Feasibility of Biodiesel for Rural Electrification in India

Printed 10/18/2022 10/18/2022 Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Jeffrey L Rosenblum, Carnegie Mellon University (now at Tellus Institute, jrosenblum@tellus.org) Abstract Biodiesel, a biofuel directly substitutable for petroleum-based diesel, can be derived using simple technology from locally grown oil crops in rural regions in developing countries It can be used for decentralized micro-grid electricity generation at the village level and as a replacement for diesel fuel in small-scale applications such as irrigation pump sets Benefits include: increased energy independence, minimal net life-cycle CO2 emissions, increased economic activity from fuel production and utilization This paper evaluates (a) the feasibility of local production of biodiesel, and (b) the cost of micro-grid electricity generation using biodiesel for a small representative village in southern India as an example The Jatropha curcas (or Physic nut) plant is used in the evaluation Results indicate that half of available agricultural land for a rural village would be required to produce enough biodiesel to provide 100% of fuel needed for modest electrification demand (80 kW), and the cost of electricity would be over twice that for the use of federally-priced petroleum-diesel It is important to recognize the significant land requirements for biodiesel, and the high costs of such energy sources when compared to fossil fuels Introduction Developing countries will not be able to lift themselves out of poverty without increased use of energy Assuming energy demand in developing countries grows by 2.6 percent per year the total consumption of energy will be double the level of total consumption in industrialized countries by 2050 Even under this scenario, energy consumption per capita in the developing world would still by only one quarter that of industrialized world (1) Rural electrification has long been recognized as needed to improve conditions in rural areas and help stem the migration of people to already overcrowded cities In the past 25 years, developing countries have extended electricity supplies to more than 500 million people in rural areas (2) Out of four billion people in the developing world, about two billion, mostly in rural areas, are still without electricity (3), relying on electricity and rely on traditional fuels, such as dung and fuelwood Those who are fortunate Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page enough to have access spend an average of nearly 12 percent of their income on energy, more than five times the average for people living in OECD countries (1) According to the Central Electricity Board in India, about 15 percent of villages in India were not yet electrified by March 1998 (4) Present day concerns over the growing energy needs of a growing world population have shifted from limited fossil fuel supplies to climate change, air pollution, and inequity resulting from the lack of economic means to develop India’s interest in rural electrification goes back several generations Until recently, the demand for rural electricity has been met by extension of the central grid, but this is often the most costly form of energy because of the high connection costs and high losses associated with transmission and distribution In order for the delivered power to be economical for the local villagers it must be heavily subsidized, provided at a price less than 1¢ per kWh The last decade has shown increased attention toward renewable energy (e.g., biomass, photovoltaic, wind, hydro) with the hopes that locally generated fuel can increase local independence, reduce greenhouse gas emissions, and hopefully be cost competitive In most cases, the high “first cost” and the low (or negative) rate of return of these projects render them economically unfeasible Annual income from agricultural villages is only about $300 per capita Average per capita purchasing power parity in dollars was about $700 for rural India in 1995 compared with a US average of $26,000 (2) Through a simple chemical process, oil from seed crops (e.g., sunflower, cottonseed, Jatropha) can be converted to a fuel commonly referred to as “biodiesel.” Technology for such a process is easily accessible to rural communities No engine modifications are necessary to use biodiesel in place of petroleum-based diesel Biodiesel can be mixed with petroleum-based diesel in any proportion Biodiesel can be used for decentralized micro-grid electricity generation at the village level as well as a replacement for diesel fuel in small-scale applications such as irrigation pump sets More reliable electricity can be produced from mini-grid systems than central grid extension This paper evaluates the feasibility of using oil crops as a source of fuel and the cost of micro-grid electricity production from biodiesel for a typical rural village in southern India Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 2 Village characterization Feasibility of biodiesel for micro-grid electrification is evaluated for a hypothetical rural Indian village The demographic and agricultural profile characteristic of a village in the southern state of Karnataka This village (say) has 1000 acres of land and 500 people (100 households) The primary economic activity is agriculture (rice, sugarcane, and coconut) Large and medium-size landholders make up 8% of the farmers, owning about 30-40 acres each, while small and marginal farmers own about to acres (5) 2.1 Land use Land use broken down by category is shown in Table Land designated as forest land (though it has low tree cover) is only 15 percent of the total area, which is less than half the amount that should be maintained in tropical countries for a proper ecological This low tree cover has contributed significantly to soil erosion, land degradation, and low groundwater infiltration 45 percent of land designated for crops and plantations is not irrigated This rain-fed land is single-cropped and lies fallow for at least eight months a year Runoff and erosion are high resulting in low productivity Wastelands that can be cultivated are about 20 percent of the total area and include land that was originally grazing land and tree groves Over-exploitation by grazing, deforestation, and the loss of topsoil has resulted in decreased productivity Land unavailable for cultivation because of hills and hard rock-exposure account for 15 percent of total land area (5) Table 1: Land use in 1981 (5) Land type Acres Percent Forest 150 15% Cultivated Land: Irrigated 50 5% Cultivated Land: Unirrigated 450 45% Culturable wasteland 200 25% Not available 150 15% 1000 acres 100% TOTAL 2.2 Water consumption Over the last two decades, there had been a shift from the use of tanks and canal networks (now silted and unusable) to groundwater borewells About 15 percent of water is used for drinking, domestic use, and Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page livestock, while 85 percent is used for irrigation Flood irrigation is practiced for both annual crops and plantations The water requirements are in Table The large and medium farmers use almost 90 percent of the extracted groundwater, mostly for irrigation of plantations (5) Most of the 400 mm per year of rain falls during the months of August and September, with one or two showers having accumulations of 100 mm in 24 hours Table 2: Water irrigation requirements (5) Crop type Number of irrigation cycles Liters per hour per acre Hours per irrigation cycle Months of irrigationa Total per acre per year in Million liters Crops 5000 (22 gpm) 48 1.5 Plantations 16 6000 (26 gpm) 30 a assumption used for the calculations in this paper 2.3 Energy demand There are two major categories of electricity loads: (a) irrigation pumping, and (b) residential/community uses, mostly lighting and radio/television Generally, about 80 percent of the energy needs of a rural village are for irrigation Table summarizes estimated power requirements for the village Table 3: Power requirements Lighting and radio/TV requirements public buildings @ kW (500 W average) a 0.5 kW school public health center misc buildings streetlights 100 houses @ 100 W (50 W average) 0.5 kW b kW Subtotal kW Irrigation 60 kW TOTAL 66 kW a Community (school, health center, public buildings) kWh/day b One home uses 0.5 kWh/day Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page A representation of this load profile is presented in Table 4, and shown graphically in Figure It is assumed that this profile is valid for the entire year The energy required is about 250,000 kWh per year To satisfy the expected load profile, the analysis in this paper assumes an 80 kW diesel generator operating 10 hours per day all year Table 4: Village energy load profile Time Load am – 10 am 66 kW 10 am – pm kw pm – 10 pm 66 kW Figure 1: Load profile Power load (kW) 100 80 60 40 20 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Hour of day Other Irrigation Centralized grid power has already been extended to 35 households in the village Although this power is heavily subsidized, yielding electricity at a consumer rate of about 0.5¢ per kWh, it is erratic occurring for only a few hours per day Water pumping for irrigation is unreliable given this situation, and the voltage irregularities cause frequent damage to the electric pump sets Wealthier farmers can afford a diesel generator to operate their pump sets at a cost of about 12¢ per kWh (5 Rs per kWh) 2.3.1 Irrigation demand Irrigation load energy requirements per acre are estimated based on the flow rate and lift elevation required An overall efficiency of 50 percent is assumed: 75% pump, 90% motor, 85% T&D, 85% pipe Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page losses (16) Equation was developed Assuming the required flow values in Table 2, the power requirements per acre for 22 gpm and 26 gpm are 0.42 kW and 0.50 kW respectively Typically hp (2.2 kW) pumps are used in rural irrigation applications For a power requirement of 0.50 kW per acre, one well and pump combination will supply irrigation to about acres of land Equation 1: Power requirements per acre P  Q h (3.8 10 - ) Q h  where P = power requirement per acre [kW] Q = flow rate per acre [gpm] h = water lift height [ft]  = efficiency  = constant Based on the usage requirements in Table and assuming that power for pumping is available from the village micro-grid 10 hours per day, days of pumping would be required per cycle for crops, and days of pumping per cycle for plantations One cycle is needed per month for crops, and two cycles are needed per month for plantations This results in the possibility to have pumps operate