Neste Oil has begun trials of their Neste Green 100 diesel replacement made from palm oil. The field trials will include vehicles of Neste employees as well as private citizens in the Helsinki, Finland area.
Neste Green 100 is not biodiesel, as it is a diesel replacement (hydrocarbon) rather than a fatty methyl ester. Lab tests have shown a 40-80% lifecycle reduction in GHG emissions versus petroleum diesel with lower tailpipe emissions and particulates as well.
The Neste fuel contains NExBTL, made from palm seed oil, and is 100% renewable. This trial batch is specifically designed for the Finnish climate and conditions.
NExBTL is made thorugh the high-pressure hydrogenation of fatty acids and creates byproducts including propane and gasoline. Neste has two 800,000 tonne capacity plants under construction, one in Singapore and the other in Rotterdam. They will go online this year and next respectively.
Source: Future Car
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EU Ambassador Vincent Piket |
14/06/2010 (Business Times, Malaysia) - MALAYSIAN biofuel exports to the European Union (EU) will grow in the coming years, due to the renewable fuel policy which gives incentives to operators that produce sustainably, said the EU ambassador Vincent Piket.
"Naturally, such a trend needs to go hand in hand with safeguards for natural resources and biodiversity, including virgin tropical forest. That's why the EU has adopted these guidelines," he said.
His remarks follow the European Commission's (EC) adoption of guidelines on Thursday to implement the EU's Renewable Energy Directive (RED), which requires EU member states to achieve a 20 per cent reduction in energy use.
To reach these targets, biofuels must deliver substantial reductions in greenhouse gas emission and should not come from forests, wetlands, peatlands and nature protected areas.


The guidelines lay down the requirements for certification schemes that want to be recognised by the EC. Other issues covered include information on default values, practical implementation of the EU biofuels and bioliquids sustainability scheme and guidelines for the calculation of land carbon stocks.
In a recent meeting with several European MPs, Malaysian stakeholders in the palm oil industry urged the EC not to discriminate against palm oil.
According to the RED which will come into force in December this year, biofuels must have greenhouse gas savings of at least 35 per cent and according to EU's calculation, the use of palm oil-based biodiesel failed the requirement as it achieved only 19 per cent. This meant that the palm oil-based biodiesel will not qualify for the incentives.
The guidelines will also help individual initiatives in Malaysia, including the Roundtable on Sustainable Palm Oil, to ensure eligibility for the EU sustainability scheme.
Piket said the guidelines will increase opportunities for third world countries like Malaysia to export into the EU, by giving incentives to operators that produce sustainably.
"This will encourage good practices, such as methane capture in oil palm mills, and discourage bad ones," he said.
Piket said Malaysian biofuels can meet the criteria if produced under the right conditions.
Biodiesel from palm oil is treated in the same way as other biofuels and there is no distinction between domestically, EU-produced biofuels and imported ones.
"The adopted package gives clear guidance to the Malaysian palm oil producers what they need to do to meet the EU's sustainability criteria for biofuels, including palm-based biodiesel. This will help investment decisions and marketing," he said.
The guidelines also create a level playing field for biofuels produced in the EU and those imported from outside, providing equal access to the EU market.
"The Malaysian exports of biodiesel to the EU are still relatively small, but they are likely to grow during this decade as a result of the EU's renewable energy policy," Piket said.
He added that the sustainability criteria do not apply to exports of Malaysian palm oil for consumer products such as food or cosmetics, which currently represent about 95 per cent of Malaysia's palm oil experts to the EU.
KUALA LUMPUR, March 12 (Reuters) - Neste Oil could buy 2.4 million to 2.5 million tonnes of vegetable oils for four biofuel plants, putting the Finnish refiner on par with consumer goods giant Unilever as a top vegetable oil buyer.
The bulk of Neste Oil's vegetable oil purchases will come from palm oil, currently the cheapest in the world.
Here are some facts about Neste Oil and its growing palm oil use.
- Neste Oil has developed biofuel technology that allows flexible use of any vegetable oil or animal fat for producing its NExBTL fuel. The fuel does not need to be blended with fossil diesel and can be used as it is for the transport sector.
- Palm oil will make up the bulk of the refiner's feedstock. Analysts say this may narrow palm oil's discount to soyoil below $100 a tonne.
- In Finland, Neste Oil has two plants producing NExBTL, which has been marketed as the world's cleanest fuel. The combined capacity of the factories stand at 350,000 tonnes.
- Neste Oil has invested a combined 1.22 billion euros to build one biofuel plant in Singapore and another in Rotterdam that each have a capacity of 800,000 tonnes. The Singapore plant will be completed in 2010 and the Rotterdam factory in 2011.
- The firm is part of the Roundtable on Sustainable Palm Oil (RSPO) -- a grouping of planters and consumers who have developed a certification system that includes commitments to preserve wildlife and forests when expanding estates.
- Neste Oil, which has committed to use only certified palm oil by end-2015, will still make its own greenhouse gas assessments on crude palm oil sourced through the RSPO.
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The Finnish refiner now applies the segregation method to its supply chain system that allows for the mixing of certified green palm oil with those produced by non-RSPO plantations.
- It may go over to mass-balancing its supply chain, which means Neste Oil will administer the mixing of these two type of palm oil available so that they know the conditions and the farming methods of their suppliers.
- Neste Oil dropped to an underlying operating loss in the fourth quarter due to weak margins and said it expected 2010 to be challenging.