The Challenges of Biofuel Implementation in Indonesia - ijens

International Journal of Basic & Applied Sciences IJBAS-IJENS Vol:10 No:06

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The Challenges of Biofuel Implementation in Indonesia: Environmental Prospect Muhammad Kismurtono1) and B Paul Naiola2) 1)

Technical Implementation Unit for Development of Chemical Engineering Processes, The Indonesian Institute of Science Yogyakarta, Indonesia. Telp/Fax: +62-274-392570/ 391168, PO. Box: 174 WNO, Code: 55861, E-mail: [email protected] 2) Research Center for Biology. The Indonesia Institute of Sciences Cibinong Science Center (CSC-LIPI). Jln Raya Jakarta-Bogor Km 46, Cibinong 16911, West Java, Indonesia

Abstract--

Biofuel production in Indonesia in 2025 could reach 15,9 billion liters and 16.5 billion liters per year of ethanol and biodiesel, respectively. If the technology is still depended on the first generation biofuels, the land dedicated to biofuels would be in the range of 6.6 to 11.6 million hectares. Therefore, it is no wonder that there are widespread concerns that biofuels could end up causing more problems than they solve. Several LCA (Life Cycle Assessment) studies reported that the effects of first generation biofuels as fuel can reduce green house gases (GHG) and produce a higher total energy amount than that of fossil fuels. However, recent and more comprehensive studies indicated that if the land use conversion were accounted for, biofuel resulted a much higher of GHG emissions, especially if it was included the rainforest destruction, or conversion of peat lands. For the above reasons, in the near term, the policy priority should be to find ways to promote sustainable production methods for biofuel feedstock, especially how to avoid direct and indirect destruction of the Indonesian primary forest. Moreover, policy finance should focus on research and development to promote sustainable production methods, especially on second generation biofuels, and not on increased production of first generation biofuels.

Index Term--

Biofuel, environment, green house gases emission, land use conversion, production of second generation biofuel.

I. INTRODUCTION One of the nowadays problems in inddonesia, an will remain as serious problem is energy, whether for domestic or industry and transportation. The most dominant and nationally used is fuel originated from fossil fuel. In correspond to this problem, one of the government policy is to withdraw or reducing the use of kerosene in domestic utilization, substituted with gas (LPG – Liquor Petrol Gas). In the same direction, the government also promoting to the diversify energy need by rxploring the other alternative energy. Alternative energy should provide conditions such as technical and economic capabilities and coping with environmental issue; for example, the use of bioenergy (BBN oil from plants). Biofuel (BBN - Bahan Bakar Nabati), is believed as one of prospective alternative energy to be developed in the future. The development of bioenergy is not only due to the reduction of national dependency on fossil fuel with a risk of regular growing up price, but also keeping the permanent supply of national energy. The increase of world

society consciousness in using environmental friendly fuel, brings bioenergy as more strategy. For Indonesia, the development of bioenergy may increase the ability to create and imporeve bioenergy based on local resources Indonesia nowadays, is one of the countries in the world that start to develop bioenergy industry by the producton of biodiesel and bioethanol. The role of bioenergy industry become more important, since during the year 2008, the price of fossil fuel increased to more than US$ 100 per barrel. The increase in fuel price has pushed the inflation up to two digits. On the other hand however, some experts believed that bioenergy may create negative effect on food availability and environmental conservation, in terms of sustainability. Hence, what to be needed is to analyse both positive and negative aspects when using biofuel, and to determine which biofuel is suitable to be developed in Indonesia. This paper presents the environmental review against biofuel industry, that maybe as reference when developing biofuel in Indonesia. Not less important is the arisen of environmental conflicts between establishing biofuel and food security. II. BIOFUEL Biofuel is a common term for fuel that produced from biomass such as plants and organic wastes. Nowadays, development of biofuel is divided into 2 steps, namely: First generation biofuel  First generation biofuel is generated from raw materials of food plants, vegetable oil and animal fat, by using conventional technology. Common biofuel Bioethanol used in commercial scales, are: Is generated by mixing petrol gas with etahanol; ethanol is generated by fermentation of sugar or starch content materials. Raw materials used are molases, cassava, sugar cane, corn, wheat and sugar bit.  Biodiesel Is generated by mixing diesel and product generated from vegetable oil or animal fat. Raw materilas used are originated from oil palm, jatropha, coconut and soybean.

