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Liquid Biofuels for Transportation Chinese Potential and Implications for Sustainable Agriculture and Energy in the 21 Century

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Liquid Biofuels for Transportation Chinese Potential and Implications for Sustainable Agriculture and Energy in the 21 Century Liquid Biofuels for Transportation Chinese Potential and Implications for Sustainable Agriculture and Energy in the 21st Century Assessment Study Beijing, P.R. China February 2006 Funded by German Ministry for Food, Agriculture, and Consumer Protection (BMELV) through German Agency for Renewable Resources (FNR) China: Liquid biofuels for transportation Team leader Prof. Wang Gehua, Institute of Nuclear and New Energy Technology, Tsinghua University, Beijing Author team: Mrs. Prof. Dr. Zhao Lixin, Chinese Academy of Agricultural Engineering (CAAE), Beijing Mrs. Zhang Yanli, Chinese Academy of Agricultural Engineering (CAAE), Beijing Mrs. Dr. Fu Yujie, Northeast Forestry University, Harbin Mrs. Elisabeth-Maria Huba (M.A.), Consultant, Beijing Mr. Liu Dongsheng, Chinese Academy of Agricultural Engineering (CAAE), Beijing Prof. Li Shizhong, Center of Bio-energy, China Agricultural University, Beijing Prof. Liu Dehua, Department of Chemical Engineering, Tsinghua University, Beijing Mr. Heinz-Peter Mang, Institute for Energy and Environmental Protection (IEEP), Beijing Support team: Mrs. Dr. Du Wei, Department of Chemical Engineering, Tsinghua University, Beijing Mrs. Dr. Zhou Yujie, Institute of Nuclear and New Energy Technology, Tsinghua University, Beijing Mrs. Xu Zhe, Institute for Energy and Environmental Protection (IEEP), Beijing Ms. Tian Yalin, Institute of Nuclear and New Energy Technology, Tsinghua University, Beijing Ms. Li Guo, Institute of Nuclear and New Energy Technology, Tsinghua University, Beijing Ms. Ina Patricia Jurga, Institute for Energy and Environmental Protection (IEEP), Beijing Prof. Dr. Guenter Schwarz, Northeast Forestry University, Harbin Mr. Zeng Lin, Institute of Nuclear and New Energy Technology, Tsinghua University, Beijing Additional Reviewer: Ms Dr Elke Foerster, Gesellschaft für technische Zusammenarbeit (GTZ), Eschborn Mr Dr Dirk Assmann, Gesellschaft für technische Zusammenarbeit (GTZ), Eschborn Mr Birger Kerckow, Agency for Renewable Resources (FNR), Gülzow Mr Dirk Peters, Gesellschaft für technische Zusammenarbeit (GTZ), Eschborn The views and opinions of the author expressed in this study do not necessarily reflect those of the BMELV. 2 China: Liquid biofuels for transportation Abbreviations & Acronyms APERC Asia Pacific Energy Research Centre ASTM American Society of Testing and Material BMVEL German Ministry for Consumer Protection, Nutrition and Agriculture BTL Biomass–to–Liquid BX Brix Value CAAE Chinese Academy of Agricultural Engineering CAS Chinese Academy of Sciences CBH Chinese Business Handbook CFPP Cold Filter Plugging Point CNOOC China National Offshore Oil Corporation CNPC China National Petroleum Corporation CSY China Statistical Yearbook DDGs Distillers Dried Grains EC European Commission EPP Environmental Preferable Product ERI Energy Research Institute EU European Union FAO United Nations Food and Agriculture Programme FNR Fachverband nachwachsende Rohstoffe (German Association for renewable prime material) FT Fischer-Tropsch process (Biomass-to-liquid, developed in Germany and South Africa) GMO Genetically Modified Organisms GTZ Deutsche Gesellschaft fuer technische Zusammenarbeit / German technical Cooperation IBC Investing Business with Knowledge, Asia Branch, Singapore IEA International Energy Agency IEEP Institute of Energy and Environmental Protection IFEU Institut fuer Energie– und Umweltforschung LAMNET EU-Latin America Thematic Network on Bio-energy LCA Life-cycle assessment LPG Liquid Petrol Gas MDG Millennium Development Goals MES Methyl Esters MOA Chinese Ministry of Agriculture MOF Chinese Ministry of Finance MOST Chinese Ministry of Science and Technology nd No data available NDRC National Development and Reform Commission / before SDPC NYBOT New York Board of Trade PRC People’s Republic of China R&D Research and Development RE Renewable Energies SCF Supercritical fluid technology SDPC State Development and Planning Commission / now re-named in NDRC SEA State Energy Administration SETC State Economics and Trade Commission / now re-named in NETC-National ……. SINOPEC China Petrochemical Corporation SOE State Owned Enterprise SPC State Planning Commission SSTC State Science and Technology Commission STA State Tax Administration TCM Traditional Chinese Medicine UFEP Union zur Foerderung von Oel- und Proteinpflanzen e.V. ULSD Ultra Low Sulphur Diesel UNCTAD United Nations Conference on Trade And Development UNDP United Nations Development Program UNFCCC United Nations Framework Convention on Climate Change USDOE United States Department of Energy USA United States of America WDG Wet distilled grain 3 China: