BIOENERGY IN RUSSIA:

RESOURCES, TECHNOLOGIES AND DEVELOPMENT PRIORITIES

Raif VASILOVNational Research Centre “Kurchatov Institute”

Russian Bioenergy Technology Platform

WORKSHOPInternational Cooperation in the Field of Bioenergy

October 22-23, 2013, Moscow

NRC “KURCHATOV INSTITUTE”

� Russian leading centre in science and technology which includes a number of specialized institutes and scientific-technical complexes. Total staff: 5,000 employees .

� Basic scientific and technical directions of its activity: fundamental and applied researches, nuclear energy, biotechnology and bioen ergy, nanotechnologies and nanomaterials, information systems and technolo gies, biomedical technologies and nuclear medicine , etc.

� NRC «Kurchatov Institute» represents Russia in such global research projects as ITER, CERN, XFEL

• NRC "Kurchatov Institute” – Coordinator of the TP’s activity

• TP “Bioenergy” brings together 145 organizations involved in different areas of biotechnology and bioenergy.

• Web-site: www.tp-bioenergy.ru

RUSSIAN BIOENERGY TECHNOLOGY PLATFORM (TP “BIOENERGY ”)

TP “BIOENERGY” has been established November 19, 2010 on the General Assembly Meeting and approved by the decision of the Government Commission on High Technologies and Innovations (April 1, 2011)

TP “BIOENERGY ”: STRUCTURE AND MEMBERS

CONTACTS:Tel. +7 (499) 196-7460 (ext. 3265), Fax: +7 (499) 196-7723, E-mail: info@tp-bioenergy.ru

www.tp-bioenergy.ruPostal address: 1, AkademikaKurchatova pl., Moscow, 123182, Russia

QUESTIONS TO BE ADDRESSED:5

Biomass and Bioenergy Potential in Russia

Drivers and Tools for Bioenergy Development in Russia

Russian-EU Cooperation in Bioenergyand Bioeconomy

BIOMASS AND BIOENERGY POTENTIAL IN RUSSIA

LARGE BIOMASS POTENTIAL IS THE MAIN ADVANTAGE OF RUSSIA IN BIOENERGY

FACTS AND FIGURES…~ 22% of world forestation: 1.180 mln. hectares

Potential cutting area: 600 mln. m3/yearPotential wood residue: 200 mln. m3/year

Total annual amount of organic waste: 625 mln. tons

Volume of industrial and municipal waste: 165 mln. tons

~ 10% of world arable land: 195 mln. hectaresGrain > 100 mln. tons/year

UNECE supports the development of Regional Biomass Action Plans of the

Russian Federation

8

Agricultural organic waste

Energy potential: up to 80 mln tons of oil equivalent/year

Forestry biomass

Municipal waste

Energy potential: up to 1.0 bln tons of oil equivalent/year(total forest stock – 20 bln tons of oil equivalent/y ear)

Waste water and Solid domestic waste

Peat

Energy plantations

Total stock - 60 bln tons of oil equivalent;Industrial stock - 100 mln tons of oil equivalent/yea r

Min. volume - 270 mln tons of oil equivalent/year; 19 mln hectares – 20%;

Biogas – 228 mln tons of oil equivalent/year; Ethanol – 40 mln tons of oil equivalent/year

MAIN SOURCES OF ENERGY BIOMASS IN RUSSIA

ASSESSMENT OF RUSSIAN BIOMASS -BASED ENERGY POTENTIAL

Total potentialMln tons of oil

equivalent/year

Technical potentialMln tons of oil

equivalent/year

Economic potentialMln tons of oil

equivalent/year

Biomass-based energy

467 129 69

OPTIMISTIC SCENARIO OF BIOENERGY DEVELOPMENT

• Annual energy balance of Russia is more than 1,600 million tons of oil equivalent

• Potential biomass-based production of biofuels in Russia in the coming decades can reach about 1,500 million tons of oil equivalent/ year and will not concede to annual production of oil, coal or natural gas.

