Biofuel Consumption Research Articles

Biofuel production and utilization through smart and sustainable biowaste management

EU member states are facing many challenges in order to fulfil different legal obligations linked with the sustainable waste management. The EU legislation related to environmental protection, already implemented in the national legislation of the Republic of Croatia, aims to introduce a system of integrated and sustainable waste management. This puts a focus on material and energy utilization of different waste streams produced in urban areas. Therefore, this requirement represents main challenge for many municipalities, mostly due to various binding targets in waste collection and treatment. Some of them are: reduction of waste generation and disposal, increase of the separately collected waste amounts and recycling rates. Source-separation of biowaste combined with biofuel production is one of the key priorities for many cities, combined with biofuel production in urban areas and its distribution via existing gas grids. The objective of this research is to present environmental benefits of such concept for city of Zagreb. First step is involvement of citizens and assessment of available organic waste. Hence, the conducted analysis has been performed as a survey in order to understand their behaviour and to successfully assess the energy potential of organic fraction from municipal solid waste. The presented research show that 84% of citizens are willing and motivated to participate in biowaste separation. An estimation of energy potential through the anaerobic digestion of organic waste has been presented and calculated to 1,900 t of biomethane based on the analysis which can be utilized through almost 70 CNG busses. This paper proposed concrete solution for the biofuel consumption, and gave an overview of the required land demand for digestate utilization. Also, presented SWOT analysis is giving an overview and confirming the sustainability of proposed concept.

ЭВОЛЮЦИЯ МЕХАНИЗМОВ ГОСУДАРСТВЕННОЙ ПОДДЕРЖКИ ОТРАСЛИ ПРОИЗВОДСТВА ТРАНСПОРТНОГО БИОТОПЛИВА В США И ПЕРСПЕКТИВЫ ДЛЯ РОССИИ

Over the past 30 years the United States has made significant progress in the development of the biofuel industry. At present US holds a leading position in the global production, consumption and export of first-generation bioethanol, and steadily increasing the production and consumption of first and second generation biodiesel. These successes are based on a state policy aimed at creating domestic demand for transport biofuels and stimulating its production by enterprises located in the United States. The main prerequisites for the implementation of this policy are based on the positive economic and environmental effects that accompany the production and consumption of bioethanol and biodiesel. These include, first of all, the intensification of economic activity in agriculture, the reduction of greenhouse gas emissions and emissions of pollutants by road, and the diversification of energy consumption patterns. In the Russian Federation, the production and consumption of transport biofuel is currently not carried out on a significant scale. However, the production of first-generation bioethanol can have a positive impact on individual agricultural markets that require the formation of new sources of demand.