106106-0505 IJBAS-IJENS © December 2010 IJENS

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International Journal of Basic & Applied Sciences IJBAS-IJENS Vol:10 No:06 Second generation biofuel Second generation biofuel is generated from raw material outside food plants. They are such as agricultural wastes, wood wastes (known as cellulotic biofuel), microalgae, or other technology that correspond to advanced processing of natural materials. Based on the discussion above, thus it is quite clear that Indonesia nowadays, just moving into the first generation biofuel, as shown by its initial growth. According to Indonesia Association of Biofuel Production (APROBI), total production of first generation biofuel in indonesia

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during the year 2008 ranging around 725,000 tons i.e. equal to 824 million litres (Tjakrawan, 2007). III.

PREDICTION OF BIOFUEL PRODUCTION IN 2025 Presidential Regulation Number 5 – Year 2006 (Peraturan Presiden No. 5 Tahun 2006) concerning National Energy Policy, confirming the primary energy mix of Indonesia in 2025, is displayed in Figure 1. Contribution from fossil fuel should be less than 20%, while contribution from other resources should fulfil the rest as plotted in cake diagram.

Fig. 1. Predicted national primary energy mix of Indonesia in 2005 and 2025 Note: BaU - bussiness as usual; SBM (setara barrel minyak) - equal oil barrel

Based on Figure 1, it is assumed that supply demand of each energy primer group in 2005 and 2025 is as displayed in Table I. As shown, in 2025, the demand of biofuel should be about 166.9 millions SBM (EOB – equal oil barrel). Table I Supply demand of national primary energy in year 2005 and year 2025 (in million EOB)

Primary energy Fossil fuel Natural gas Coal Bed Methane, EOB) Coal Geothermal Biofuel Liquid coal Hydro power Nuclear power Solar power, hydro power, biomasses etc

Year 2005 524.0 212.8

Year 2025 638.9 832.0

Increase 114..9 619.2

0.0

127.8

127.8

160.4 23.7

1099.4 167.5

939.0 143.8

0.0

166.9

166.9

0.0

80.5

80.5

34.0 0.0

65.8 55.8

31.8 55.8

1.6

17.4

15.8

Based on the assumption that first generation biofuel is still be used, while its composition is 40% ethanol, and 60% biodiesel, thus the demand for pure ethanol (100%) as much as 66.9 million SBM, while for pure biodiesel is 100 million SBM. Due to the energy content of ethanol and biodiesel are

lower that fossil fuel, i.e. 67% and 86%; hence, in 2025, the annual demand of ethanol is predicted as 99.85 million barrels (equal to 15.87 billion litres) and the predicted biodiesel is 116.27 million barrels (18.48 billion litres) per year.


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International Journal of Basic & Applied Sciences IJBAS-IJENS Vol:10 No:06 Various literatures shows data on the yield of ethanol production originated from sugarcane is 6.000 L/ha/y, cassava contributed 2.070 L/ha/y, while biodiesel production originated from oilpalm may up to 4.600 L/ha/y.

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Thus Table II presented the predicted land demand for the production of biofuel in 2025 should be not less than 13 million hectares.

