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Brasil Biofuels expands Amazon power generation

  • Market: Biofuels, Electricity, Oil products
  • 21/07/20

Biodiesel and power generation company Brasil Biofuels (BBF) was authorized to begin commercial operations at its 18th biodiesel-fired thermoelectric plant, further reducing the carbon footprint of power generation in the Amazon basin.

The company has been a pioneer in integrating biodiesel production and power generation in a region of the country that is highly dependent on diesel transported in from a long distance.

"It took over a decade to overcome the challenges of investing in the Amazon, but these projects prove that sustainable development in the Amazon is possible," BBF chief executive Milton Steagall tells Argus.

The company is one of only a handful of Brazilian biodiesel producers that uses palm oil as feedstock.

The palm oil used in its plants is produced on company-owned plantations, all of which are located in areas of the Amazon region that are classified as degraded, BBF says.

Because of a 2010 law, palm cannot be planted on areas that were deforested after 2007. Furthermore, because of the 2008 forestry code, properties in the Amazon biome are required to hold 80pc of their total area in reserve.

BBF was one of the winners of last year's generation auction for power purchase agreements in Roraima state, which used to rely on neighboring Venezuela for supply. The company will invest R635mn ($122mn) in two power stations with combined capacity of 74MW. The larger plant, with 56MW of capacity, will be located in the capital of Roraima and will have both biodiesel and solar generation capacity.

The second power plant will be in Sao Joao da Baliza, where the company's biodiesel and 72 t/d palm oil plant are located.

The two power plants will begin operating in early 2021.

According to Steagall, the plants will reduce conventional diesel consumption in the region by 130,000 l/y, once fully operational.

"Not only does this reduce pollution, but it also reduces generation costs," Steagall added.

The company plans to participate in future auctions to supply isolated systems. Steagall added that the government is expected to hold auctions for these regions in 2021.

In addition to its biodiesel business, the company announced a joint venture with US ethanol plant producers ICM to build a corn ethanol plant in Roraima. With initial investment of R220mn, the company plans to produce 400mn l/yr of ethanol.

Part of the corn ethanol plant's production will be used as catalyst for biodiesel production, but the bulk of the ethanol supply will be sold in Roraima.

"Roraima is the state with the highest gasoline prices, which means our ethanol will be competing with the most expensive gasoline in Brazil," Steagall said, adding that the company plans to take advantage of new legislation that will allow it to sell ethanol directly to the service stations.


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17/11/25

Cop: Ministers left with mountain of work at Cop 30

Cop: Ministers left with mountain of work at Cop 30

Belem, 17 November (Argus) — Ministers gathering for the second week of the UN Cop 30 climate summit are tasked with piecing together informal negotiations, including on a potential roadmap on transitioning away from fossil fuels, responses to the lack of ambition in new climate plans, and other topics on the official agenda. Ministers will have to wrap up talks held in informal presidency consultations on four key topics — unilateral trade measures, climate finance obligations, emissions reporting and responses to climate plans — even though it remains unclear how a potential deal might look. The Brazilian Cop 30 presidency released a note on 17 November highlighting where parties continue to disagree. Gaps remain on finance, with some countries eyeing a work programme, while developed countries reaffirm that their obligations towards developing countries are covered under the new $300bn/yr finance goal agreed last year in Baku . There are also five options on the response to climate plans. One is to have an "annual consideration" under official negotiations of the report weighing country targets and actions, while another is to have an unnamed roadmap to accelerate implementation, international co-operation and investment to be published before Cop 31. Some negotiating groups, including the alliance of small island states (Aosis) and the Environmental Integrity Group (EIG) are supporting the creation of a fossil fuel phase-out roadmap, while the "EU strongly welcomes the idea for a roadmap being discussed at Cop 30," energy commissioner Dan Jorgensen said. Germany, Spain, Switzerland and the UK have also signalled support. But UK energy minister Ed Miliband pointed out the difficulty for some countries to move away from fossil fuels, including reliance on hydrocarbons for energy and jobs. Brazil and Colombia are also supporting the roadmap. But few other developing oil producers have spoken in favour of it, pointing to their dependence on hydrocarbons, the need for increased finance flows and a just transition. "It's acceptable that Nigeria is ready to transition, but transitioning now has to be consistent with a bunch of economic priorities," the director general of Nigeria's national council on climate change Omotenioye Majekodunmi said. Transitioning away from fossil fuels "must recognise the very strong differences in economic opportunities," she said. The Arab Group, which includes major oil producers Saudi Arabia and the UAE, wants to focus on the climate finance obligations of developed countries. The calls for a fossil fuel roadmap have yet to turn into something more tangible, according to the presidency. Brazilian environment minister Marina Silva said that she does not expect a decision on this at this Cop but welcomes the "beginning of the construction". Even if a roadmap fails to materialise in Belem, the pressure on fossil fuels is likely here to stay at climate summits. Official talks Ministers will also need to agree on official items this week, including adaptation, just transition and the UAE dialogue, which aims to advance the implementation of the global stocktake (GST). The GST agreed two years ago at Cop 28 in Dubai featured the call to transition away from fossil fuels and triple renewable energy capacity by 2030, which has since received some pushback. To help them, the Brazilian presidency asked countries to finish all technical works on the agenda items by 18 November. Cop 30 chief executive Ana Toni struck a positive note about negotiations at the end of the first week, saying several texts have already been approved, but conceded that a lot of work remained to be done. An informal text on the just transition work programme featured options with language on fossil fuels and the phase-out of fossil fuel subsidies, but the paragraphs face opposition. The text recognises the role of transitional fuels — largely natural gas — while transition minerals have been included within the scope of the programme. "To get, you must give, and being honest, we need to be giving more," UN climate body UNFCCC executive secretary Simon Stiell said. "The issues that may not be priorities for you are clearly issues and priorities for other nations," he added. By Lucas Parolin and Caroline Varin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Cop: 10 countries pledge to align transport with 1.5ºC


