Biofuels by region

The use of biofuels varies by region and with increasing oil prices there is a renewed interest in it as an energy source.

Recognizing the importance of implementing bioenergy, there are international organizations such as IEA Bioenergy,^[1] established in 1978 by the OECD International Energy Agency (IEA), with the aim of improving cooperation and information exchange between countries that have national programs in bioenergy research, development and deployment. The U.N. International Biofuels Forum is formed by Brazil, China, India, South Africa, the United States and the European Commission.^[2] The world leaders in biofuel development and use are Brazil, United States, France, Sweden and Germany.

Biofuels by region

South America

• Brazil

The government of Brazil hopes to build on the success of the Proálcool ethanol program by expanding the production of biodiesel which must contain 2% biodiesel by 2008, and 5% by 2013.

• Colombia and Venezuela

Colombia mandates the use of 10% ethanol in all gasoline sold in cities with populations exceeding 500,000.^[3] In Venezuela, the state oil company is supporting the construction of 15 sugar cane distilleries over the next five years, as the government introduces a E10 (10% ethanol) blending mandate.^{[citation needed]}

Typical Brazilian "flex" models from several car makers, that run on any blend of ethanol and gasoline.

North America

• USA

The Energy Policy Act of 2005 was passed by the United States Congress on July 29, 2005 and signed into law by President George W. Bush on August 8, 2005 at Sandia National Laboratories in Albuquerque, New Mexico. The Act, described by proponents as an attempt to combat growing energy problems, changed the energy policy of the United States by providing tax incentives and loan guarantees for energy production of various types. In 2006, the United States president George W. Bush said in a State of the Union speech that the US is "addicted to oil" and should replace 75% of imported oil by 2025 by alternative sources of energy including biofuels.

Essentially all ethanol fuel in the US is produced from corn. Corn is a very energy-intensive crop, which requires one unit of fossil-fuel energy to create just 0.9 to 1.3 energy units of ethanol. A senior member of the House Energy and Commerce Committee, Congressman Fred Upton introduced legislation to use at least E10 fuel by 2012 in all cars in the USA.

The 2007-12-19 US Energy Independence and Security Act of 2007 requires American "fuel producers to use at least" 36 billion US gallons (140,000,000 m³) "of biofuel in 2022. This is nearly a fivefold increase over current levels."^[4] This is causing a significant shift of resources away from food production. American food exports have decreased (increasing grain prices worldwide), and US food imports have increased significantly.

Today most biofuels are not currently cost-effective without significant subsidies. "America's ethanol program is a product of government subsidies. There are more than 200 different kinds, as well as a 54 cents-a-gallon tariff on imported ethanol. This prices Brazilian ethanol out of an otherwise competitive market. Brazil makes ethanol from sugarcane rather than corn (maize), which has a better EROEI. Federal subsidies alone cost $7 billion a year (equal to around $1.90 a gallon)."^[5]

General Motors is starting a project to produce E85 fuel from cellulose ethanol for a projected cost of $1 a gallon. This is optimistic, because $1/gal equates to $10/MBTU which is comparable to woodchips at $7/MBTU or cord wood at $6–$12/MBTU, and this does not account for conversion losses and plant operating and capital costs which are significant. The raw materials can be as simple as corn stalks and scrap petroleum-based vehicle tires,^[6] but used tires are an expensive feedstock with other more-valuable uses. GM has over 4 million E85 cars on the road now, and by 2012 half of the production cars for the US will be capable of running on E85 fuel. But by 2012, the supply of ethanol will not even be close to supplying this much E85. Coskata Inc. is building two new plants for the ethanol fuel. Theoretically, the process is claimed to be five times more energy efficient than corn based ethanol, but it is still in development and has not been proven to be cost effective in a free market. The greenhouse gas emissions are reduced by 86% for cellulose compared to corn’s 29% reduction.^{[citation needed]}

The Food, Conservation, and Energy Act of 2008 is a $288 billion, five-year agricultural policy bill being considered by the United States Congress as a continuation of the 2002 Farm Bill. The bill continues the United States' long history of agricultural subsidy as well as pursuing areas such as energy, conservation, nutrition, and rural development.[1] Some specific initiatives in the bill include increases in Food Stamp benefits, increased support for the production of cellulosic ethanol, and money for the research of pests, diseases and other agricultural problems.

• Canada

The government of Canada aims for 45% of the country’s gasoline consumption to contain 10% ethanol by 2010.

Europe

• European Union

The European Union in its biofuels directive (updated 2006) has set the goal that for 2010 that each member state should achieve at least 5.75% biofuel usage of all used traffic fuel. By 2020 the figure should be 10%. As of January 2008 these aims are being reconsidered in light of certain environmental and social concerns associated with biofuels such as rising food prices and deforestation.^[7]

See also BioenergyWiki: EU biofuel policy tracker, Renewable Energy Directive and Fuel Quality Directive

• France

France is the second largest biofuel consumer among the EU States in 2006. According to the Ministry of Industry, France's consumption increased by 62.7% to reach 682,000 toe (i.e. 1.6% of French fuel consumption). Biodiesel represents the largest share of this (78%, far ahead of bioethanol with 22%). The unquestionable biodiesel leader in Europe is the French company Diester Industrie producing of 2 million tons of biodiesel.^[8] In bioethanol, the French agro-industrial group Téréos is increasing its production capacities. Although France is bound by the EU Renewable Energy Directive and Fuel Quality Directive, the country has not yet implemented any legislation promoting the use of renewable energies to date.