Table II Predicted land demand for biofuel production in 2025

Tipe of biofuel

Biofuel demand in Year 2025 (million litres SBM)

Biethanol

66.9

15,874

Biodiesel

100

18,48

Table II shows that when the demand of biofuel is entirelly expected from first generation biofuel, thus in 2025, the demand of land to be dedicated for sugar cane, cassava and oil palm is at least between 6.6 to 11.6 miilion hectares. Thus, no wonder if there is much growing up of awareness from many environmental guardians/ institutions such as NGOs claiming about the consequences of biofuel development which end in greater social and environmental disaster than its contribution itself. Graham-Harrison (2005) pointed out results of many research in this aspect shows that biofuel production will end with the declining of world food security, while (Engelhaupt, 2007) revealed the declining of water availability, the rise of greenhouse gases (Searchinger et al., 2008), and unconstructive ending effect on biological diversity (Pearce, 2005), something that should be watched in Indonesia.

Land demand in Year 2025 (million hectare) 2,64 – when raw material is originated from sugar cane 7.67 when raw material is originated from cassava 4.01 when raw material is originated from oil palm

IV. ENVIRONMENTAL EFFECT The development of biofuel industry in Indonesia is expected to contribute to the whole life of the target groups in society, national income per capita, self determination and environmetal issues. Consequence that should be avoided is environmental degradation due to biofuel promotion. At the present time, climate change issues are usually judged as global warming as a consequence of uncontrolled and big consumption of fossil fuel. Number of researches when applying LCA (Life Cycle Assessment) technique resulted that theoretically, the use of first generation biofuel, potentially are able to reduce green house gases, and possessing higher netto energy than fossil fuel. Table III shows the decline of CO2 when using biofuels (IGES, 2008). Table IV explaining the comparison of NET (Net Energy Value) of biofuels, where the biggest total energy value expressed by sugarcane. Brazil is the world leading country that applying biofuel generated from sugar cane.

Table III Comparison of various raw materials of biofuel correspond to CO2 sequestration

CO2 (% sequestration) 2 (for E10) to 23 (for E85)

Biofuel

Production country

Corn

USA

Cassava

Thailand

63

Sugar cane

Brazil

80

Oil palm Jatropha Coconut

Malaysia India Philippines

60 80 60

Source: IGES (2008) - using various literatures Table IV Comparison of various biofuels due to their net energy value

Bahan Baku Corn Cassava Cassava Sugar cane Oil palm Jatropha Jatropha Coconut

Negara Penghasil Amerika Cina Thailand Brazil Malaysia Thailand India Filipina

NEN (MJ/L) 5.89 15.14 22.38 41.34 37.45 3.82 5.26 31.72

Note: NEN = Net Energy Value = NEV. Source: IGES (2008) – using various literatures


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International Journal of Basic & Applied Sciences IJBAS-IJENS Vol:10 No:06 Thus concerning the abovementioned positive aspects of biofuel utilisation by Indonesia in the future, it is suggested to apply by deep evaluation, and careful steps should be taken into account. One of the important factor that often fail to be noticed in some LCA study is the effect of increased biofuel production against land use convertion, especially the conversion of tropical rain forest and peat land. Recent LCA studies, were often underestimated the negative effect of biofuel application against green house gases emission. Meanwhile, for some reasons the LCA

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study did not take into account other environmental issues such as biodiversity lost. Concerning land conversion, Barjesson (2008) emphasized a significant effect of land conversion when planting biofuel plants against green house gases calculation. Table V shows the comparison of green house gases emission in a range of ethanol production, energy consumption and land conversion scenario, compared to gasoline.

Table V Green house gases emission from wheat based ethanol, compared to gasoline

No. 1. 2. 3 4. 5.

Various scenario of ethanol production Gasoline (referency) Wheat – biomass energy– raw production– peatland conversion Wheat – coal energy – raw production – coal production Wheat – biomass energy – raw production – grassland production Wheat – biomass energy – production recovery – critical land

Table V shows that the conversion of peatland for wheat plantation for biofuel will release the green house gases up to four times than using gasoline (fossil fuel). Hence, direct land alteration may become the most critical factor in LCA calculation to predict the effect of biofuel. Indirect effect of

Greenhouse gases emission 100 % (referency) + 350 % + 40 % - 25 % - 90 %

land conversion, however should be estimated as well, even though seems difficult in LCA calcculation. Wicke et al. (2008), made a study case in Malaysia for oil palm. For reference, as shown in Table VI, they replaced diesel fuel with biofuel, produced by various land conversion scenario.

