Lecture – 4

Bioenergy

Widodo Wahyu Purwanto

Departemen Teknik Kimia
 Outline

What is bioenergy and biofuels

The raw materials of biofuels
Bioenergy technology
Production cost of biofuels
Market map of biofuels
Biofuels policy
Current issues of biofuels
What is and type of biofuels?
The history of biofuels

1860

Source: Lin, 2009

What is bioenergy

Source: IEA, 2012

Source: IEA/FAO, 2017
 The enlarged biofuel family

DMF (2,5 dimethylfuran), HTU (hydro thermal upgrading)

Source: UNEP, 2012
General trajectory of future
supply of biofuels

Source: JNCC, 2008

Potential bioenergy pathways:
From biomass to final energy use

Source: IEA. 2017

Different routes for harvesting and
processing solid biomass
Maturity of bioenergy technologies

Source; IEA, 2012

Properties of gasoline and
biomass-derived fuels
Properties of ethanol fuel blends made
with gasoline

Source: Alleman et al, 2015

The effect of oxygen content and
carbon number

Source: S Karatzos et al., 2017

Biofuel & Petroleum Fuel Specification

EURO-5 Ultra low Sulfur

Parameter Unit FAME HVO FT Diesel Pertadex (CN 53)
Standard Diesel
Cetane
  min 53 66.7 78.5 76 53.5 53.5
Number
Density kg/m3 815-840 877.64 823 777 821 821
Viscosity mm2/s 2-4 4.5 3 2.6 2.42 3.14
Sulfur
ppm max 10 0 1 1 128 15
content
Lubricity Micron max 460 186 650 600 297 297
Water
mg/kg max 200 270.87 42 80 56 56
content

Red indicates off-spec

The effect of FAME as a blend component in
diesel fuel

Oxidation stability, under both thermal and longer-term

storage conditions,
Cold flow properties and filterability behavior,
Propensity for supporting microbiological growth,
Tendency to increase the dissolved water content and
degrade the watershedding ability of diesel fuels,
Compatibility with materials commonly used in refinery,
distribution, and fuel supply systems,
Removal of dirt, rust, and other solid contaminants in
the supply and distribution system.
Raw materials of biofuels
H/C of feedstocks and fuels

Source: IEA Bioenergy, 2014

Types of biodiesel feedstock

Source: Ruth and Jansson, 2007

Types of ethanol feedstoks

Source: Ruth and Jansson, 2007

Annual yield of various feedstock

Source: Anwar, 2014

Harvesting season of major
energy corps in different countries

Source: IRENA
Rank of biodiesel feedstock
Pemilihan Tanaman BBN Potensial untuk
Biodiesel

Bahan pangan Kemudahan

Produktifitas Rendemen Tanaman energi Kesiapan
yang sudah tumbuh di
tanaman BBN multiguna pengembangan
surplus lahan marginal

Kelapa Jarak Pagar Nyamplung Kemiri Sunan Biji Karet Pongamia

1.4000

1.2000 Multiguna
Kesiapan
1.0000
Surplus
0.8000 Kemudahan

0.6000 Produktivitas
Rendemen
0.4000

0.2000

0.0000
Kelapa Kemiri Sunan Nyamplung Pongamia Karet Jarak Pagar
Source: KESDM
 Rank of bioethanol feedstock
Pemilihan Tanaman BBN Potensial Untuk
Bioetanol

Bahan pangan Tanaman Kesiapan Kemudahan

Produktifitas Rendemen
yang sudah energi pengem- tumbuh di
tanaman BBN
surplus multiguna bangan lahan marginal

Tebu Ubi Kayu Jagung Sagu Aren Shorgum

1.4000

1.2000 Multiguna

Kesiapan
1.0000
Surplus
0.8000 Kemudahan

Produktivitas
0.6000
Rendemen
0.4000

0.2000

0.0000
Tebu Sorghum Sagu Aren Ubi Kayu Jagung
Source: KESDM
Technology process routes for
biofuel
Biomass to biofuels technology pathays

