International high oil prices stimulate the development of non-food fuel ethanol industry

On April 18, the “National Energy Biological Liquid Fuel R&D Experimental Center” approved and issued by the National Energy Administration was established on the COFCO Biochemical Energy Jidong Co., Ltd. The company mainly uses corn stalk raw materials for the development and application of cellulose fuel ethanol.

Experts said that under the current background of high international oil prices and a sharp increase in domestic emission reduction pressures, it is imperative to accelerate the development of the biomass fuel ethanol industry, and the advancement of the cellulose fuel ethanol technology will remove the "fuel ethanol industry" from the people. Grain" hat.

The "high oil prices" era rookie

On April 15, New York crude oil prices closed at $108.11 a barrel, up 0.9%. The era of "high oil prices" urgently calls for the emergence of fuel substitutes. At the same time, China proposed that during the "12th Five-Year Plan" period, China's non-fossil energy share of primary energy consumption should be increased to 11.4%, and the total discharge of major pollutants should be reduced by 8% to 10%. In today's large-scale development of nuclear power is facing doubts about safety, there is a need to accelerate the development of biomass energy, including fuel ethanol.

Experts said that the fuel ethanol industry is currently the most viable alternative to liquid fuels. Adding 10% of fuel ethanol to regular gasoline results in ethanol fuels that have the advantages of high energy efficiency and low tailpipe emissions. Up to now, China's ten provinces and districts are implementing this approach, which consumes 17 million tons of ethanol gasoline annually, and more than 20% of the country’s total gasoline consumption.

Compared to electric vehicles, the method of adding fuel ethanol to motor gasoline is easy to operate. It does not require large-scale retrofitting and upgrading of the vehicle's power system, which can reduce the dependence on fossil fuels. This also determines fuel ethanol. There is a huge market space in the field of environmental protection. At present, listed companies involved in the fuel ethanol industry in China mainly include Sinochem International, Hainan Coconut Island, Fengyuan Biochemical, and China Agri Holdings under the COFCO Group.

The fuel ethanol industry has caused controversy because of the possible impact on food security. In this regard, Yue Guojun, general manager of COFCO Biochemical Energy Group, said that the proportion of fuel ethanol consumed by the fuel ethanol industry in China is only 0.8%, far less than that consumed by liquor companies. .

It is understood that the COFCO Biochemical Division has made progress in exploring the development of "non-food" fuel ethanol production technologies. Guangxi Zhongye Biomass Energy Co., Ltd. has become a "non-food" fuel ethanol plant with cassava as raw material and an annual output of 200,000 tons of fuel ethanol. Data show that in 2010 China's fuel ethanol production was about 1.73 million tons, of which 200,000 tons was made of cassava.

It is expected to eliminate "competition with the people"

Experts said that the raw materials for fuel ethanol are being gradually transferred from corn- and wheat-rich food crops that are rich in sugar to cellulose-rich agricultural and forestry waste such as corn stover. Once the technology from cellulose to ethanol is mature, China’s fuel The ethanol industry will enter the fast track of development and the issue of “competition with the people” will be completely resolved.

At present, COFCO, in cooperation with well-known universities and research institutes at home and abroad, is conquering new technologies for converting cellulose into second-generation fuel ethanol. Once the technology is mature, various crop straws can be used to produce fuel ethanol, which will have a huge impact on China's energy structure adjustment and the promotion of agricultural industrialization. It is estimated that China produces about 600 million tons of agricultural waste per year, mainly straw. In addition to feed and returning land, there are 200 million tons that can be used to produce 40-50 million tons of cellulosic ethanol, which is almost equal to the current 60-70% of total gasoline consumption in China.

It is predicted that by 2020, China's production of cellulosic ethanol will be able to replace 31 million tons of gasoline, which will bring 32 billion yuan in revenue each year. Optimistic experts predict that the latest technology for converting cellulose into fuel ethanol is expected to reach industrial scale production applications in 3 to 5 years.

Despite the bright prospects, the development of China's fuel ethanol industry is also facing certain problems. In addition to the high cost of fuel ethanol production, some private enterprises are faced with the problem of not obtaining a government-approved fuel ethanol license when entering this field. Analysts said that if the relevant policy threshold is further liberalized, it will be beneficial to the rapid growth of the fuel ethanol market.