Brazilian Energetic Matrix Renewable

sources

Sugarcane13.9%

Bi f d

44.7 %

Renewables - others2.7%

Biomass of wood and others 13.1%

Hydroelectricity15.0%

Uranium1.2% Petroleum

derivatives 38.4%Mineral coal

Natural gas9.3%

6.4%

Rodrigo Rodrigues - CC

Brazilian Program of Biofuel

Law 11.097/2005: Establish the minimum percentages in the mixtures of biofuel in the mineral diesel oil .

2005to

2008to From 2013

or 2010?2007

2%

2012

2%

or 2010?

5%Authorized

Potential Market:

2%Compulsory

2% Compulsory

5%

Potential Market: Potential Market: 800 millions ofliters per year

Potential Market: 840 millions ofliters per year

Potential Market: 2.40 billions ofliters per year

NACIONAL PROGRAM OF PRODUCTION AND USE OF BIOFUEL - PNPB

Regulatory framework and financial lines;Regulatory framework and financial lines;

Law nº 11,097, from 13/01/2005.

Rodrigo Rodrigues - CC

Biodiesel: Tributação Federal (Pis/Pasep e Cofins)

DIESEL 218CIDE + Pis/Pasep e CofinsCIDE + Pis/Pasep e Cofins

218Alíquota Padrão

L

151Agronegócio + Mamona

ou Palma + Norte, ESEL

-31%

70Agricultura FamiliarGeral

Nordeste e Semi-árido

IODI

E 31%

70Geral

0Agricultura Familiar +

Mamona ou Palma + Norte,

B -68% Selo Combustível SocialMDA

50 100 150 200 250

0,Nordeste e Semi-árido -100%

R$ / m3

Biodiesel: CIDE inexistente + IPI zeroEdna Carmello - MDA

Biofuel emissions compared to fossil diesel (St d b EPA)(Study by EPA):

Emissions B100 B20 B2

Carbon monoxide (CO) - 48% - 12% - 1,3%

Particulate material (MP) - 47% - 12% - 1,3%

H d b t (HC) 67% 20% 2 2%Hydrocarbonates (HC) - 67% - 20% - 2,2%

Nitrogen oxide (NOx)* + 10% +2% +0,2%Nitrogen oxide (NOx) 10% 2% 0,2%

Rodrigo Rodrigues - CC* Under estimaded values

Agriculture Zoning – Castor oil plant

LegendZoning concludedI ti

Without demand

In executionTo be done by 2010

Rodrigo Rodrigues - CC

Castor oil plant (Ricinus communis)(Ricinus communis)

Seeds - 47% of oil

Palm oil (Elaeis guineensis)

Óleo deÓleo deÓleo de Óleo de PalmaPalma

Óleo de Óleo de P l i tP l i tPalmistePalmiste

Marcelo Brito - Agropalma

Number of species with potential to produce Oil

Anacardiaceae 11 / 68 Flacourtiaceae 1 / 925Apiaceae 20 / 98 Lecythidaceae 6 / 105Arecaceae 32 / 300 Linaceae 53 / 36Arecaceae 32 / 300 Linaceae 53 / 36Asteraceae 28 / 1900 Lythraceae 108 / 143Boraginaceae 10 / 93 Malvaceae 59 / 200Brassicaceae 105 / 92 Onagraceae 41 / 43Brassicaceae 105 / 92 Onagraceae 41 / 43Chrysobalanaceae 5 / 180 Proteaceae 3 / 32Cucurbitaceae 29 / 200 Sapotaceae 18 / 103Euphorbiaceae 145 / 1100 Sterculiaceae 26 / 115Euphorbiaceae 145 / 1100 Sterculiaceae 26 / 115Fabaceae 85 / 1550 Vitaceae 0 / 46

Fonte; Valls. Adaptado de:SILVA, S.I. Potencial oleaginoso da flora brasileira: Estado atual do conhecimento. , gARAÚJO et al. (eds). Biodiversidade, conservação e uso sustentável da flora do Brasil. Recife: SBB/UFRPE, 2002. p.234-237.

