Biofuels Potential and Sustainability

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Biofuels Potential and Sustainability Andy Aden, PE National Renewable Energy Laboratory (NREL) 2008 Rocky Mountain Land Use Institute Conference March 6, 2008 1

Outline Biofuels potential Current state of cellulosic technology Sustainability challenges for one biofuel -- ethanol Land use and soil quality Water demand and quality GHG emissions & air quality Conclusions

Biofuels Potential U.S. Biomass Resource Assessment Updated resource assessment - April 2005 Jointly developed by U.S. DOE and USDA Referred to as the Billion Ton Study

Biofuels Potential The 1.3 Billion Ton Biomass Scenario Billion Barrel of Oil Equivalents Based on ORNL & USDA Resource Assessment Study by Perlach et.al. (April 2005) http://www.eere.energy.gov/biomass/pdfs/final_billionton_vision_report2.pdf

U.S. Department of Energy U.S. National Commitment to Biofuels Goals Cost-competitive cellulosic ethanol Cost-competitive in the blend market by 2012 EISA (Energy Independence & Security Act) 36 billion gallons renewable fuel by 2022 21 billion gallons advanced biofuels 30 x 30 (followed from the 2006 SOU) Longer-term biofuels goal Ramp up the production of biofuels to 60 billion gallons Displace 30%of U.S. gasoline consumption* (based on 2004 use) by 2030

Technology Ethanol is the Most Mature Biofuel Technology

Industry is Engaged!

NREL Analysis Appropriate Stage Gate Level of Analysis for Project Stage of Development R&D Early Stage: Simple spreadsheet, back of the envelope estimates Mid Stage: Industry-relevant ASPENPlus process simulation Kinetic modeling and regression analysis tools Early Stage: Simple cash flow analysis Mid Stage: Discounted cash flow rate of return analysis Conceptual Process Design Material and Energy Balance Capital and Project Cost Estimates Economic Analysis Environmental / Sustainability Analysis

Technology Significant Research Progress Is Being Made $7.00 $6.00 $5.95 Feedstock Conversion Minimum Ethanol Selling Price ($ per gal) $5.00 $4.00 $3.00 $2.00 $1.00 $2.47 FY06 Included in FY07 $2.40 $1.31 $0.00 2000 2003 2006 2009 2012

Sustainability The Concept of Sustainability "The common aim must be to expand resources and improve quality of life for as many people as heedless population growth forces upon Earth, and do it with minimal prosthetic dependence. That, in essence is the ethic of sustainable development. - - E.O. Wilson, Consilience: the Unity of Knowledge [S]ustainable development meets the needs of the present without compromising the needs of the future generations Our Common Future. United Nations World Commission on Environment and Development (1987) It s important to understand that systems are more or less sustainable. Nothing is absolutely sustainable. Biofuels are a contributor to a complex food, feed, fiber, other bioproducts and bio-energy system embedded in the overall energy, materials, products, information, services, worldwide

Sustainability Sustainability Challenges Biomass to Biofuels Systems Greenhouse Gas Emissions Economic Prosperity Rural and urban communities Industry Social Well-being Land Use and change Competition with food Soil Biodiversity Biofuels and Biomass Supply infrastructure Fuel production Distribution and use Environmental Impacts Increase Food and Energy Security while safeguarding soil, water and biodiversity Water Use Quality Efficiency of use

Life Cycle Assessment A Holistic and Rigorous Approach to Answer Sustainability Questions + Water Use/Recycle + Land Use + Land Use Change + Direct/Indirect Impacts + Biodiversity nonrenewable energy Extraction process waste materials emissions energy raw materials energy emissions Waste disposal energy emissions energy net emissions emissions Process Intermediate feedstock Process Intermediate feedstock Process of Interest final product nonrenewable materials energy emissions energy emissions Intermediate feedstock Process raw materials energy Extraction process emissions Life cycle system boundary

