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    Spanish company Ferry Group is to invest €42/US$55.2 million in a project for the production of biomass fuel pellets in Bulgaria. The 3-year project consists of establishing plantations of paulownia trees near the city of Tran. Paulownia is a fast-growing tree used for the commercial production of fuel pellets. Dnevnik - Feb. 20, 2007.

    Hungary's BHD Hõerõmû Zrt. is to build a 35 billion Forint (€138/US$182 million) commercial biomass-fired power plant with a maximum output of 49.9 MW in Szerencs (northeast Hungary). Portfolio.hu - Feb. 20, 2007.

    Tonight at 9pm, BBC Two will be showing a program on geo-engineering techniques to 'save' the planet from global warming. Five of the world's top scientists propose five radical scientific inventions which could stop climate change dead in its tracks. The ideas include: a giant sunshade in space to filter out the sun's rays and help cool us down; forests of artificial trees that would breath in carbon dioxide and stop the green house effect and a fleet futuristic yachts that will shoot salt water into the clouds thickening them and cooling the planet. BBC News - Feb. 19, 2007.

    Archer Daniels Midland, the largest U.S. ethanol producer, is planning to open a biodiesel plant in Indonesia with Wilmar International Ltd. this year and a wholly owned biodiesel plant in Brazil before July, the Wall Street Journal reported on Thursday. The Brazil plant is expected to be the nation's largest, the paper said. Worldwide, the company projects a fourfold rise in biodiesel production over the next five years. ADM was not immediately available to comment. Reuters - Feb. 16, 2007.

    Finnish engineering firm Pöyry Oyj has been awarded contracts by San Carlos Bioenergy Inc. to provide services for the first bioethanol plant in the Philippines. The aggregate contract value is EUR 10 million. The plant is to be build in the Province of San Carlos on the north-eastern tip of Negros Island. The plant is expected to deliver 120,000 liters/day of bioethanol and 4 MW of excess power to the grid. Kauppalehti Online - Feb. 15, 2007.

    In order to reduce fuel costs, a Mukono-based flower farm which exports to Europe, is building its own biodiesel plant, based on using Jatropha curcas seeds. It estimates the fuel will cut production costs by up to 20%. New Vision (Kampala, Uganda) - Feb. 12, 2007.

    The Tokyo Metropolitan Government has decided to use 10% biodiesel in its fleet of public buses. The world's largest city is served by the Toei Bus System, which is used by some 570,000 people daily. Digital World Tokyo - Feb. 12, 2007.

    Fearing lack of electricity supply in South Africa and a price tag on CO2, WSP Group SA is investing in a biomass power plant that will replace coal in the Letaba Citrus juicing plant which is located in Tzaneen. Mining Weekly - Feb. 8, 2007.

    In what it calls an important addition to its global R&D capabilities, Archer Daniels Midland (ADM) is to build a new bioenergy research center in Hamburg, Germany. World Grain - Feb. 5, 2007.

    EthaBlog's Henrique Oliveira interviews leading Brazilian biofuels consultant Marcelo Coelho who offers insights into the (foreign) investment dynamics in the sector, the history of Brazilian ethanol and the relationship between oil price trends and biofuels. EthaBlog - Feb. 2, 2007.

    The government of Taiwan has announced its renewable energy target: 12% of all energy should come from renewables by 2020. The plan is expected to revitalise Taiwan's agricultural sector and to boost its nascent biomass industry. China Post - Feb. 2, 2007.

    Production at Cantarell, the world's second biggest oil field, declined by 500,000 barrels or 25% last year. This virtual collapse is unfolding much faster than projections from Mexico's state-run oil giant Petroleos Mexicanos. Wall Street Journal - Jan. 30, 2007.

    Dubai-based and AIM listed Teejori Ltd. has entered into an agreement to invest €6 million to acquire a 16.7% interest in Bekon, which developed two proprietary technologies enabling dry-fermentation of biomass. Both technologies allow it to design, establish and operate biogas plants in a highly efficient way. Dry-Fermentation offers significant advantages to the existing widely used wet fermentation process of converting biomass to biogas. Ame Info - Jan. 22, 2007.