Ministério da Agricultura,Pecuária e Abastecimento

TUCUMÃ

• Área de estudo: 8,9 ha, 271 plantas com + 2 m de altura.

• Dois anos consecutivos de colheitas quinzenais - 196 plantas produziram frutos maduros

• Produção de frutos (pl/ano) = FS 15 kg, CP 16 Kg, Cult. 27 kg, Quintal 47 kg, média geral 23,5 Kg, máx. 161 kg

• Produção média (9 ha) = 2,3 t de frutos/ano

• Porcentagem de polpa 16 a 37%, média 25,8% Edson Barcelos - Embrapa

MINI-UNIT FOR OIL PRODUCTION

Edson Barcelos - Embrapa

Ethanol in Brazil

Season 2006/2007 Season 2012/2013/ /

total production (billions of l)

17.7 38.0(billions of l)

Domestic demand 14.0 26.5Domestic demand (billions of l)

14.0 26.5

Exports (billions of l)

3.6 5.5

Grinding (millions 425 4 727 8Grinding (millions of T)

425.4 727.8

New plants 86

Expansion of the sugarcane production

559

500

600

403

559521

487455427

20020345%

21043%

21742%

22540%

400

to

ns

403

19849%

20047%

45%

334200

300

illio

ns

of

20551%

22753%

25255%

27757%

30458%

33460%

100

Mi

02005/06 2006/07 2007/08 2008/09 2009/10 2010/11

S

Ethanol

SugarSource: UNICA

LOCAL OF THE PLANTS AND ZONES OF EXPANSION

INCLINAÇÃO

< 12%

AMAZONIA

SLOPE 12%

AMAZONIA

PANTANALINCLINAÇÃO

> 12%

MATA ATLÂNTICA

TOTAL AREA WITHOUT ENVIRONMENTALRESTRICTIONS . . . . . . . . . . . . 437,2 MM hectares

> 12%

ESTRATEGIC AREA

,

AREA WITH SLOPEABOVE 12% . . . . . . . . . . . . . . 75,6 MM hectares

TOTAL AVAILABLE AND

EXPANSION TENDENCY

Sugar plants/distilleries:TOTAL AVAILABLE ANDSUITABLE LAND . . . . . . . . . . 361,6MM hectares

Current number: 350 units

Projection to 2010: 77 new units Alexandre Strapasson - MAPA

POTENTIALS AREAS FOR SUGARCANE EXPANSION

Without irrigation With irrigation

Alexandre Strapasson - MAPA

milhões de ha %ALTO 8 2MÉDIO 114 32

ÁREAPOTENCIAL

Potencial de Produção Sem Irrigação

milhões de ha %ALTO 38 11MÉDIO 98 27

POTENCIAL ÁREAPotencial de Produção Com Irrigação

MÉDIO 114 32BAIXO 149 41IMPRÓPRIO 91 25TOTAIS 362 100

MÉDIO 98 27BAIXO 168 46IMPRÓPRIO 58 16TOTAIS 362 100

Fonte: MCT - CGEE - Unicamp / resultados iniciais

Main conflicts

1 – Increase of biofuel production X social-environmental problems;environmental problems;

2 – Food Security x biofuel production;y p

3 – Agro-bussiness x family farming

4 – Costs of production X environmental solutionssolutions.

Possible impacts

Social-environmental problems

• threat to soil conservation;• increase of pesticides;c ease o pes c des;• increase of chemical fertilizers;• expansion of agriculture frontier;• increase deforestation;• increase deforestation;

Possible impacts

Social-environmental problems

• use of water• water pollution• sugarcane burn before harvestingg g• social questions involved rural workers• hand labor under sub-human hand labor under sub human conditions

Possible impacts

S i l i t l blSocial-environmental problems

Biofuel from rape seed and the ethanol from maize can provoke 70% and 50% more emissions, respectively, than fossil fuel (Curtsey, P; Smith, K.; Nobel Prize in Chemistry, 2007)y, )

Distillery of these species release more than twice the current estimated amount of N2O, because the amount current estimated amount of N2O, because the amount of nitrogen fertilizers utilized.

