Biofuel Status and Policy - MTEC · PDF fileAlternative Energy Development Plan Power...

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Biofuel Status and Policy 18 th September 2015

Transcript of Biofuel Status and Policy - MTEC · PDF fileAlternative Energy Development Plan Power...

Biofuel Status and Policy

18th September 2015

Thailand Integrated Energy Blueprint

Gas Plan

EEDP2015

Oil Plan

AEDP2015

SmartGrid

PDP2015

Alternative Energy Development Plan

Power

Development Plan

Energy Efficiency

Development Plan

Energy Security

• Promote energy security of Thailand

• Support the 11th National Economic

and Social Development Plan

Economy

• Establish sustainable whole-chain

energy business

• Promote long-term country

development

Ecology

• Reduce negative impacts to the

environment

2015-2036

TIEB

Timeline of Thailand AEDP

NOW

National Energy Policy Council Acts

2009 2011 2013

Renewable Energy

Development Plan

15 yrs (2008-2022)

Alternative Energy

Development Plan

10 yrs (2012-2021)

Alternative Energy

Development Plan

10 yrs (2012-2021) (revised edition)

Renewable Energyin total energy consumption

30%

Renewable Energyin total energy consumption

Renewable Energyin total energy consumption

Renewable Energyin total energy consumption

Alternative Energy

Development Plan

(2015-2036)

2015

20.3% 25% 25%

New AEDP Targets (2036)

20%

Solar

Electricity

Heat

Fuel

Wind

Target Use(2036)

Category Example

35%

25%

BiomassBiogas

Biomass

Waste

Solar heater

Biogas Geothermal

Ethanol Biodiesel

GASOHOL

Ethanol-blended gasoline

Thailand Ethanol Feedstock - 2014

Sugarcane

•Area 8.46 M.Rai

• Yield 12.3 T/Rai/Yr

•Output 104 MT

Ethanol

1059 ML

Molasses 4.7 MT

Used to produce ethanol

2.9 MTUsed to produce ethanol

1.9 MT

Used to produce ethanol

0.9 MT

Sugarcane Juice

66 ML

1 Hectar = 6.25 Rai

Cassava

•Area 8.7 M.Rai

• Yield 3.6 T/Rai/Yr

•Output 31 MT

(3 ML/day)

Sources - DEDE

62% of molasses 6% of cassava

Ethanol Production Capacity

Current Ethanol Production

Plant

11 Molasses

6 Cassava/Starch

4 Hybrid

Sources - DEDE

FeedstockNo. of

plants

Total cap.

(Ml/day)

Molasses 11 2.26

Cassava 7 1.455

Molasses and Cassava 4 1.25

TOTAL 22 4.965

Gasohol Fuel Stations and Vehicles

All Flex fuel cars (FFV)

8

E10 stations are well

spread over Thailand

Most cars manufactured since 1995

Most cars manufactured since 2008

Sources - DOEB

194 271542

830

1311

2045

26652836

4 5 10 38 67280

596 678

2008 2009 2010 2011 2012 2013 2014 May-15

E20 stations

E85 stations

Ethanol Consumption

Ethanol usage ML/day

Sources - DOEB

8.37 8.31 8.54 8.902.09 1.52 1.59

8.14 7.38 5.82 5.29

8.30 9.85 10.94

3.87 4.25 5.10 5.819.14 7.49

8.49

0.23 0.38 0.61 1.00 2.64 3.684.010.00068 0.01 0.02 0.10 0.39 0.910.89

2009 2010 2011 2012 2013 2014 Jan-May 2015

Gasoline E10 (95) E10 (91) E20 E85

UNIT – Million Liter per day

1.25 1.24 1.23 1.39

2.603.25 3.50

2009 2010 2011 2012 2013 2014 Jan-May 2015

10% replacement

of gasoline

Targeting Ethanol Consumption

7 ML/day

11.3 ML/day

2026

2036

19.72 19.95 20.19 21.44 22.0023.70

1.39 2.60 3.253.50

7.00

11.30

0

5

10

15

20

25

30

35

2012 2013 2014 2015 2026 2036

Gasoline Base Ethanol

Ethanol

Percentage12% 14% 24% 32%13%7%

21.11 22.55 23.44 24.94 29.00 35.00

Source: DOEB

UN

IT –

Mill

ion

Lit

er p

er d

ay

Jan-Jun

Gasoline-Base Demand

(ML/day)

