A Transportation Perspective on Biodiesel and Advanced Biomass Conversion Fuels California Energy Commission Sacramento, CA March 1, 2005 1
Outline 1. Evolution of: Energy-Environmental-Fuel 2. Renewable Fuels 3. Context Cost Effectiveness 4. Prerequisites for Renewable Fuels 5. Thermal Conversion Process Diesel 2
Crude Oil Sources For California 800 Refineries 1982-2003 700 Millions of Barrels 600 500 400 300 Alaska Foreign 200 100 California 0 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 3
The next 20 years will see a wider range of technologies and fuel types, especially in the developed world % of New cars 100 90 80 70 60 Diesel (inc Bio-diesel/GTL) 50 HCCI 40 Gasoline (inc Ethanol) Spark 30 ignition 20 Naphtha/Methanol 10 Hydrogen 0 Fuel cell 2000 2010 2020 one possible view of the future - not a forecast Source: Shell Global Solutions LPG/CNG Hybrid Compression ignition engines 4
Fuel Diversification Scenario Europe Hydrogen regenerative SynFuel Natural gas based Crude oil based with <10 ppm sulphur Crude oil based 50 ppm S others (CNG) SunFuel Biomass based today 10 20 30 Years Source: VW, Dr. Wolfgang Steiger 5
California Demand versus Local Supply 31 29 27 Gasoline & Diesel Fuel High Demand Case @ 2.3 Percent Per Year Billions of Gallons 25 23 21 19 Historical Base Demand Case @ 1.5 Percent Per Year Forecast 2.6 billion 9.2 billion 17 15 Supply from California Refineries 1996 1999 2002 2005 2008 2011 2014 2017 2020 2023 6
Evolution of Environmental Aspects Energy Greenhouse Gases CO 2 Exhaust Emissions CO,NOx,HC,PM 1995 2000 2005 2010 2015 2020 2025 2030 Source: VW, Dr. Wolfgang Steiger DOE Forum 7. March 2004, Washington, USA 7
Shared Fuel Strategy Fuel Evolution: SunFuel Renewable Synthetic Fuel Natural Gas Based Hydrogen Renewable Diesel/Gasoline Crude Oil Based Source: VW, Dr. Wolfgang Steiger 8
Prerequisites for Sustainable Transportation Fuels Liquid at room temperature & pressure Compatible with existing petroleum-based infrastructure Compatible with old and future engines and vehicles Economically - competitive with petroleum based fuels 9
Biodiesel and Advanced Diesel Fuels Gas-to-Liquids (GTL) Coal-to-Liquid (CTL) Biomass-to-Liquid (BTL) Sun Diesel VW, CHOREN, Daimler Chrysler Thermal Conversion Process Changing World Technologies Biodiesel Same High Quality Fuel 10
Shell GTL - Shell Middle Distillate Synthesis 600 MMscf/d Natural Gas O 2 2 Syngas Manufacture CO + 2H 2 Synthesis Water (CH 2 ) n 75,000 bbl/day Hydrocracking naphtha, LPG, gasoil, Power speciality Generation + products Water Commercially proven technology, at Bintulu,, Malaysia since 1993.. Ready for large-scale applications! Source: Shell Global Solutions 11
GTL Supply Potential Working Group Estimated GTL Capacity Year (bbl/d) (gallon/year) 2010 75,000 1,150,000,000 2015 388,700 5,960,000,000 2020 800,000 12,265,000,000 Today there is over $20 Billion Committed in New GTL Plants World Wide 12
CO 2 loop with SunFuel Synthesis Biomass SunFuel Source: VW, Dr. Wolfgang Steiger 13
Biomass to Liquid Fuel Production via Fischer Tropsch Synthesis Hydrotreatment Hydro- H 2 FT-Synthesis 50 50 % CO CO 25 25 % H 2 2 Gas-Cleaning Shift Shift Reactor 25 25 % CO CO 2 2 Gasification H 2 O Distillation Pyrolysis Biomass 50 50 % cellulose 25 25 % hemicellulose 25 25 % lignite Wax Diesel Gasoline 14 Source: VW, Dr. Wolfgang Steiger
Assessment of Biofuel from an Auto View Not all Biofuels considered by the EU are equally suitable for automotive applications. Source: R.R. Maly, DC & H. Heinrich, VW: View on Biofuels as Road Fuels; DOE Combustion and Fuels Meeting; Washington, March 17, 2004 15
Biodiesel s Reduced Emissions Sulfur Carbon Monoxide Hydrocarbons Life Cycle CO2 Particulate matter 16
SMDS in 1,9ltr 74kW VW-Diesel engine 0,035 Particulate emissions [g/km] 0,030 Diesel SMDS 0,025 Euro 4 0,020 0,015 0,010 0,005 0,000 0,000 0,050 0,100 0,150 0,200 0,250 0,300 0,350 NOx emission [g/km] Source: VW, Dr. Wolfgang Steiger 17
Alternative Diesel Fuels Incremental Cost Effectiveness Fuels Propane GTL BTL Biodiesel CNG-LNG Hydrogen Cost/diesel-gallon saved 22 25 <$1.50 $1.50 $1.50-$2.25 $40 Potential Total Displacement <20% >>50% 50% <10% >50%?? Source: CEC Staff unpublished Cost Effectiveness Analysis 18
CarboV Test Facility CHOREN Capacity: 1 MW thermal Input: wood Straw Green plants Shredder-Light-Fraction Coal Products: currently.: BioSynGas el. power in 05.2003 : Diesel appx. 600ltr/day Kerosene Methanol 19
Prerequisites for Renewable Diesel Fuels Penetration Legislated or Mandated use EPACT-93 EURO Directive Or incentives 2004 Jobs Act -Blenders Credit Competitive Economics is key Economies of Scale are important 20
The TDI Is Future-Oriented VW 1-Litre Car 0.3 l SDI 1cyl. 6,3 kw (8,6 PS) 0,99 l/100 km Euro 4 limits... demonstration of feasibility Source: VW, Dr. Wolfgang Steiger 21
THE END But Stay Tuned for Changing World Technologies Presentation 22