A race has begun from oil refineries to bio-refining

Innovation in Business, Energy, and Environment

By Maive Rute

When filling up a tank at the gas station, we are aware of consuming finite fossil fuel resources and contributing to greenhouse gases. However, when we buy another unnecessary, but nice plastic object not many of us think where this plastic comes from. Up to 15 % of oil imports to Europe go to the chemical industry and are converted into a broad range of products from lubricants to plastics and various other materials. Practically all the same products could be derived from biological renewable raw materials like energy crops, waste and various other types of biomass.

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Syngas as Feedstock for Biofuels

An attractive approach to converting biomass into liquid or gaseous fuels is direct gasification, followed by conversion of the gas to final fuel. NKGE98YUDMEC Ethanol can be produced this way, but other fuels can be produced more easily and potentially at lower cost, though none of the approaches is currently inexpensive. The choice of which process to use is influenced by the fact that lignin cannot easily be converted into a gas through biochemical conversion. Lignin can, however, be gasified through a heat process. The lignin components of plants can range from near 0% to 35%. For those plants at the lower end of this range, the chemical conversion approach is better suited. For plants that have more lignin, the heat-dominated approach is more effective. Once the gasification of biomass is complete, the resulting gases can be used in a variety of ways to produce liquid fuels discussed, in brief, below

Fischer-Tropsch (F-T) fuels

The Fischer-Tropsch process converts “syngas” (mainly carbon monoxide and hydrogen) into diesel fuel and naphtha (basic gasoline) by building polymer chains out of these basic building blocks. Typically a variety of co-products (various chemicals) are also produced.  Figure 2.1 shows the production of diesel fuel from bio-syngas by Fisher-Tropsch synthesis (FTS).

The Fisher-Tropsch process is an established technology and has been proven on a large scale but adoption has been limited by high capital and O&M costs. According to Choren Industries, a German based developer of the technology, it takes 5 tons of biomass to produce 1 ton of biodiesel, and 1 hectare generates 4 tons of biodiesel.

Methanol

Syngas can also be converted into methanol through dehydration or other techniques, and in fact methanol is an intermediate product of the F-T process (and is therefore cheaper to produce than F-T gasoline and diesel). Methanol is somewhat out of favour as a transportation fuel due to its relatively low energy content and high toxicity, but might be a preferred fuel if fuel cell vehicles are developed with on-board reforming of hydrogen.

Dimethyl ether

DME also can be produced from syngas, in a manner similar to methanol. It is a promising fuel for diesel engines, due to its good combustion and emissions properties. However, like LPG, it requires special fuel handling and storage equipment and some modifications of diesel engines, and is still at an experimental phase. If diesel vehicles were designed and produced to run on DME, they would become inherently very low pollutant emitting vehicles; with DME produced from biomass, they would also become very low GHG vehicles.

Major Obstacles in India’s Biodiesel Program

The unavailability of sufficient feedstock and lack of R&D to evolve high-yielding drought tolerant Jatropha seeds have been major stumbling blocks. In addition, smaller land holdings, ownership issues with government or community-owned wastelands, lackluster progress by state governments and negligible commercial production of biodiesel have hampered the efforts and investments made by both private and public sector companies.

Another major obstacle in implementing the biodiesel programme has been the difficulty in initiating large-scale cultivation of Jatropha. The Jatropha production program was started without any planned varietal improvement program, and use of low-yielding cultivars made things difficult for smallholders. The higher gestation period of biodiesel crops (3–5 years for Jatropha and 6–8 years for Pongamia) results in a longer payback period and creates additional problems for farmers where state support is not readily available. The Jatropha seed distribution channels are currently underdeveloped as sufficient numbers of processing industries are not operating. There are no specific markets for Jatropha seed supply and hence the middlemen play a major role in taking the seeds to the processing centres and this inflates the marketing margin.