Source: USAID
Routes for production of biofuel from
biomass
Simplified grain to ethanol
Simplified sugar cane to ethanol

Source: IRENA, 2013

Oil refining process &
transesterification biodiesel
Oil refining process &
transesterification
HVO production process - Carbohydrate
deoxygenation mechanisms 
Simplified Hydroprocessed Esters and Fatty
Acids (HEFA) process depicting the 2 stages of
hydroprocessing 

Source: IEA
Major thermochemical drop-in biofuel
process routes 

Source: IEA
A simplified schematic diagram of
different technology pathways to bio-
jet fuel

Source: IRENA 2017

Refinery insertion points for HDO
Bio-oils 

Source: IEA
HDO=hydrodeoxygenated oil 
Biomass gasification and upgrading

Source: Alonso, 2010

Biomass pyrolysis and upgrading

Source: Alonso, 2010

Biomass liquefaction and upgrading

Source: Alonso, 2010

Integrated biorefinery

Source: Naik, 2010

Schematic view of BECCS

Source: IEA, 2017

Power to X: Using low-carbon
hydrogen to increase biofuel
production

Source: IEA, 2017

Process chain of production and
use of renewable gases

Source: IRENA, 2017

Biogas technology

Source: IRENA, 2017

Typical biogas composition and
yields from livestock & crops

Source: IRENA, 2017

Biomethane production and
biomethane use as vehicle fuel

Source: IRENA, 2017

Biomethane yield of different
feedstocks

Source: IRENA, 2017

Stages of organic material degradation by
microorganisms under anaerobic conditions

Source: IRENA, 2017

Common methods for CO2-
separation for biogas upgrading

Source: IRENA, 2017

List of companies producing HEFA fuels
(mainly renewable diesel)

Source: Irena, 2021

Lignocellulosic ethanol plants –
status
Overview of thermal projects 
Key R&D issues of
advanced biofuels

Source: UNCTAD, 2015

Commercialisation status of various
biofuel pathways based on fuel readiness
level

Source: IRENA, 2021

R&DD policy

Source: Wustenhagen, 2014

Production cost of biofuels
Annual investments in biofuels
(USD billion)

Source: IRENA, 2019

Economic and environment importance
and challenges of biofuels

Source: Gupta, 2015

 Levelized cost of biofuels
Cost of biofuels:
 CAPEX estimation: Learning curve

Source: NREL, 2015

Progress ratio for first
generation biofuel technologies

Source: Chen, 2012

Progress ratio biofuels

Source: Chen, 2012

 HVO-Diesel BTL-FT-Diesel
LC-Bioethanol
(Renewable Diesel)
Teknologi
Hydrotreating and Gasification and Enzymatic hydrolisis and
hidrocracking Fischer-Tropsch fermentation
Densitas energi BBN Biodiesel Biodiesel Bioethanol
34,3 MJ/l, 44 MJ/kg 34,3 MJ/l, 44 MJ/kg 21,15 MJ/l

Liter setara m.solar (LSS)
Liter setara premium
(LSP)
Densitas
Kapasitas kilang
Rasio Densitas energi Rasio Densitas energi
biodiesel/solar =0,92 biodiesel/solar =0,92
Rasio densitas energi
bioethanol/premium=2/3
3 3 3
780 kg/m 780 kg/m 789 kg/m
800,000 ton/year 150,000 ton/year 200,000 ton/year

Efisiensi kilang 2015 2030 2015 2030 2015 2030

-Efisiensi energi 88% 90% 41% 70% 41.1 % 50%

-Liter BBN/ton umpan

CPO 1100 l /t 1125 l /t
M. Kelapa 830 l/t 850l/t
M. Alga 670 l/t 680l/t 250 l 300 l
TKKS ethanol/ton ethanol/ton

