1. Cellulosic Ethanol In-Chul Hwang

2. What is Cellulosic Ethanol? Ethanol made from cellulosic biomass which Ethanol made from cellulosic biomass which comprises the stems and branches of most plants comprises the stems and branches of most plants Feedstock of cellulosic ethanol is various Feedstock of cellulosic ethanol is various - Crop residues: corn stalks, wheat straw - Crop residues: corn stalks, wheat straw - Wood waste: wood chip - Wood waste: wood chip - Municipal solid waste - Municipal solid waste - Dedicated energy crops: switchgrass, poplar - Dedicated energy crops: switchgrass, poplar

3. Why Cellulosic Ethanol?(1) Conventional ethanol has food vs. fuel problem Conventional ethanol has food vs. fuel problem - Its main feedstock is also used for food - Its main feedstock is also used for food - Increasing crop ethanol production is competing for land with food production - Increasing crop ethanol production is competing for land with food production - Some argue that ethanol can worsen world food shortage and raise food price - Some argue that ethanol can worsen world food shortage and raise food price - Crop ethanol can improve energy security but worsen food security - Crop ethanol can improve energy security but worsen food security It has limit in large-scale production It has limit in large-scale production - US corn ethanol production is likely to top out around 12 billion gallons a year - US corn ethanol production is likely to top out around 12 billion gallons a year

4. Why Cellulosic Ethanol?(2) It can solve this food vs. fuel controversy It can solve this food vs. fuel controversy - Its feedstock (switchgrass, poplar) is not edible - Its feedstock (switchgrass, poplar) is not edible - It can grow on marginal lands. It will not divert land from food production to its production - It can grow on marginal lands. It will not divert land from food production to its production It has a wide range of feedstock It has a wide range of feedstock - It can replace fossil fuel in significant scale. 30% of US transportation fuel can be supplied by cellulosic ethanol - It can replace fossil fuel in significant scale. 30% of US transportation fuel can be supplied by cellulosic ethanol It has higher yield/acre without land limit It has higher yield/acre without land limit - It can be used as a whole unlike crop ethanol - It can be used as a whole unlike crop ethanol - It doesn’t need specific climate or land so that it can be produced in every region of the US - It doesn’t need specific climate or land so that it can be produced in every region of the US It has better GHG reduction potential It has better GHG reduction potential

5. Production Process (1) Currently “Hydrolysis” process is dominant Currently “Hydrolysis” process is dominant 1.Pretreatment: make biomass amenable to hydrolysis. Hemicellulose and/or lignin is removed and cellulose structure is modified 2.Hydrolysis: break down the cellulose into glucose sugars by adding enzyme 3.Separation: separate sugar solution from the residual lignin 4.Fermentation: ferment the sugar solution by adding bacteria/yeast 5.Distillation: distill beer (mixture of ethanol, cell mass, water) to produce pure ethanol

6. Production Process (2) Source: Biotechnology Industry Organization, 2007

7. Production Cost Source: IEA, 2004 Currently cost of cellulosic ethanol is far higher than those of gasoline and corn ethanol Currently cost of cellulosic ethanol is far higher than those of gasoline and corn ethanol The higher cost is due to higher capital cost and operating cost. Feedstock cost is comparatively low The higher cost is due to higher capital cost and operating cost. Feedstock cost is comparatively low If the constructions of several large-scale commercial plants are completed in years, the production cost will decrease. If the constructions of several large-scale commercial plants are completed in years, the production cost will decrease.

8. Current Status-Technology Production cost has constantly declined over the past five years with improvement in biotechnology Production cost has constantly declined over the past five years with improvement in biotechnology Developing cost-effective enzymes will be a key breakthrough to commercialization. Developing cost-effective enzymes will be a key breakthrough to commercialization. In 2004, Iogen Corporation announced it began the commercial production of cellulosic ethanol. In 2004, Iogen Corporation announced it began the commercial production of cellulosic ethanol.