14/11/25
News
14/11/25

Cop: 10 countries pledge to align transport with 1.5ºC

Belem, 14 November (Argus) — A group of 10 countries led by Chile called for a global effort to cut energy demand from the transport sector by 25pc by 2035, aligning it with the Paris Agreement goal of limiting global warming to 1.5°C above pre-industrial levels. The coalition was formed at the UN Cop 30 climate summit, which is underway in Belem, northern Brazil. Brazil, Colombia, Costa Rica, the Dominican Republic, Honduras, Norway, Portugal, Slovenia and Spain are the other signatory countries so far. "We are committed to making transport a key pillar of climate action, agreeing a shared framework for resilient and low emissions transport systems", Chile's transport minister Carlos Abogabir told journalists at Cop 30. Cutting energy demand from transport — the second-largest emitting sector — allows for "a clear measurable direction towards a net zero scenario in the transport sector in 2050", he added. Chile is a natural leader for the coalition as it is a global leader in efforts to electrify its public transport fleet. The country's capital Santiago is the city with most electric buses outside of China, Abogabir said. It had around 3,000 electric buses in 2024, according to a report by Agora Verkehrswende, a non-governmental organisation focused on climate neutrality in transport. But it will have 4,400 by March, Abogabir added. The coalition will now work to create a roadmap to reach the pledge's goal and measure progress for future Cops, according to Slocat, a global partnership that promotes sustainable, low-carbon transport. Sustainable fuels, renewable sources Although the pledge will heavily rely on electrification, it also calls on countries to shift one-third of energy powering transport to sustainable biofuels and renewable sources. Brazil is the second-biggest biofuel producer globally, trailing only behind the US. But it will consider any route that both decarbonizes its fleet and drives national industry, Brazilian minister of cities Jader Barbalho Filho told Argus , mentioning specifically liquid nitrogen and biomethane. Including existing and expected projects, Brazil could have 2.4mn m³/d of biomethane capacity by 2027, data from hydrocarbons regulator ANP show. The shift to sustainable biofuels and renewables sources plays well into Brazil's Belem 4x pledge , which calls for a global effort to quadruple global output and use of sustainable fuels by 2035, Filho added. "The Chilean government looked for us [to present the transport pledge] exactly because we already have [Belem 4x]", he said. The Belem 4x pledge now has 23 country signatories, Cop 30 chief executive Ana Toni said today. By Lucas Parolin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Norway confident power Norgepris is EEA compliant


14/11/25
News
14/11/25

Norway confident power Norgepris is EEA compliant

London, 14 November (Argus) — Norway's energy ministry is confident that its fixed price for electricity scheme — Norgepris — complies with its European Economic Area (EEA) obligations and is not "subject to notification" to the European Surveillance Authority (ESA) for review, it told Argus . Norway is currently responding to questions submitted by the ESA — a body responsible for ensuring compliance with the rules governing the EU's European Free Trade Association (EFTA) — in October. It confirmed that it will respond in full by 15 December. The questions also detail ESA's view that the scheme should have been notified for review to measure its effect on national and international market competition, in line with Article 3 of the Electricity Directive, as stated in a letter ESA shared with Argus . The energy ministry has since "had a constructive meeting with ESA", during which it made clear that it considers Norgepris "to be fully in line with [its] EEA obligations", the ministry's state secretary Marte Grindaker told Argus . Norgepris has been adopted by more than 1mn electricity meters since its launch in October, representing around 35pc of homes and 48pc of holiday homes. That share increases in Norway's most expensive power areas, up to 43pc in NO1 and 58pc in NO2. And two NO2 communes — Bykle and Aseral — registered sign-up rates of above 80pc. Norgepris consumers increased their power consumption by 3.8pc on the year in October, while demand from consumers retaining regular tariffs increased by just 1.7pc, according to distribution system operator Elvia data. Despite Norgepris consumers outpacing their regular tariff counterparts, the ministry maintains that "it is too early to draw conclusions from the consumption data", Grindaker told Argus , noting that the "household consumption in question represents only a limited share of total national electricity use". Total electricity use from households reached 3.3TWh last month, up by 1.9pc, representing 30pc of all consumption, according to data from Statistics Norway. By Daniel Craig Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Australia’s Jet Zero, Townsville port sign biofuels MoU


