Green chemistry in South Korea

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1 IA Seoul Yewon Cha, Info: Green chemistry in South Korea Introduction When the terminology bio-based economy was first introduced in Korea, it referred to life science and medical industry focusing on the word bio. However, in the past few years, it has been changing to bioenergy and then subsequently various terminologies such as biochemistry, green-chemistry and biorefinery have made an appearance. Concerning cutting oil import and reducing CO 2 emission, bioenergy quickly grabbed the government s attention. It still is a major part of the government s bio-based economy projects. On the other hand, biochemistry is slowly getting more and more attention as the amount of exported petrochemicals constantly increases. Furthermore, some research showed that the value of biochemical product made of biomass is 4.7 times higher than the value of biofuel from biomass (SERI, Economy focus, 20 Feb. 2006, This also made it more attractive. In this article, the government project, current research and organizations, products in market, challenges and opportunities in biochemistry in Korea will be addressed. Details Besides responding to the increasing oil price and the enforced environmental regulations, biochemistry is an attractive market as it is still at a relatively early development stage and because of its promising growth potential. In 2010, the total production of biochemistry in Korea was about 442 million Euros and the export was 187 million Euros. 176 companies are active in biochemistry industry in Government Biochemistry Fostering Strategy by the Ministry of Knowledge Economy (current name: Ministry of Trade, Industry and Energy) was released in December The goal of the strategy is to become the fifth biochemistry country in the world by It aims at reaching 10% market share of domestic chemicals, 5% market share of world biochemicals and 917 million Euros of domestic biochemicals production. See figure 1. 1

2 Domestic chemicals market share (%) World biochemical market share (%) Domestic biochemical production (Tn KRW) Figure 1. Expected effects of Fostering Biochemistry Strategy The government will invest 175 million Euros for five years from 2013 till It is expected to replace 4.8% of crude oil import, reduce 10.8% of CO 2 emission and creates 43,000 jobs by The three key strategies are Connection, Synergy and Globalization: - Connection: Inducement of cooperation between large and small-medium sized, bio and chemistry companies; - Synergy: Fostering shared growth of industries by building common infrastructure; - Globalization: Certification and standardization to enhance global competence. Cluster, research institute and university - Cluster Osong Bio Valley North Chungcheong province is building Osong Bio Valley. One of the developments within this valley is ECO-Bio. ECO-Bio valley will be located in two regions. Research in materials and bioenergy will be conducted in the area around the city of Chungju; cosmetics and biochemistry will be researched in the area around the city of Jincheon. The entire valley is expected to be fully operational in Bioenergy Cluster in Gwangju and South-Jeolla province An added-value bioenergy cluster will be built in Gwangju and Jeolla province. Korea Institute of Energy Research (KIER) will take a lead in the cluster and a total 268 million Euros will be invested by The key goal of the cluster is to establish a production base for bioenergy development and diffusion. The R&D projects focuses on the production of cellulose biogas and its diffusion technology, establishment of a degradation facility for bio waste such as used paper and by-products from agriculture and gas production facilities. Besides these projects, the cluster will invest in companies for commercialization of technology, the establishment of business centres and the training of specialists. - Research institute Advanced Biomass R&D Centre (ABC) - ABC conducts research projects of the Ministry of Education, Science and Technology. See figure 2. 2

