Post on 29-Mar-2018
transcript
by Sanin Triyanond
Thai Biodiesel Producer Association
Palmex Thailand 2011Impact, Muang Thong Thani
September 8, 2011
Outline
Association Introduction
Biodiesel Thailand Vs Global
Market Situation
Future
Conclusion
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Association Introduction
AI Energy Co., Ltd
Bangchak Biofuel Co., Ltd
B.Grimm Green Power Limited
Bioenergy Plus Co., Ltd
Energy Absolute Plc
New Biodiesel Co., Ltd
Patum Vegetable Oil Co., Ltd
Pure Biodiesel Co., Ltd
Thai Oleochemical Co., Ltd
Verasuwan Co.,Ltd
Established on June 9, 2010
10 Members
Support & develop biodiesel business
Biodiesel info. center
Corroboration with government bodies
Mission
1
5
10
7
6
8
9
3
4
2
OutlineAssociation Introduction
Biodiesel Thailand Vs Global‐ Biodiesel Business Environment
‐ Policy on Biodiesel
Market Situation
Future
Conclusion
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Considerably new business
Growing throughout the world
Environment / Energy security / Self sufficient
Only survive by government policy
Biodiesel Thailand VS Global
Biodiesel Business Environment
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Source: 1) IEA analysis based on various governmental sources. 2) www.ec.europa.eu 3) www.epa.gov
Biodiesel Thailand VS Global ‐ Global Policy
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Biodiesel Thailand VS Global‐ Current Feedstock
REDP Master Plan 2008‐2022: Biodiesel Roadmap
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Biodiesel Thailand VS Global ‐ Thai Policy
08 09 10 11 12 13 14 15 16 17 18 19 20 21 22
Biodiesel Market
Biodiesel Production
RawMaterial
R&D
Biodiesel Demand (ML/D)
1.35 1.35 1.35 3.02 3.64 4.50
Research on Fishery Boat B5 Nationwide B10 Alternative
Mandate B2 Mandate B5
Alternative B5 Alternative B10
From palm oil and palm stearinStandardization of quality control system
Promote and develop production process/ community biodiesel
Expand plantation area 2.5 MraiIncrease yield from 2.8 to 3.2 MT/Rai/Y
Demonstration of value‐added glycerine/ extraction of CPO for small millR&D BTL/ BHD/ Algae oil Demonstration / Promote the production of BTL/ BHD/ Algae
Demonstration of Jatropha plantation and usage
Source: http://www.dede.go.th
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Notification of the Department of Energy Business
Requirement Blending Ratio High‐ Low
Hi‐SpeedDiesel
Methyl Ester of Fatty Acid, %Vol
Not less than 4
and
Not more than 5
Biodiesel Thailand VS Global ‐ Thai Diesel Spec.
GreenDiesel
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Parameter Unit DOEB EN14214 ASTM D67511 Purity % wt. 96.5 min 96.5 min -2 Density @ 15 ºC kg/m3 860-900 860-900 -3 Kinematic Viscosity@ 40 ºC mm2/s 3.5-5.0 3.5-5.0 1.9-6.04 Flash Point, (P.M.) ºC 120 min 120 min 130 min5 Sulphur Content mg/kg 10.0 max 10.0 max 15.0 max6 Carbon Residue % wt. 0.30 max 0.30 max 0.05 max7 Cetane Number - 51 min 51 min 47 min8 Sulphated Ash % wt. 0.02 max 0.02 max 0.02 max9 Water Content % wt. 0.05 max 0.05 max 0.05 max10 Total Contaminate % wt. 0.0024 max 0.0024 max -11 Copper Strip Corrosion 3hrs. @ 50 ºC No.1 max No. 1 max No.3 max12 Oxidation stability @ 110 ºC Hr 10 min 6 min 3 min13 Acid Value mg KOH/g 0.5 max 0.5 max 0.5 max14 Iodine Value g l2/100 g 120 max 120 max -15 Linolenic Acid Methyl Ester % wt. 12.0 max 12.0 max16 Methanol % wt. 0.2 max 0.2 max 0.2 max17 Monoglyceride % wt. 0.80 max 0.8 max -18 Diglyceride % wt. 0.20 max 0.2 max -19 Triglyceride % wt. 0.20 max 0.2 max -20 Free Glycerin % wt. 0.20 max 0.02 max 0.02 max21 Total Glycerin % wt. 0.25 max 0.25 max 0.24 max22 Phosphorus % wt. 0.0010 max 0.00040 max 0.0010 max23 Sodium plus Potassium mg/kg 5.0 max 5.0 max 5.0 max24 Calcium plus Magnesium mg/kg 5.0 max 5.0 max 5.0 max25 Cloud Point ºC - - *Report 26 CFPP ºC - *Country Specific -
Source: 1) http://www.sentinellab.com, 2) http://www.biofuelsystems.com, 3) http://www.filtertechnik.co.uk, 4) http://ddr.nal.usda.gov., 5) www.dede.go.th
Biodiesel Thailand VS Global ‐ B100 Spec.
