Japan firms study carbon neutral fuels for auto sector

  • : Biofuels, E-fuels, Emissions
  • 24/05/27

A group of Japanese companies are exploring the possibility of expanding the use of carbon neutral fuels — such as synthetic fuels, or e-fuels, and biofuels — in the country's automobile sector, aiming to cut carbon dioxide (CO2) emissions from internal combustion engine vehicles.

Japanese auto manufacturer Toyota, engineering firm Mitsubishi Heavy Industries and refiners Idemitsu and Eneos said on 27 May that they had signed an initial agreement to jointly carry out a feasibility study by discussing scenarios, roadmaps and necessary regulations to introduce the clean fuels around 2030.

The partnership assumes domestic production of e-fuels and biofuels to enhance the country's energy security. They plan to produce e-fuels from CO2 and renewable-based hydrogen, while biofuels will be derived from plants and other sources. But potential output capacity is still unclear. It is also unknown how they will buy feedstocks to produce the clean fuels, creating the possibility for imports and domestic purchases.

Japan has pledged to ban sales of gasoline-only passenger cars and a shift to electric vehicles (EVs) by 2035, part of its 2050 net zero emissions goal. But EVs also include fuel-cell vehicles, plug-in hybrids and hybrid EVs. This suggests the country will need cleaner fuels to decarbonise engines burned by fossil fuels.

Toyota has already introduced in Brazil since 2007 a hybrid, flex-fuel vehicle that can run on biofuels and gasoline. The company will invest 11bn real ($2.1bn) in Brazil over the next six years to decarbonise and electrify its fleet. But it is still unclear how many flex-fuel vehicles it will introduce in Japan, the company said.

To help reduce CO2 emissions from the auto sector, Japan's trade and industry ministry already requires domestic refiners to use 500,000 kilolitres/yr (8,616 b/d) of the crude equivalent of ETBE or bioethanol. Brazil is currently the sole bioethanol supplier to Japan with 55,179 bl delivered in February.


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24/06/24

CPC to import Taiwan's first SAF for 2025 trial

CPC to import Taiwan's first SAF for 2025 trial

Singapore, 24 June (Argus) — Taiwan will supply its airlines with sustainable aviation fuel (SAF) for the first time in first-half 2025, as part of a pilot project to hasten carbon emissions reductions in aviation and meet its net zero goals. There are plans for state-owned refiner CPC to import and supply SAF to national airlines at Taoyuan International Airport and Taipei Songshan Airport during January-June 2025. The volumes and airlines have not been confirmed, said a company source. Taiwan's Civil Aviation Administration (CAA) also encourages Taiwanese airlines to target 5pc SAF use by 2030, given the International Civil Aviation Organisation's (ICAO) aim of achieving a 5pc cut in carbon dioxide emissions in international aviation by 2030 compared with a business as usual scenario. The CAA said it has been working with the relevant ministries, oil companies, airlines and airports to understand their needs regarding domestic supplies of SAF. It is also in the process of ensuring facility certification and implementing supporting measures in airlines and aircraft. The SAF used in trials next year must have been certified by an ICAO-authorised agency, including details such as oil pipelines, its import sources, oil storage tanks, vessels and tanker trucks transporting the oil. CPC is now settling certification work for each step of the import process. The SAF will also be certified by the Carbon Offsetting and Reduction Scheme for International Aviation (Corsia), a global scheme to reduce international aviation emissions, which airlines can directly use it to reduce their carbon emissions. The CAA has strategies to decarbonise Taiwan's aviation sector. These are reducing fuel consumption through measures like optimising flight routes and encouraging airlines to replace old aircraft with new models. It also aims to step up energy conservation and carbon emissions reductions in airport operations and management, encourage airlines to use SAF and promote compliance with Corsia's emissions requirements. The CAA updated Taiwan's civil and general aviation regulations last year to include laws on carbon emissions reporting in compliance with Corsia. Taiwan's airlines this year reported their carbon emissions for the first time for the year 2023, which the administration is also currently reviewing. By Sarah Giam Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Canadian greenwashing bill passes


