Japan opens 55 bioethanol gas stations
According to the Daily Yomiuri, a mixture of bioethanol and gasoline will be made available on a trial basis by the end of this week at 55 gas stations in selected locations across Japan. The alternative fuel will go on sale nationwide by 2010.
The fuel, to be marketed as "biogasoline," is a mixture of gasoline and 3% ethyl tertiary butyl ether (ETBE). The 10 petroleum wholesalers in Japan have jointly imported ETBE and will market biogasoline under their umbrella. The bulk of the imports come from Brazil (earlier post), since Japan has very few resources to grow its own energy crops (earlier post). For this reason, the country is actively investing in kickstaring a biofuels industry in the developing world, where a vast potential exists (see here and here).
According to the Petroleum Association of Japan (PAJ), the umbrella group coordinating the effort, the price and performance, in terms of octane rating, will be the same as regular gasoline. Since there is technically no problem in using the fuel in conventional vehicles, consumers are not expected to experience anything out of the ordinary when using the mixture.
The plans are to increase the number of biogasoline outlets to 100 by 2008, and 1,000 by 2009. In the year 2010, biogasoline is projected to constitute 20 percent of all gas sold in Japan, while there are plans to produce ETBE domestically from fiscal 2009, according to the PAJ:
bioenergy :: biofuels :: energy :: sustainability :: ethanol :: biogasoline :: Brazil :: Japan ::
The Environment Ministry is also scheduled to launch a series of demonstration tests in August on a new type of biofuel produced by directly mixing gasoline and bioethanol. The Osaka prefectural government will conduct the tests on commission.
The introduction of biogasoline is aimed at helping to alleviate global warming.
Under the 1997 Kyoto Protocol, carbon dioxide generated from the combustion of bioethanol is not subject to CO2 reduction obligations for cutting greenhouse gases, since it is produced from crops that absorb CO2 from the atmosphere. Therefore, the larger the consumption of bioethanol in Japan, the more effective projects will be for achieving the CO2 reduction target. The use of bioethanol also lowers the dependence on petroleum and the effects of its erratic price fluctuations.
Meanwhile, the Agriculture, Forestry and Fisheries Ministry is embarking on projects to encourage the use of domestically produced bioethanol to help farmers. As one analyst put it, this might be the year that marks "Japan's full-fledged utilization of bioethanol."
Two blending methods
The petroleum industry and the Environment Ministry are at odds over how bioethanol should be mixed with gasoline. The petroleum industry favors ETBE and the ministry prefers the direct ethanol-gasoline mixture.
This disagreement could hamper the spread of the new fuel. PAJ President Fumiaki Watari said, "The ETBE formula can be done through existing petroleum-refining facilities." "Since the operation for mixing ethanol with gasoline under this formula is done by petroleum refiners, attempts to dodge the gasoline tax can be effectively prevented," he added.
The direct mixture formula, by contrast, requires additional capital spending and cooperation from many companies to produce biogasoline, increasing worries of gasoline tax evasion, Watari said.
But the ministry argues the ETBE formula makes it technically difficult to raise the concentration of bioethanol in biogasoline. The government has set the amount of bioethanol in the mix at a maximum of 3 percent, but is considering raising that to 10 percent.
Environment Minister Masatoshi Wakabayashi said: "Many Japanese-made cars are used in such countries as Brazil, the United States and Canada, where the direct mixing formula is employed. This means there's no major technical problems in adopting the direct mixing method."
A senior official of the Agriculture, Forestry and Fisheries Ministry argued that the petroleum industry's real intention is to maintain the "centrally controlled distribution system of petroleum products with the refiners at the top of the hierarchy."
"The Environment Ministry should also be brought to task for having failed to exchange views with the industry," the official added.
Need to rethink biofuel strategy
The program the government worked out in April 2005 for fulfilling Kyoto Protocol CO2 reduction goals calls for increasing the use of biofuel to the equivalent of 500,000 kiloliters of crude oil by fiscal 2010.
There are no feasible plans for achieving this other than through the petroleum industry's commitment to increase biofuel production to 210,000 kiloliters.
"The petroleum industry's project can never be considered sufficient to realize the government-set goal," said Yoshio Tamura, administrative vice minister of the Environment Ministry.