Possible impacts

Social-environmental problems

Additional impacts on theAdditional impacts on the environment and biodiversity

The emphasis are being on invasive species, like t b il dcastor bean oil and Barbados nut or Physic nut

(Jatropha curcas) .

It it not known the destination or use of the residues (ex: glycerin).

Indirect and synergic effect on the deforestation (ex: soybean replace pastures, which replace forest).

Emergence of diseases or pests (what about epidemy ?).

(Dr. Samuel Almeida- Museu Emilio Goeldi)

PNUMA Report on Environment

Around 66% of the global deforestation (or forest losses) between 2000 and 2005, occurred in Latin America, region that possesses 23% of the global forest coverage; g ;

In that period, the net devastation in South America was almost 43.000 km²/year), from which 73%

d loccurred in Brazil.

Possible impacts

2. Food security

Food prices increased in 2007 (FAO, 05/10/07);

Areas traditionally for food production are being replaced by energy crops;

FAO identified ethanol as one of the causes linked to food prices increasing;

Hungry increased in the world from the last year (FAO, 2008).

Possible impacts

3 – Threat to the family farming (small farmers)

• Concentration of the political power and gross income

• Some of them can become consumerSome of them can become consumer

• Survival as campesinos

Possible impacts

The central question is: it is necessary the direct ti f th G t t th f ll d action of the Government to ensure the full and

organized participation of the small farmers and the settlers of the agrarian reform in the agro-industrial process and not only in the production of raw materials. If they will become exposed to the market rules, they will tend to desapear. , y p

Frei Sergio Gorgen - Os dilemas e contradições dos g g çagrocombustíveis

Possible impacts

It can be foreseen in near future is the repetition of the two d l l d kmodels already known:

a) Big areas - cropping of oil species, totally mechanized (ex: soybean) or with seasonal, low paid and precarious work (which can occurs with Jatropha curcas or palm oil), current system utilized in the sugarcane plants for sugar y g p gand ethanol, or in the production of fruits, cellulose, among others;

b) Systems of integration similar to the productive chain of tobacco, pigs, milk and chickens, in which occurs selectively exclusion subordination and exploitation In selectively, exclusion, subordination and exploitation. In this model a small number of farmers maintain itself in the land; however all production is controlled and exploited by th bi i t ti the big integrating company.

Frei Sergio Gorgen - Os dilemas e contradições dos agrocombustíveis

Possible impacts

4 - Costs of production and environment solutions

Subsidies?Environmental Remediation?Residues?

AlternativesAlternatives

• 1 ton of organic matter, including tallow, animal carcasses, plant parts, organic garbage, generate an amount of biogas

i l t t 70 l f li th 600 k f equivalent to 70 l of gasoline, or more than 600 kg of organic fertilizer;

• O biobuthanol;

• Cassava produce more alcohol than sugarcane, can be p g ,produced in cheaper plant and can be better adapted to the family farming. During a price crisis it will be easy to eat cassava than sugarcane.cassava than sugarcane.

Fuchs, W. Entregar os dedos para não perder os anéis? – Biocombustíveis e Sustentabilidade. Revista Cotton Business – Editora Esphera – julho/2007.p j /

AME - a political option

Creation of an National Program of Production of Food and Energy based on:

• the support of small farmers and settlers of agrarian reform agrarian reform,

• extensive distribution of latifundium (>2.000 ha), ),

• preservation and differentiate support to the medium size rural properties,

• diffusion and financial to technologic, decentralized and ecologic based options.

Frei Sergio Gorgen - Os dilemas e contradições dos agrocombustíveis

AME - a political option

The central objective should be the food and energetic sovereignty of the communities, of the municipalities and of the nation, ensuring also export the exceeding. d g

The integrated production, complementary and synergic should be involves all type of food and synergic should be involves all type of food and possible and necessary systems of multicropping for food, energy and agroecologic.

F i S i G O dil t di õ d Frei Sergio Gorgen - Os dilemas e contradições dos agrocombustíveis