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Information about Szwarc

Published on January 7, 2008

Author: Coralie


Slide1:  Panel II - Biofuels Alfred Szwarc IPC’s Fall Seminar “Sustainability in the Food & Agricultural Sector” Stratford-Upon-Avon, October 15 – 16, 2007 Slide2:  UNICA is the leading Brazilian association of sugar & ethanol producers Ethanol related UNICA’s goals: structure an international fuel ethanol market consolidate ethanol as a global energy commodity develop new applications and markets incentive adoption of best practices Slide3:  The Industry in Brazil Sustainability Issues Trade Issues Concluding Remarks Ethanol from Sugar Cane Slide4:  Sugar Cane is the prime ethanol feedstok in Brazil Semi-perennial plant: lasts for about 5 crop seasons with high yields and has many benefits over traditional row crops: less energy to plant & cultivate; root system reduces erosion & effective carbon uptake; relatively low defensive & fertilizer requirements; many varieties. Sugar Cane Slide5:  Hydrolysis Sugar Cane: Source of Energy Hydrolysis 1/3 JUICE 1/3 BAGASSE 1/3 STRAW SUGAR (153 kg/t) ETHANOL CO-GENERATION OF ELECTRICITY MOLASSES 165 kg/t 15%humidity 276 kg/t 50% humidity Source: Unica. Cellulosic ethanol revolution: when will it take place? Straw: tops and leaves of sugar cane Slide6:  Where is the Sugar Cane? Source: NIPE-UNICAMP, IBGE and CTC. Amazon Rain Forest Wetlands Sugar cane Sugar Cane Expansion Area Crop Season 2006/07:  Crop Season 2006/07 AC 0 % AM 0,05% PA 0,16 % RR 0 % RO 0 % MT 3,09 % AP 0 % MA 0,39% TO 0,04% GO 3,79 % BA 0,51 % PI 0,17% CE 0,01% RN, PE, PB, AL 10,9 % SE 0,27 % MG 6,82 % SP 62,05 % ES 0,68 % RJ 0,81 % PR 7,51 % SC 0 % RS 0,02 % MS 2,73 % Source: Unica Sugar Cane in Brazil Availability of Arable Land:  Availability of Arable Land Note: Area harvested in 2004. Arable land in equivalent potential. Source: FAO, Land Resource Potential and Constraints at Regional and Country Level (2000); FAO (2007). Prepared by ICONE. Agricultural Defensives Consumption:  Source: Sindag, IBGE, 2007 kg of active substance per hectare Agricultural Defensives Consumption Main Crops - 2006 Fertilizer Consumption:  Metric Ton per hectare Fertilizer Consumption Source: Anuário estatístico do setor de fertilizantes 2006. Associação Nacional para Difusão de Adubos-ANDA. São Paulo, 2007. p.34 Main Crops - 2006 Agriculture Related Soil Losses:  Agriculture Related Soil Losses Fonte: Bertoni, et al. (1998), apud Donzelli, J.L. Erosão na cultura da cana-de-açúcar: situação e perspectivas. In: Macedo, C. (org). A energia da cana-de-açúcar, São Paulo. 2005. Slide12:  Water Consumption In most of the Brazilian territory “Dry Farming” is the dominant practice because of sufficient rainfall. Irrigation in Brazil’s crop areas has been required in less than 4 M ha (< 6% of present agriculture land). Irrigation in sugar cane production is more widespread in the NE, however “Salvation Irrigation” and “Suplementary Irrigation” are adopted according to the need. Rational use of water in the sugar cane industry has increased considerably with reuse and recycle practices. Presently the average consumption of water in São Paulo State’s sugar cane industry is in the order of 1.8 m3/tonne of sugar cane (65% less than in 1997); ongoing efforts to reduce further this volume. Slide13:  Ferti-irrigation Ferti-Irrigation with stllage (vinasse) helps to reduce use of water & chemical fertilizers and is a good practice to recover soil fertility Ethanol Productivity:  Ethanol Productivity Source IEA – International Energy Agency (2005), MTEC,, Icone, Unica. Liters per Hectare Slide15:  End of Pre-Harvest Field Burning Note: 