Biodiesel development takes another "solid step"

  In 1900, at the Paris World Exhibition Center, a prototype engine running smoothly attracted the audience. This is the "father of diesel engine" — — An experiment by Rudolf Diesel. To the surprise of the audience, the fuel used in this engine is peanut oil. This is the initial exploration of the application of biodiesel in the human world. Since then, for a long time, biodiesel can only exist as a "spare tire" for oil because of its high price.

  It may be difficult for Rudolf Diesel to foresee that, more than 100 years later, in order to achieve the goal of decarbonization, the "flame" of biodiesel development has been ignited all over the world. Nowadays, this "fire" is becoming more and more popular in China.

  On April 2nd, the National Energy Administration issued the Notice on Publicity of Biodiesel Popularization and Application Pilot, and proposed to support Dezhou City, Shandong Province and other units to carry out the application pilot. It is generally believed in the industry that this marks a "solid step" in the development of biodiesel in China, which will certainly provide a new impetus for the optimization and upgrading of China’s energy structure (300152).

  Response to the pilot construction in peak carbon dioxide emissions

  The pilot project of biodiesel popularization and application is generally regarded as an echo of the pilot construction in peak carbon dioxide emissions, China.

  An industry insider said that the National peak carbon dioxide emissions Pilot Construction Plan included the energy green and low-carbon transformation index, the consumption ratio of non-fossil energy and the recycling rate of renewable resources into the construction reference index. Biodiesel is an internationally recognized green and clean fuel, and the biodiesel currently used in China is a renewable energy mainly produced from biomass such as waste oil. Carrying out relevant pilot projects is conducive to promoting waste recycling, accelerating energy green and low-carbon transformation, and helping to achieve "double carbon".

  "Compared with traditional petrochemical diesel oil, biodiesel with waste oils from catering and food processing industries can reduce greenhouse gas emissions by about 80%. Promoting and using biodiesel is of great practical significance for increasing the proportion of renewable energy in transportation fuels, reducing greenhouse gas emissions from diesel vehicles, and promoting carbon emission peaking and carbon neutrality. " Li Dingjie, a senior engineer of the Energy Department of the Industrial Development Department of China Petroleum and Chemical Industry Federation, told the reporter of China Chemical Industry News.

  In Ji Xing’s view, the promotion of biodiesel is an important way to help the petrochemical industry achieve "double carbon". Especially for traditional petrochemical diesel, adding biodiesel is an effective way to reduce carbon. "Once petrochemical products, especially fuel oil, are manufactured, it is difficult to save energy and reduce carbon by changing the hydrocarbon ratio. To achieve green development, we must change the product structure. Therefore, China promotes ethanol gasoline in the gasoline field and biodiesel in the diesel field to reduce a considerable amount of carbon dioxide. If nearly 200 million tons of petrochemical diesel consumed in China can be converted into B5 diesel by blending biodiesel, the indicators of energy saving and carbon reduction in the diesel field can be almost completed. " Ji Xing said frankly.

  The pilot covers both production and consumption.

  The reporter combed and found that there were 22 pilot projects for the promotion and application of biodiesel announced this time. Among them, the vast majority of the pilots are organized by local government departments, such as 17 pilots in Haidian District, Dezhou City, Shijiazhuang City and Qingdao City. According to the reporter’s understanding, most of these pilot areas cover well-known biodiesel enterprises and factories in the industry, such as Rongguang Biotechnology Co., Ltd. in Dezhou, Jinlihai (Group) Company in Tangshan, Zhongke New Energy Technology Co., Ltd. in Wenzhou, Langkun Environment (301305) Group in Guangzhou and Zhuoyue New Energy Co., Ltd. in Xiamen. Therefore, the above pilot projects mainly focus on the production end.

  Another two pilots are located in related parks, namely Guang ‘an Economic and Technological Development Zone and Zhoushan Free Trade Zone. Guang ‘an Economic and Technological Development Zone has biodiesel production projects, such as Sichuan Jingu environmental protection technology catering waste oil comprehensive utilization project. Relying on Zhoushan Port, the world’s largest port, Zhoushan Free Trade Zone has a large demand potential for biodiesel. In 2023 alone, it completed the first single container ship offshore biofuel filling and the largest single biofuel filling business in China, which may generate a large number of consumer demand in the future.

  In addition, there are three pilot projects led by enterprises, namely China Ship Fuel Co., Ltd., China Petrochemical Fuel Oil Sales Co., Ltd. and Shandong Expressway (600350) Group. These three companies mainly focus on the consumer side. Among them, the first two companies have begun to explore the bio-ship fuel filling business. In November last year, Sinopec Fuel Oil Guangdong Company, together with Langkun Environmental Group, Guangzhou Public Transport Group, Guangzhou Development (600098) Bibi Oil Depot and other units, completed the first demonstration of B5 diesel oil filling on water in the domestic inland river shipping field; China Shipbuilding has signed strategic cooperation agreements with some domestic first-line biodiesel suppliers. Shandong Expressway Group owns subsidiaries such as Shandong Expressway Rail Transit Group, Shandong Bohai Bay Port Group and Shandong Expressway Logistics Group, and has rich fuel application scenarios. In addition, Shangao Huaneng (000803), a subsidiary of Shandong Expressway Group, is also a leading enterprise in the resource utilization of kitchen waste oil in China.

