THE Department of Agriculture (DA) and Department of Energy (DOE) are seeking alternative feedstock to expand domestic ethanol output as part of government efforts to slash reliance on imported fossil fuels.
Agriculture Secretary Francisco Tiu Laurel Jr. and Energy Secretary Sharon Garin explored initiatives to bring down feedstock costs and maximize idle distillery capacity, aimed at increasing the country’s ethanol blend to 15 percent from the current 10 percent.
The options to hike ethanol production include molasses and sugarcane juice from the sugar industry, as well as locally produced corn.
‘We are studying these options carefully, and there is potential for them to help bring down gasoline prices.’ Tiu Laurel said.
This comes as domestic feedstock has historically cost higher than imported supplies, while locally produced bioethanol prices are double that of imported bioethanol, according to the DA.
As such, every increase in feedstock costs translates to roughly P1 per liter increase in ethanol prices.
With locally-produced corn emerging as the leading alternative feedstock to complement molasses and sugarcane juice, the DA is studying ways to boost corn output through better seeds, mechanization, and contract farming.
The agency explained that corn can be harvested within 90 to 110 days, enabling supply to respond to increased demand.
In addition, it added that corn used for bioethanol will still have dried distillers grains with solubles (DDGS) as a byproduct which feed manufacturers can use as a high protein source.
At present, sugarcane byproducts supply the majority of local ethanol production.
Local ethanol production is estimated at 325 million to 385 million liters annually using sugarcane derived feedstock, while existing plants have a capacity exceeding 500 million liters.
To protect the sugarcane industry, officials said only the unused capacity could be sourced from corn, which would accommodate additional production without displacing existing agricultural output.
Despite this, the DA warned against creating another price problem since higher demand from ethanol producers could raise corn prices for livestock raisers, who rely on the crop for animal feed.
Tiu Laurel said palm oil could provide another long-term feedstock for biodiesel and even aviation fuel, although plantations would take about three years to mature.
The government is also finalizing a Philippine National Standard (PNS) for bioethanol, with the draft now undergoing public consultation.