Ethanol
information sheet 1
for the Australian Motorist
Ethyl alcohol(C2H5OH)
is known as ‘ethanol’, or simply ‘alcohol’, and is a colourless liquid with a faint odour. In Queensland, it is made from sugar cane molasses. It can also be made from wheat and other crop residues.
Key words:
fermentation (in the case of sugar) to change sugar into ethyl alcohol by adding yeast feedstock the raw material used to make ethanol excise government tax imposed on locally made goods e.g. petrol or potable spirits molasses the syrup taken from raw sugar biomass wood, straw or other plant waste. In the case of sugar cane this is called bagasse potable spirit alcohol that can be drunk mandate compulsory addition to petrol
The story of ethanol
The production of ethanol is a worldwide industry. It is not only used as an alcoholic spirit but also as a pure product in the food, pharmaceutical, personal care and other industries, as well as a fuel (E10) for motor vehicles. Ethanol has been used by people since the dawn of history! It was most likely originally produced by the spontaneous fermentation of sugary liquids such as fruit juices and utilised by the ancient people, who were aware of its intoxicating effect. The Egyptians learned how to extract alcohol from fermented materials and their knowledge was passed on to the Arabs, who studied and perfected the art of distillation between the 7th and 12th centuries. Ethanol has been used as a fuel for many decades. When Henry Ford designed the Model T Ford, it was his expectation that ethanol made from renewable biological materials, would be a major automobile fuel.
Where does it come from?
It’s made from clean, green, raw materials
Fermentation ethyl alcohol is produced from three types of raw materials: • Sugar based feedstocks – mainly molasses, sugar cane juice, sugar beet, Jerusalem artichoke • Starchy products or cereals – mainly corn, wheat, maize, potatoes • Cellulose sources – mainly waste or biomass such as wood, rice straw, plant material left over from logging, or other plant waste. These are not economically viable industries as yet, but research is continuing and these may become important sources of ethanol in the future. These raw materials can be replenished each year by the sun, thus making ethanol a renewable energy source!
Why do we need it?
Air quality and health issues
The major factor now influencing the introduction of alternative fuels worldwide is a growing concern, and in some cases alarm, about air quality and future oil reserves. An extensive American study attributes 1 in 5 lung cancer deaths to fuel emissions. The June/July 2003 edition of The Road Ahead reports: “The latest Air Emission Inventory Report has revealed that drivers are the major air polluters in Queensland’s south-east. Based on EPA and Brisbane City Council (BCC) monitoring, the report shows motor vehicles cause more than 60 percent of oxides of nitrogen and carbon monoxide in the region. BCC estimates travel could increase by 60 percent by 2011. ”
“The Australian transport sector accounts for about 20% of Australia’s total greenhouse gas emissions, a figure which is expected to increase. (Ecos April” June 2003) In South East Queensland air quality is a growing concern and drivers are the major air polluters. There is currently no legislation to address this concern. “Queensland’s 3,187 ,000 registered vehicles are estimated to have belched out a record 14.1 million tonnes of carbon monoxide in the past 12 months. (Courier Mail 11 June 2003) ” Asthma is a growing health concern in Australia. In 2001 in Australia, 37 ,000 men, women and children were admitted to hospital suffering symptoms of asthma. This is an extraordinary figure and does not include those suffering quietly in their own homes. It is known that certain particles emitted form petrol can trigger asthma.
Ethanol around the world
Every day of the year, ethanol is routinely blended, promoted and sold in the United States, Brazil, Canada, South Africa, India, China, Spain, France, Belgium and Indonesia. Air quality issues in the US and Canada have since promoted its use as a blend in petrol. In 1990, the Clean Air Act was enacted in the US whereby ethanol has been mandated for use in certain areas to reduce carbon monoxide emissions. Ethanol is used as a blending ingredient, usually at 5% to 10% concentrations (called E5 or E10), in petrol or as a raw material to produce high octane fuel ether additives. Many Brazilians drive their cars with pure ethanol. The rest drive with a 25% ethanol blend. A 22% blend has been the standard for the past 30 years. Brazilians like their sugar and they like to save money. In 1975 the Brazilian government launched the ‘Proalcohol’ campaign which has successfully supplied local fuel ethanol from sugar cane for its large population since then, without the Brazilians having to import oil from overseas. Their engines have been specifically modified to run on any mixture of petrol or ethanol.
What does the science say?
The science says that greenhouse gases, carbon monoxide and hydrocarbon emissions are poisoning the earth’s atmosphere. The science says that increasing average global temperatures, arising from an increase in greenhouse gases from industrial activity and population growth, contribute to the Greenhouse Effect. The science also says that under current conditions, use of ethanol-blended fuels as E85 (85% ethanol and 15% gasoline) can reduce the net emissions of greenhouse gases by as much as 37 .1%. Ethanolblended fuels as E10 (10% ethanol and 90% gasoline) reduces greenhouse gases by up to 3.9%.
The Australian transport sector accounts for about 20% of Australia’s total greenhouse gas emissions.
Ecos April-June 2003
E10 in your engine – what will it do?