Creating conditions for the sustainable development of the liquid

In light of the growing importance of biofuels in the world and Ukraine’s potential of its production, the current research focuses on analyzing the future development of liquid biofuel market and production possibilities in Ukraine. Ukraine has a great competitive advantage in the production of biofuels as availability of the feedstock, fertile soils and supports through investments and know-how from abroad. Whereas the country disadvantageously exports feedstock to Europe for cheaper price and purchase expensive gas and oil instead. Thus, national interest should be shifted from the export of raw material to processing them into final biofuel products. This research aims at analyzing the current status and future projections of the liquid biofuel market in Ukraine until 2030 using the AGMEMOD model - an econometric, dynamic, partial equilibrium, the multi-commodity model. This is a new market for the Ukrainian AGMEMOD model, and it was implemented in the model for the first time. In recent years, Ukraine has worked on the fulfillment of European standards in the sector of biofuels. Ukraine has built a legislative base, which aims to support industry development and offer a large scale of benefits. However, due to high excise duty, low oil prices and no penalties for not achieving established indicators, the biofuel industry currently remains non-operating. The current paper offers the introduction of state aid in form of direct support and tax preferences for liquid biofuels producers to meet the needs of the domestic market in biofuels and to achieve the indicative target of 10% consumption biofuels in the total consumption of motor fuel by transport sector by 2020. The research suggested conditions for the creation of sustainable development of the liquid biofuel market in Ukraine for the long term period. Due to modeling results, it is expected that in the Baseline scenario biofuel production will not face major changes, because the use of raw materials for food and feed consumption, as well as their export, shall remain a more profitable option for Ukrainian producers. However, it is expected to motivate biofuel production by the introduction of a minimum of 10 % biofuel use for the transport sector. In particular, the increase of demand for biofuel by at least 10% shall positively affect the respective domestic market price and, consequently, positively influence on the use of commodities for biofuel production. Therefore, it might be the case that correctly specified domestic policy will trigger the development of biofuel production in Ukraine. This research proposes to introduce the obligatory admixture with traditional gasoline and diesel and return non-excise production of alternative fuel and biodiesel fuel for a certain period (up to 10 years) to achieve the indicative target of 10% biofuels consumption by the transport sector, and then promote the excise duty at an economically justified level of 10-20% of the excise tax rate on traditional gasoline and diesel. All the above measures, such as direct support for liquid biofuels producers, tax incentives for producers and the introduction of a mandatory mixing rate, will contribute to achieving the indicative target of 10 % consumption biofuels by the transport sector.

Management aspects of development of competitive biofuels production in Ukraine

In the context of easing the dependence of most countries of the world on the import of fossil energy sources, a complex of systematic research on the search and effective use of renewable energy sources, in particular the development of the biofuels industry, is a necessary direction. An urgent problem need arises for the parallel implementation of the policy of diversification of supply and efficient use of fuel and energy resources with the active introduction of competition policy and infrastructure reforms in the economic and energy sector. Economically developed countries pay significant attention to energy supply on the basis of sustainable development, which determines the urgency of developing an integrated system of directions and priorities for the formation of Ukraine's energy security on the basis of its own biofuels production. The purpose of research is to provide scientific and practical substantiation and systematization of organization and innovative aspects of effective regulation of the development of competitive biofuels production in Ukraine at different levels of management. The methodical and practical experience of Ukrainian scientists concerning the division of Ukraine into natural-economic region was used. The methods of system analysis, monographic, graphical and abstract-logical are applied. The development of national biofuels production contributes to the efficient use of scientific, economic and labor potential and provides optimization of biofuel specialization areas. On the basis of the natural-economic region, it is necessary to form the main economic-energy proportions of macro-regional development and carry out balance calculations of production and consumption of biofuels. The formation of competitive biofuels production should be based on the principles of independence, self-sufficiency, accessibility and quality, based on clusterization processes. It is necessary to intensify the processes of increasing the volume and share of renewable energy consumption, giving priority to the development of the biofuels industry. Biofuels are a significant innovative contribution to the local energy supply of natural-economic regions, areas, administrative districts and individual agro-industrial enterprises to increase the competitiveness of manufactured products. Keywords: economic development, management, state energy policy, renewable energy, biofuels industry, natural-economic region.

Parameters of the heat-generating installation on biofuel for grain drying

According to forecasts of leading analytical agencies, in the near future about 50% of all bioenergy will be received from the biomass of the agro-industrial complex. The main factors stimulating the use of waste from the production and processing of crop products are: renewable resources; lower unit cost of energy production; reduction of harmful effects on the environment and humans. An analysis of the structure of the resource potential of grain waste in terms of their origin showed that the largest share in the Tyumen region of Russia, more than 50%, consists of spring and winter wheat waste. The article presents the results of a study of the operation of a heat-generating installation on various cereal wastes as applied to the grain drying process. The rational parameters of the heat generator for the waste of wheat, oats, barley and rapeseed are determined: biofuel consumption, air supply to the heat generator and mixing chamber; the temperature of the drying agent at the exit of the heat generation section. The solid-fuel vortex heat generator is 2 MW power. The mass of the batch of waste from each enterprise ranged from 600 to 1000 kg. In order to ensure the movement of the mixture of combustion products and air in the axial direction to the mixing chamber, the ratio of the rotational speeds of the blower fans should be n1/n2 = 1.3. The temperature of the agent at the outlet of the furnace during the combustion of all waste samples was within 755-830 °C. Fuel consumption for a heat generator during the combustion of rapeseed and wheat waste is 450.4 kg/hour. The optimal moisture content of biofuel for combustion in vortex furnaces is 10-20%.