• In case of optimistic scenario of emerging bioenergy branch development Russia has a chance to become the largest exporter of a number of bioenergy products .

ORGANIC WASTE RESOURCES IN RUSSIA

REGIONAL BREAKDOWN OF AVAILABLE ORGANIC WASTE

REGIONAL BREAKDOWN OF BIOMASS POTENTIAL (PEAT VS. WASTE OF ALL TYPES)

BIOFUELS OF CHOICE

• Availability of agricultural and forest organic waste predicts the following universal biofuels to be acceptable for all Russian regions :

– PELLETS (granules, briquettes)

– BIOGAS

(Institute for Energetic Strategy)

EMERGING THE NEW BIOINDUSTRY BRANCH: PELLETS PRODUCTION

• New branch is emerged in Russian forest-industrial complex: the production of fuel pellets from sawdust .

• > 200 pellets production plants with capacity ranging from 1 th t to 100 th tons have been built over the last 10 years in Russia.

• > 1 mln tons pellets were produced in 2011 (5th place in the world after Sweden, Germany, Canada, USA).

• Russia became one of the key pellets supplier to Europe surpassing the former leader – Canada.

INCREASING NUMBER OF PELLETS PRODUCTION PLANTS IN RUSSIA

Source: Moon

RUSSIAN PELLETS PRODUCTION CAPACITIES: REGIONAL DISTRIBUTION (2011)

ANNUAL WASTE PRODUCTION IN RUSSIAN AGRO-INDUSTRIAL COMPLEX (2012)

BIOGAS PRODUCTION – THE RIGHT CHOICE FOR RURAL AND REMOTE AREAS

� Development of the biogas segment looks the most promising because it does not require major investments in the organization of production but creates conditions for effective growth of rural and remote regions, solves a range of social, economic and environmental problems.

� The sufficient resource base and proprietary technology solutions are provided.

POTENTIAL OF BIOGAS PRODUCTION

Source: Russian Economic Statistics

ENERGY CROPS CULTIVATION – PROMISING RENEWABLE ENERGY SOURCE

• Russian potential of abandoned arable land suitable for energy plants cultivation as a feedstock to produce biogas and bioethanol is about 40 mln hectares

CropsArea of cultivation sufficient to meet the demand of transport of agri-industrial complex

Area of cultivation sufficient to meet the demand of transport of the Russian Federation

Jerusalem artichokes

3 mln hectares 15 mln hectares

Sugar sorghum

1 mln hectares 15 mln hectares

LIQUID BIOFUELS

• The industrial branch of liquid biofuel production is under-developed in Russia

• Although in 2005 the total production capacity of bioethanol was 1.5 billion liters/year , in 2008 was released only 500 million liters of bioethanol (from crops and wood residues).

• Currently, some regions are going to expand production of liquid biofuels (Tatarstan, Omsk, Tomsk, Volgograd, Lipetsk, Penza, Rostov and other regions).

•

22

BIO-OIL

• Currently in Russia and worldwide the thermochemical technologies are under development which permit to produce bio-oil on the basis of deep chemical processing (pyrolysis) of all kinds of raw materials (wood, straw, corn waste, municipal solid waste, etc.).

• Bio-oil can be used as heating oil boilers and in the transport sector .

