Biofuels in Sweden – moving the sustainability agenda forward
Semida SilveiraPhD, sustainability expert
International Secretariat
Curso combustíveis líquidos
Campinas, Brasil
08 June 2006
Biofuels in Sweden – moving the sustainability agenda forward
Presentationstructure
EU policies and concerns
Swedish experiences
Reducing fossil fuel dependence
Priorities in EU energy policies
security of energy supply
environmental protection
industrial competitiveness
Security of supply
In 2030, EU may have to import
90% of oil
90% of coal
60% of gas
Why alternative fuels for transport in Europe? (1)
Reduction of greenhouse gas emissions
(transport is major source of GHG emissions)
8% reduction of GHG emissions
(2008-2012)
Why alternative fuels for transport in Europe? (2)
Biofuels directive
5.75 % in share of biofuels in transport 2010
Increasing production of biofuels
Test of ethanol busses in many cities
Action to promote transport biofuels use in Europe
Biofuels in Sweden – moving the sustainability agenda forward
Presentationstructure
EU policies and concerns
Swedish experiences
Reducing fossil fuel dependence
Energy intensity per BNP
Sweden 1980-2002
UraniumCoalGasOilBiofuelsHydro, windTotal
Source: SCB
energy use delinked from development
Accomplishments
Growth of income per capita
1980-2004 (50% increase)
Growth in %BNI/capita 10.000kr
Broken time series 1993/94
Source: SCB
Total energy use
1970 = 408 TWh
2004 = 405 TWh
energy use delinked from economic growth
Greenhouse gas emissions per sector in Sweden
transport
buildings
waste
Industrial processes
heat and power
agriculture
industry
Bioenergy in Sweden
factors that favoured the development
district heating systems – heat markets
investment subsidies and tax incentives
integration with forest industry
local engagement in energy issues
long-term policies for fossil fuel substitution
research and development
BioEthanol expansion in Sweden 2001-2005
0
50 000
100 000
150 000
200 000
250 000
300 000
2001:1 2001:2 2002:1 2002:2 2003:1 2003:2 2004:1 2004:2 2005:02:00
Total RME-volym
Total etanol-volym
Clean vehicles in Sweden
0
5000
10000
15000
20000
25000
30000
35000
40000
2000 2001 2002 2003 2004 2005
Nu
mb
er
of
ve
hic
les
Heavy duty electric andfuel cellCNG buses and lorries
Ethanol buses
Low consumption
Ethanol
CNG
Electric hybrid
Electric battery
Major driving forces favouring transport biofuels in Sweden
Policy to break oil dependency 2020
CO2 emissions reduction needs (4%)
The biofuel directive (5.75 biofuel 2010)
Security of supply
Driving forces for ethanol use in Sweden
Tax incentives on biofuels
Cheap ethanol from Brazil
Legislation on installation of pumps in gas stations
Legislation for filling stations
Mandatory biofuel pump at stations
• larger than 3500 tonnes gasoline (2006)
• Larger than 1000 tonnes gasoline (2009)
Technology neutral but will favour ethanol (biogas pumps cost 5-10 times more than ethanol)
Filling stations in Sweden 300 filling stations for ethanol E85
Green-ethanol
Yellow-FAME
Blue-Biogas, natural gas
all stations expected to deliver biofuels in 2009
Driving forces for flexifuel vehicle (FFV) in Sweden
Tax reduction on biofuels
Incentives for car owner
Free parking in some municipalities
No congestion fee in Stockholm
Cheap ethanol
Calculations for a FFV owner Company car taxation - 300
Euro Free parking - 500
Euro No congestion fee - 1400 Euro Lower price on ethanol - 150 Euro
Total savings per year - 2350 Euro
Problems on consumer side
less energy content in ethanol (up to 30%) conservatism short term legislation (2008) uncertain development of ethanol prices fewer advantages for private cars FFV more expensive than conventional car (€400-900)
Problems for the government
tax exemption is expensive (green certificates?)