14/11/25
News
14/11/25

Australia’s Jet Zero, Townsville port sign biofuels MoU

Sydney, 14 November (Argus) — Australian bioenergy developer Jet Zero and the Port of Townsville have signed an initial agreement to assess the feasibility of developing new biofuel storage and blending infrastructure at Queensland's third-largest port. The biofuels firm and port operator will explore design and construction options for a potential liquid storage facility to support the movement, blending, import and export of sustainable fuels from Jet Zero's nearby proposed Project Ulysses , Jet Zero said on 13 November. Project Ulysses will produce 113mn litres/yr sustainable aviation fuel (SAF) and renewable diesel (RD) using the alcohol-to-jet method at north Queensland's Townsville State Development Area, 2km south of the Port of Townsville. Jet Zero recently completed front-end engineering and design with alcohol-to-jet technology provider LanzaJet. The project could produce one-sixth of the domestic airline industry's 2030 SAF commitment, but a date for first output has not been disclosed. Project Ulysses aims to meet mandated and voluntary demand for SAF and RD in the aviation and marine sectors, and the Port of Townsville will play a critical role in facilitating trade and supporting regional industry growth, the companies said. By Grace Dudley Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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API pitches revamp of biofuel exemptions: Update


13/11/25
News
13/11/25

API pitches revamp of biofuel exemptions: Update

Updates throughout New York, 13 November (Argus) — The American Petroleum Institute (API) is pitching the White House and biofuel groups on a total revamp of how the US exempts oil companies from a program that requires biofuel blending, according to three people familiar with the lobbying group's work. API recently withdrew its support for a bill that would authorize 15pc ethanol gasoline (E15) year-round on its frustrations with changes to biofuel policy this year that oil companies see as too friendly to farmers and to some small refining competitors. The US for instance recently granted small oil refiners generous hardship waivers from a biofuel blend mandate and proposed requiring larger companies to blend more biofuels in future years as an offset. API's pitch — shared at a White House meeting this week — would require that companies seeking program exemptions must show that economic hardship stems directly from the biofuel program, a more stringent requirement than today, according to two of the people familiar with the group's work. Exemptions would also be restricted to companies with limited collective refining capacity, cutting off larger enterprises like Delek and Par Pacific that own multiple small units that qualify now. Smaller companies like Ergon and Kern Oil could still request waivers, but the total pool of potentially exempted gas and diesel volumes would be far lower. The oil group then wants the US to prohibit hiking other oil companies' blend requirements to offset those exemptions, a tougher sell to biofuel and crop groups that fear unchecked program waivers curb demand for their products. Larger merchant refiners that do not qualify for small refinery relief have also long pushed lawmakers for updates to the program and would not benefit from this proposal. API's idea is to pass legislation pairing updates to the small refinery exemption program with year-round authorization of E15, generally prohibited in the summer without emergency waivers because of summertime fuel volatility restrictions that do not apply to typical 10pc ethanol gasoline. That's a top priority for ethanol companies, otherwise at risk from an increasingly efficient and electric light-duty vehicle fleet. Congress last year nearly passed narrower E15 legislation, which API supported at the time but no longer does without more changes. Courts have struck down past attempts by federal officials to authorize E15 without emergency declarations and to drastically restrict biofuel exemption eligibility, likely limiting what President Donald Trump's administration can do without new legislation. API made the pitch to the White House this week, the sources familiar with API's work said. The White House is hosting other groups for meetings on fuel policy, including another one on Thursday on E15 that featured biofuel groups. Officials from across Trump's administration, including the US Department of Agriculture, have attended. "Administration officials hosted listening sessions with biofuel groups, agriculture and oil refiners to discuss their proposals on year-round E15", a source familiar with the matter said. It is not clear that biofuel advocates, insistent that the Trump administration entirely offset the impact of recent refinery exemptions, are open to the attempted compromise. The ethanol group Renewable Fuels Association declined to comment on E15 talks. Regulatory tweaks to boost ethanol supply would also do little on their own to help producers of other biofuels like renewable diesel. API declined to elaborate on what was discussed at any meetings with the Trump administration. "We appreciate the administration's leadership in bringing stakeholders together to advance a practical solution on E15 and small refinery exemption reform", API said. "We look forward to continuing to work together to advance a framework that supports fuel choice, strengthens the refining and agricultural sectors, and helps ensure a stable, reliable supply for American consumers." Under the Renewable Fuel Standard, the US requires oil refiners and importers to annually blend different types of biofuels or buy credits from those that do. The administration is late setting new biofuel quotas for 2026 but is expected to do so in the coming months, kicking off a flurry of last-minute lobbying about future volumes, exemptions and potential cuts to credits from foreign fuels and feedstocks. By Cole Martin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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