Bio renewable Resources Platform. Ton Runneboom, Chairman
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1 Bio renewable Resources Platform Ton Runneboom, Chairman
2 Sustainable Economy A Bio-based Economy(BBE) is a subset of a sustainable economy UN definition for sustainable development: Development which meets the needs of the present without compromising the ability of future generations to meet their own needs
3 The drivers for a sustainable economy vary: Sustainable Economy Climate change & CO2 reduction Care For the environment Care For our future generations Energy security World Peace Finding ways to live on this planet with 9 billion people Wealth creation Etc, etc Never the less these different drivers together form a strong global consensus for a sustainable economy ;
4 Bio based economy From the 85 million barrels oil per day, 3,5 barrels are used for the chemical industry. Chemical industry also uses gas. Total fossil mil. MT Total bio products mil. MT Total biomass mil. MT Sustainable energy needs to come from : Hydro Wind Solar Nuclear
5 Dutch Situation CO2 emission of the Netherlands in milliont CO2 emission of the Netherlands in million T Through efficiency and alternative energy initiatives the emissions have been kept constant while the economy in the Netherlands grew from 245 to 575 billion 240% increase with 4,4% cum growth rate! The population grew from 14,9 to 16,6 million in % increase with 0,62% cum growth rate.
6 Dutch Situation Vision / Strategy to reach 2050 target Efficiency improvements and none CO2 based energy will keep the emissions at 200 million MT Bio renewable resources need to make a reduction of about 80 million MT (+/-1000 PJ ) The built-environment (existing buildings) need to make a 80 million MT reduction.
7 Global atmospheric CO = +/-500 PPM 2 degree target = 450 PPM 2010 = 385 PPM 1990 = 355 PPM Present focus is on reducing the rate of growth, not reducing CO2 in the admosphere
8 Energy Transition Energy Transition is a result of a cooperative effort between 8 ministries to form one consistent view for the transition from fossil basedto renewable based energy. 7 theme s: New Gas Sustainable mobility Bio renewable resources Chain efficiency Sustainable electricity supply Energy in the built environment The greenhouse as energy source = 7 platforms Cooperation between government, business and universities
9 Representatives from: Bio renewable Resources Platform
10 Bio renewable Resources Platform The Bio renewable resources platform has set a dual target: 1. To facilitate that 30 % of the energy needs of the Netherlands will come from bio renewable resources by 2030 ( 1000 PJ ) 2. To make a positive contribution to the economy while utilizing bio renewable resources This is a huge dual target in relation to: The physical size of The Netherlands The high energy consumption The economic transformation that will be needed
11 Strategies Positive economic added value PJ Negative economic added value - +/-15 Billion Euro / Year Subsidy will hit the target
12 Bio-economy aims at maximizing the area between x and y axis Strategies Positive economic added value Negative economic added value + - Estimates vary +/-20 Billion Euro / Year 1000 PJ
13 Products more valuable than energy should be separated to maximize the total value Strategies Positive economic added value + Pharma Protein Starches / Oil Solid Fuel 1000 PJ Negative economic added value - CO2 Value chains become visible
14 Projects & Ideas PGG
15 Projects& IdeasPGG
16 CO2 Agro CO2-value chain BBE crops cereals oil crops sugar crops grasses algae seaweeds organic components starch vegetable oil sugar protein (ligno) cellulose primary products food (vegetarian) feed fuel fiber Human need products food (animal protein) chemicals paper/ fabric/ construction residues / wastes organic residues manure Protein Bio refinery waste water & nutrients Bio cal under RED biogas digestate anaerobic digestion
17 Algae production Synergy Energy/Agro/Process Industry: manure electricity production concentration of algae with residual heat CO2 warm water O2 algae 0.5% algae production concentrated algae slurry 4% chicken pigs mussels oysters shrimp fish
18 Cattle farming traditional grass soy refinery soy-protein soy-oil CH4 cattle manure fermentation NPK milk