SEASONALITY ELEMENTS IN THE PRODUCTION AND USE OF LIQUID BIOFUELS IN POLAND AND GERMANY

The aim of the paper is to identify elements of seasonality in supply and demand in the liquid biofuels sector in Poland and Germany. An additional purpose is to present forecasts for selected aggregates until 2020. Two research questions have been formulated for their implementation: (1) is biofuel production in Poland higher in spring or summer (due to the seasonality of agricultural raw material production) than e.g. in winter?; (2) Is the consumption of biofuels seasonal in both countries? The research applies quarterly data for the following aggregates from the biofuels sector: for Poland – production and sale of biofuels in the quarters of 2006-2018, for Germany – biofuel consumption in the quarters of 2007-2017, import and export of bioethanol in the quarters of 2007-2015, import and export of esters in the quarters of 2007-2017. The work focuses on identifying seasonal fluctuations in order to identify purified seasonality indicators, so that it is possible to present forecasts for the biofuels sector. The research conducted in the article leads to the conclusions that, in the liquid biofuels sector, in Poland and Germany, there are elements of seasonality, especially in the field of sales / consumption of biofuels, which in turn is the effect of the changing demand for traditional fuels in which liquid biocomponents are admixed or (less often) used separately as fuel. Differences in the values of variables in Poland and Germany in quarters, in the analysed periods, can be significant – they usually reach several dozen (up to even over 100%), although in nominal terms these differences are usually several or several percentage points. The consumption of biofuels in both countries was higher in the second and third quarters, i.e. in the spring-summer period than others.

Public Policy and Biofuels: Energy, Environment and Food Trilemma

Current policies in energy sector address issues including environmentally friendly technologies, clean and renewable energy supplies and encourage more efficient energy use. The biofuel policy aims to promote production and consumption of fuels made from biomass. Despite the presence of both positive and negative effects of biofuels the world production and consumption of biofuels have been increasing significantly. To a large extent, this is due to an active public policy in the field of stimulating the production and consumption of biofuels. The volume of biofuel production in the leading countries (USA, Brazil and the EU) has been analyzed. The influence of public policy in the sphere of biofuel production and consumption on energy, environment and food security of the state has been examined. Multivariable and paired correlation as well as regression analysis aimed to determine the price dependence of the main crops used as feedstock for biofuels production, the volume of their production or processing for biofuels and the volumes of biofuel production have been carried out. As a result of this analysis the impact of the public policies in biofuels on the еnergy, environment and food security has been identified.

Analysis of Production and Consumption of Palm-Oil Based Biofuel using System Dynamics Model : Case of Indonesia

Indonesia biodiesel blending mandate emerged in 2006 driven by strengthening energy security while in parallel reducing and toning down the need for fossil fuels, strengthen the country's balance of payments and increasing environmental demand to reduce CO2 emission while leveraging the abundance of Crude Palm Oil as raw material. The purposes of this study were to analyze production and consumption of palm Oil-based biofuel. System dynamics model was developed based on 4 stages, Palm Oil Plantation, CPO Production, Palm Oil-based biofuel production and consumption and the validation of the model through Mean Absolute Percentage Error (MAPE) test confirms the correspondence between structures and phenomena. Baseline simulation analysis shows that there is no single strategy capable of improving the production and consumption of palm-based Palm Oil-based biofuel. We suggest that combined strategies such as government support hand in hand with industrial conversion efficiency, increase in palm oil on-farm productivity, 5% reduction in CPO export, Increase biodiesel production capacity and generally biodiesel utilization target cannot be achieved without the support from the government in form of subsidy which require additional IDR 409 a 15% increase in subsidy.

