China's Fuel Ethanol Development Slows Down

Due to food safety issues, fuel ethanol, which was once widely regarded as an alternative fuel, will not develop rapidly in the future. According to the Medium- and Long-Term Plan for Renewable Energy, by 2010, the annual production capacity of fuel ethanol will reach 2 million tons, with an average annual growth rate of less than 6%. By 2020, the production capacity of fuel ethanol will reach 10 million tons.
As an emerging alternative energy source, fuel ethanol has developed rapidly in recent years, with a capacity of 1.3 million tons in 2006, an increase of 25% over the previous year. Another type of bio-fuel, bio-diesel, is also a substitute made of oil crops or fiber plants, and is expected to reach 200,000 tons in 2010 and 2 million tons by 2020.
As China is a country with a large demand for food, the country strictly restricts the use of grain-processing fuel ethanol, requires the use of waste from grain processing, or uses cassava, straw, and other cellulose to produce fuel ethanol. In the near future, China will develop fuel ethanol and biodiesel projects with a scale of no less than 50,000 tons, actively carry out comprehensive energy utilization and make full use of existing production capacity. The current demonstration projects include 400,000 tons of sweet sorghum raw fuel ethanol, 600,000 tons of potato raw fuel ethanol, and 100,000 tons of Jatropha raw material biodiesel.
In addition to food security issues, the large-scale promotion of biofuel oil is also constrained by safety performance, and quality standards for all types of biofuel oil must be harmonized. Since biofuel oils will be used in various automobiles, extensive tests must be conducted and uniform quality regulations must be in place to determine the safety and stability of their oils.
The development and promotion of biofuel oil must be prudent, and it must be ensured that relevant policy standards have been completed for large-scale promotion. In terms of policy support, it is necessary to give bio-energy use companies a dual guarantee of policy and market. First, they must give tax incentives and necessary financial subsidies to biomass energy companies. At the same time, they must formulate rules for the entry of bio-liquid fuels into the oil sales system and eliminate the market. barrier.


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