http://www.manilatimes.net/national/2005/aug/25/yehey/business/2005082 5bus7.html The Manila Times Internet Edition | BUSINESS > Thursday, August 25, 2005
Philippines needs more ethanol plants to keep up with demand AT least 25 ethanol-producing plants are needed if the Philippines intends to meet demand for a gasoline additive in the next three to four years, according to a legislator. Unless these plants are constructed, the country may have to resort to importing ethanol from Brazil or Thailand, which will defeat government efforts to achieve energy independence, Rep. Juan Miguel F. Zubiri of Bukidnon told reporters Tuesday night. "With the ethanol production, the Philippines might be a major exporter of ethanol to Vietnam, Indonesia, Malaysia," he said, adding that each plant will require P1.5 billion in investments. He added that fuel is going to be so expensive that Filipinos will need to develop engines that can run of higher blends of ethanol fuel. Currently, San Carlos Bioenergy Inc. (SBCI), a joint venture between Bronzeoak Philippines and the National Development Co., is involved in the ethanol facility in San Carlos, Negros Occidental, which is expected to commence operations by 2007. The SCBI integrated facility will have a cane milling plant with a through-put capacity of 1,500 metric tons of cane daily, a cogeneration nine megawatt power plant, and a distillery plant that will also produce 100,000 liters of bio-ethanol a day. Petron Corp. recently entered into a memorandum of understanding (MOU) with SCBI, for the use bio-ethanol for blending with its gasoline products. The production of ethanol as a gasoline additive is expected to spur capital investment, job creation and economic development in the country, especially in rural areas. In a related development, Zubiri said Congress is trying to out another amendment to the Bio-Ethanol Bill, which is expected to be approved before the end of the session next month, to include the promotion of other alternative fuels such as coconut biodiesel and other biofuels sourced from agricultural products. Zubiri together with Representatives Alfredo D. Maranon III, Jacinto V. Paras, Ignacio T. Arroyo and Monico O. Puentevella authored the Bioethanol Fuel Act of 2005. Zubiri added that they will also amend the title into Bio-Fuels Bill, which will mandate the creation of a Biofuels Board to be spearheaded by the Department of Energy. Zubiri assured that the price of bioethanol will not be more than P25 a liter, warning local producers that the country could source cheap ethanol from Brazil if they fail to come up with a cheap price. To lure local and foreign investors, Zubiri said Congress will be inserting a set of incentives for investors interested in biofuels, adding that this will jumpstart production. "We are preparing some attractive fiscal incentives to give investors more bang out of their buck, where biofuel producers will be exempted from paying tariff and import duties of all types of inputs and machinery they will use," Zubiri said. Taxes imposed on bioethanol fuel will have the same rate as those for unleaded gasoline at the time of the law's passage. Even if taxes on gasoline go up, biofuel taxes will be maintained at its old level for 10 years. --Paul Anthony A. Isla _______________________________________________ Biofuel mailing list Biofuel@sustainablelists.org http://sustainablelists.org/mailman/listinfo/biofuel_sustainablelists.org Biofuel at Journey to Forever: http://journeytoforever.org/biofuel.html Search the combined Biofuel and Biofuels-biz list archives (50,000 messages): http://www.mail-archive.com/biofuel@sustainablelists.org/
