Ethanol production in Philippines to hit 83M liters

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The local ethanol supply is expected to reach 83 million liters by 2010

The local ethanol supply is expected to reach 83 million liters by 2010, higher than government estimates of only 50 million liters, the Ethanol Producers Association of the Philippines said.

Epap director Tetchi Capellan said supply was expected to come from San Carlos BioEnergy Inc., which produces 40 million liters a year; Leyte Agri Corp., 10 million liters; and Roxol Bioenergy of Roxas Holdings Inc., 33 million liters.

Capellan said that to protect local ethanol suppliers and their investments, it was important to declare the correct local supply volume as this would become the basis for the volume of imports to be allowed by the National Biofuels Board.

Should the government base import volumes on the 50-million liter capacity of local ethanol producers, NBB will allow oil companies to import as much as 180 million liters of ethanol next year—instead of only 147 million liters—to be able to comply with the mandate of the Biofuels Law, Capellan explained.

Initial estimates of the country’s requirements for 2010 stood at 219 million liters.

Beginning 2009, the government mandated oil companies to preblend 2 percent coco methyl esther (CME) or coco biodiesel in diesel-fed vehicles and 5 percent ethanol in gasoline-fueled ones.

Republic Act 9367 or the Biofuels Act also mandated the blending of bioethanol should be increased to 10 percent by 2011.

Epap earlier sought an immediate review of and change in the policy governing ethanol trade, stressing that the industry needs more government support.

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