19 Cattle farming traditional grass soy refinery soy-protein soy-oil CH4 cattle manure fermentation NPK milk
20 Cattle farming with grassbiorefinery Increased grass harvest refinery protein fibers / juice CH4 cattle manure fermentation NPK milk
21 Making the chemical sector green Innovation Current chemical industry BIOMASS Gasification Biorefinery Starch / sugar / ligno-cellulose Fermentation Aerobic An-aerobic Funct. molecules Lactic acid Succinic acid Acidic acid Other specialties Iso-butanol Ethanol Methane SNG Iso-butylene Ethylene Reforming Para-xylene Propylene Plastics, thickeners Preservatives, plastics Synthetic polymers, glue PET-bottles Plastics, surfactants, detergents Plastics, carpets Fertilizers, methanol =80% Chemical industry
22 Chemical bio-based building blocks The bio based Fuel industry will develop Ethanol and Butanol als bulk commodities to blend into transportion Fuel Bio Methane as raw material plus use in Synthesegas ( Fertiliswer Industry... C1 Bio-Ethanol Bio-Ethylene C2 Bio-Iso-Butanol------Bio-IsoButylene----p-Xylene---PTA (Gevo/ Lanxess) C4 Iso-buylene+ Ethylene Propylene C3 Bio-Benzene / BTX ----from lignin? Chlorine ---based on Green power With these building blocks 90 % of the chemical industry can become bio based.
23 Bio Methane
24 Bio Methane
25 Bio Methane Bio Ethylene base on Ethanol
26 Bio Methane
27 Bio Ethylene Million MT Total Ethanol production can only cover a small % of total ethylene demand
28 Projects& IdeasPGG
29 Projects& IdeasPGG
30 BioMethane Bio Methane is produced by anaerobe fermentation of biomass, basically waste products that are not part of the food / feed chain. The potential within the Netherlands is estimated to be in the range of 1 to 4 billion cubic meter i.e. 80 to 300 PJ THIS IS A BIG POTENTIAL
31 BioMethane The Transportation Fuel market in The Netherlands equals MT / Year According to RED 10 % of the caloric value needs to be replaced by 2020 with renewable energy and specific products are mentioned. Based on present Ethanol prices the premium cost will be 600 million Euro per year
32 BioMethane Existing practise will fulfil the target predominantly with Ethanol, Bio Diesel Existing Bio Methane production is predominantly target to renewable energy ( value 15 cents / cbm) and not to renewable transport fuel ( value > 70 cents / cbm). The Bio Methane should be redirected to transport fuel to capture part of the 600 million Euro premium and avoid the present subsidy of20 million
33 BioMethane Burning 1kg of: CO2 per MJ: 1 kg Methane is equal in heating value to 1,12 kg gasoline or 1,85 kg ethanol With an ethanol price of 530 /m3 the caloric equivalent price of Bio Methane is 0.90/m3 When Bio Methane is valued this way projects should be able to get start without subsidy.
34 BioMethane The Bio Methane should be redirected to transport fuel to capture part of the 600 million Euro premium and avoid the present subsidy of 20 million. to make bio refining economically attractive in many situation as the bio gas is a major component of the total product mix Bio Methane in transportation fuels is the engine under the BBE as it makes fermentable rest products valuable.
35 Government Policies Legislation versus Subsidies Subsidies are needed to get started or push an idea through a barrier Stable Legislation is needed to provide an environment for business cases and to get the industry involved EU Renewable Energy Directive is a good example!
36 Target areas BBE 4 target areas for the BBE to reach dual target : Specialities and added value products ( White & Red bio tech ) Transportation fuels under the RED with special target to bio methane Chemical bio-based building blocks, Bio Methane, Bio Ethylene, Bio Propylene and Bio benzene / BTX CO2 value chains...proteins for Feed and Food
37 Views on the BBE Present society and businesses have been build based on fossil, incl. logistic and value chains. Current logistic and value chains are not organized to suit the BBE. Legislation needs adjustments to open business opportunities e.g. Bio Methane / Bio Ethanol import / Excise duty Bio fuels But also new value chains are becoming visible for new business cases e.g. from CO2 to end product CO2 to animal protein
38 Thank you for your attention More information on:
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