24/06/20
24/06/20

Canadian greenwashing bill passes

Calgary, 20 June (Argus) — A proponent of a major carbon capture and storage (CCS) project in Canada removed most information from its website this week after a federal bill targeting "greenwashing" successfully made its way through Parliament. The Pathways Alliance, a group of six oil sands producers, removed material from its website in response to Bill C-59 after it passed its third and final reading in Canada's senate on 19 June, citing "uncertainty on how the new law will be interpreted and applied." Parts of the soon-to-be law will "create significant uncertainty for Canadian companies," according to a statement by Pathways which is the proponent of a massive C$16.5bn ($12bn) CCS project in Alberta's oil sands region. The Pathways companies proposed using the project and a host of other technologies to cut CO2 emissions by 10mn-22mn t/yr by 2030. Project details and projections are now gone from the Pathways website, social media and other public communications as the pending law will require companies to show proof when making representations about protecting, restoring or mitigating environmental, social and ecological causes or effects of climate change. Any claim "that is not based on adequate and proper substantiation in accordance with internationally recognized methodology" could result in penalties under the pending law. Offenders may face a maximum penalty of C$10mn for the first offense while subsequent offenses would be as much as C$15mn, or "triple the value of the benefit derived from the anti-competitive practice." Invite to 'resource-draining complaints' The bill does not single out oil and gas companies, but the industry includes the country's largest emitters and has long been in the cross-hairs of the liberal government. Alberta's premier Danielle Smith says the pending bill will have the unintended effect by stifling "many billions in investments in emissions technologies — the very technologies the world needs." Construction of the Pathways project is expected to begin as early as the fourth quarter 2025 with operations starting in 2029 or 2030. The main CO2 transportation pipeline will be 24-36-inches in diameter and stretch about 400km (249 miles). It will initially tap into 13 oil sands facilities from north of Fort McMurray to the Cold Lake region, where the CO2 will be stored underground. Pathways includes Canadian Natural Resources, Cenovus, Suncor, Imperial Oil, ConocoPhillips Canada and MEG Energy, which account for about 95pc of the province's roughly 3.3mn b/d of oil sands production. Some producers took down content as did industry lobby group the Canadian Association of Petroleum Producers (CAPP), which highlighted the "significant" risk the legislation creates. "Buried deep into an omnibus bill and added at a late stage of committee review, these amendments have been put forward without consultation, clarity on guidelines, or the standards that must be met to achieve compliance," said CAPP president Lisa Baiton on Thursday. This "opens the floodgates for frivolous, resource-draining complaints." By Brett Holmes Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Brazil's Raizen ships 2G ethanol cargo to EU


24/06/20
24/06/20

Brazil's Raizen ships 2G ethanol cargo to EU

Sao Paulo, 20 June (Argus) — A second generation (2G) ethanol-producing unit of Brazil's top sugar and ethanol milling group Raizen — known as Bonfim Bioenergy Park — shipped its first cargo of 2G ethanol to the EU, vice-president Paulo Corte-Real Neves said. "We were already exporting E2G produced at the Costa Pinto unit," Neves said during the Argus Biofuels and Feedstocks Latin America conference, in Sao Paulo, Brazil. "Now, with the Bonfim plant, we have increased our relevance with customers and expanded the penetration of cellulosic ethanol." Bonfim Bioenergy Park is Raizen's second unit to sell 2G ethanol. The first is Costa Pinto Bioenergy Park. Both are in Sao Paulo state and produce a combined 112mn liters/yr (1,940 b/d), chief executive Ricardo Mussa said in May. Raizen said last year it sold 80pc of Bonfim's output to international markets. It now expects to sell the remainder on the EU ethanol spot market. Raizen, a joint venture between Shell and Brazilian conglomerate Cosan, has plans to have 20 2G ethanol units in operation in 10 years, with total installed capacity reaching up to 1.6bn l/yr (27,750 b/d) when works are finished. By Maeli Prado Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Japan’s MGC produces bio-methanol from sewage gas


