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Bio Ethanol

Bioethanol (including cellulosic ethanol) can be made by fermenting components of algae solids for use as a fuel for vehicles in its pure form or as a gasoline additive to increase octane and improve vehicle emissions. Most common blends include E10, E22 and E85. Bioethanol is already very widely used around the world.

The US Environmental Protection Agency has found that one litre of gasoline produces 2.33kg of CO2 while one litre of ethanol saves 2.11kg of CO2.

While ethanol currently accounts for only about 2% of global transport fuel, consumption is rising quickly, with the International Energy Agency predicting that biofuels could replace 5.4% of the world’s gasoline by 2013.

Many governments are legislating for the incorporation of ethanol with petrol as they move to reduce greenhouse gas emissions.

The United States has mandated 164 billion litres of ethanol be used in petrol blends per year, while India has a national policy that biofuels make up 20% of total fuels by 2017.

Europe has plans to replace 10% of transport fuels with biofuels by 2020, with Sweden aiming to be free of fossil fuels by 2020.

The Philippines has required a 10% ethanol mix since 2007 and Canada determined that 45% of its gasoline consumption must contain 10% ethanol last year.

In Australia, E10 is a common offering in many service stations, with 36% (4 billion litres) of all petrol sold in the State of NSW now containing ethanol. Higher blends are currently restricted by Australian government regulation but vehicles capable of using E85 are available for purchase.

There are currently three ethanol production facilities in Australia; two in Queensland and one in New South Wales. Australia currently produces around 390 million litres of ethanol each year.

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