pdf. English, B.C., D.G. De La Torre Ugarte, K. Jensen, C. Hellwinckel, J. Menard, B. Wilson, R. Roberts, and M. Walsh. 2006. 25% Renewable Energy for the United States by 2025: Agricultural and Economic Impacts. Knoxville: University of Tennessee. Farrell, A., R. Plevin, B. Turner, A. Jones, M. O'Hare, and D. Kammen. 2006. Ethanol Can Contribute to Energy and Environmental Goals. Science:506-509. Fike, J., D. Parrish, D. Wolf, J. Balasko, J. Green Jr., M. Rasnake, and J. Reynolds. 2006. Long-term Yield Potential of Switchgrass-for-Biofuel Systems. Biomass and Bioenergy 30:198-206. Heaton, E., T. Voight, and S. P. Long. 2004a. A quantitative review comparing the yields of two candidate C4 perennial biomass crops in relation to nitrogen, temperature and water. Biomass and Bioenergy 27:21-30. Heaton, E.A., J. Clifton-Brown, T.B. Voight, M.B. Jones, and S.P. Long. 2004b. Miscanthus for renewable energy generation: European Union experience and projections for Illinois. Mitigation and Adaptation Strategies for Global Change 9:433-451. Hess, J.R. , C.T. Wright, and K.L. Kenney. 2007. Cellulosic Biomass Feedstocks and Logistics for Ethanol Production. Biomass, Bioproduction and Biorefining 1:181- 190. Hoskinson, R.L., D.L. Karlen, S.J. Birrell, C.W. Radtke, and W.W. Wilhelm. 2007. Engineering, nutrient removal, and feedstock conversion evaluations of four corn stover harvest scenarios. Biomass Bioenergy 31:126-136. Karlen, D.L. and S.J. Birrell. Unpublished. Crop Residue - What’s It Worth?: USDA & Iowa State University. 254

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Prepublication Copy—Subject to Further Editorial Correction Kaylen, M. , D.L. Van Dyne, Y.S. Choi, and M. Blase. 2000. Economic Feasibility of Producing Ethanol from Lignocellulosic Feedstocks. Bioresource Technology 72:19-32. Khanna, M. and B. Dhungana. 2007. Economics of alternative feedstocks. In Corn–based ethanol in Illinois and the US: A report from Department of Agricultural and Consumer Economics. Urbana-Champaign: University of Illinois. Accessed on April 25, 2009 at http://www.farmdoc.uiuc.edu/policy/research_reports/ethanol_report/index.html Khanna, M., B. Dhungana, and J. Clifton-Brown. 2008. Costs of Producing Miscanthus and Switchgrass for Bioenergy in Illinois. Biomass and Bioenergy:482-493. Kumar, A. and S. Sokhansanj. 2007. Switchgrass (Panicum vigratum, L.) Delivery to a Biorefinery using Integrated Biomass Supply Analysis and Logistics (IBSAL) Model. Bioresource Technology 98:1033-1044. Lewandowski, I., J. Scurlock, E. Lindvall, and M. Christou. 2003. The Development and Current Status of Perennial Rhizomatous Grasses as Energy Cops in the US and Europe. Biomass and Bioenergy:335-361. Mapemba, L., F. Epplin, C. Taliaferro, and R. Huhnke. 2007. Biorefinery Feedstock Production on Conservation Reserve Program Land. Review of Agricultural Economics:227-246. Mapemba, L.D., F.M. Epplin, R.L. Huhnke, and C.M. Taliaferro. 2008. Herbaceous Plant Biomass Harvest and Delivery Cost with Harvest Segmented by Month and Number of Harvest Machines Endogenously Determined. Biomass and Bioenergy 32:1016-1027 McAloon, A., Taylor, F., Yee, W., Ibsen, K. and R. Wooley. 2000. Determining the Cost of Producing Ethanol from Corn Starch and Lignocellulosic Feedstocks: U.S. Department of Agriculture and U.S. Department of Energy. McLaughlin, S.B., D.G. de la Torre Ugarte, C.T. Garten, Jr., L.R. Lynd, M.A. Sanderson, V.R. Tolbert, and D.D. Wolf. 2002. High-value renewable energy from prairie grasses. Environmental Science and Technology 36:2122-2129. Perlack, R. and A. Turhollow. 2002. Assessment of Options for the Collection, Handling, and Transport of Corn Stover: Oak Ridge National Laboratory. ———. 2003. Feedstock Cost Analysis of Corn Stover Residues for Further Processing. Energy:1395-1403. Perrin, R., K. Vogel, M. Schmer, and R. Mitchell. 2008. Farm-Scale Production Cost of Switchgrass for Biomass. Bioenergy Research 1:91-97. Petrolia, D.R. 2008. The Economics of Harvesting and Transporting Corn Stover to Fuel Ethanol: A Case Study for Minnesota. Biomass and Bioenergy 32:603-612. Sokhansanj, S. and A. Turhollow. 2002. Baseline Cost for Corn Stover Collection. Applied Engineering and Agriculture 18:525-530. Summit Ridge Investments, LLC. 2007. Eastern Hardwood Forest Region Woody Biomass Energy Opportunity. Charlestown, MA: Summit Ridge Investments, LLC. Suzuki, Y. 2006. Estimating the Cost of Transporting Corn Stalks in the Midwest. Ames: Iowa State University College of Business: Business and Partnership Development. 255

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Prepublication Copy—Subject to Further Editorial Correction USDA-NASS, US Department of Agriculture National Agricultural Statistics Service. 2007a. Agricultural Prices 2006 Summary: US Department of Agriculture. ———. 2007b. Agricultural Prices December 2007: US Department of Agriculture. Vadas, P.A., K.H. Barnett, and D.J. Undersander. 2008. Economics and energy of ethanol production from alfalfa, corn, and switchgrass in the Upper Midwest, USA. Bioenergy Research 1:44-55. Vogel, K., J. Brejda, D. Walters, and D. Buxton. 2002. Switchgrass Biomass Production in the Midwest USA: Harvest and Nitrogen Management. Agronomy Journal 94:413-420. 256