 Biodiesel distribution channels are virtually non-existent as most of the biofuel produced is used either by the producing companies for self-use or by certain transport companies on a trial basis. Further, the cost of biodiesel depends substantially on the cost of seeds and the economy of scale at which the processing plant is operating. The lack of assured supplies of feedstock supply has hampered efforts by the private sector to set up biodiesel plants in India. As of now, only two firms, Naturol Bioenergy Limited and Southern Online Biotechnologies, have embarked on commercial-scale biodiesel projects, both in the southern state of Andhra Pradesh. In the absence of seed collection and oil extraction infrastructure, it becomes difficult to persuade entrepreneurs to install trans-esterification plants.

A Primer on Biofuels

In some countries, filling stations sell bio-d...
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The term ‘Biofuel’ refers to liquid or gaseous fuels for the transport sector that are predominantly produced from biomass. A variety of fuels can be produced from biomass resources including liquid fuels, such as ethanol, methanol, biodiesel, Fischer-Tropsch diesel, and gaseous fuels, such as hydrogen and methane. The biomass resource base for biofuel production is composed of a wide variety of forestry and agricultural resources, industrial processing residues, and municipal solid and urban wood residues.

The agricultural resources include grains used for biofuels production, animal manures and residues, and crop residues derived primarily from corn and small grains (e.g., wheat straw). A variety of regionally significant crops, such as cotton, sugarcane, rice, and fruit and nut orchards can also be a source of crop residues. The forest resources include residues produced during the harvesting of forest products, fuelwood extracted from forestlands, residues generated at primary forest product processing mills, and forest resources that could become available through initiatives to reduce fire hazards and improve forest health. Municipal and urban wood residues are widely available and include a variety of materials — yard and tree trimmings, land-clearing wood residues, wooden pallets, organic wastes, packaging materials, and construction and demolition debris.

Globally, biofuels are most commonly used to power vehicles, heat homes, and for cooking. Biofuel industries are expanding in Europe, Asia and the Americas. Biofuels are generally considered as offering many priorities, including sustainability, reduction of greenhouse gas emissions, regional development, social structure and agriculture, and security of supply.

First-generation biofuels are made from sugar, starch, vegetable oil, or animal fats using conventional technology. The basic feedstocks for the production of first-generation biofuels come from agriculture and food processing. The most common first-generation biofuels are:

  • Biodiesel: extraction with or without esterification of vegetable oils from seeds of plants like soybean, oil palm, oilseed rape and sunflower or residues including animal fats derived from rendering applied as fuel in diesel engines
  • Bioethanol: fermentation of simple sugars from sugar crops like sugarcane or from starch crops like maize and wheat applied as fuel in petrol engines
  • Bio-oil: thermo-chemical conversion of biomass. A process still in the development phase
  • Biogas: anaerobic fermentation or organic waste, animal manures, crop residues an energy crops applied as fuel in engines suitable for compressed natural gas.

First-generation biofuels can be used in low-percentage blends with conventional fuels in most vehicles and can be distributed through existing infrastructure. Some diesel vehicles can run on 100 % biodiesel, and ‘flex-fuel’ vehicles are already available in many countries around the world.

Second-generation biofuels are derived from non-food feedstock including lignocellulosic biomass like crop residues or wood. Two transformative technologies are under development.

  • Biochemical: modification of the bio-ethanol fermentation process including a pre-treatment procedure
  • Thermochemical: modification of the bio-oil process to produce syngas and methanol, Fisher-Tropsch diesel or dimethyl ether (DME).

Advanced conversion technologies are needed for a second generation of biofuels. The second generation technologies use a wider range of biomass resources – agriculture, forestry and waste materials. One of the most promising second-generation biofuel technologies – ligno-cellulosic processing (e. g. from forest materials) – is already well advanced. Pilot plants have been established in the EU, in Denmark, Spain and Sweden.

Third-generation biofuels may include production of bio-based hydrogen for use in fuel cell vehicles, e.g. Algae fuel, also called oilgae. Algae are low-input, high-yield feedstocks to produce biofuels.

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