-H2/biodisel 0,09 0,09 0,6 0,6

GJ H2/GJ GJ H2/GJ GJ H2/GJ GJ H2/GJ
diesel diesel diesel diesel

CAPEX 2015 2030 2015 2030 2015 2030

600-730 PR=0.98 553 PR=0.91 415 million PR=0.9

million $ million $ $
O&M 4% CAPEX 4% CAPEX 7-10% CAPEX
Feedstock Crude 2015@ 2030@ 2015@ 2030@
Oil
CPO ($/bbl) 600 $/t 762 $/t
60 1000 $/t 1270 $/t
M. Kelapa 100 882 $/t 1120 $/t
60 1470 $/t 1867 $/t
M. Alga* 100 2600$/t 1140 $/t
60 3380 $/t 1720 $/t
M.Nyamplung# 100 22000 $/t
M.K. Sunan# 44000$/t
Total installed cost of biodiesel plant

Source: IRENA, 2013

Advanced biodiesel capital
cost breakdown

Source: IRENA, 2013

Capital costs for advanced
ethanol plants

Source: IRENA, 2013

 Capital cost breakdown for bioethanol
plants

advanced

Conventional

Source: IRENA, 2013

Estimated production cost ranges
for conventional bioethanol

Source: IRENA, 2013

Estimated current lignocellulosic
bioethanol production costs

Source: IRENA, 2013

Production cost of biofuels

Source: IRENA, 2013

Biaya pokok produksi
BBN
Summary of minimum fuel selling prices of
biojet fuel for different technology pathways

Source: IRENA, 2021

Breakdown of biojet cost from various
references to illustrate CAPEX, OPEX and
feedstock cost

Source: IRENA, 2021

Production costs for selected biofuels
pathways 

Source: IRENA, 2021

Biofuel market map
Modern bioenergy: the overlooked
giant of renewables

Source:IEA, 2017
Annual global light duty vehicle sales

Source: IRENA, 2019

Global Trends in Ethanol, Biodiesel and
HVO/HEFA Production, 2007-2017

Source: REN 21
World biofuel supply by region

Source: IEA, 2019

Share of biofuel in global road transport

Source: IEA, 2019

Ethanol blending in gasoline fuels
and of biodiesel blending in diesel
fuels

Source: FAO
Indonesian biodiesel export
and domestic use

Source: LMC
Global bioethanol production by
region

Source: IRENA, 2014

Global biodiesel production by
region

Source: IRENA, 2014

Biofuel world prices
Food based feedstock vs oil price

Source: IEA, 2013

Food based feedstock vs oil price

Source: IEA, 2013

Food-based oils vs oil price

Source: IEA, 2013

Log, wood vs. oil prices

Source: IEA, 2013

Crude oil vs feedstock of biofuel
prices

Source: LMC
CPO price comparison

Source: LMC
CPO price different and trend

Source: LMC
Biomass for energy trade routes

Source: IEA, 2009

Trade stream of biofuels and biopellet

Source: HLPE, 2013

World ethanol market

Source: OECD, 2015

Regional distributions of world
ethanol production and use in 2024

Source: OECD, 2015

Regional distributions of world
biodiesel production and use in 2024

Source: OECD, 2015

Future biofuel roles up to 2050

Source: IEA, 2013

Biofuels policy
Stakeholders with competing interests across
the value chain

Source: IRENA, 2019

Biofuel policy types
  Supply-side policy Demand-side policy

 Direct  Production  Blend mandate

incentives subsidies  Information
 Tax breaks campaigns
 Low cost financing  Public tendering
 Tax

   Training/capacity  Carbon tax

Indirect building  Green vehicle
incentives  R&DD & industrial rebates
support  Fuel standards
 Loan garanties
 Trade tariff

