New report for LowCVP evaluates the prospects for high blend biofuels
Mon 21 December 2009
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A new study for the LowCVP by Transport & Travel Research Ltd (TTR) looks at the opportunities for the the increased use of high blend biofuels - at blends greater than 10% by volume - in the UK. The study was set up to investigate the potential for high blend biofuel penetration, the associated commercial and environmental benefits as well as barriers, and to recommend the most appropriate mechanisms to stimulate take-up.
The LowCVP had identified that the use of these biofuels in high blend form could make a positive contribution to reducing emissions in the transport sector. However, the potential and viability of this contribution or potential obstacles to the development of a high blend and gaseous biofuels market were not well understood.
The study found that there are a number of reasons for considering the development of a market for high blend liquid and gaseous biofuels. The Renewable Energy Directive (RED) cannot presently be met with supply from low blends into the vehicle parc. High blend biofuels can also provide a relatively cost-effective mechanism for additional GHG-reductions in transport and provide a potential pathway to ultra-low carbon vehicles.
The study says that substantial GHG emission reductions can be achieved through the use of high-blend biodiesel (>B30), bioethanol (E85) and pure plant oil (PPO) in a range of vehicles and biomethane in HGVs and buses. However, there are considerable barriers to market adoption of high blend liquid fuels in terms of their cost effectiveness (£/tCO2 avoided). High blend liquid fuels are usually at least twice as expensive as low blends and B30 is twice as expensive as B100 and PPO.
It also finds that the removal of the duty break for biofuels makes high liquid biofuel blends uneconomic. With the biomethane duty differential retained, however, there is a commercial case for a move away from diesel to biomethane if other barriers are addressed.
To better understand market deployment opportunities and barriers this study considers a wide range of factors including: vehicle duty cycles within major vehicle classes, blend limits and refuelling strategies and additional capital and operational costs.
In total the researchers looked at 72, vehicle-fuel combinations and takes into account the practicality of supplying high-blend biofuels to different parts of the UK vehicle parc, based on existing fuelling infrastructure and vehicle re-fuelling practices.
To download the study, please follow the associated link.
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