RIO DE JANEIRO, BRAZIL – At least 70 countries worldwide already have mandates for ethanol blending in gasoline. India and the United Kingdom are increasing levels to reduce emissions and improve air quality.
Guatemala was the second country selected and the first in Latin America to hold the Sustainable Mobility seminar “Ethanol Talks”, which started in Asia in 2020 and where editions were held in New Delhi (India), Bangkok (Thailand), and Islamabad (Pakistan).
The event was sponsored by the Brazilian Sugarcane Industry Association (UNICA) in partnership with the Brazilian Ministry of Foreign Affairs, Apex-Brasil, and the Brazilian Association of Local Alcohol Production (APLA).
In Brazil, all gasoline contains 27% ethanol, which has avoided the emission of 600 million tons of CO2 into the atmosphere.
In this context, Vera Álvarez, Brazilian Ambassador, said that through the seminar and the visit of experts, a deep and substantive dialogue is promoted between public policymakers, regulators, industry representatives, and technical experts in the ethanol sector in Guatemala and Brazil.
“We as a country are not looking to sell ethanol as a product; rather, we intend to help Guatemala join the other countries that already use renewable fuels, thus strengthening the economy of citizens and considerably reducing pollution,” said Álvarez.
SOLID, CLEAR, AND LONG-TERM POLICIES
Authorities from the Ministry of Energy and Mines (MEM) participated in the first seminar, highlighting the use of ethanol as a low-carbon mobility alternative, a solution that contributes to the care of the environment, strengthens the economy and favors the health of Guatemalans.
“Ethanol has one of the lowest carbon footprints among fuels, reducing up to 90% compared to gasoline. It is a viable and accessible alternative, but it requires a solid, clear, and long-term biofuels policy,” says Evandro Gussi.
During the event’s inauguration, Alberto Pimentel Mata, Minister of Energy and Mines, commented that it is a vital issue for the development of the country and the region because it is about sustainability, energy security, and the future of nations.
He also expressed that Guatemala faces great challenges in securing these energy sources.
EXCHANGE OF EXPERIENCES
Another purpose of the seminar is to establish initiatives focused on policies to reduce the levels of greenhouse gas emissions derived from the use of ethanol.
In addition, the exchange of information on biomass and market access and sustainability of biofuels is established, as well as the creation of a virtual center of excellence in bioenergy.
“It is essential that we take advantage of those energy sources available locally,” added Pimentel.
MEM Vice Ministers Luis Ayala, Oscar Pérez, Manuel Arita, and officials from the Ministry of Environment and Natural Resources (MARN) participated in the event.
The officials shared with actors of the commercialization chain, fuel importers, transporters, gasoline retailers, importers of vehicles and motorcycles, ethanol producers, and representatives of the Universidad del Valle de Guatemala.
HIGH POTENTIAL
Ethanol has one of the lowest carbon footprints globally and can reduce emissions by up to 90% compared to gasoline.
Since 2003, with the launch of flex gasoline cars in Brazil, ethanol has avoided the emission of almost 600 million tons of CO2 into the atmosphere and still can exceed this figure.
In Guatemala, with an effective policy that implements a 10% ethanol blend in gasoline, it is possible to avoid the emission of approximately 250,000 tons of CO2 per year.
This measure would help the Latin American country to comply with the commitments acquired in the Paris Agreement. The Guatemalan goal is to reduce 11% of its global CO2 emissions by 2030.
Sugarcane cultivation is one of the main drivers of the Guatemalan economy, as 70% of sugar production is exported: the country is the sixth-largest exporter of this product.
The installed ethanol capacity is 246 million liters per year. To blend 10% ethanol in the country’s gasoline, 238 million liters per year are required. There is a surplus of molasses that is not currently transformed into biofuel.
“Guatemala has the productive potential to leverage the bioenergy industry, reducing dependence on fossil fuels, which is an important demand in the world”, emphasizes UNICA’s executive director, Eduardo Leão de Sousa.
For ethanol in Guatemala to become a reality, it must involve several actors such as the Ministry of Energy and Mines, the Ministry of Environment and Natural Resources, ethanol producers, fuel importers, fuel transportation, and importers of vehicles and motorcycles, among others. And a roadmap is drawn up to enable implementation in the country.
DEBATE ON THE USE OF ETHANOL
The dominant ethanol in the Central and North American market is produced from corn in the United States.
A scientific article published by the National Academy of Sciences of the United States, PNAS, entitled: “Environmental Results of the U.S. Renewable Fuel Standard”, referred to the following:
“The carbon intensity of ethanol produced from corn under the RFS (U.S. renewable fuel standard) is not less than that of gasoline and is surely at least 24% higher.”
In the United States, the use of ethanol as an oxygenate in gasoline caused the following effects:
- It increased the price of corn by 30% and the price of other crops by 20%;
- It expanded the corn cultivated area by 8.7% and the total corn cultivated area in the country by 2.4%;
- It led to an increase of between 3% and 8% in the use of fertilizers and between 3% and 5% in other products that degrade water quality.
As a result, the carbon intensity of ethanol produced from corn under the renewable fuel standard is not less than that of gasoline and is likely to be at least 24% higher.
On the other hand, an analysis by the Center for Public Policy Research in Mexico, entitled: “Modifications to the fuel standard may worsen air quality across Mexico,” finds the following impacts of increased ethanol use:
“The use of ethanol in gasoline significantly increases ozone and PM levels in cities causing poor air quality and damage to the environment and people’s health.”
“It is worth highlighting that, due to the average age of the Mexican vehicle fleet, a large part of the cars circulating in the country do not have adequate systems to avoid fugitive emissions derived from the intense vapor pressure generated by the mixture of alcohol with gasoline.”
A Yale study shows that gasoline blends that have more ethanol pollute more, reduce fuel efficiency, increase food prices, and can cause damage to engines.
With information from Bloomberg Línea