Source: UNCTAD, 2014

Barriers to advanced biofuels identified by
studies carried out to date

Souce: IRENA, 2019

Barriers ranked by the level of
importance

Source: IRENA, 2019

 Kebijakan` BBN Nasional Deskripsi
Peraturan Presiden No.5/2006 Kebijakan Energi Nasional (KEN) dengan target bauran biofuel 2% dari total konsumsi energi nasional pada tahun 2010
menjadi 5% pada tahuan 2025.
Instruksi Presiden Penyediaan dan Pemanfaatan BBN sebagi bahan bakar lain.
No. 1/2006
Peraruran Menteri ESDM Persyaratan dan pedoman izin usaha niaga BBN sebagai bahan bakar lain.
No. 051/2006
Keputusan Dirjen Minyak dan Gas Bumi Standar dan mutu BBN jenis biodiesel sebagai bahan bakar lain yang dipasarkan di dalam negeri
No. 13483/2006
Peraturan Menteri ESDM Penyediaan, Pemanfaatan dan tata niaga BBN sebagai bahan bakar lain.
No 32/2008
SNI 7182:2012 dan Keputusan Dirjen EBTKE No. 723 K/10/DJE/2013 Standar Kualitas Biodiesel.

SNI 7390:2012 dan Keputusan Dirjen EBTKE No. 722 K/10/DJE/2013 Standar Kualitas Bioetanol

Peraturan Menteri Keuangan Pajak pertambahan nilai ditanggung pemerintah atas penyerahan bahan bakar nabati di dalam negeri untuk tahun anggaran
No. 156/2009. 2009.
Peraturan Presiden Republik Indonesia Nomor 191 Tahun 2014 Perubahan atas Peraturan Presiden No. 30/2009 tentang penyediaan dan pendistribusian dan harga jual eceran bahan bakar
minyak
Peraturan Menteri Keuangan 117/2006: Kredit Pengembangan Energi Nabati dan Revitalisasi Perkebunan. Penyedian kredit dengan bunga lebih rendah
No. 117/2006; No. 79/ 2007 dari bunga di bank nasional terutama untuk petani untuk penanaman kelapa sawit. No. 79/2007: Tentang Kredit ketahanan
pangan dan energi. Diperuntukkan usaha kecil dan menengah untuk mendapatkan pembiayaan murah. Pinjaman ini tidak
dikenai biaya administrasi dan bisa dimanfaatkan oleh kelompok tani atau koperasi selama 5 tahun.

Peraturan Menteri Keuangan No. 21/2010 Pemberian fasilitas perpajakan dan kepabeanan untuk kegiatan pemanfaatan sumber energi terbarukan

Dana Teknolohgi Bersih, Clean Technology Fund (CTF), 2012 CTF bertujuan mempromosikan efisiensi energi dan energi terbarukan untuk mendukung tercapainya target jangka panjang
pengurangan emisi gas rumah kaca 26% pada tahun 2020, melalui pembiayaan pendamping dari lembaga multi lateral untuk
meningkatkan kapasitas pembangkit panas bumi dan peningkatan efisensi energi dan energi terbarukan dengan risk sharing
investasi skala kecil dan menengah.

Peraturan Menteri ESDM No. 10/2012 Pelaksanaan kegiatan fisik pemanfaatan energi baru dan terbarukan.

Peraturan menteri ESDM No. 25/2013 Perubahan atas Peraturan Menteri ESDM No.32 2008, tentang Penyediaan, pemanfaatan, dan tata niaga BBN sebagai bahan
bakar lain. Berisikan perubahan target kewajiban pencampuran biodisel dan bioetanol.
Sektor transportasi harus menggunakan BBN 10% dan Untuk dbiodiesel yang digunakan PLN sampai 20%.

Peraturan Menteri ESDM No. 20, 2014 Perubahan kedua atas Peraturan Menteri ESDM No.32 2008, tentang Penyediaan, Pemanfaatan, dan tata niaga BBN sebagai
bahan bakar lain. Berisikan perubahan target Kewajiban pencampuran biodisel dan bioetanol. Target cukup ambisius tahun
2025 mencapai 20% untuk bioethanol dan 30% untuk biodiesel.

