Liquid biofuelsand
Biogas
Dipl.-Ing. Josef PlankHead of Energy and Agricultural Technology Division
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Efficient use of space for energy production(bandwidth depending on yield per area)
Efficient (bandwidth depending on yield per area)
01020304050607080
Ther
mis
che
Gan
zpfla
nzen
nutz
ung
(lose
od.
Pel
lets
)
Stro
m u
. Wäm
e d.
Verb
renn
ung
v. G
anz-
pfla
nzen
bei
vol
lstä
nd.
Wär
men
utzu
ng (l
ose
oder
Pel
lets
)
Gan
zpfla
nzen
-Ve
rbre
nnun
g -
nur S
trom
nutz
ung
Bio
gas
Trei
bsto
ff
Bio
gas
Stro
m- u
. Wär
me-
nutz
ung
Bio
gas
nur V
erst
rom
ung
MWh/ha
Usi
ng w
h ol e
pla
n ts
for
the r
ma l
ene
rgy
(l oo s
e o r
pe l
l ets
)
E le c
t ric
ity a
n d h
e at
from
co m
bus t
ion
o f
who
le p
lant
s w
ith c
o mpl
ete
u se
o fh e
a t ( l
o os e
or p
elle
ts)
Com
b ust
ion
o f w
hole
p la n
t s f o
re l
ectr
icity
util
isat
ion
Bio
gas
fue l
Bio
gas
E le c
t ric
ity a
n d h
e at
u til i
sati o
n
Bio
gas
o nl y
f or e
lect
ricity
g e
n er a
t ion
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Biofuel yield in l fuel equivalent/haGross yield
Biofuel yield in l fuel equivalent/ha
1408 1420
4054
1660640
4179 39074977 4742
0100020003000400050006000
Biod
iese
lR
aps
Rap
söl
Bioe
than
olZu
cker
rübe
Bioe
than
olG
etre
ide
Bioe
than
olLi
gnoz
ellu
lose
(nur
Stro
h)
Bioe
than
olZu
cker
rohr
Bras
ilien BtL
Biog
as
Bio-
Was
sers
toff
???
l/ha
Source: FNR study biofuel – comparative analysis
Bio
dies
el
Rap
e
Rap
e oi
l
Bio
etha
nol
Suga
r bee
t
Bio
etha
nol
Gra
in
Bio
etha
nol
Lign
ocel
lulo
se
(onl
y st
raw
)
Bio
etha
nol
Suga
r can
eB
razi
l
BtL
Bio
gas
Bio
hyd
roge
n ??
?
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Efficient biofuel productionNet yield in kWh/ha
Bioethanolsugar beet BtL
Yield 58 t 15 t TS 15 t TS 20 t TSEnergy content 52.000 kWh 67.500 kWh 67.500 kWh 90.000 kWhCultivation 500 500 500 500Care 200 200 200 200Fertilisation 2.000 1500 500 600Harvest 1.000 800 800 1.000Transport 1.000 900 300 400Conversion 22.900 30.000 5.160 6.500Residual energy in fermenter 17.530 18.500Nett energy 24.400 33.600 42.510 62.300
Biogas fuel(Silage maize, Sudan grass)
Source: FNR study – own calculations with practical experience
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Biogas is by far the best and most effective bioenergy fuel
24.40033.600
42.510
62.300
010.00020.00030.00040.00050.00060.00070.000
Bioe
than
olZü
cker
rübe
58 t Bt
L15
t TS
Biog
astre
ibst
off
(Silo
mai
s,Su
dang
ras)
15 t
TS
Biog
astre
ibst
off
(Silo
mai
s,Su
dang
ras)
20 t
TS
Net
t ene
rgy
kWh/
ha
Bio
etha
nol
Suga
r bee
t
BtL
Bio
gas
fuel
(sila
ge m
aize
, Sud
an g
rass
)
Bio
gas
fuel
(sila
ge m
aize
, Sud
an g
rass
)
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
CO2 saving costs in the fuel sector
Bioethanolsugar beet
BtL
CO2 saving 6.58 t 9.07 t 11.47 t 16.82 tProduction costs €/lFuel equivalent
0.78 01. Mrz 0.74 0.72
Added costs compared to fossildiesel €/l
0.51 0.71 0.44 0.42
CO2avoidance costs €/t
189 285 163 155
Biogass fuel(silage maize, Sudan grass)
Source: FNR-study – own calculations with practical experience
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Biofuel costs (in €/l fuel equivalent)
Biofuel costs (in €/l fuel equivalent)
1.26
0.74
1.03
0.31
0.98
0.720.78
0.51
0.69
00,10,20,30,40,50,60,70,80,9
11,11,21,31,4
Bio
dies
elR
aps
Rap
söl
Bio
etha
nol
ZR
Bio
etha
nol
Get
reid
e
Bio
etha
nol
Lign
ozel
lulo
se(n
ur S
troh
)
Bio
etha
nol
Zuck
erro
hrB
rasi
lien BtL
Bio
gas
Bio
Was
sers
toff
€/l
???