• Germany

Germany remained the largest European biofuel consumer in 2006, with a consumption estimate of 2.8 million tons of biodiesel (equivalent to 2,408,000 toe), 0.71 million ton of vegetable oil (628.492 toe) and 0.48 million ton of bioethanol (307,200 toe). The biggest German biodiesel company is ADM Ölmühle Hamburg AG, subsidiary of the American group Archer Daniels Midland Company. Among the other large German producers, MUW (Mitteldeutsche Umesterungswerke GmbH & Co KG) and EOP Biodiesel AG. A major contender in terms of bioethanol production is the German sugar corporation, Südzucker.^[9] Germany has enacted legislation to promote the use of biofuels in transport through 2014 in partial compliance with the RED and FQD.

• Spain

The Spanish group Abengoa, via its American subsidiary Abengoa Bioenergy, is the European leader in production of bioethanol.^{[citation needed]} Spain has enacted legislation to promote the use of biofuels in transport through 2013 in partial compliance with the RED and FQD.

• Sweden

The government of Sweden and the national association of auto makers, BIL Sweden, have started work to end oil dependency. One-fifth of cars in Stockholm can run on alternative fuels, mostly ethanol fuel. Stockholm is to introduce a fleet of Swedish-made hybrid ethanol-electric buses.

• United Kingdom

In the United Kingdom, the Renewable Transport Fuel Obligation (RTFO) (announced 2005) is the requirement that by 2010 5% of all road vehicle fuel is renewable. In 2008 a critical report by the Royal Society stated that biofuels risk failing to deliver significant reductions in greenhouse gas emissions from transport and could even be environmentally damaging unless the Government puts the right policies in place.^[10][11]

Asia

• China

In China, the government is making E10 blends mandatory in five provinces that account for 16% of the nation's passenger cars.

• India

In India, a bioethanol program calls for E5 blends throughout most of the country targeting to raise this requirement to E10 and then E20.

• Australia

• New Zealand

• Southeast Asia

In Southeast Asia, The Philippines has mandated an ambitious 10% ethanol mix in gasoline since 2007. For similar reasons, the palm oil industry plans to supply an increasing portion of national diesel fuel requirements in Malaysia and Indonesia.^{[citation needed]}

• Israel

IC Green Energy, a subsidiary of Israel Corp., aims by 2012 to process 4-5% of the global biofuel market (~4 million tons). It is focused solely on non-edible feedstock such as jatropha, castor, cellulosic biomass and algae.^[12] In June 2008, Tel Aviv-based Seambiotic and Seattle-based Inventure Chemical announced a joint venture to use CO2 emissions-fed algae to make ethanol and biodiesel at a biofuel plant in Israel.^[13]

• Pakistan

The government of Pakistan hopes to build anaerobic digesters in rural areas, for the production of Biogas to supplement gas yields.

Developing countries

Biofuel industries are becoming established in many developing countries. Many developing countries have extensive biomass resources that are becoming more valuable as demand for biomass and biofuels increases. The approaches to biofuel development in different parts of the world varies. Countries such as India and China are developing both bioethanol and biodiesel programs. India is extending plantations of jatropha, an oil-producing tree that is used in biodiesel production. The Indian sugar ethanol program sets a target of 5% bioethanol incorporation into transport fuel.^[14] China is a major bioethanol producer and aims to incorporate 15% bioethanol into transport fuels by 2010. Costs of biofuel promotion programs can be very high, though.^[15]

In rural populations in developing countries, biomass provides the majority of fuel for heat and cooking. Wood, animal dung and crop residues are commonly burned. Figures from the International Energy Agency (IEA) show that biomass energy provides around 30% of the total primary energy supply in developing countries; over 2 billion people depend on biomass fuels as their primary energy source.^[16]

The use of biomass fuels for cooking indoors is a source of health problems and pollution. 1.3 million deaths were attributed to the use of biomass fuels with inadequate ventilation by the International Energy Agency in its World Energy Outlook 2006. Proposed solutions include improved stoves and alternative fuels. However, fuels are easily damaged, and alternative fuels tend to be expensive. Very low cost, fuel efficient, low pollution biomass stove designs have existed since 1980 or earlier.^[17] Issues are a lack of education, distribution, corruption, and very low levels of foreign aid. People in developing countries often cannot afford these solutions without assistance or financing such as microloans. Organizations such as Intermediate Technology Development Group work to make improved facilities for biofuel use and better alternatives accessible to those who cannot get them.

See also

• European Biofuels Technology Platform
• List of algal fuel producers
• Biofuel advocacy groups
• List of biofuel companies and researchers
• Biodiesel by region
• List of renewable energy topics by country

References

External links

• The European Biofuels Challenge Developments in European Union Policy and Industry Drivers