3 State Major Subject Details Form of Research Research Scale (2010~2011) * To develop technology for highly efficient terrestrial and aquatic biomass * Secure eco-friendly biomass and utilizable technology. * Study transformation strain system - Secure more than 100 species genes related in terrestrial and aquatic biomass growth - Select more than 1 microalgae and verification more than 2 basic - Selection and improvement of flexible bioenergy sources and production strains (more than three species) - Develop microbial strains optimized for biofuel and biomaterial production. original Lab-scale (2012~2014) * To develop technology of highly efficient terrestrial and aquatic biomass * Develop biomass cultivation, harvest, utilise element and study scale-up * Develop highly efficient biomass transformation strain and catalysts - Secure more than 30 species of valuable genes of terrestrial and aquatic biomass, and 1,000 strains of indigenous microalgae - concentrated microalgae cultivation (more than 5g/L) and achieving 80% of saccharification efficiency - high efficient biofuels and a catalyst system original application (spinoff of Enterprise' Participation) Lab-scale Test bed Enterprise' Participation (2015~2018) * To develop technology of highly efficient terrestrial and aquatic biomass * Establish a combined system for biomass cultivation, harvest, utilization, and development of oil platform technique. * Establish a process of biofuel and material production Figure 2. Sequential Research contents by ABC - highly efficient microalgae strain which have a fast growth rate - Secure high-lipid productivity more than 12g/m2/d (open type), 5g/L/d(heterotrophic microalgae), reduction 50% of cost for pretreatment and saccharification process, source flexible CBP bioethanol more than 80g/L - High efficiency bioethanol (ethanol concentration 130g/L, productivity 1/g/L/hr), biodiesel (conversion rate 95%, cetane number more 52, productivity 0.1L/h) original Utilization Technology (Technology transfer, Enterprise' Participation) Lab-scale Scale-up (Enterprise' Participation) 3

4 Ulsan Fine Chemistry Industry Center (UFIC) at Ulsan Technopark - Ulsan has the biggest chemical industry complex in Korea. Therefore, many so-called Regional Innovation System (RIS) programs are running here in cooperation with local chemical companies. The R&D office at the fine chemical business division is using sulphur, which is a by-product of the petrochemical industry in Ulsan, as base-material for construction materials. It is used in asphalt, water pipe and paving blocks. Together with a paper factory Moorim P&P, the fine chemical business division is developing a method to convert a by-product of the paper manufacturing process into a material that can be used to make car parts. To make these parts, the extract lignin is combined with existing plastic. This results in eco friendly car parts with better material properties. Research Institute of Industrial Science and Technology (RIST) - The energy & resources team at the energy & environment research division is using by-products of the steel industry to make a steel slag marine structure, triton, which is made from material with a high proportion of the mineral elements. The triton fish shelter therefore provides ideal conditions for the growth of seaweed and other sea organisms. Tests with this material have been done of the coast of Korea. Biomass (seaweed and coral reef) flourished on the new material. - University The Bio Refinery Research Center at Chosun University is developing a large capacity enclosed flat photo bioreactor (PBR). This project is supported by MKE and a total 1.5 million Euros has allocated to it in 2010 for three years. The centre is also developing a technology to produce biodiesel from the biomass produced by the PBR. The PBR is a hybrid of solar and LED and it has diverse sizes from 5L to 200L, therefore it can be used for different types of algae. Using continuous culture technology, the productivity of the PBR has been improved remarkably. See figure3. Figure 3. A large capacity enclosed flat photo bioreactor by Chosun University 4

5 Products in market Company Huvis Product Ingeo 08 Samsung Electronics Reclaim phone 09 LG Hausys floor helps contribute points to Leed Scorecards by offering a low-emitting flooring system and thus containing the required levels of recycled content. LG Hausys ZEA Maru 10 Woongjin Chemical Bioplastic Filament 10 SK Chemical ECOZEN Bioplastic

6 Challenges and opportunities Finding biomass is the biggest challenge that Korea faces in the development of a biochemistry industry. Not only biomass but also basic materials such as Poly Lactic Acid (PLA) are heavily dependent on import. In terms of technology, Korea is advanced in fermentation technology. Other basic are rather weak. Lack of specialists and infrastructure limits R&D results to be commercialized. The uncertainty surrounding these new businesses is also a reason for the passive investment of companies in the biochemistry. Compared to the Netherlands, fewer by-products come from agriculture but more from chemical industry. Therefore, innovative research in the chemical industry has better chances cooperating with Korea. It is good to know that not only the attention from the government is increasing, but also the awareness and needs from customers are growing. This means that due to the increasing interest ecofriendly products using biomass have advantages in market. Resources Ministry of Trade, Industry and Energy (MOTIE) - The Korea Economic Daily - 6

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