OutlineAssociation Introduction
Biodiesel Thailand Vs Global
Market SituationSupply
Installed Production Capacity
Market size
Stock Management
New Generation Biodiesel
Future
Conclusion
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Company name Capacity (L/D)
Province
Patum Vegetable Oil Co., Ltd 1,400,000 Patumthani
Siam Gulf Petrochemical Co. ,Ltd 1,200,000 Petchburi
Energy Absolute Plc 800,000 Prajeenburi
Thai Oleochemical Co., Ltd 685,800 Rayong
Bioenergy Plus Co., Ltd 350,000 Ayutthaya
Bangchak Biofuel Co., Ltd 300,000 Ayutthaya
Pure Biodiesel Co., Ltd 300,000 Rayong
AI Energy Co., Ltd 250,000 Samutsakhon
New Biodisel Co., Ltd 220,000 Suratthani
Verasuwan Co., Ltd 200,000 Samusakhon
B.Grimm Green Power Limited 200,000 Chumphon
E‐Ester Co., Ltd 50,000 Chiangrai
Bangchak Petroleum Plc 50,000 Bangkok
Bangkok Produce Plc 4,000 Saraburi
Total 6,009,800
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE Source: DEDE (updated Jan, 2011)
Bangkok
Market Situation ‐ Installed Capacity
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Feedstock Consumption for Biodiesel Production
Source: Energy Policy and Planning Office, Ministry of Energy, Thailand
Market Situation ‐ Current Supply
‐
10,000
20,000
30,000
40,000
50,000
60,000
Qua
ntity usage (M
T)
RPS CPO CPO : RPS = 72 : 28
10.00
20.00
30.00
40.00
50.00
60.00
70.00
80.00
Price (THB/
Kg)
CPO ‐TH CPO‐MY
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Crude Palm Oil Price: Thai Vs Malaysia
Source: agri.dit.go.th
Market Situation ‐ Current Supply
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Feedstock Price
Source: agri.dit.go.th
Market Situation ‐ Current Supply
10.00
20.00
30.00
40.00
50.00
60.00
70.00
80.00
Price (Bah
t/ Kg)
CPO RPS
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
0.0
0.5
1.0
1.5
2.0
2.5
3.0
Diesel Volum
e (M
L/Day)
B100
Volum
e (M
L/Day)
Diesel Volume (ML/D) B100 volume (ML/D)
Mandate: B2Voluntary: B5
B3 B4Mandate: B3 Voluntary : B5
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Biodiesel and Diesel Consumption [ 2009 ‐ 2011 ]
Source: www.doeb.go.th
B2
Market Situation ‐ Market Size
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Biodiesel and Diesel Consumption, Jan‐ July 2011
0.00
10.00
20.00
30.00
40.00
50.00
60.00
0.00
0.50
1.00
1.50
2.00
2.50
Jan‐11 Feb‐11 Mar‐11 Apr‐11 May‐11 Jun‐11 Jul‐11
Diesel Vol. (M
L/D)
Biod
iesel Vol. (ML/D)
Diesel Volume (ML/D) Biodiesel volume (ML/D)
B3/ B5 B2 B3 B4
Market Situation ‐ Market Size
Source: www.doeb.go.th
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
‐
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
200,000
CPO (M
T)
CPO: Production (MT) CPO: Export (MT)
Source: agri.dit.go.th
CPO Production and Export
Market Situation ‐ Stock Management
0
50,000
100,000
150,000
200,000
250,000
300,000
Stock CP
O (M
T)
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE Source: agri.dit.go.th
Stock CPOequivalent
Avg. Demand for edible oil
Avg. Demand for biodiesel
Avg. Total Demand
Market Situation ‐ Stock Management
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE Source: agri.dit.go.th
Market Situation ‐ Stock Management
Possibilities:
1. No control policy:• Require closely stock monitoring• B100 blending ratio is a key• Possibility for import
2. Export control policy:• Control export • B100 blending ratio could be fixed• Should be self sufficient
3. Buffer stock policy:• Government keeps surplus CPO as buffer stock• B100 blending ratio could be fixed
Biofuel Group Specific Biofuel Feedstock ProductionProcess
1st Generation
Biodiesel FAME Vegetable oils, and animal fats
TransesterificationEsterification
2nd or 3rd Generations
Biodiesel(hybrid of 1st and 2nd)
Bio‐ Hydrogenated Diesel (BHD)
Green pyrolysis dieselAlgae Oil
Vegetable oils and animal fatsNon‐food cropsAlgae
Hydrogenation
* PyrolysisCultivation
Synthetic Biofuels Biomass‐to‐liquids(BTL)Fischer‐Tropsch diesel (FT)Synthetic diesel
