NOVELTY - Producing (M1) a lipid, involves transforming a microorganism with nucleic acid encoding an enzyme selected from long-chain-fatty-acid-CoA-ligase, an enoyl-CoA hydratase, lipase, 3-ketoacyl-CoA thiolase, an acyl-CoA thioesterase, and/or 3-hydroxyacyl-CoA dehydrogenase; culturing the microorganism in a culture system suitable for maintaining the viability and proliferation of the microorganism, where the culture system provides a carbon source or lipid material in a growth medium; isolating the microorganism from the culture system; and extracting the lipid from the microorganism.    USE - For producing lipids, fatty acids and biofuels (claimed).    ADVANTAGE - The method increases the lipid production and storage from sewage sludge with an organism or community of organisms to serve as a suitable feedstock for biofuels production.    DETAILED DESCRIPTION - INDEPENDENT CLAIMS are included for the following: 1) new isolated strain of Candidatus Microthrix parvicella Bio 17-1; 2) new isolated peptide (D1) comprising a sequence having at least 80% homology to a sequence selected from SEQ ID NO: 2, SEQ ID NO: 4, SEQ ID NO: 6, SEQ ID NO: 8, SEQ ID NO: 10, SEQ ID NO: 12, SEQ ID NO: 14, SEQ ID NO: 16, SEQ ID NO: 18, SEQ ID NO: 20, SEQ ID NO: 22, SEQ ID NO: 24, SEQ ID NO: 26, SEQ ID NO: 28, SEQ ID NO: 30, SEQ ID NO: 32, SEQ ID NO: 34, SEQ ID NO: 36, SEQ ID NO: 38, SEQ ID NO: 40, SEQ ID NO: 42, SEQ ID NO: 44, SEQ ID NO: 46, SEQ ID NO: 48, SEQ ID NO: 50, SEQ ID NO: 52, SEQ ID NO: 54, SEQ ID NO: 56, SEQ ID NO: 58, SEQ ID NO: 60, SEQ ID NO: 62, SEQ ID NO: 64, SEQ ID NO: 66, SEQ ID NO: 68, SEQ ID NO: 70, SEQ ID NO: 72, SEQ ID NO: 74, SEQ ID NO: 76, SEQ ID NO: 78, SEQ ID NO: 80, SEQ ID NO: 82, SEQ ID NO: 84, SEQ ID NO: 86, SEQ ID NO: 88, SEQ ID NO: 90, SEQ ID NO: 92, SEQ ID NO: 94, SEQ ID NO: 96, SEQ ID NO: 98, SEQ ID NO: 100, SEQ ID NO: 102, SEQ ID NO: 104, SEQ ID NO: 106, SEQ ID NO: 108, SEQ ID NO: 110, SEQ ID NO: 112, and SEQ ID NO: 114, all are not given in the specification; 3) producing or modifying (M2) a lipid or fatty acid, involving adding to a suitable feedstock the peptide (D1), and collecting and purifying the resulting lipid or fatty acid product; 4) new isolated nucleic acid (D2) comprising a nucleotide sequence having at least 80% homology to a sequence (S1) selected from SEQ ID NO: 1, SEQ ID NO: 3, SEQ ID NO: 5, SEQ ID NO: 7, SEQ ID NO: 9, SEQ ID NO: 11, SEQ ID NO: 13, SEQ ID NO: 15, SEQ ID NO: 17, SEQ ID NO: 19, SEQ ID NO: 21, SEQ ID NO: 23, SEQ ID NO: 25, SEQ ID NO: 27, SEQ ID NO: 29, SEQ ID NO: 31, SEQ ID NO: 33, SEQ ID NO: 35, SEQ ID NO: 37, SEQ ID NO: 39, SEQ ID NO: 41, SEQ ID NO: 43, SEQ ID NO: 45, SEQ ID NO: 47, SEQ ID NO: 49, SEQ ID NO: 51, SEQ ID NO: 53, SEQ ID NO: 55, SEQ ID NO: 57, SEQ ID NO: 59, SEQ ID NO: 61, SEQ ID NO: 63, SEQ ID NO: 65, SEQ ID NO: 67, SEQ ID NO: 69, SEQ ID NO: 71, SEQ ID NO: 73, SEQ ID NO: 75, SEQ ID NO: 77, SEQ ID NO: 79, SEQ ID NO: 81, SEQ ID NO: 83, SEQ ID NO: 85, SEQ ID NO: 87, SEQ ID NO: 89, SEQ ID NO: 91, SEQ ID NO: 93, SEQ ID NO: 95, SEQ ID NO: 97, SEQ ID NO: 99, SEQ ID NO: 101, SEQ ID NO: 103, SEQ ID NO: 105, SEQ ID NO: 107, SEQ ID NO: 109, SEQ ID NO: 111, and SEQ ID NO: 113, all are not given in the specification; 5) new isolated 14-24 base pair nucleic acid sequence (D3) comprising a sequence complimentary to the sense or antisense sequence of a sequential 14 base pair sequence present in a sequence selected from; 6)new transgenic cell comprising the nucleic acid (D1) and (D2).