Source: FNR study
Bio
dies
elR
ape
Rap
e oi
l
Bio
etha
nol
Suga
r bee
t
Bio
etha
nol
Gra
in
Bio
etha
nol
Lign
ocel
lulo
se
(onl
y st
raw
)
Bio
etha
nol
Suga
r can
eB
razi
l
BtL
Bio
gas
Bio
hyd
roge
n
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Austrian biogas fuel marketing programme
5-point agreement Federal Minister Pröll and OMV general director Dr. Wolfgang RuttenstorferParliamentary working group dealing with implementationBiogas/CNG fuel min. 20 % biomethaneBy 2010 min. 50,000 biogas/CNG vehiclesBy 2013 min. 100,000 biogas/CNG vehiclesExpansion of biogas/CNG filling station network from currently 30 to 200 - 300Urging all vehicle fleet operators to use biogas/CNG vehicles for local transport Urging all politicians to guarantee that these new types of vehicles are exempted from mineral oil tax when they are launched on the marketAdditional call for towns and cities to give preferential treatment to biogas/CNG vehicles with regard to traffic measures.
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Possible biogas fuel quantities EU 25on 6 mill. ha of farmed agricultural land 30-35 mill. ha unused land available
Possible quantities of biogas EU 25on 6 mill. ha farmed agricultural land
0
5
10
15
20
25
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
DI Josef Plank, 27th May 2004, Source: own independent calculations
Bill
ion
Nm
³ bio
met
hane
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Unsolved contradiction of industrial society
0
2000
4000
60008000
10000
12000
1400016000
18000
20000
1920 1940 1960 1980 2000 2020 2040
Mtoe/a (million tonnes of oil equivalent/year)
Year
Oil
Gas
Coal
Continue without change: necessary for economic growth
Reduction of emissions:necessary for climate protection
Miscellaneous
Source: BP Statistical Review of World Energy
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
High costs of further oil exploitation
Figure 1:Source:
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Stabilisation of global CO2 emissions
Stabilisation of global CO2 emissions necessary
0
10
20
30
40
50
1990 2000 2020 2040 2060 2080 2100
Billion t CO2
Soll-Verlauf2,5 t pro Kopf
TrendlinieTarget progress2.5 t per head
Trend line
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
More energy efficiency
4-litre car instead of 8-litre car
5-litre apartment instead of 15-litre apartmt.
4,500 litre diesel equivalent instead of 1,500
litre diesel equivalent per ha farmed land
At least 80 % overall efficiency for
electricity generation
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Expanding and developing renewable energy – securing future markets
Hydroelectric power plantsWind power plantsGeothermal power plantsWave power plants (tidal power plants)Solar thermal power plantsPhotovoltaic power plantsBiogas power plantsBiomass power plants (steam, ORC, Stirling, gasifier …)Thermal solar utilisationPlant oil enginesBiodiesel power plantsWhole-plant biogas fuelNew biofuels Passive solar energy utilisation
New solar technologies …
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
10 Theses on the energy industry
We live in a globalised world.We have a global market.The (global) market is incomplete.The (global) market can only react to short-term issues (max. 3 - 5 years' forecast possible).Energy problems as quantity-availability-price problem – wars …Climate problem + 3°C global average temperature increase unacceptable,annual climate damage exceeds GNP growth (up to $ 1000 /year).High costs and risks of developing additional fossil resourcesare no longer acceptable.Solutions can only be achieved using a free-enterprise approach.Market signals have to be strong enough to enable sustainableenergy supplies.Two ways → 1. Control through taxation
2. Quota specifications (too complicated, difficult to control)
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Energy scenario for Styria
Energy scenario for Styria
0
20
40
60
80
100
120
140
160
180
200
2005 2015 2025 2035 2045
PJ/a
BruttoenergieeinsatzBiomasseWasserkraftTherm.SolarnSolare Speicheren.Wind
Gross energy consumptionBiomassHydroelectric powerThermal solar powerSolar cellsWind
