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1) What else might end up on it "by accident" and therefore unavailable to everyone who doesn't tell their ISP "gimme porn"
2) How they expect to get every porn site in the world on it when new sites of (all types) get registered all the time
3) How long before the general public hears about proxies (for parents, probably about a year or so after their kids have been using them if they the government to do their parenting, I expect)
Second a load of work has been and is still being done to see when and how much nutrient stress to place the algae and what else, like calcium carbonate, to add at just the right time to maximize lipid growth and whether any of a couple of hundred strains (a small proportion of all existing, I agree, but they're the ones that look most likely to produce over 45% mass lipids) has properties that make it worth spending an extra day increasing the cell size before nutrient stress to make lipids. In general, make lipid as soon as possible is the finding - the extra cell size generally means proportionately less lipid
Third, Amino acid market? google spirulina protein powder. As a western nutritional supplement it's been around for a few decades and as a part of the diet in some parts of the developing world, the dried algae has been consumed to provide most of the protein for generations. Some poor parts of India have the longest standing algae farms - basic raceways making food for people.
This gives you some idea
Fourth, I agree about reducing the use of fertilizer and not only because of efficiency of utilization in algal photosynthesis (I don't even know if it is), but because farming generally squirts fertilizer onto ground and hopes some of it will be used before being rained away whereas algae farms put fertilizer into the water knowing that it will all be used. Getting most people to eat it as a major part of their diet or farmers to use it as feed will require a bit of a cultural shift, but the tech has been in place for ages
Fifth, water will probably be waste or reused in a PBR so no or minimal ongoing cost, NPK could well be waste if an algae plant also treats sewage so no cost. The carbon boost could be provided by other sources of carbon - calcium carbonate is a waste product of water desalination plants, so would be a good option in some cases. I don't see that photosynthetic efficiency is a game changer unless you're thinking of growing in the arctic circle, but area of land or water (as in Jonathan Trent's omega project) is going to have to be big.
As for using waste water plants - I expect that there would have to be some re-engineering of current plants, but not necessarily completely new ones built - where there are plants already in place. Where there aren't, it will be a while before anyone sees any profit in building one to make algae oil and then there's the problem of where to get the land to build them on - I don't see a new one being built in Manhattan, for example. Trent's project (omega or something like that?) gets round this for coastal areas (like Manhattan) but there's a lot of places that doesn't apply to.
I don't know how we can expect to filter runoff without causing major changes to river flows and by extension ecosystems, but as it's basically free nutrients, people should definitely be working on it. It's still early days for the whole industry, so most of those setting out now will fail but I expect a few will succeed and they will have a formula for how much oil they can make consisting of elements such as:
1: How much in the way of nutrients that are currently being thrown away does an algae cell need during its lifetime
2: How much of these nutrients are currently thrown away in sewage / runoff / farming / mining waste (I don't know that the latter two happen, but just in case)
3: How much water is freely available to support the maximum amount of algae that 1 and 2 suggest can be grown - you're right to think that it doesn't need to be clean water and there may even be strains that clean water with small amounts of industrial pollutants in
4: How long before each generation of algae produces enough oil to be worth extracting it (about a month, maybe)
5: How easy is the oil to extract, giving
6: how much oil a month can be made
This, combined with how much the oil will sell for will give a clear idea of how much money it's worth investing in a new algae / sewage / whatever plant or re-engineering what's already there. So far, most of these decisions seem to have been made based on what has been done in labs, but with people like Solazyme charging vast amounts for their diesel (admittedly, most of what the US Navy have paid for is further research, but it still looks like thousands of dollars a liter of diesel) you can see that this is still in the research phase and even though it's being treated as the next gold rush by some, it wouldn't be research if we knew where it would end up.
The inventor sounds a little eccentric, but if it does the job I'm sure someone can deal with that
I can see this having a better future with renewable energy like solar, so that lights that are on at night can be powered from grid-supplied solar energy or wind energy when there is no wind. For solar, it would have to be at least equal to something like heating salt during the day to give the energy back through steam powered turbines at night, so again some numbers on efficiency would be useful