2007 refers to harvested area until August. Source: CTC, Unica. harvest % of non-burnt cane Slide16:  Ethanol Productivity Source: CTC, Unica Agricultural and Industrial Gains Slide17:  Source: F.O. Licht, Macedo, I et alii 2004, NREL 2002 (*) Current practice (**) Biorefinery concept using biogas to generate energy Energy Balance Slide18:  Typical Sugar & Ethanol Plant in Brazil Bagasse Sugar cane field Distillery Sugar plant Ethanol storage tanks Slide19:  bagasse electricity Sugar & Ethanol plants produce own thermal & electric energy using bagasse as a fuel and co-generation systems and sell excess electricity to the public grid Source: UNICA steam Bioenergy Slide20:  Brazilian Ethanol Has the Lowest Cost Index Economic Feasibility Source: F.O.Licht, Unica Jobs in the Sugar Cane Industry:  Jobs in the Sugar Cane Industry Source: MORAES, M.A.F. de. Número e qualidade dos empregos na agroindústria da cana-de-açúcar. In: A energia da cana-de-açúcar, Brazil, 2007. 642.848 764.593 900.768 982.604 Formal Jobs Slide22:  Source: MORAES, M.A.F. de. Número e qualidade dos empregos na agroindústria da cana-de-açúcar. In: A energia da cana-de-açúcar, Brazil, 2007. Formal Jobs Registration Rate Slide23:  Selected Fuel Characteristics Environmental Merits Slide24:  Source: Macedo, I et alii, 2004 Greenhouse Gas Emissions Social Responsibility Programs:  Social Responsibility Programs Source: Unica Programs conducted by UNICA’s associates since 2004 Slide26:  Source: Unica, Copersucar and Cogen. Sugar Cane Industry Expansion Pasture Land in Brazil: 220 M ha. Expansion is being carried out mostly in reclaimed pasture land in the Center-South Region Slide27:  Agroenergy Dilemma Rapid demand growth for ethanol, dry climate and strong demand from Asia have all been contributing to grain prices increase; While ethanol production has been increasing in Brazil sugar prices (sugar is food) have been low and stable; Debate has been fueled by a campaign against biofuels and ethanol has become the preferred scapegoat to justify price increase; Hunger has been due primarily to inadequate income distribution not food scarcity; Agriculture productivity is increasing and there is considerable arable land to be used; Cellulosic ethanol is a good promise; Energy X Food X Feed Slide28:  Ethanol Sustainability Based on the “Triple Bottom Line” requirements: SOCIAL, ECONOMICAL and ENVIRONMENTAL. BENCHMARKED against fossil fuels. UNIVERSAL: applied internationally to all producers, feedstocks & production processes. Agreed within a MULTI-STAKEHOLDER negotiation process. Based on a transparent process defined by CLEAR PRINCIPLES, BALANCED CRITERIA and OBJECTIVE INDICATORS. VOLUNTARY: to reward those who invest in the process. Applied PROGRESSIVELY. Certification Scheme Slide29:  Ethanol International Trade Energy Security Diversification of Energy Sources & Energy Mix Environmental Issues (global warming, urban pollution) Rural Development Drivers Challenges Doha ? Reduction/Elimination of Trade Barriers More Producers & Consumers Harmonization of Product Quality Standards Closer Relationship with Stakeholders (motor industry, oil industry, fuel distributors, governments, NGO’s etc.) Wider Use of Futures Market Contracts (BM&F, NYBOT, CBOT etc.) Slide30:  Growing popularity of bioethanol has created momentum for the development of an international market. Sound policies, environmental care, social responsibility, technological development, standards harmonization, trade barriers elimination and partnership are key for the successful development of a well structured international market. Concluding Remarks

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