Keputusan Menteri ESDM Harga indek pasar (HIP) BBN yang dicampurkan ke dalam bahan bakar tertentu.
No.726 K/12/MEM/2015
Peraturan Menteri Keuangan Perubahan kedua atas Peraturan Menteri Keuangan No.217/2011 tentang tata cara penyediaan anggaran, perhitungan,
No.2/2015 pembayaran dan pertanggungjawaban subsidi jenis bahan bakar tertentu.
Policy & regulation

Source: Wibowo, EBTKE

Biodiesel and Bioethanol Mandatory
Indonesia palm oil production
since 1960

Source: Kharina et al, 2016

Indonesia Biodiesel Mandatory Target and
Domestic Consumption (Million Liters)

Source: USDA, 2017

Indonesia Biodiesel Production (kL)

Source: USDA, 2018

Indonesia Biodiesel Support Fund
Mechanism and export levy

Source: USDA, 2019

Funds Collected from Palm Oil Export
Levy and Distributed for Biodiesel Program

Source: USDA, 2019

Indonesia Biodiesel Market Index
Price 2016-2019 (IDR per liter)

Source: USDA, 2019

CPO reference price and export
duty

Source: USDA, 2019

Main issues of biofuels
 The dominant drivers for
the introduction of biofuels
• Support sustainable development
• Reduce of GHG emissions
• Increase energy availability and security:
diversification of energy sources, less dependency
on fossil fuels and fossil fuel import
• Regional/rural development
• Employment creation
• Income generating sources
• Indonesia case: Reducing negative current account
Trade-off
Balancing biofuels-food-biodiversity
Poverty reduction
Reduce GHG
Rural development

Fuel vs food
Deforestation
Water resources
Loss biodiversity
Drivers and performance criteria for
bioenergy value chains

Source: Gabrielle et al, 2014

Crop commodity vs fossil,
fertelizer, metal prices

Source: Ecofys
Impacts and feedbacks of
biofuel systems

Source: HLPE, 2011

Supply and demand framework
of bioenergy

Source: IRENA, 2014

Concept competition biofuels and
food

Source:Koizumi, 2015
System boundary of a generic
biofuel life cycle

Source: Stapgef, 2015

Life cycle stages of typical energy systems

Source: IEA, 2011

Fossil energy balance for biofuels

Source: FAO
LCA GHG balances of biofuel

Source: FAO
Water use in energy production

Source: IISD, 2013

 Biofuel,deforestation, and LUC

Source: GIZ, UNEP, 2012

Bioenergy - livelihood

Source: UNEP, 2012

Bioenergy - biodiversity

Source: UNEP, 2012

Bioenergy – land conversion

Source: UNEP, 2012

Risk energy crop expansion
on land access

Source: UNEP, 2012

Conflict zones: high potentials for
biomass production vs. high biodiversity

Source: FAO, 2013

Global loss of forests

Source:
FAO Global Forest
Resources Assessment
Source: FAO, 2013
Thank You
 HW 1- Bioenergy
Petroleum savings via biodiesel (FAME) use. The production of FAME for
use in liquid fuels has been heavily subsidized in recent years. In assessing
the success of these programs, it's important to keep the entire life cycle
of FAME from palm oil in mind.
a) Up to 30 % by volume of biodiesel in Indonesia (B30) may consist of
FAME. Using this information, calculate the amount of petroleum fuel that
Indonesia saves per year via the displacement of petroleum diesel by
FAME.
b) Burning of FAME is seems more favorable than burning of petroleum
diesel from a carbon-emissions standpoint. Calculate the tonnage of CO2
saved per year by displacement of petroleum diesel with FAME in
Indonesia.
c) What factors have been left out of this calculation so far? Find
references for the magnitudes of these factors, and sum up the total
amount of petroleum saved in a year, and total amount of CO2 saved in a
year.