Production of Bio-Diesel Fuel from Soybean Oil in Brazil | CDM/JI | Global Environment Centre Foundation (GEC)

Reports of CDM/JI Feasibility Studies

Title of the research

Production of Bio-Diesel Fuel from Soybean Oil in Brazil

FY 2005

Main research orgnisation

Nippon Mining Research & Technology Co., Ltd.

Research partner(s)

Sumitomo Corporation, Petrobras

Location of the project

Brazil (Uberlandia, Minas Gerais)

Summary of the research report (PDF)

Summary

Description of the project

The purpose of this project is to reduce the greenhouse gas emissions generated through combustion of the petro-diesel fuel. Using bio-diesel fuel (BDF) produced by the project as an alternate of petro-diesel fuel for transportation in Brazil, is expected to reduce the amount of petro-diesel fuel consumption.
The BDF we use is produced from soybean oil in the BDF production plant located in Uberlandia, Minas Gerais, Brazil.

GHG

CO2

Sector of the project

Biomass Utilisation

CDM/JI

CDM

Duration of the project activity/ crediting period

2008 - 2017 (Construction:2007 - 2008)(Commencement of commercial operation:mid.2008 - )

Baseline methodology/additionality

Based on the assumption that "Generalized baseline methodology for transportation Bio-Fuel production project with Life-Cycle Assessment" (NM129 -> AM00xx) is approved as a baseline methodology, the methodology is applied to the project.
After studying and confirming that the project meets the applicability conditions of the methodology, we also divided the project's life-cycle into the three stages shown below. We reviewed each stage, and arrived at the conclusion that the baseline scenario option "continuation of the existing practice" met all the applicability conditions on all the stages. To put it plainly, the baseline scenario is the state that the automobiles using BDF in the project scenario is using fossil fuels. Therefore, the emission from the baseline scenario is expected to be larger than that from the project scenario, and this proves the additionality of the project.
Stage 1: Biomass (soybean) supply
Stage 2: BDF production (from soybean oil), and
Stage 3: BDF consumption

Estimation of GHG emissions

Let ERy denote emissions reductions by the project in a year (y). The ERy when BDF production is 100,000[t/yr] is calculated as follows:
ERy = BEy-PEy-Ly
=2.85 x 105 [tCO2/yr]-15,150[tCO2/yr]-0[tCO2/yr]
=2.70 x 105 [tCO2/yr]
Here, BEy (Baseline Emissions) = 2.85 x 105 [tCO2/yr],
PEy (Project Emissions) = 15,150 [tCO2/yr], and
Ly (Leakage) = 0

Monitoring methodology

The project is monitored using the monitoring methodology. B, P, and L represent the parameters required to calculate baseline emissions, project emissions, and leakage respectively.

ID number	Data variable	Source of data	Data unit	Measured (m), calculated (c), estimated (e)	Recording frequency	Proportion of data to be monitored	How will the data be achieved
B1. BFy	Annual BDF consumption or sales		GJ/yr	m	daily	100%	Electronic
B2. BFvoly	BFy volume	Volumeter	m3/yr	m	daily	100%	Electronic
B3. Densityy	BDF density	Densimeter	ton/m3	m	monthly	Sampling	Electronic
B4. HVy	BDF calorific value		GJ/ton	m	monthly	Sampling	Electronic
B5. COEFFF	LCACO2 emission factor of diesel oil replaced by BDF	BDF purchaser, statistical data, scientific literatures, etc.	tCO2/GJ	c	At the beginning of each crediting period	100%	Electronic
B6. BF[produced]VOLy	BDF production	Volumeter	m3	c	daily	100%	Electronic
P1. FFBFPoil,y	Fuel oil used for generating steam supplied to BDF production plant	Integrating flowmeter	kl	m	daily	100%	Electronic
P2. COEFFF oil	LCA CO2 emission factor of fuel oil	BDF purchaser or statistical data	tCO2/kl	c	At the beginning of each crediting period	100%	Electronic
P3. BFmassy	Annual BDF sales	Scale	t	m	daily	100%	Electronic
P4. COEFFS	CO2 emission factor of methanol in BDF		tCO2/t-BDF	c	Once at the creation of PDD	100%	Electronic
P5. PETransp1y	CO2 emissions caused by BDF transportation from BDF production facilities to distribution facilities		tCO2/yr	c	monthly	100%	Electronic
P6. MLTransp1,y	BDF transportation distance from BDF production facilities to distribution facilities	Forwarder's receipts or odometer records	km	m	Monthly (during transportation)	100%	Electronic
P7. COEFTRmode 1	CO2 emission factor for BDF transportation (by diesel truck)	Statistical data	kgCO2/km	c	Once at the creation of PDD	100%	Electronic
L1. EL y	Electrical energy consumed in accepting soybeans and in producing BDF in the facilities	Wattmeter	Mwh	m	monthly	100%	Electronic
L2. COEFELy	CO2 emission factor coefficient for electrical power	Statistical data	tCO2/MWh	c/e	yearly	100%	Electronic
L3. Lossy	Loss in electricity transmission grid	Statistical data	No unit	c/e	yearly	100%	Electronic

Environmental impact

To construct BDF production plant, we have to go through procedures required by the laws of Minas Gerais where the plant is to be installed. It isassumed that BDF production is classified to the 4th grade of Environmental Impact Assessment (EIA), which is a rather simple EIA.
Glycerin produced as a by-product is utilized as raw material of soap and shampoo. Therefore, environmental impact by the by-product is assumed to be small. Wastewater from the BDF production plant is discharged after it is treated in the water treatment facility to meet the wastewater quality standard and to lessen environmental impact.

Issues and tasks for project implementation

This project is funded by Petrobras, Sumitomo Corporation, and Sumitomo Corporation do Brasil S.A. using their own funds, and the use of public funds are not planned.
From the results of investment analysis, it is assumed that the credit price 8.0 US$/t- CO2 is required to make the project profitable. Further cost reductions in both construction and operation are required.