large imports (duties?) X own production
distribution of biofuels (mandatory measures)
hard to fulfill the biofuel directive
no direct solution for diesel (BTL)
Biofuels in Sweden – moving the sustainability agenda forward
Presentationstructure
EU policies and concerns
Swedish experiences
Reducing fossil fuel dependence
Dealing with the energy and climate challenges
technological challenge
sustainable development
restructuring of markets
less fossilmore renewablesefficient energy supply and use
ecologically, socially and economically robust systems; increased energy service access; climate change mitigation
competitive marketsnew systemsnew investment patterns
Major policy targets in Sweden
breaking oil dependence (2020)
17 TWh more electricity from renewables (2002-2016)
non-binding target of annual wind power = 10 TWh in 2015
reduce energy use in buildings by 20% (1995-2020)
4% less ghg emissions without sinks or flexible mechanisms
Goals and policies
Research focusenergy in transport
Production processes for renewable fuels
Improved energy efficiency of vehicles
Development platform – well to wheel
VEHICLES
EMISSIONS RENEWABLE FUELS
Fuels are CO2
neutral and highly efficient
Efficient vehicles delivered from industry
Commercial technologies; harmonization within EU
Introduction of biofuels
in the market
Fuels Low mixture 100% clean fuel
DME
Ethanol (E)
Alcohols (A)
Diesel
short term ----> middle-long term
E5 (E10)
Synthetic
M3
Synthetic
A100
Biodiesel production in Europe(in thousand tonnes)
Country 2005 2006
Germany 1699 2681
France 492 775
Italy 396 857
Czech Rep 133 203
Poland 100 150
Austria 85 134
UK 51 445
Sweden 52
Total EU 3184 6069
Source: European biodiesel board
Gasification and synthes gas
for transport fuels and chemicals
Synthes gasSynthes gas(CO+H2)(CO+H2)
GasGas
CoalCoal
BiomassBiomass
Synthetic Diesel (FT)
Metanol
DME DME (DiMetylEter(DiMetylEter))
HydrogenBlack liquorBlack liquor
Oil prodsOil prodsG
AS
IFIC
AT
ION
CO2
Växjö Värnamo Biomass
Gasification Center
project illustrating Swedish and European ambitions to accelerate the implementation of the Biofuels Directive
centre of excellence for training and development of technical know-how in gasification for liquid biofuel
regional project with global interest
Feeding systems Hot gas cleaning Gasification of biomass IGCC GT Synthes gas upgrading Catalyst research BTL processes H2 for fuel cells Training and education
Växjö Värnamo Biomass
Gasification Center
The BLGMF process substitutes the recovery boiler and allows production of transport fuels
typically5-600 MW
Pulp
Black liquor energy
Biomass
BLGMF DME/MeOH
Source: CHEMREC
Extra biomass inputs balances the internal energy needs
Typically5-600 MW
Pulp
Black liquor energy
Biomass BLGMF DME/MeOH
Source: CHEMREC
and allows for 65% more production of highly efficient transport fuels
typically5-600 MW
Pulp
BiomassBLGMF
DME/MeOH
>65%Source: CHEMREC
Black liquor energy
Heavy duty vehiclesdistance per hectare and year
0 2000 4000 6000 8000 10000 12000
km / hectare & year
Rapeseed to RME, byproducts asanimal feed
Wheat to ethanol, straw as energy,byproducts as animal feed
Salix to Ethanol
Salix to Synthetic Diesel
Salix to Synthetic Diesel via BlackLiquor
Salix to Methanol
Salix to DME
Salix to Methanol via Black Liquor
Salix to DME via Black Liquor
Diesel engine efficiency assumed for all fuels
Source: AB Volvo
The road ahead for
biofuels in Sweden
biofuels can be phase-in into existing transport systems ethanol is a good starting point incentives are needed in initial phase introduction of biofuels expensive for the government more RTD is needed for development of biofuels EU consensus on what to do but how to do it still pending