9. Legislation and Policy Energy Policy Act of 2005 Energy Policy Act of 2005 - RFS: requires 250 million gallons of cellulosic - RFS: requires 250 million gallons of cellulosic ethanol beginning in 2013 ethanol beginning in 2013 - Biorefinery loan guarantee: $250 million/facility - Biorefinery loan guarantee: $250 million/facility for the construction of demonstration plant for the construction of demonstration plant - Biorefinery grant: $650 million for the - Biorefinery grant: $650 million for the commercial production of cellulosic ethanol commercial production of cellulosic ethanol 2006 Advanced Energy Initiative includes research funding to produce cellulosic ethanol at competitive cost by 2012 2006 Advanced Energy Initiative includes research funding to produce cellulosic ethanol at competitive cost by 2012 In 2007, 6 commercial-scale cellulosic ethanol plants were selected for $385 million grant. In 2007, 6 commercial-scale cellulosic ethanol plants were selected for $385 million grant.

10. Future Prospect EIA predicts ethanol consumption will reach 11 billion gallons by 2012, far above 7.5 billions gallons required by Energy Policy Act of 2005. EIA predicts ethanol consumption will reach 11 billion gallons by 2012, far above 7.5 billions gallons required by Energy Policy Act of 2005. Oil Price is expected to keep rising Oil Price is expected to keep rising - Now crude oil is nearing $100/bbl - Now crude oil is nearing $100/bbl 2007 energy bill requires 36 billion gallons of biofuels by 2022. 2007 energy bill requires 36 billion gallons of biofuels by 2022. - It mandates annual increases of 3 billion gallons - It mandates annual increases of 3 billion gallons in the use of advanced biofuels in the use of advanced biofuels

11. Conclusions Current ethanol boom caused by strong support policy, high oil price will eventually lead to cellulosic ethanol on the market Current ethanol boom caused by strong support policy, high oil price will eventually lead to cellulosic ethanol on the market Mandatory flex-fuel requirement for new vehicles and nation-wide ethanol pump stations are needed for large-scale use of cellulosic ethanol Mandatory flex-fuel requirement for new vehicles and nation-wide ethanol pump stations are needed for large-scale use of cellulosic ethanol Cellulosic ethanol will have synergy effect if combined with PHEV Cellulosic ethanol will have synergy effect if combined with PHEV - If all ground vehicles were suddenly flex-fuel PHEV→ they can replace 97% of current ground transportation - If all ground vehicles were suddenly flex-fuel PHEV→ they can replace 97% of current ground transportation

12. References 1. IEA, 2004, “Biofuels for Transport: An International Perspective” ttp://www.iea.org/textbase/nppdf/free/2004/biofuels2004.pdf ttp://www.iea.org/textbase/nppdf/free/2004/biofuels2004.pdf 2. Science vol. 315,16 March 2007 “Biofuel researchers prepare to reap a new harvest” 3. http://www.doe.gov/print/4827.htm http://www.doe.gov/print/4827.htm 4. RFA, 2006, “ From niche to nation: ethanol industry outlook 2006” http://www.ethanolrfa.org/objects/pdf/outlook/outlook_2006.pdf http://www.ethanolrfa.org/objects/pdf/outlook/outlook_2006.pdf 5. DOE press release, February 28, 2007 http://www.doe.gov/print/4827.htm http://www.doe.gov/print/4827.htm 6. Biomass & Bioenergy 28 (2005) 384-410 “Ethanol from lignocellulosic biomass: techno-economic performance in short-, middle- and long-term” 7. Biotechnology Industry Organization, 2007 “Industrial biotechnology is revolutionizing the production of ethanol transportation fuel http://www.bio.org/ind/biofuel/CellulosicEthanolIssueBrief.pdf http://www.bio.org/ind/biofuel/CellulosicEthanolIssueBrief.pdf 8. Ron Gremban, 2006, “PHEVs: the Technical Side “ www.calcars.org/calcars-technical-notes.pdf www.calcars.org/calcars-technical-notes.pdfwww.calcars.org/calcars-technical-notes.pdf