Direct and Indirect Land Use Change Perhaps one of the least understood aspects of biofuels 2004 Sheehan, et.al. life cycle assessment examined soil carbon effects of corn stover removal - Constrained to limit soil erosion - Even at the maximum rate of stover removal, soil carbon levels show a modest increase over the 90-year period modeled 2008 Searchinger, et.al. and Fargione, et.al. published papers examining indirect land use change - Studies point to consequences of improper biofuels implementation

Land Use Change Effect of Residue Removal on Soil Carbon Flux - Soil carbon can increase even with residue removal Sheehan, et.al. Journal of Industrial Ecology, Volume 7, Number 3-4, 2004

Water Impacts Preliminary Study of 30 x 30 Scenarios -- Draft for Review There will be enough water to support the 30X30 scenario from a regional perspective (10 USDA regions) given the preliminary scope and limitations of this study Geographic variability within regions means areas with possible water shortages Agricultural practices and feedstock type will be a big factor Drought and its connections to water supply will require more study and analysis conclusions are difficult Policies and regulations are all adjudicated at the State level no real Federal or national controls Water rights are already an issue in many regions mostly for competing uses with agriculture

Water Use *15 gallons of water per gallon of ethanol equivalent energy * A. Aden, 2007. Water Usage for Current and Future Ethanol Production, Southwest Hydrology, September/October Issue, p. 22-23

Water Ethanol Water Quality and Availability Water Demand & Utilization - It takes between 3-4 gallons of water to produce one gallon of ethanol from corn grain (current best practice <3 gal/gal). - Almost all of this water is from utility consumption / losses (cooling tower, dryer) - Virtually all process water is recycled through a series of evaporators, centrifuges, and anaerobic digestors (called net zero discharge) - How does this compare against other industrial sectors? - Gasoline / Crude Oil consumes between 0.75 and 1.6 gallons per gallon of crude (estimates vary), reforming and hydrogenation consume roughly 3.2 gallon/gallon. - Power industries (coal, nuclear) have substantially more cooling water requirements and therefore consume significantly more water

Water Ethanol Water Quality and Availability In areas where field corn used for ethanol is irrigated (Nebraska, Colorado), water consumption during crop production is the largest use - USDA farm and ranch survey 2003 suggests average of 1.2 acre-ft of water per acre of land (equates to roughly 785 gallon water per gallon ethanol) - However, irrigation is highly regional and much of the corn used for ethanol in the US is not irrigated Water Availability in the mid-west will continue to be of concern as many demands are put on the aquifers - Municipalities, Power plants, Agriculture, etc. Water Quality - Current agricultural practices are impacting water quality in the US - Example: growth of anoxic zone in Gulf of Mexico - NREL report (Powers, 2005) has seen that continuous corn production with stover collection for ethanol increases the eutrophication potential by almost a factor of 3 over a corn-soybean rotation with conventional till. - However that may be reduced by better management of fertilizers.

GHG Impacts Relative Emissions Impacts CO Plants Wet DGS Reduction 36% Greenhouse gas emissions of fuels vary by feedstock and by type of energy used for processing.

Conclusions Sustainability is a relative concept: more or less sustainable, nothing sustainable in the absolute sense. Corn ethanol is an important step for the US but there are much more sustainable biofuels systems using lignocellulosic biomass There are always tradeoffs (ethanol has good air benefits, but water issues exist largely because of current agricultural practices Good news: many negative issues are fixable! Know where your ethanol comes from and what processes it uses! Future trend of sustainability practices (as in wood) possibly certification or good practices recognition Must maximize use of land (multiple uses for food, fuel, feed) We have the opportunity to do it right, let s do it right!

Information Resources The National Renewable Energy Laboratory: http://www.nrel.gov DOE s Biomass Program: http://www.eere.energy.gov/biomass/ Alternative Fuels: http://www.afdc.doe.gov Contacts Helena Chum (helena_chum@nrel.gov) Andy Aden (andy_aden@nrel.gov)