Air-quality-related health damages of maize

Agriculture is essential for feeding the large and growing world population, but it can also generate pollution that harms ecosystems and human health. Here, we explore the human health effects of air pollution caused by the production of maize—a key agricultural crop that is used for animal feed, ethanol biofuel and human consumption. We use county-level data on agricultural practices and productivity to develop a spatially explicit life-cycle-emissions inventory for maize. From this inventory, we estimate health damages, accounting for atmospheric pollution transport and chemistry, and human exposure to pollution at high spatial resolution. We show that reduced air quality resulting from maize production is associated with 4,300 premature deaths annually in the United States, with estimated damages in monetary terms of US$39 billion (range: US$14–64 billion). Increased concentrations of fine particulate matter (PM2.5) are driven by emissions of ammonia—a PM2.5 precursor—that result from nitrogen fertilizer use. Average health damages from reduced air quality are equivalent to US$121 t−1 of harvested maize grain, which is 62% of the US$195 t−1 decadal average maize grain market price. We also estimate life-cycle greenhouse gas emissions of maize production, finding total climate change damages of US$4.9 billion (range: US$1.5–7.5 billion), or US$15 t−1 of maize. Our results suggest potential benefits from strategic interventions in maize production, including changing the fertilizer type and application method, improving nitrogen use efficiency, switching to crops requiring less fertilizer, and geographically reallocating production. Agriculture sustains a large and growing human population, but generates widespread impacts. This study assesses the health effects of air pollution caused by maize production. Reduced air quality leads to 4,300 premature deaths annually in the United States, akin to US$39 billion in damages, and climate change damages of US$4.9 billion.

A Game Theory Approach in Long‐Term Strategy Selection in Biofuel Supply Chain

The increasing growth in biofuel consumption induces further demand for different biomass feedstock. Competition for farmland use became an obstacle in producing biofuel since food products would be destined for energy rather than for human or animals. Nowadays, governments lay down regulations to encourage producing nonfood biomass which brought them huge costs. In this article, the long‐term behavior of parties is analyzed in a three player supply chain including farmers, biorefineries, and governments. The dynamic behavior of parties is modeled by using evolutionary game theory and the stable strategy of each party is derived by solving replicator dynamic equations. Finally, a numerical study is presented based on a real case in Iran to give a better understanding of the features of the game model. Sensitivity analyses on some key parameters such as price and governments' penalties leads to interesting managerial insights into long‐term strategies in the proposed supply chain. © 2019 American Institute of Chemical Engineers Environ Prog, 38:e13122, 2019

Backgrounds for Improving Resource Management of Agricultural Enterprises Based on Economic Diagnostics of Biofuel Consumption

The research paper deals with the formation of new scientific decisions regarding the improvement of the processes of resource management of agrarian enterprises on the basis of economic diagnostics of biofuel consumption. In the course of the research, the essence of the research paper is revealed and the features of the use of tools of economic diagnostics in relation to a particular energy resource as the basis for substantiation of effective management decisions concerning resource management of a modern agricultural enterprise are described. The research methodology is based on the system approach, the identification of causal relationships (deduction, induction) and the synthesis of factors that influence the implementation of the development potential and improvement of resourcing for the operation of modern agricultural enterprises in Ukraine. The research paper systematically presents the processes of providing agricultural enterprise with fuel resources as an element of the resource management system, which focuses on the direction of biofuel consumption, its economic diagnostics, the identification of problems, prospects of use and developmental prerequisites. It is shown that structured integrated economic diagnostics of biofuel consumption by agricultural enterprises as part of a certain system, action algorithm, to a large extent positively influences on the success of application in practice of the tools of resource management of these enterprises, increasing the soundness of managerial decisions in this area. This contributes to a more efficient organization of the processes of the agrarian enterprises of Ukraine, giving an opportunity to respond adequately to the variability of the market environment and create the preconditions for the long-term development.