24/06/20
24/06/20

Japan’s MGC produces bio-methanol from sewage gas

Tokyo, 20 June (Argus) — Japanese petrochemical producer Mitsubishi Gas Chemical (MGC) has begun commercial output of bio-methanol by using sewage gas at its Niigata plant in northwest Japan's Niigata prefecture, in its latest project to decarbonise methanol manufacturing. It buys sewage gas, consisting of methane and carbon dioxide (CO2), from Niigata prefecture's Niigougawa sewerage plant. But the volume of bio-methanol produced is inconsistent and limited, it said. Output of bio-methanol could be a minimum 1 t/d but is unlikely to exceed 10 t/d, depending on the feedstock volumes MGC can purchase, it added. The sewerage plant uses the gas for power generation. MGC is still looking for buyers of its bio-methanol, although it said it has found some potential users. It expects domestic sales as output is too low for exports. The company expects its bio-methanol to be used as petrochemical feedstock, marine fuel and power generation fuel. The company has also explored the feasibility of methanol production from CO2 and green hydrogen in partnership with Cement Australia. Japan's methanol consumption has been around 1.7mn-1.8mn t/yr, according to MGC, with demand expected to grow further. By Nanami Oki Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Petrobras estuda novos insumos para biocombustíveis


24/06/19
24/06/19

Petrobras estuda novos insumos para biocombustíveis

Sao Paulo, 19 June (Argus) — A Petrobras estuda usar matérias-primas alternativas para abastecer duas refinarias de biocombustíveis previstas no seu plano estratégico 2024-28, disse o gerente de negócios de produtos de baixo carbono da estatal, Mario Gheventer, durante participação na Argus Biofuels and Feedstocks Latin America. A Petrobras vai construir biorrefinarias no polo GasLub, no Rio de Janeiro, e outra no município de Cubatão (SP), onde produzirá e combustível sustentável de aviação (SAF, na sigla em inglês), óleo vegetal hidratado (HVO, na sigla em inglês), entre outros produtos. As duas unidades terão uma capacidade produtiva combinada de 34.000 b/d em biocombustíveis, com a possibilidade de alternar a fabricação entre os dois produtos. A Petrobras está considerando usar uma variedade de matérias-primas na produção, como óleo de soja, sebo de boi, óleo residual de etanol de milho (TCO, na sigla em inglês), óleo de macaúba e óleo de cozinha usado (UCO, na sigla em inglês), disse Gheventer na conferência. O CEO da Acelen, Luiz de Mendonça, também citou o óleo de macaúba como uma matéria-prima possível para se produzir biocombustível, durante a conferência da Argus. Gheventer avalia que cada matéria-prima tem seus próprios desafios. No caso do óleo de soja, por exemplo, fica a dúvida sobre o que fazer com o farelo de soja remanescente. O óleo de macaúba exige entre quatro e cinco anos para o início da produção, por causa do tempo que a planta leva para dar frutos. Já o UCO requer "logística reversa" para ser coletado, citou Gheventer. Ele mencionou outros óleos vegetais, como canola, girassol e algodão, como possíveis matérias-primas. Mas ressaltou que estes serão "monitorados no mercado à vista para se tirar vantagem das oportunidades de preço", disse. Em um painel mais cedo, o presidente da Associação Brasileira das Indústrias de Óleos Vegetais (Abiove), André Nassar, classificou o óleo de canola como uma promissora matéria-prima para biocombustíveis. Gheventer falou que será necessário criar mais caminhos para certificar os níveis de emissão de biocombustíveis. Na sua visão, há poucas opções e o mercado está precisando de mais pessoas para certificar biocombustíveis. A Petrobras mais que dobrou sua projeção de investimentos na área de biorrefino, de US$ 600 milhões para US$ 1,5 bilhão, no seu plano estratégico mais recente divulgado em novembro de 2023. Diesel R5 Gheventer disse ainda que a Petrobras deverá manter a mescla atual de óleo vegetal no seu diesel R por questões de logística e armazenamento. O diesel R é produzido a partir do coprocessamento do combustível fóssil com óleos vegetais, contendo. A mescla de 5pc de conteúdo renovável leva o nome de R5. Para o gerente, a empresa pode considerar a elevação da mistura, mas não se trata de uma prioridade. Por Lucas Parolin Envie comentários e solicite mais informações em feedback@argusmedia.com Copyright © 2024. Argus Media group . Todos os direitos reservados.

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