Australian motorists are worried about ethanol. Motorists are saying, “I understand the importance of ethanol for the environment, but I am not sure what it will do to my engine... There are no mysteries ” surrounding the use of ethanol as a fuel overseas. In Australia, the mystery is why isn’t it being used in fuel as a matter of every day life? Damaging media statements have promoted negative views about ethanol, causing confusion and uncertainty in the community. So here is some helpful information: • Ethanol by itself burns with 30% less energy as petrol, BUT the extra oxygen it carries makes an ethanol-petrol blend deliver more energy to an engine than petrol alone. A CSIRO study has identified that E10 delivers approximately 97% of the power of standard Unleaded Petrol • Ethanol effectively adds more oxygen to the fuel combustion process to produce a cleaner, faster burn • Ethanol burns 100% to water and CO2 and leaves no residue or deposits • Many high-powered engines use E10 Unleaded because it keeps the engines cooler. • 10% ethanol blend in cars is completely safe and has been approved for use in new cars by most manufacturers • There is no difference in how an ethanol blended fuel interacts with your car. Ethanol will be more likely to clean up old deposits in your engine and improves the nation’s balance of trade and GDP .
Ethanol keeps fuel systems clean and eases cold weather starting
Why is Ethanol production and use so important?
Ethanol has become important for its use as a fuel, as a solvent, as an antiseptic and as an additive for the production of a number of organic compounds and chemical products. In Australia, Ethanol is currently contained in following products: • Motor Fuel • Mouthwash • Methylated spirits • Make-up • Aerosols Ethanol in fuel: • is cleaner than petroleum • reduces toxic tailpipe emissions • reduces carbon monoxide levels in the air • reduces smog and ozone • is reliable, renewable and environmentally beneficial • is easy to produce and cost effective • blends well with petroleum • creates jobs and sustains rural industry There are no identified technological risks, and it assists in protecting our childrens’ futures. Additionally: • Problems in the environment cost governments millions of dollars in increased health care associated with respiratory and heart disease. Ethanol blends can potentially reduce harmful pollutants emitted into the air, therefore saving lives and money • Petroleum fossil fuel stocks worldwide are depleting, a substitute is required • Ethanol can reduce vulnerability
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to disruptions or shortages in foreign petroleum supplies Ethanol mitigates against the rise of oil prices Ethanol reduces foreign oil imports, thus reducing deficits Ethanol blends have a significant ‘anti-knock’ property in motor vehicles Ethanol eases cold weather starting Ethanol keeps fuel systems clean Ethanol reduces their need to import costly petroleum and oil and makes us less vulnerable to interruption of fuel supplies
Who is making ethanol in Australia?
The major producers of ethanol in Australia are the Manildra Group, with its head office in New South Wales and CSR Distilleries in Sarina, near Mackay in Queensland. There are plans to build more ethanol distilleries in Queensland. Caltex Australia has recently begun selling E10 Unleaded at five Caltex and Ampol service stations in Cairns for a trial period of six months. The public response has been very encouraging.
What does the Australian Government think about ethanol?
The Australian Government has not yet mandated a blend of ethanol in fuel. Mandating (compulsory addition to petrol) ethanol is one of the keys to its future because it ensures a firm market for ethanol produced in Australia. There is a need to define an on-shore market for ethanol in order to create a future industry for sugar and grain and to fix a floor price for produce. Therefore, until the Australian government mandates the use of ethanol in petrol, it is unlikely that a viable fuel ethanol industry will be a real option for the future. So far, the key demonstration of support for an Australian fuel ethanol industry by the Australian Government is the retention of the exemption of renewable fuels from a fuel excise (tax) until 2008 and a $50 million capital grant.
Is there hope for a viable fuel ethanol industry in Australia?
The future of a viable fuel ethanol industry depends heavily on the independent oil companies leading the way in introducing the use of fuel ethanol in Queensland. It is also very much in the hands of the Australian Government which is cautiously investigating the economic pros and cons of a viable ethanol industry. It will take time to develop this potentially worthwhile and valuable industry.
Cost/Benefit Analysis
An independent study has estimated the value to the community of an ethanol industry. This figure shows that the benefits far outweigh the costs of an incentive in the form of a long-term excise rebate.
Costs to Government from Ethanol Industry
Excise Rebate $133M
Benefits to Government from Ethanol Industry
Regional Development (not including construction)
Jobs & Tax: $59M $42M
Company Tax from Octane
Value:
Environment
Health Reduced oil imports Energy security Renewable fossil fuel Farm stability GHG: Clean Air: $14M $58M
TOTAL:
$173M
Did you know that between 1929 and 1957, all gasoline sold in Queensland contained 10% ethanol? Your feedback - what do you think?
Please e-mail or post your feedback or questions to the address at right.
Canegrowers Building 190 Edward St GPO Box 1032
What can you do?
Send a letter to your local Member expressing your support for a fuel-ethanol blend
Brisbane QLD 4000 P: 3864 6444 F: 3864 6429 E: canegrowers@canegrowers.com.au W: www.canegrowers.com.au