Assessment of the sustainability and economic potential of hydrotreated vegetable oils to complement diesel and biodiesel blends in Brazil

Abstract

Abstract‘Curb CO2 emissions’ is a common expression today and it will be heard even more frequently in the future. Biofuels have attracted attention for many years, and recently this attention has been directed, in particular, to biofuels in heavy‐duty vehicles. This sector contributes to a significant quantity of emissions in Brazil. This class of fuels – biodiesel, fatty acid methyl esters (FAMEs) – has an established industry in Brazil. However, the limited capacity for the production of biodiesel, and the limitations imposed by its properties, make it difficult to expand the industry. Thus, hydrotreated vegetable oils (HVOs) have emerged as a more environmental friendly fuel and a potential alternative to cut emissions in the transportation sector. To identify ways to use such fuels in Brazil, this study reviews environmental indicators for diesel, biodiesel, and HVO, and compares then using a composite score. Based on specific emission factors, scenarios for the use of HVO are evaluated in terms of emissions avoided, potential granting of decarbonization credits, and feasibility for investment. The results in one of the scenarios evaluated show that 0.5 decarbonization credits can be granted for each liter of HVO consumed in Brazil. There is room for profitability in all of the scenarios. This work also shows that Brazil has the necessary public policies to foster biofuels on a large scale, and, with blend mandates being reformulated, the country could avoid emissions of over 12.9 million CO2 tons per year in the transport sector. © 2022 Society of Chemical Industry and John Wiley & Sons, Ltd.