Under the circumstances, indications are that Japan, with its bleak prospects for expanding bioethanol production, likely will have to rethink its current biofuel strategy.
The fuel, to be marketed as "biogasoline," is a mixture of gasoline and 3% ethyl tertiary butyl ether (ETBE). The 10 petroleum wholesalers in Japan have jointly imported ETBE and will market biogasoline under their umbrella. The bulk of the imports come from Brazil (earlier post), since Japan has very few resources to grow its own energy crops (earlier post). For this reason, the country is actively investing in kickstaring a biofuels industry in the developing world, where a vast potential exists (see here and here).
According to the Petroleum Association of Japan (PAJ), the umbrella group coordinating the effort, the price and performance, in terms of octane rating, will be the same as regular gasoline. Since there is technically no problem in using the fuel in conventional vehicles, consumers are not expected to experience anything out of the ordinary when using the mixture.
The plans are to increase the number of biogasoline outlets to 100 by 2008, and 1,000 by 2009. In the year 2010, biogasoline is projected to constitute 20 percent of all gas sold in Japan, while there are plans to produce ETBE domestically from fiscal 2009, according to the PAJ:
bioenergy :: biofuels :: energy :: sustainability :: ethanol :: biogasoline :: Brazil :: Japan ::
The Environment Ministry is also scheduled to launch a series of demonstration tests in August on a new type of biofuel produced by directly mixing gasoline and bioethanol. The Osaka prefectural government will conduct the tests on commission.
The introduction of biogasoline is aimed at helping to alleviate global warming.
Under the 1997 Kyoto Protocol, carbon dioxide generated from the combustion of bioethanol is not subject to CO2 reduction obligations for cutting greenhouse gases, since it is produced from crops that absorb CO2 from the atmosphere. Therefore, the larger the consumption of bioethanol in Japan, the more effective projects will be for achieving the CO2 reduction target. The use of bioethanol also lowers the dependence on petroleum and the effects of its erratic price fluctuations.
Meanwhile, the Agriculture, Forestry and Fisheries Ministry is embarking on projects to encourage the use of domestically produced bioethanol to help farmers. As one analyst put it, this might be the year that marks "Japan's full-fledged utilization of bioethanol."
Two blending methods
The petroleum industry and the Environment Ministry are at odds over how bioethanol should be mixed with gasoline. The petroleum industry favors ETBE and the ministry prefers the direct ethanol-gasoline mixture.
This disagreement could hamper the spread of the new fuel. PAJ President Fumiaki Watari said, "The ETBE formula can be done through existing petroleum-refining facilities." "Since the operation for mixing ethanol with gasoline under this formula is done by petroleum refiners, attempts to dodge the gasoline tax can be effectively prevented," he added.
The direct mixture formula, by contrast, requires additional capital spending and cooperation from many companies to produce biogasoline, increasing worries of gasoline tax evasion, Watari said.
But the ministry argues the ETBE formula makes it technically difficult to raise the concentration of bioethanol in biogasoline. The government has set the amount of bioethanol in the mix at a maximum of 3 percent, but is considering raising that to 10 percent.
Environment Minister Masatoshi Wakabayashi said: "Many Japanese-made cars are used in such countries as Brazil, the United States and Canada, where the direct mixing formula is employed. This means there's no major technical problems in adopting the direct mixing method."
A senior official of the Agriculture, Forestry and Fisheries Ministry argued that the petroleum industry's real intention is to maintain the "centrally controlled distribution system of petroleum products with the refiners at the top of the hierarchy."
"The Environment Ministry should also be brought to task for having failed to exchange views with the industry," the official added.
Need to rethink biofuel strategy
The program the government worked out in April 2005 for fulfilling Kyoto Protocol CO2 reduction goals calls for increasing the use of biofuel to the equivalent of 500,000 kiloliters of crude oil by fiscal 2010.
There are no feasible plans for achieving this other than through the petroleum industry's commitment to increase biofuel production to 210,000 kiloliters.
"The petroleum industry's project can never be considered sufficient to realize the government-set goal," said Yoshio Tamura, administrative vice minister of the Environment Ministry.
Under the circumstances, indications are that Japan, with its bleak prospects for expanding bioethanol production, likely will have to rethink its current biofuel strategy.
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