Thailand offers to help develop ethanol as fuel additive for transport sector

The governments of Thailand and the Philippines are joining forces in developing the use of ethanol as a fuel additive, a ranking energy official said yesterday.

Speaking at a breakfast forum of the Manila Overseas Press Club at the Ristorante La Dolce Fontana in Greenhills, Energy Secretary Vincent Perez said he would lead a top level mission to Thailand next week to coordinate with PTT, Thailand’s largest government-owned oil firm.

"President Arroyo is sending us to Thailand next Sunday to study the use of ethanol as an alternative fuel," he said.

He said PTT has done a remarkable research on ethanol as an additive to diesel. "Thailand is using 5-10 percent ethanol in its transport fuel," he said. "We will try to work with them to help us in the application and/or commercialization of ethanol here in the country," he added.

Ethanol is an alternative energy resource produced from crops such as corn, grain sorghum, wheat, sugar and other agricultural feedstock. It can be used as a transportation fuel in three ways: as a blend to gasoline, a component of reformulated gasoline, or a primary fuel with gasoline as blend.

PTT has been a partner of the Philippine government in various oil and gas projects. Early this year, it signed a memorandum of understanding for the exploration of oil and gas prospects in the country.

Earlier, Sen. Aquilino Pimentel proposed a law seeking to establish a National Fuel Ethanol Program.

Under the bill, Pimentel said the program would help alleviate the plight of the sugar industry. It is also seen "to generate employment, enhance the technological and engineering position of the country and provide a continuous flow of purchasing power to the rural areas."

He said while the country has steadily reduced its reliance on imported oil as energy source, "our transport sector is still heavily dependent on imported oil."

"So far, we have introduced compressed natural gas (CNG), liquefied petroleum gas (LPG) and coco-methyl ester (CME) as alternative transport fuels. We want to explore other options to further lessen our oil imports," Pimentel added.

Perez has expressed strong support to the bill, saying that it would help the country diversify its fuel sources.

"Promotion and widespread utilization of ethanol as a fuel for the transport group supports President Arroyo’s goal of increasing the country’s energy self-sufficiency level to 60 percent by 2010,"Perez said.

Perez revealed that this early, a major oil firm has signified its interest to help the government undertake initial studies to determine the standards for the use of ethanol, as well as the viability of its implementation.

He noted that the country has attempted to implement a similar program to use ethanol in the mid-1980s. The program, however, did not progress due to technical issues.

"The advances in technology and the worldwide call to promote the use of alternative fuels should only spur us to look for ways and means to tap other energy sources, which are environment-friendly and renewable," he said.