• 1 ton of waste = 600-800 kg of bio-oil

• Production cost of 1 ton of bio-oil = $ 200 (price of raw materials is $ 20/ton)

PROMISING BIOENERGY TECHNOLOGIES IN RUSSIA

� Bio-alcohols from lignocellulose

� Bio-oil processing into a high-quality fuel

� Bio-kerosene from vegetable oils

� Qualified non-standard fuel combustion in catalytic boilers

� Fast pyrolysis of lignocellulose with green diesel production

DRIVER AND TOOL OF BIOENERGY DEVELOPMENT IN RUSSIA

SPECIAL SIGNIFICANCE OF BIOENERGY FOR RUSSIA IN THE XXI CENTURY

The main challenge for Russia in the XXI сentury is the need to provide a sustainable development of the large territory

in the conditions of decrease in population and undeveloped infrastructure

This problem can be solved on the basis of

BIOENERGY development

БИОТЕХНОЛОГИЯ В МИРЕ И РОССИИ

RUSSIA: POPULATION OF THE TERRITORY.URBAN AND RURAL AREAS

ENERGY MAP OF RUSSIA

SOME DATA ON RUSSIAN FEDERATION ENERGY SECURITY

���� 2/3 of the Russian territory does not have electric power distribution network

���� 20 mln. people do not have a reliable electric power supply

���� 11 thousand settlements have disappeared from the Russian map over the last 20 years

���� 13 thousand settlements are about to disappear

Source: ANO IAC, 2011

GOOD BASIC CONDITIONS TO PUSH RE

• All Russian regions possess the principle renewable energy sources (solar, wind, small hydropower, biomass) and have the necessary capabilities for creation of integrated energy systems to produce heat, electricity and motor fuel s and to meet the demand of population and industry in any kind of fuel and energy

• Alternative energy sources are able to provide up to 30% of the fuel and energy consumptio n in Russia i.e. 916 mln t of oil equivalent/per year

• There are a number of domestic bioenergy technologies capable to provide the economic and social development of the remote and rural Russian regions .

REGIONAL BREAKDOWN OF RENEWABLE ENERGY POTENTIAL

AVAILABILITY OF BIOENERGY FEEDSTOCKBY REGIONS

Qualitative & quantitative characteristics and struct ure of available bioenergy feedstock (in tons of oil equivalent) by Russian regions determine not only the type of bioenergy technologies for biofuels production, but also their possible volume production in each Russian region.

MAIN APPROACH TO PROVIDING THE REGIONAL BIOENERGY SUPPLY

• Differences in renewable energy sources distributio n imposes the creation of bioenergy clusters combining different renewable energy sources as a principle approach to the regional bioenergy supply.

INSTITUTIONAL FRAMEWORK FOR BIOENERGY DEVELOPMENT IN THE RF

• Key Players:

• Ministry of Economic Development of the Russian Federation

• Ministry of Energy of the Russian Federation

• Ministry of Industry and Trade of the Russian Federation

• Ministry of Agriculture of the Russian Federation

• Ministry of Natural Resources and Environmental Protection of the Russian Federation

• Ministry of Regional Development of the Russian Federation

• Federal Forestry Agency (Rosleskhoz) of Russia

• Regional bodies of executive power of constituent territories of the Russian Federation

• Russian Technology Platforms:

– «Bioenergy»

– «Bioindustry and Bioresourses – BioTech2030»

• Development institutions

LEGAL FRAMEWORK FOR BIOENERGY DEVELOPMENT IN RUSSIA

• Bioenergy development in Russia is ensured by follo wing basic documents:

– The State Coordination Programme for the Biotechnology Development In the Russian Federation until 2020 (approved by the Government of the Russian Federation 24.04. 2012)

– The Energy Strategy of Russia until 2030 (approved by the Government of the Russian Federation 13.11. 2009 № 1715-p)

– The State Programme of the Russian Federation "Energy saving and energy efficiency for the period until 2020” (approved by the Government of the Russian Federation 27.12. 2010 № 2446-p)

– The State Programme of the Russian Federation “Development of industry and increase its competitiveness for the period till 2020” (approved by the Government of the Russian Federation 27.12.2012 №2539-р)

– The State Programme of Agriculture Development and Market Regulation for Agricultural Products, Raw Materials and Food for the period 2013-2020 (approved by the Government of the Russian Federation 14.07.2012 № 717)

– The Roadmap for Biotechnology and Genetic Engineering Development (Approved by the Government of the Russian Federation in 2013)