Socioeconomic implications of biofuels deployment through an Input-Output approach. A case study in Uruguay

Some countries in the world aim to increase biofuel production and consumption as a way to decarbonize the transport sector and transit to a low carbon economy. Besides their potential environmental advantages compared to conventional fuels, biofuels may also bring other socioeconomic benefits. Using the Input-Output Analysis, this study has looked at the socio-economic impacts associated to the biofuels targets established in Uruguay by estimating the associated gross and net effects on production of goods and services; value added and job creation categorized into rural and non-rural. Next, the impacts on the Uruguay's balance of payments, energy security and tax revenues have been estimated and added to the previous effects. When it comes to value added, bioethanol from sugarcane ranks first among the considered biofuels with 431 million US$2018, followed by bioethanol from sorghum and biodiesel. As to job creation, around 34,000 full time new jobs are created as a result of sugarcane bioethanol, twice as much as from biodiesel. Of these figures, rural employment share represents a 13% and 6% in the case of sugarcane bioethanol and biodiesel respectively. On concluding result from this study is that while biofuel production costs in Uruguay are higher than fossil fuel, when the economic effects on tax revenues and balance of payments are added to the previous socio-economic impacts, the total benefits from biofuels compensate the extra costs. However, this situation may be altered in the future as a result of changes in biofuel production costs, fiscal policies as well as import and export prices variations.

Selected Aspects of Biofuels Market and the Electromobility Development in Poland: Current Trends and Forecasting Changes

This work presents basic information associated with markets of selected alternative fuels used in transport, such as methyl esters, conventional bioethanol and lignocellulosic bioethanol, and the market of electrical vehicles. Legal conditions, which stimulate development and regulate the mode of functioning of the liquid biofuel market until 2020 are discussed, based on provisions of EU directives. Data on biofuel production in Poland are presented, as well as biofuel consumption in the EU, the USA and Brazil in 2017. The most important conclusions of the proposal for a directive on the promotion of renewable energy sources in transport in EU member states in years 2021–2030 are discussed. The authors have also indicated the key legal and territorial conditions associated with the development of electromobility and present basic information on electric vehicles in Poland and Europe. The results of the research on the attractiveness of these sectors in 2018 are presented and compared with the results obtained in years 2007–2017. A score-based sector attractiveness method was used in the research.

Оценка производства и потребления древесного биотоплива в Республике Коми

Оценка производства и потребления древесного биотоплива в Республике Коми

Імперативи формування кон’юнктури ринку біоенергетичних видів палива

The production and use of biofuels made of bioenergy crops is a central issue in many countries around the globe in addressing climate change, reducing greenhouse gas emissions and gaining energy independence. The purpose of the study is to substantiate the theoretical position of the biofuels market, to uncover the major players in the biofuels market and the major factors that affect the biofuels market in general. The methodological basis of the research is general scientific and specific methods of cognition of economic phenomena, a systematic approach to the study of socio-economic systems related to the production and sale of biofuels. It has been founed that the bioenergy fuel market is an industry market where state government is a regulator, between producers and consumers of biofuels based on the demand and supply of biofuels. The configuration of market and scientific approaches to its definition in domestic and foreign sources has been investigated. The main factors of bioenergy fuels market conditions which influence the development and formation of the internal market of biofuels have been identified. It is stated that the formation of the internal market of bioenergy fuels depends on state regulations, the development of integrated state programs and strategies, as well as due to the established subsidies and preferences for producers and consumers of bioenergy fuels. It has been determined thar the concept of bioenergy fuel market depends on the level of supply and demand, prices and sales volumes of bioenergy fuels and biomass. It is proved that the development of the internal market of bioenergy fuels is shaped by established or recommended volumes of biofuel consumption, implementation of existing standards and quality certificates to European standards, and the raw material base or biomass of energy crops and the attraction of internal and external investment. Prospects of further research will be focused on the formation of the internal market of bioenergy fuels and the study of foreign experience of market functioning

