Clean Power (Pvt.) Limited

Ethanol has been used as a transport fuel in many countries of the world for several years. Its use as a substitute fuel has been internationally recognized. The environmental benefits, energy security advantages and foreign exchange savings caused by use of ethanol as a fuel have been acknowledged. The usage of locally produced ethanol as a transportation fuel has a long chain of activities and affects many segments/groups. Presently major stakeholders in the ethanol fuel chain are Oil Marketing companies, Ethanol Producers, Oil Refineries, Ministry of environment, Ministry of Petroleum and Natural Resources and most of all Ethanol consumers. Different stakeholders have their own concerns regarding ethanol as a fuel. Hence, involvement of these with conflicting interests arise the need of careful assessment of all-important dimensions/factors regarding fuel Ethanol.

CPL conducted a study for the Hydrocarbon Development Institute of Pakistan (HDIP) and Alternative Energy Development Board (AEDB) on the directive of Deputy Chairman Planning Commission. The study involved road runs on different blends of ethanol and petrol. Fuel efficiency and cost-effectiveness were analysed in the experiment. Additionally, the concerns of storage, handling, transportation and blending were also verified on this small scale experiment. During this testing fuel efficiency of the engine was analyzed with different blends of ethanol and found very comparable when analyzed with cost per km. the straight volume to volume mixing did not indicate any problem. Based on the results of this testing CPL recommends optional use of ethanol.

Main Concerns regarding Ethanol as Fuel

There are several concerns of different stakeholders regarding the fuel ethanol program, which need to be addressed before enforcing use of Ethanol blended with petrol commercially.
1- Concerns of Oil marketing Companies & Refineries
2- Concerns of Ethanol Producers
3- Concerns of Government

Blending of ethanol with petrol is a logistic concern, which has cost implications. Blending either at oil refineries or depot of Oil Marketing Companies OMCs requires pure ethanol to be first transported to blending points and then from there to point of sale, hence the extra cost of transportation and building storage / blending infrastructure at that level. To reduce the cost of transportation and save the time, a model named as Blending at Point of Sale is proposed as a remedy to this matter. At the point of sale, ethanol will be stored in separate storage tanks and will be blended at time of sale at the discretion of customer. But for point-of-sale blending specialized dispensing units are required. CPL is working on such a specialized Dispenser. CPL has developed the mechanics to initiate a Pilot. Project of Ethanol Filling Station to demonstrate the above-said solution.