  "From this promotion and application pilot, the enthusiasm of local governments has been greatly taken care of. The local oil waste can be provided to biodiesel enterprises, and the products will be used by local traffic vehicles. In addition, in addition to the raw material production end, the application of B5 diesel and B24 diesel is also taken care of. For example, China Petrochemical’s Fuel Oil Company participated in this event, China Shipburning also participated, and Shandong Expressway also participated, basically forming a ‘ Line ’ 。” Ji Xing told reporters that according to the Notice of the National Energy Administration on Organizing the Pilot Demonstration of Biodiesel Promotion and Application issued in November last year, the important contents of the pilot include: promoting vehicle biodiesel in pilot areas, industries, enterprises and highways, and promoting the application of marine biodiesel in bonded areas, free trade zones and inland rivers, lakes and waterways. According to the publicity, the pilot basically covers the production end and application end, and it is expected to explore the establishment of a replicable and scalable development path and policy system, and gradually form a demonstration effect and scale effect.

  "Shanghai practice" provides useful experience

  In the interview, many people in the industry mentioned that since 2005, China has been promoting biodiesel for nearly 20 years. In the meantime, the development of biodiesel in China has gone through the stages from policy encouragement to regional practice and then to national pilot promotion. However, due to the shortcomings of raw material supply, market mechanism, promotion and use, the biodiesel industry has been "tepid".

  "Around 2005, China started the pilot promotion of biodiesel. The main purpose at that time was to ensure energy security and replace supplementary fuel in many ways. But at present, except Shanghai, a relatively perfect ‘ Receiving, transporting, handling, adjusting and using ’ Outside the industrial system, it has not been promoted elsewhere. " An industry expert said.

  The lack of raw materials with stable supply and price is considered to be one of the important reasons for "not popularizing". On the one hand, the development of biodiesel in China adheres to the principle of "not competing with people for grain and not competing with grain for land", but the construction of non-grain raw materials is not as good as expected, which indirectly leads to the failure of the industry to achieve better development. "At that time, China was still planting Jatropha curcas in Yunnan, trying to develop biodiesel from non-edible oils such as tung oil and oil palm, but it failed to form a scale." Li Dingjie said that, on the other hand, the kitchen waste oil has many sources, is widely distributed, is difficult to collect, and requires high management ability. Some places that do not have the conditions have failed to establish a perfect recycling system, resulting in a stable supply of raw materials.

  "From the market point of view, it is not that it is impossible to promote biodiesel in China, but that the methods of promoting biodiesel need to be improved. It’s like Niu Gengdi, you have to put two cows in the right position, or else ‘ Fight ’ Either you can’t find the direction. " Ji Xing believes that in order to do a good job in the pilot application of biodiesel, it is necessary to combine policy with market, and the promotion practice of biodiesel in Shanghai has provided a good example.

  "Shanghai is well designed in the collection, transportation and treatment of kitchen waste, the cost accounting of biodiesel production process, the price of biodiesel entering the market after modulation, and the distribution of vehicle refueling, so it was made at once." Ji Xing said that in September 2023, the National Energy Administration held a pilot promotion meeting for biodiesel in Shanghai to study and investigate the experience of promoting and applying biodiesel in Shanghai.

  "From the current point of view, catering waste oil is a realistic and feasible resource choice for biodiesel." Li Dingjie said that this year, the National Energy Administration launched a pilot project to support the application and promotion of the Shanghai model in areas with conditions and willingness.

  In view of how to promote the pilot project of biodiesel in an orderly manner, Li Dingjie suggested: "First, establish a sound storage and processing chain for kitchen waste oil; Second, there must be qualified enterprises that can produce biodiesel; The third is to ensure the sales channels of biodiesel and establish a mechanism associated with refined oil sales enterprises; The fourth is to guide consumers to use biodiesel and raise green awareness through publicity. "

  Ji Xing made three suggestions.

  The first is to establish a national waste collection mechanism. "At present, there are 100 pilot cities for kitchen waste in China, and 86 of them have actually passed the acceptance. At present, there are 230 prefecture-level cities left in China ‘ Blank ’ We must take the time to collect kitchen waste. " Ji Xing suggested that the scope of recycling should also be expanded, from the current restaurants, hotels and other places to schools, families and residential areas. He believes that if all areas and oil sources are covered, the total amount of recycled kitchen waste oil in China is expected to reach 10 million tons/year.

  The second is to strengthen the promotion of application scenarios. Ji Xing suggested that the high-quality development of Yangtze River shipping can be combined with the application of marine biodiesel to reduce the cost of transformation and realize energy saving and carbon reduction. In addition, it can also strengthen the application of biodiesel in trucks and vehicles in high altitude areas.

  The third is to expand the scope of consumption as soon as possible. In addition to the three pilot enterprises, more oil companies can participate and open up the demand space for biodiesel.

  Source: China Chemical News.