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Control through taxation
Control through taxation
0102030405060708090
100
2000 2010 2020 2030 2040 2050
% tax revenue
CO2-Steuer auf fossileEnergienutzung
Lohn-Beschäftigungs-abhängige Steuern, Gew erbesteuer,Körperschaftssteuer,Mehrw ertsteuer
CO2 tax on fossil fuel energy consumption
Wage-employment related taxes, trade tax, corporate income tax, value-added tax
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Global reorientation throughglobal CO2 taxes (at constant values 2004)
0
10 0 0 0
2 0 0 0 0
3 0 0 0 0
4 0 0 0 0
5 0 0 0 0
6 0 0 0 0
7 0 0 0 0
2 0 0 410 % C O2 - S t e u e r n
2 0 1015 % C O2 - S t e u e r n
2 0 2 02 5 % C O2 - S t e u e r n
2 0 3 04 0 % C O2 - S t e u e r n
2 0 4 05 5 % C O2 - S t e u e r n
2 0 5 06 0 % C O2 - S t e u e r n
CO2-Abgabenanteilam gesamtenAbgabeaufkommen
durchschn. Abgabenquote 30 %
Bruttosozial-produkt
10% CO2–Steuern
monika:monika:monika:monika:
25% CO2–Steuern 40% CO2–Steuern15% CO2–Steuern 55% CO2–Steuern 60% CO2 –Steuern
CO2 tax proportion of total taxation
Averagetax quota 30 %
Gross nationalproduct
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Global CO2 tax revenue in billion €(assuming consumption remains consistent)
200550 c/kg
CO2
2010100 c/kg
CO2
2020200 c/kg
CO2
2030300 c/kg
CO2
2040400 c/kg
CO2
2050500 c/kg
CO2
Oil 479 958 1.916 2.874 3.832 4.790Coal 498 996 1.992 2.988 3.984 4.980Gas 269 538 1.077 1.615 2.154 2.692
1.246 2.492 4.984 7.476 9.968 12.460
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
International tax reorganisation – German example – could apply similarly for OECD – only large items taken into consideration – (Federal, Länder (state), local)
2005Mrd. €
2010Mrd. €
2015Mrd. €
2020Mrd. €
2025Mrd. €
2030Mrd. €
Wage tax 118 100 70 40 30 25Income tax 10 8 6 4 3 2Capital gains tax 17 14 12 11 10 9Corporation tax 16 12 10 8 7 6Value-added tax 108 80 60 50 40 35Tobacco tax 14 14 14 14 14 14Trade tax 32 25 18 15 12 10Property tax 10 8 7 6 5 4*)Mineral oil tax(CO2 taxfossil energy)
40 114 183 222 249 265
Other taxes 50 40 30 30 30 30415 415 410 400 400 400
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Result of the international agreed tax reorientation:
80 % reduction on wage tax and income tax50 % reduction on capital gains tax63 % reduction on corporation tax 67 % reduction on value added tax 70 % reduction on trade tax 60 % reduction on property tax 40 % reduction on other taxes
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Counter arguments of the fossil fuel industry
The CO2 tax cripples the economy.Interference in the freedom of the economy.This hinders development in developing countries.There is no international tax law.And in any case; what would happen to us if our monopolistic business transactions were influenced.
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Arguments to counter any counter arguments
Up until 2000 all representatives of industry unanimously said that the economy would collapse if oil prices reached 30 – 35 $/barrel.
Today the price has reached 60 $/barrel and more, but the boom in economic growth is greater than when oil prices were at their lowest level.
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
Also
Nearly all financial and economic policy makers from all countries either have a direct relationship with or are at least closely allied to one or several monopolistic fossil fuel supply companies.Many employees' representatives support this fatal fossil fuel cycle, by opposing any reorientation and thereby unwittingly support the monopolistic fossil fuel control and domination structure.Renewable energy provides considerably more employment potential through the building and operation of plants in local regions and does not cost any more than fossil fuel.Renewable energies, for instance biogas creates regional autarky (electricity, fuel, heat).
Global market for bioenergy: between climate protection and development policy/Bonn – Federal Republic of Germany Dipl.-Ing. Josef Plank/ 12 October 2006, Chamber of Agriculture Styria
THANK YOU FOR YOUR ATTENTION
It is time to awake from the fossil fuel (and nuclear fuel)
dreams.