Related Policies

Promoting Sustainable

Ethanol ProductionPromoting Ethanol Consumption

Ethanol Consumption Promoting Policies

1. Increase gasohol demand through

marketing mechanisms(Price incentive/Gasohol service coverage/PR)

2. Increase share of gasohol vehicles(Increase E20/E85 compatible car)

Ethanol Production Promoting Policies

1. Promote more sustainable and more

efficient ethanol feedstock

plantation/production

2. Increase ethanol production efficiency(Reduce production cost + logistic cost)

Demand Supply

BIODIESEL-BLENDED DIESEL

Fatty Acid Methyl Ester

Thailand Biodiesel History

History of biodiesel blend in Thailand

2008

B2 (Optional)

March 2010

B3 (Optional)

March 2011

B2 (Optional)

May 2011

B3-B5 (Mandate)

Jan 2012

B5 (Mandate)

Jan 2014

B7 (Mandate)

Department of Energy Business has announced the

biodiesel B7 blend mandate since January 2014

Thailand Palm Situation

Oil palm plantation in Thailand

Oil palm There are only some certain areas suitable for oil palm plantation in Thailand (eg. Southern and Eastern)

Oil palm plantation area : 7,520 km2

(4.77% of arable land)

Domestic

consumption

0.96 MT

Crude palm oil

2.24 MTNo CPO import

Biodiesel

ProductionExport Year End Stock

0.83 MT 0.25 MT 0.20 MT

Average 2014 B100 consumption : 2.89 ML/day Source: Department of Internal Trade

Biodiesel Production Plant

15

Feedstock

Registered capacity

No. of

factories

Capacity

(ML/day)

CPO/RBDPO/Palm Stearin 6 3.5

Palm Stearin 5 1.4

Total 11 4.9

Department of Energy Business , August 2015

Biodiesel Usage

Thailand mandated 7% biodiesel (B7) blend

for every liter of diesel sold since Jan 2014

Source - DOEB

1.23

1.67 1.65 1.72

2.42

2.88 2.892.55

47.4249.68 49.64

51.4054.72 55.92 56.96

60.08

0

10

20

30

40

50

60

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

2008 2009 2010 2011 2012 2013 2014 Jan- May2015

Die

sel u

sage

Mil

lion

Lit

ers/

da

y

B1

00

Use

(Mill

ion

Lit

ers/

da

y)

B100 Diesel

• Thailand mandated B5 since Jan 2012 and B7 since Jan 2014

• Blending percentage can be adjusted in accordance with palm oil supply abundance

2008 2009 2010 2011 2012 2013 2014 Jan-May2015

Targeting Biodiesel Consumption

5 ML/day

14 ML/day

2026

2036

52.3 53.0 53.5 57.1

46.0 43.0

2.4 2.9 2.92.7

5.0 14.0

0

10

20

30

40

50

60

2012 2013 2015 2015 2026 2036

Diesel Base Biodiesel

B1

00

Use

(Mill

ion

Lit

ers/

da

y

Source - DOEB

Biodiesel

Percentage5% 5% 10% 25%4%4%

54.7 55.9 56.4 59.7 51.0 57.0

Jan-Jun

Diesel-Base Demand

(ML/day)

B20 PromotionB10 Promotion

Related Polices

2016 17 18 19 20 21 22 23 24 25 2026 27 28 29 30 31 32 33 34 35 2036

B10 B20Option

B10

2018

2016

Completion of double-track railway infrastructure

Phase2 Thailand excise tax scheme for B10 diesel eco-carExcise tax rate at 12% starting from 1st Jan 2016

• Develop diesel-substitution fuel (both traditional and

advanced) in terms of both feasibility and economically

• Develop higher %biodiesel compatible vehicles

• Promote B10 as an optional alternative fuel

(Price incentive/Service coverage/Quality control)

• Tax incentives for vehicles that use high % biofuel (2026)

• Mandate B10 (2026)

• Promote B10 usage in transport and industrial sectors

• Promote B100 usage in agricultural machineries

• Develop and improve new feedstock

• Promote production of advanced biofuel that can be

commercially blended in higher percentage

• Promote consumption of higher-blend biodiesel as

an optional alternative

(Service coverage/Quality Control)

• Excise Tax incentives for vehicles that use high % biofuel

• Promote consumption of biofuel-blended fuel in both

transport and industrial sectors

THANK YOU

[email protected]

Yongyuth SawatdisawaneeDirector of Biofuel Development Bureau

Department of Alternative Energy Development and EfficiencyMinistry of Energy

Email : [email protected]