EU Transport & Renewable Energy policies : The role of Advanced Biofuels in Decarbonising Transport Kyriakos Maniatis PhD Energy Technologies Innovation & Clean Coal DG ENER, European Commission 6-8 March 2018 EU-India Conference on Advance Biofuels Energy New Delhi
0% 5% 1% Challenge in transport 15% 23% Gasoline Diesel Kerosene Gas Biofuel Electricity 56% Source: Primes, 2015 shares in transport energy consumption Energy
Commission proposal for incorporation obligation 3 Increasing the share of low carbon and renewable fuels in transport through an EU blending mandate Energy
Gradual phase out of conventional crop based biofuels 8% 7% 6% 7% 6.7% 6.4% 6.1% 5.8% 5.4% 5% 5.0% 4.6% 4% 4.2% 3.8% 3% Food based biofuels 2% 1% 0% 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 4 Gradual phase out of crop-based biofuels from 7% in 2020 to 3.8% in 2030, effectively bringing the conventional biofuel use to pre-2008 levels. Member States may set a lower limit and may distinguish between different types of biofuels for instance by setting a lower limit for the contribution from food or feed crop based biofuels produced from oil crops, taking into account indirect land use change. Energy
Energy
Investment Technology Mountain of death: Positioning of technologies From Demo to 1st of a kind Bio DME From R&D to Demo Algae Bio-Kerosene First of a kind Solid Recover Fuels gasification to alcohols Wood to biomethane Wood to ethanol Pyrolysis oils intermediate R&D phase in demo First-of-a-kind-plant 2 nd plant 3rd plant Commercialisation Lignocellulosic Ethanol R&D phase in pilot From Lab to Pilot Microbial R&D phase in lab 4th plant Competitive market price
Key successes Biochemtex of Italy built the first commercial plant on ethanol from lignocellulosics at Cresentino, Italy. This was the first such plant on global scale. Clariant is building two commercial facilities. EU enzyme and yeast companies such as Novozymes, DSM and Leaf are world leaders. Large scale algae production facilities are under development in the EU. These will be the largest facilities built in the EU; between 1-10 ha with a productivity of 40-60 dry matter ton algal biomass per hectare per year. The EMPYRO pyrolysis oil plant of BTG in the Netherlands and Fortum's plant in Joensuu in Finland are commercial bio-oil plants replacing fuel oil. The CHEMREC Bio-DME project has been the first project to demonstrate the conversion of black liquor to bio-dimethyl-ether. NESTE, ENI, TOTAL & UPM lead on hydrotreated oils/wastes 7
Interest Group Numbers Technology providers 12 Oil companies 3 Airlines 2 Industry associates 7 Heavy duty transports 2 Maritime transport 1 Consultants 4 IEA 1 Think tanks 2 TOTAL 34 Energy
Upgrading of a wide variety of wastes and residues to Hydrotreated Vegetable Oils (HVO) UPM s Biorefinery plant, Lappeenranta, Finland 100,000 t/y from crude tall oil Neste's UPM plant, Rotterdam, 1,000,000 t/y 1. HVO Stand-alone production facilities 2. HVO production through refinery conversion 3. Co-processing Eni s Green Refinery Project, Venice, Italy
Synthetic Fuels and Biomethane via Gasification Enerkem, Edmonton, CA Ethanol from MSW 90 t/d GoBiGas, Gothenburg, SE BioCH4 from wood, 20 MW product Chemrec black liquor, SE & Volvo trucks
Ensyn's plant in Renfrew, CA 20,000 t/y Production and upgrading of pyrolysis products and lignin rich fractions BTG Empyro s plant, Hengelo, NL 77 t/d pyrolysis oil; work also in coprocessing pyrolysis oils in petroleum refineries Fortum's plant in Joensuu, FI 30MW product
Ethanol from lignocellulosics via fermentation (1) Biochemtex Crescentino plant, Italy 40,000 t/y Lignin in CHP. Test to produce biokerosene GranBio s Bioflex 1 Plant, Alagoas, Brazil Abengoa s Hugoton Plant, Kansas, USA Abengoa demo plant in Salamanca, SP DuPont s Nevada Plant, Iowa, USA POET-DSM Liberty Plant, USA
Ethanol from lignocellulosics via fermentation (2) Clariant s development, Straubing, Germany ST1, Cellunolix plant under commissioning, Kajaani, Finland 1 st on sawdust Inbicon/Dong demo plant in Kalunborg, DK
Power to Gas and Power to Liquid conversion CRI s Power to Methanol: The George Olah plant, Iceland 10 t/d Audi/ Solar Fuels e-gas, Germany
Algae development BIOFAT Pataias Pilot Plant, Portugal The Buggypower S.L. plant, Porto Santo, Portugal
Status of technologies The technology developers have achieved significant progress on several value chains and most of them are close to commercialisation. So what is the barrier that still hinders market deployment? Lack of strong, stable and long terms policies to give confidence to investors. Policies and legislation cannot change every few years as this results in insecurity to investors. Lack of dedicated innovative financial instruments. These state of the art technologies are at the same time first-of-a-kind plants with all the inherit risks entailed. Thus the biofuel they produce is more expensive than the fossil fuel they aim to replace. Energy
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