SRA projects increase of bioethanol supply

The Philippines is expected to produce 322M liters of bioethanol in 2017, according to the Sugar Regulatory Administration (SRA).

Two new bioethanol producers will come on stream, and their combined production capacity is 60 million liters,” SRA policy and planning manager Rosemarie Gumera said in a recent interview.

Gumera is referring to the two new bioethanol plants that will open next year. One is a sugar cane- based plant owned by Cavite Biofuels, and another molasses based plant owned by Absolut Distillery Emperador Distillery. These two plants will increase local ethanol output to help with the production of local ethanol.

“Local distillers [of ethanol] may only be able to supply less than 50 percent of the mandated requirement [from the Biofuels Act],” said Gumera.

The current total bioethanol output this year could reach at least 220M liters, which is lower than the mandated 570M liters as required by the Department of Energy (DOE), she added.

“We have a problem in the supply of feedstock, we have a shortage,” Gumera noted.

With the opening of more bioethanol plants, more farms can produce the feedstock needed to produce the required amount of bioethanol.

However, this can only be done through the cooperation of biofuel producers, local farmers, as well as the petroleum producers.

“The intention of the bioethanol program is to develop the local industry. If you import 100 percent [of the bioethanol], its purpose will be defeated,” Gumera said.

The importation of ethanol was never the intention of the program, but instead to supplement the deficit of the local supply.

Gumera said that since the start of the bioethanol program, there have been over P20 billion investments made, boosting the local economy. With more and more bioethanol production facilities being made, jobs are also being created in their local communities.