ANALYSIS OF THE USE OF FUEL BY HOUSEHOLDS AND NON-INDUSTRIAL CONSUMERS

Purpose of the paper is to analyze the available statistical data on fuel consumption by population in every region of Ukraine. To identify similarities and differences in development trends the comparison of structure of final energy consumption in Ukraine and the world was done. The degree of distribution of individual heating systems in urban settlements and rural areas in 2015 is determined. Analysis of the use of the main types of fuel by households sector in regions of Ukraine is performed. The amount of fuel consumed by the population does not linearly depend on the share of individual heating systems in the region (this was shown by an example), therefore to develop strategy for extending the use of renewable energy sources (RES) in the households more factors will need to be considered. Ukrainian and world energy balance data for 2015 (item “Other” which includes residential sector, commerce and public services, agriculture, fishing, other consumers) on the consumption of four main types of fuel (coal and peat, oil products, natural gas, biofuels and waste) were compared. It was concluded that in Ukraine the proportion of basic fuels consumption corresponds to world trends. However, after analyzing the distribution of total final energy consumption certain differences were observed. Analysis of renewable energy sources use by sectors has demonstrated that the residential sector is the leader in renewable energy sources consumption both in the world and in Ukraine. In Ukraine statistical data on biofuel consumption is mainly based on information about firewood and wood biomass consumption. This explains the higher percentage of biofuel consumption in forested areas. It should also be noted that in Ukraine 32% of the wood used by population was sold to households by enterprises and 68% was obtained from self-preparation. Over the past decade consumption of biomass fuel for household needs in Ukraine has doubled, and it is increasingly replacing coal fuel, thus exerting a positive impact on the environment.

Prospects for Production and Consumption of Second Generation Biofuels in Ukraine

Abstract The article analyzes the current state of production of second generation biofuels in the world and evaluates the possibility of launching such production in Ukraine. The work is topical due to the fact that liquid biofuels can replace a certain share of motor fuels consumed in Ukraine, thus contributing to the strengthening of the country’s energy independence. The purpose of the study is to assess feasibility of a project on the production of second generation bioethanol in Ukraine; the task is to carry out a preliminary feasibility study for such a project. The analysis of the study of pure co-substrate fermentation and as a supplement for cattle manure proves that the maximum biogas yield obtained using alcohol stillage in a ratio of 40-80% increased compared to fermentation of pure cattle manure. The use of pure bards compared to the bard and the slurry mixture increases the maximum yield of biogas. It was found that the biogas obtained from the use of alcohol stillage is a high con-sumption of biogas with the methane content of between 70 and 78%.

Interesterification optimization of waste cooking oil and ethyl acetate over homogeneous catalyst for biofuel production with engine validation