    Hindustan Petroleum Corporation Limited is to build a biofuel production plant in the tribal belt of Banswara, Rajasthan, India. The petroleum company has acquired 20,000 hectares of low value land in the district, which it plans to commit to growing jatropha and other biofuel crops. The company's chairman said HPCL was also looking for similar wasteland in the state of Chhattisgarh. Zee News - Jan. 15, 2007.

    The Zimbabwean national police begins planting jatropha for a pilot project that must result in a daily production of 1000 liters of biodiesel. The Herald (Harare), Via AllAfrica - Jan. 12, 2007.

    In order to meet its Kyoto obligations and to cut dependence on oil, Japan has started importing biofuels from Brazil and elsewhere. And even though the country has limited local bioenergy potential, its Agriculture Ministry will begin a search for natural resources, including farm products and their residues, that can be used to make biofuels in Japan. To this end, studies will be conducted at 900 locations nationwide over a three-year period. The Japan Times - Jan. 12, 2007.

    Chrysler's chief economist Van Jolissaint has launched an arrogant attack on "quasi-hysterical Europeans" and their attitudes to global warming, calling the Stern Review 'dubious'. The remarks illustrate the yawning gap between opinions on climate change among Europeans and Americans, but they also strengthen the view that announcements by US car makers and legislators about the development of green vehicles are nothing more than window dressing. Today, the EU announced its comprehensive energy policy for the 21st century, with climate change at the center of it. BBC News - Jan. 10, 2007.

    The new Canadian government is investing $840,000 into BioMatera Inc. a biotech company that develops industrial biopolymers (such as PHA) that have wide-scale applications in the plastics, farmaceutical and cosmetics industries. Plant-based biopolymers such as PHA are biodegradable and renewable. Government of Canada - Jan. 9, 2007.


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Friday, December 22, 2006

China to save 100 million tonnes of coal by boosting biomass for power

China's rapid economic development has been almost entirely fuelled by coal. The country has enough reserves and supplies to allow it to continue to grow its economy. But China's coal industry is under pressure, not only because it is based on old, unsafe mines (which are being closed), but more importantly because the fuel is turning the People's Republic rapidly into the world's biggest polluter. If China continues to burn coal at its current pace, all climate change mitigation efforts by all other industrialised countries combined, would be in vain.

Between 75% and 80% of China's electricity is generated by burning coal. Another 20% comes from large-scale hydropower projects, with most of the rest coming from nuclear stations. In 2006, China consumed some 2.1 billion tons of the dirty fuel. Predictions that assume a 'business-as-usual' scenario suggest that total energy demands will rise to the equivalent of 3.5 billion tons of coal per year by 2020 - which would be a true disaster.

For this reason, finding ways to reduce coal consumption is a top priority for the Chinese government. To achieve this, two major and obvious paths are being investigated: increasing the efficiency of power plants, and substituting coal with cleaner alternatives.

It is within this context that the Chinese government is seriously investing in biomass R&D and in getting green power plants operational as fast as possible. Earlier this week, the country's first self-developed 100% straw-burning power generation project has begun pilot operation in Suqian, in east China's Jiangsu Province, according to the China Energy Conservation Investment Corporation (CECIC). The 248 million yuan (€24/US$31 million) project is expected to burn between 170,000 and 200,000 tons of rice and wheat straw and will generate 132 million Kwh of electricity per year, says Yang Xincheng, general manager of CECIC.

Each year in China, around 140 million tons of straw and crop stalks are burned in the open air on farmers' fields or on nearby highways. The energy contained in this enormous amount of agricultural residues not only goes to waste, the burning biomass also releases vast amounts of carbon dioxide into the atmosphere. By substituting coal with this biomass that is otherwise burned, China can reduce CO2 emissions two times.

By making full use of the resource, China can save the equivalent of 100 million tons of coal, Yang says:
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In the future, dedicated, non-food energy crops might be planted to supply more biomass. The Chinese government has approved the construction of over 30 biomass power plants so far. Some are already being built, others will begin construction soon.

Foreign investments and scientific assistance is focused on biomass projects as well. A consortium of European research institutes, united in the China-EU Bioenergy project, recently announced that it is going to help China with co-firing biomass in coal plants. According to the project leader, precisely because China's economy is growing so fast and because its energy challenges are so great, the country offers enormous possibilities for bioenergy to make a major contribution to improving the global environment.

China-EU Bioenergy will share the results with the European co-firing industry and help companies form technology partnerships with Chinese power stations (earlier post).

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