Table VI Green house gases from biodiesel production compared to diesel electric engine

No. 1. 2. 3 4. 5.

Biodiesel production Peatland conversion Primary forest conversion Post-logged forest land Utilisation of critical land Utilisation of critical land followed by improvement of environmental management

Biofuel from plants was previously considered as the better one. It is due to carbon emission when burning the forest for biofuel plantation, was balanced by carbon absorption during plant growth period. However, carbon emission is still taking place during distillation and transportation of biofuel V. CONCLUSION Theoritically, there is a great chance to develop biofuel in Indonesia, as far as great awareness should be taken into account. Biofuel may contributes to the reduction of green house gases, improves local energy security and reduces poverty; however there are some dark sides in biofuel issue, noted as possible forest and ecosystem destruction as a result of land function conversion. Due to limited availability of biofuel, the increase of world oil price and the demand to reduce the effect of green house gases have weaken the main purpose of biofuel. However, there should have some consciousness as well that biofuel may only be a part of solution in fuel demand problem. The solution of this problem may be considered by invention and introducing some other energy sources such as electricity power for transportation, production of liquid fuel and gas other than coal, hydrogen from renewable

Emission reduction (%) - 337 - 20 65 157 159

resources, solar power and to draw the people awareness in energy conservation by practising a save energy lifestyle. The limited availability of first generation biethanol and biodiesel tended to promote the development of second and third generation biofuel. However, within 10 to 15 years, a great number of research needed to achieve maximum research in secnd and third generation biofuel. High priority of energy policy in short term target should retain the supply of biofuel as alternative energy sources without loose touch in environmental balance such as Indonesian primary forest conservation. Meanwhile, in financial policy regarding the development of biofuel, direction should be forwarded to reseach and development in promoting production methods, especially focused on the second and third generation, not to broaden the production of first generation of biofuel. REFERENCES [1]

[2]

Arifin Y. 2008. Brief analysis of the development of biofuel industry and its effect on agriculture and environment in Indonesia. (Analisis singkat untuk pengembangan industri biofuel dan dampaknya bagi pertanian dan lingkungan hidup di Indonesia). http://yalun.wordpress.com. (In Indonesian). Börjesson P. 2009. Good or bad bioethanol from a green house gas perspective-What determines this? Journal of Applied Energy 86, 589-594.


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International Journal of Basic & Applied Sciences IJBAS-IJENS Vol:10 No:06

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[3]

Engelhaupt E. 2007. Biofuelling water problems. Environmental Science and Technology, Oktober 15. [4] Escobar JC et al. 2008. Biofuel: Environment, technology and food security. Journal of Renewable and Sustainable Energy Reviews Doi:10.10106/j.rser.2008.08.014 [5] Graham-Harrison dan Emma. 2005. Food security worries could limit China biofuels. Reuters, September 26. [6] IGES. 2008. Prospect and Challenges of Biofuels in Asia: Policy Implications. Institute for Global Environmental Strategies, Hayama, Japan. www.iges.or.jp. [7] Pearce F. 2005. Forest paying the price of biofuels. New Scientist, November 22. [8] Searchinger et al. 2008. Use of U.S. croplands for biofuels increases green house gases through emissions from land use change. Science 319(5867), 1238-1240. [9] Sugiyono A. 2008. Development of biofuel to reduce effect of global warming. (Pengembangan Bahan Bakar Nabati untuk Mengurangi Dampak Pemanasan Global). http://www.geocities.com. (In Indonesian) [10] Tjakrawan P. 2007. Indonesia Biofuels Industry. Sustainable Aspect of Biofuel Production Workshop. [11] Wicke B. et al. 2008. Different palm oil production systems for energy purposes and their green house gases implications. Journal of Biomass and Bioenergy 32, 1322-1337.


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