Bioethanol and Biodiesel Production in Hungary.

Bioethanol and biodiesel production in Hungary

Orsolya Nagy – János Nagy

University of Debrecen, Centre for Agricultural and Applied Economic Sciences

Incentive measures contribute to more intensive growth and expansion of renewable energy resources. The new strategy accepts the implementation of the Policy scenario as its basic objective in the EU (EurObservER, EU DG AGRI, 2006). By achieving the target values of the Policy scenario, the Hungarian renewable energy resource use amounts to 186.4 PJ in 2020. The planned values in each area are 79.7 PJ (9470 GWh) (electric energy production), 87.1 PJ (heat production) and 19.6 PJ biofuel within fuel use. Achieving the 2020 objectives is also affected by state incentives and the expected feedstock availability and price. A reliable prognosis has to consider the long-term tendencies of technological and scientific development.

Hungarian ecological endowments are less favourable for rape as biodiesel feedstock. 100-110 thousand tons of biodiesel can be extracted from average yields which does not totally cover the expected Hungarian diesel fuel demand. According to estimations, the current Hungarian area of energy rape production can be doubled.

Hungary has favourable conditions for bioethanol feedstock production. 6-7 million tons of maize is produced in an average year. A constantly decreasing amount is used for foraging purposes, while that of export and industrial processing increases.

The production of first generation bioethanol is based on the thousand-year-old alcohol fermentation technology. Various vegetable oils, baking oil and animal fats are used as biodiesel feedstock. In addition to rape oil which (the most frequently used feedstock (80%) in Europe), sunflower, soy, or even palm oil can be used, similarly to the US.

Advantages of second generation biofuel production technologies include the alternative uses of agricultural products and byproducts, while farmers can increase their income by using fallows for production. Also, several byproducts of biofuel production can be used in animal husbandry, not to mention the positive impact on employment and industrial investments.