Ethanol boom

Under the circumstances of steady price increase for oil and oil products renewable sources of energy keep attracting more and more interest, biofuel in particular. A contribution to agricultural sector is among its many advantages. A group of Ukrainian farmers received an opportunity to visit a plant «Linkolnway energy» during their business trip to the USA in terms to the exchange program «Kochrane» organized by USDA.

According to the date of Economic Information Administration biofuel will comprise 2.3% of all fuel by 2015, and 7% by 2030. It concerns bioethanol mainly, the production of which has been actively developing for many years. Ethanol is one of the most ancient products of biotechnology which originated 4000 years ago in Ancient Egypt and Babylon. Not so long ago all the ethanol received by sugar fermentation was used in alcohol production and only a small part was used in industry.

During the last 25 years the situation has totally changed. Nowadays 70% of all the ethanol produced in the world is used in energy fuel industry (as an additive to fuel), 17% is used in alcohol production, and 10% is used in private sector. USA, Brazil, China and Canada are the leaders of bioethanol production. Brazil produces ethanol from cheap sugar cane in order not to depend from oil import.

Corn is the main raw material for bioethanol production in the USA. It supports the agrarian sector inside the country on the one hand and improves the environmental condition on the other hand. European Union tries to minimize dependence from the oil import, prevent the global warming, and meet the obligations of Kyoto Protocol about carbon dioxide emissions and support the development of agriculture.

The production of fuel ethanol has just started developing in Ukraine. The energetic strategy of our country envisages gradual increase of biofuel and bioethanol production. As a result their usage must be 19,5% from all sources of bioenergy by 2030. But the real possibility to form biofuel industry came into being only in May 2009 after coming into force the law of Ukraine «About the amendments to some of the Ukrainian laws concerning the support of production and usage of alternative fuels». According to this law the production of bioethanol which was primary monopolized by the government, was allowed to the enterprises of all property forms. Bioethanol types of fuels as for example E85 (85% of ethanol) were not levied excise which opened the opportunities for private investment in production and sales of bioethanol. But to make the production of bioethanol large-scaled an infrastructure project «from the field to petrol tank» should be developed. But there is one question left why reinvent the wheel if it is easy to adopt experience of other countries as USA for instance. The soil and climate of Ukraine are very suitable for growing corn.

Why is the Iowa state called a corn state or ethanol region?

What are the peculiarities of bioethanol production from corn at «Linkolnway energy» plant?

What is the value of dried distillers grains with solubles as a by-product of bioethanol production for pig production?

What are the production and export volumes of dried distillers grains with solubles in the USA?

What advantages does the government receive from bioethanol production and who receives subsidies for ecologically clean production?

You can read more in the magazine publication «Profitable Pig Production», № 3 (9), 2012

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