The interesterification of waste cooking oil (WCO) and ethyl acetate (ETA) are investigated in homogeneous catalyst system using sodium hydroxide (NaOH) and acetic acid (CH3COOH). Later on, the subsequent biofuel has been investigated for the combustion characteristics, gaseous and particulate matter related emissions in a single-cylinder agricultural diesel engine. In the reaction, fatty acid ethyl esters were the main product whereas triacetin by-product was formulated in a single phase biofuel. The parameters affected the free fatty acid (FFA) conversion were studied such as catalyst system, molar ratio of ETA:WCO, molar ratio of catalyst:WCO, reaction time, and temperature. The experimental results revealed that NaOH was more favorable than the acid catalyst counterpart. The 92% biofuel yield was reached from the optimization at the NaOH:WCO of 0.015:1 M ratio and the ETA:WCO of 30:1 M ratio at 80 °C in 3 h. In the engine validation at 3.4 and 6.6 bar IMEP loads, 1700 rpm speed, the results from the combustion analysis using an indicating system reveal that the WCO biofuel initiates the combustion faster with pronounce premixed combustion regime than that of diesel fuel. The specific fuel consumption of WCO biofuel was greater, leading to a slight reduction in brake thermal efficiency by 4% and 10% at 3.4 and 6.6 bar IMEP loads, respectively compared with diesel fuel. The nano-particle emissions was characterized by an electrical mobility spectrometer and analyzed in terms of particle number. The total particle number increased with smaller size when fueling with WCO biofuel. In comparison over the loads tested, the total particle number concentrations were in the ranges of 8.1 × 1011 to 1.1 × 1012 m−3 for WCO biofuel and 4.8 × 1011 to 5.7 × 1011 m−3 for diesel fuel. Meanwhile, the particle sizes were in the ranges of 182–251 nm for WCO biofuel and 279–402 nm for diesel fuel. Summarily, for the biofuel production, this homogeneous process is beneficial in terms of low-cost feedstock, glycerol-free and mild reaction condition.

ANALYSIS OF THE MAIN TRENDS OF BIOENERGY DEVELOPMENT IN THE EUROPEAN UNION

Purpose of the paper is to analyze main trends of bioenergy development in the EU, identify successful examples and existing problems and also to suggest some recommendations on implementing the best European practices in Ukraine’s bioenergy sector. State of the art and prospects for the development of bioenergy in the EU-28 until 2030 are presented. It is shown that bioenergy is an important part of European Union’s energy sector and the biggest contributor to renewable energy production. The EU is getting on quite well with achieving its RES 2020 targets set by the Directive 2009/28/EС. By now at least ten counties have already attained their obligatory share of renewable energy in the gross final energy consumption. According to expert estimation, under further pursuing of the favourable policy, the present share of RES in EU’s energy consumption may double and reach about 34% in 2030. Main features of bioenergy part in different EU’s energy production and consumption sectors are analyzed. Traditionally, in the EU, biomass contributes mostly to heat production and its leading part among other RES in the sector is expected to remain beyond 2020. The situation in Ukraine is in line with this trend. The difference is that in the EU most part of heat is produced combined with power, and in Ukraine there are few biomass CHP plants. Besides, power production from biomass is behind other RES in Ukraine in contrast with the EU. Based on the main trends existing in the EU, one can recommend the priority development of biomass CHP to Ukraine and also some higher contribution of biomass to power production compared with other RES. In addition it is suggested that Ukraine should pay more attention to the production and consumption of second generation biofuels and implementation of sustainability criteria in the bioenergy sector.

Impact of Subsidy and Taxation Related to Biofuels Policies on the Economy of Thailand: A Dynamic CGE Modelling Approach

Thailand is the leader in biofuel, biodiesel and bioethanol production in South East Asia, using cassava, sugar cane and palm oil as feedstock. This study used econometric estimation to feed into a recursive dynamic computable general equilibrium model to analyze the impacts of biofuel policies on the economy of Thailand. We carried out several simulations on two set of issues (a) policy of increasing excise tax that consists of 12 scenarios such as increasing excise tax on oil products at a higher rate than biofuel products. The excise tax varies from 10 to 40% and (b) policy of increasing subsidy on biofuel consisting of four scenarios by subsidizing at 10–40% rate. The simulations indicate that increasing excise tax on oil products and biofuel products would increase Thailand’s gross domestic product, social welfare and total energy consumption. For subsidy on biofuel, increasing subsidy would not lead to significant increase in GDP, social welfare and energy factors. These results imply that government should carefully decide on a balance of excise tax and subsidy, but ensure that price of biofuel products cheaper than other oil products to attractive the biofuel consumption.