• Date of governmental approval: April 24, 2012

• Coordinator : Ministry of Economic Development

• Terms of implementation : 2012 – 2020

Stage I : 2012 – 2015Stage II: 2016 – 2020

“BIO -2020” - STATE COORDINATION PROGRAMMEFOR THE BIOTECHNOLOGY DEVELOPMENT IN THE

RUSSIAN FEDERATION UNTIL 2020

GOAL OF THE PROGRAMME:

Creating a high-tech sector of bioeconomy in Russia which along with nanotechnology and information technology should become the basis of constructing a post-industrial economy in the country .

“BIO -2020” BUDGET STRUCTURE

2011 – 2020

TOTAL BUDGET:

1078 bln. rubles

RUSSIAN BIOENERGY ROADMAP: COMPLEX OF ACTIONS FOR BIOENERGY DEVELOPMENT

Actions Implementation Term

Responsible Eexecutors

Adoption of the Federal Laws Regulating Bioethanol Market and Turnover

4th quarter of 2013

Ministry of Economic Development, Ministry of Industry and Trade, Ministry of Energy

Improvement of the Customs Union Technical Regulations for Fuels

October, 2013 Ministry of Industry and Trade, Ministry of Energy

Analysis of Unclaimed Ethyl Alcohol Production Capacity and its Possible Conversion to Bioethanol Production Facilities

September, 2013 – 4th quarter of 2014

Federal Executive Authorities

Implementation of the Project on Bioethanol Industrial Production

4th quarter of 2014 – 5th quarter of 2015

Ministry of Industry and Trade, Ministry of Economic Development

Adoption of Guidelines for Development by Local Authorities of the Settlements Heat Supply Schemes Involving Renewable Energy Sources

April, 2014 Ministry of Regional Development, Ministry of Energy, Ministry of Natural Resources

Improvement of Federal Legislation for Creation of Favorable Conditions for Biomass usage

4th quarter of 2014

Ministry of Agriculture, Ministry of Energy, Ministry of Economic Development

RUSSIAN BIOENERGY ROADMAP: INDICATORS OF DEVELOPMENT

Indicators Unit 2012 2015 2018 BIOENERGY

Share of motor biofuel and its components in the total fuel consumption

% 0 3 8

Heat generation bln. rubles 8 60 160 Share of area, surface & ground waters and soil treated with biopreparations in the total area, surface & ground waters and soil pcontaminated by the enterprises of the fuel and energy industry

% 0 30 80

Share of energy utilisation of waste produced in poultry, livestock, plants cultivation, timber and food industry, incl. alcohol and beer manufacture in the total volume of agricultural and forestry waste

% 3 30 80

Production of solid biofuel mln. ton 3 6 16

WAYS TO ENCOURAGE THE USE OF BIOMASS FOR HEAT AND ELECTRIC ENERGY GENERATION

• Growth of economically available biomass resource by increasing the efficiency and manageability of the forestry industry

• Development of bioenergy in the territories where it has economic and social reasons

• Administrative and information support of biofuels usage (tax regulation, preferential credit rates, direct subsidies

RUSSIAN-EU COOPERATION IN BIOENERGYAND BIOECONOMY

RUSSIAN-EU COOPERATION IN BIOENERGY AND BIOECONOMY

– Biomass supply chain• Pellets• Biogas, Biomethane, etc.

– Biomass-based Bioenergy Technologies• Biorefineries• Power generation (Combustion, Gasification, etc.)• Biofuels production (Pyrolysis, Bio-Oil, etc.)

– Bioenergy-Based Sustainable development• Decentralized Bioenergy supply• Bioecopolis

CONTACTS:

Tel. +7 (499) 196-7460 (ext. 3265), Fax: +7 (499) 196-7723, E-mail: Vasilov_RG@nrcki.ru

THANK YOU FOR ATTENTION!