Liquid biofuels for transportation WHO World Health Organisation Units & Currencies EUR Euro US $ Us Dollar (1 $ = 0.83 €) RMB Chinese currency YUAN (10 RMB = 1 €; 8 RMB = 1 USD) BN Billion (USA) b/d Barrel per day GJ Giga Joule = 109 Joule ha hectare, hectares Kg Kilogram Kwh Kilo watt hour l litre, litres Mio Million MT Metric tons mu 1/15 ha Mwh Mega Watt hours PJ Peta Joule = 1015 Joule t Ton, tonnes = 1000kg t/a Tonnes per year TOE Tons-oil-equivalent TCE/SCE Tons-coal-equivalent (1 KWh = 0.1229 kg CE/SCE / 1 TCE= 29.3076 GJ) Key Issues Renewable energy, fossil fuel, fuel substitution, fuel security, liquid biofuel, biodiesel, bioethanol, transportation, environmental protection, biomass, energy crops, energy agriculture, energy forestry, food security, rural development, industrial development, employment opportunity 4 China: Liquid biofuels for transportation INDEX Abbreviations & Acronyms 3 INDEX 5 Tables 6 Figures 8 1 Introduction & summary 9 1.1. Background and Rationale of the Chinese Biofuel Assessment Study 9 1.2. Objectives and methodological approaches 10 1.2.1 Objectives ........................................................................................................................ 10 1.2.2 Methodological approaches............................................................................................. 10 1.3. Ongoing liquid biofuel related activities in / with China 12 1.3.1 Conferences .....................................................................................................................12 1.3.2 Examples of related regional events where Chinese professionals participated: ............ 13 1.3.3 Examples of international visits of Chinese decision-makers and professionals ............ 13 1.3.4 Examples of Chinese participation in international R&D programs ............................... 14 1.4. Findings of the Assessment Study (Executive Summary) 15 2 Plant oil & Biodiesel – current situation and technical potential 18 2.1. Main Actors 18 2.1.1 R&D ................................................................................................................................ 19 2.1.2 Companies, joint ventures and projects........................................................................... 20 2.2. Production and end-use technologies 26 2.3. Biomass availability and potential in agriculture and forestry................................................. 27 2.3.1 Jatropha curcas L............................................................................................................ 28 2.3.2 Pistacia chinensis Bunge................................................................................................. 30 2.3.3 Xanthoceras sorbifolia Bunge ......................................................................................... 32 2.3.4 Cornus wilsoniana........................................................................................................... 33 2.3.5 Other crops ...................................................................................................................... 34 2.3.6 Other feedstock................................................................................................................ 39 2.4. By-products 40 2.4.1 Seedcake .......................................................................................................................... 40 2.4.2 Glycerine ......................................................................................................................... 41 2.5. National Markets - competitiveness, costs and prices of biodiesel 41 2.6. Analysis: plant oil as stationary fuel or for transport? 43 2.7. Summary on plant oil & biodiesel 44 2.8. Medium- and long-term perspectives 44 2.8.1 Demand for biodiesel in 2020 ......................................................................................... 44 2.8.2 Forecast on production potential of biodiesel.................................................................. 45 2.8.3 Benefit analysis................................................................................................................48 2.8.4 Potential development barriers ........................................................................................ 49 3 Bioethanol - current situation and technical potential 51 3.1. Main Actors 51 3.1.1 R&D ................................................................................................................................ 51 3.1.2 Companies, joint ventures & projects.............................................................................. 52 3.2. Production and end-use technologies 58 3.3. Biomass availability and potential: agriculture and forestry. 59 3.3.1 Sorghum bicolor (L.) Moench var. saccharafum Kouern................................................ 60 3.3.2 Manihot esculenta Crantz, M. ultissima Phol, M. aipi Phol ..........................................
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