Biofuel econmics and Huggers

Well our friendly huggers were almost right, it is almost possible to make biofuels economically in Europe using raw materials dragged across the world.. Here’s the punch line from the abstract (you can’t get any more because its from an expensive, academic journal)

Co-production of “green” FT transportation fuels and “green” SNG will be an economic feasible process in The Netherlands when both energy carriers receive the same tax exemptions as those currently given to green electricity.

So you could do it if there were tax breaks. The trick seems to be to use the side stream from the Fischer-Tropsch plant you are using to make transportation liquids to make synthetic natural gas. This means you convert more biomass and increase the value of the asset (factory) that you are using to do it. Ta dah!

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One Response to Biofuel econmics and Huggers

  1. Julian Gairdner 6 October, 2006 at 4:23 pm #

    One of the key issue around the financial feasibility fo biofuels is whether producers (farmers and processors) can differentiate the environmental credentials of UK biofuels against imports clearly enough.

    There is some work going on at the moment by the Renewable Power Association and the Home-Grown Cereals Authority looking at the carbon cycle of biofuels according to British production techniques.

    Current crude oil prices actually make biofuels quite competitive but their credibitility falls down when people discover bioethanol from Brazil has been the product of destruction of the Amazon.

    I believe there is a huge imperative for UK producers to get to the bottom of the carbon cycle accreditation process and really up the ante PR-wise to demonstrate what postives can be achieved in this country.

    Oh and by the way, if you want to keep in touch with what’s happening in UK agriculture, have a look at http://www.fwi.co.uk

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