Non‐food crops * Gasification and synthesis
* Thermo‐chemical route: indirect liquefaction methods requires the biomass to be first pyrolysed to bio‐oil, or gasified and the product gas cleaned and processed to form synthesis gas (mainly CO and H2). This gaseous mixture can then be used in a commercial chemical process to synthesize a range of liquid biofuels
Source: 1) From 1st‐ to 2nd –Generation Biofuel Technologies (IEA, 2008A)2) ASEAN and Development Direction for 2nd Generation Technologies, (PTT‐RTI, 2009)
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Market Situation ‐ New Generation Biodiesel
OutlineAssociation Introduction
Biodiesel Thailand Vs Global
Market Situation
FutureBusiness Challenges
Export Opportunities
Sustainability
Conclusion
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Fly ?
Fed ?
Future – Business Challenges
• Capacity way over demand
• Availability of feedstock
• Food VS fuel
• FAME has its limitation
• New break through technologies
• Sustainability
Biodiesel(new baby business)
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
1.6 ML/D
4.4 ML/D
4. 5ML/D
1.5 ML/D
Utilization (ML/D) Idle (ML/D)
2011 2022
08 09 10 11 12 13 14 15 16 17 18 19 20 21 22
Current Mandate: B4Avg. Demand: 1.6 ML/D
Mandate: B5, Optional: B10Expected Demand: 4.5 ML/D
Source: http://www.dede.go.th
Future – Capacity Utilization VS Idle
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
1.6 ML/D
4.4 ML/D
Utilization (ML/D) Idle (ML/D)
Future – Export ??
Global Market
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Future – Export Opportunity
• Price
• Must be very competitive
• Against giant Malaysian and Indonesian
• Volume
• Supposedly big bulk
• Proper facilities required
• Sustainability
• Becoming prerequisite
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Future – Sustainability Requirement
Source: http://europa.eu/rapid/pressReleasesAction.do?reference=IP/11/901
1. ISCC : German (government financed) scheme covering all types of biofuels
2. Bonsucro EU :Roundtable initiative for sugarcane based biofuels, focus on Brazil
3. RTRS EU RED : Roundtable initiative for soy based biofuels, focus on Argentina and Brazil
4. RSB EU RED : Roundtable initiative covering all types of biofuels
5. 2BSvs :French industry scheme covering all types of biofuels
6. RSBA :Industry scheme for Abengoa covering their supply chain
7. Greenergy : Industry scheme for sugarcane ethanol from Brazil
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE Source: http://europa.eu/rapid/pressReleasesAction.do?reference=IP/11/901
Future – 7 schemes recognized by EU
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Future – Foreseen Possibilities
In general• Overall, biofuels businesses will keep growing
• Existing players will be suffering
• New investors are still definitely coming
• New generation biofuels will be more active
• Sustainability will take the lead
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Future – Foreseen Possibilities
For Thai Biodiesel Business• The business future is mainly up to government’s policy
• Local market is not an ultimate answer for the whole industries
• To meet global market requirement is not easy at all
• Sustainability is one of key success factors
(not only biodiesel business but the whole chain)
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Conclusion
Biodiesel Thailand VS Global
• Biodiesel business has been growing all over the world
• Thailand has a solid plan to go
Market Situation
• Our local feedstock is enough for domestic consumption
• Blending ratio has not been stable
• CPO stock needs to be managed
Future• Many challenges to be overcome
• Export market is an opportunity
• Sustainability as key of success
BIODIESEL INDUSTRY IN THAILAND: CHALLENEGS AND THE FUTURE
Thai Biodiesel Producer Association
Thank you
AndWish us Luck!