in sequence over the month for crops, and for plantations For the land use characteristics in Table 1, assuming that acres are served per pump, 13 pumps would be required to serve the 50 acres of irrigated land Assuming that pumps can be operated in sequence, the amount of power required would be about kW for the 50 acres (13 pumps  simultaneously  2.2 kW) which comes to about 0.12 kW per acre An additional 113 pumps would be required to irrigate the remaining 450 agricultural acres, with an additional load of 54 kW The irrigation of 500 acres of land would require a load of about 60 kW for 10 hours per day 2.3.2 Residential and community demand Residential, community, and street lighting needs are estimated to be about kW for the 10 hours per day Homes typically use 0.5 kWh per day, which over 10 hours averages 50 W of power per home The community load is estimated to be about kW, and streetlighting estimated to be about 0.5 kW Together, these loads are estimated at kW Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page Biodiesel system A rural biodiesel system involves growing the oil crop, pressing the seeds into oil, processing the oil into biodiesel by transesterification, and electricity production using biodiesel in a generator (Figure 2) The following subsections detail each stage in this process for the case of Jatropha curcas oil plant Costs models for each stage are developed In the end, the critical cost comparison is between diesel price and biodiesel price Figure 2: General flow diagram for rural biodiesel production (or biogas or petrodiesel) grow crop 3.1 oil transesterification biodiesel Electricity generator Jatropha Curcas oil Several studies (e.g., Mali, Nicaragua, India, Zimbabwe) have indicated that the Jatropha Curcas (or Physic nut) plant shows promise for use as an oil crop for biodiesel The Jatropha plant is Latin American in origin and is closely related to the castor plant It is a large shrub/ small tree able to thrive in a number of climactic zones in arid and semi-arid tropical regions of the world An easy to establish perennial, it can grow in areas of low rainfall (250 mm per year minimum, 900-1,200 mm optimal) and is drought resistant In addition, it is valued for crop protection, prevents wind/water erosion, is not browsed by animals, will reach maximum productivity by year five, and has a 50 year life-span Planting for maximum yield is done at a density about 400 plants per acre (6) The energy efficiency of the agricultural and industrial production process is between 1:3.75 and 1:5 (12) A study of a Jatropha plantation in Nicaragua indicates the yield of seed to be about 1800 kg per acre, which then yields 360 liters of oil at kg seed to the liter (6) A Zimbabwe case study indicates a somewhat lower yield because of a cooler climate (7) For the analysis conducted in this paper, a value of 300 liters per acre is assumed Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page The Mali study indicated that Jatropha seeds cost about US $0.10 per kg to grow and harvest, and about US $0.05 per kg to press into oil (8) The cost of raw oil, then, is calculated to be about $0.75 per liter Table compares the cost of Jatropha oil to other oil crops based on market prices If a power press equipment is used, about 10% of the energy content of the resulting oil is needed to operate the press (8) The seedcake resulting from the pressing process is rich in nitrogen and is an excellent fertilizer Selling this seedcake could help offset the cost of oil production (7) Based on the analysis conducted in following sections, about 100,000 liters per year of fuel (diesel or biodiesel) are needed operate the generator Figure presents the relationship between percent of fuel needs satisfied versus percent of available land (out of 700 acres irrigated, unirrigated, and not used but usable land) planted with Jatropha and several other crops To supply 100 percent of village fuel needs, Jatropha would need to replace 330 acres, or about half, of existing agriculture acreage The other oil crops in Table would not be able to supply enough biodiesel for the village even for the case where 100 percent of the agriculture land was used These results underscore the large amount of land that would need to be dedicated to biodiesel crops in order to replace fossil fuels for a rural village Table 5: Average yields and prices for various crops in India Crop seed yield tonnes/ha (9) oil yield percent of seed (10) oil yield liters/acrea acres needed per 100,000 liters India wholesale price (11) b US $/liter Soybeans 0.89 20% 72 1400 $1.40 Cottonseed 0.56 30% 68 1500 $1.20 Sunflower 0.61 35% 86 1200 $1.50 Rapeseed 0.79 40% 127 790 $0.55 Groundnut 0.65 50% 131 760 $1.70 35% 300 330 $0.75 Jatropha 2.0 Curcas (6) a assumes 0.9 kg per liter b US $1 = Rs 43.6 (May 2000) Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page % fuel needs Figure 3: Percent of fuel needs satisfied versus percent of agricultural land needed for biocrop 220% 200% 180% 160% 140% 120% 100% 80% 60% 40% 20% 0% Jatropha Rapeseed Soybean 0% 20% 40% 50% 60% 80% 100% % land used 3.2 Transesterification The most common derivatives of agricultural oil for fuels are methyl esters These are formed by transesterification of the oil with methanol in the presence of a catalyst (usually basic) to give methyl ester and glycerol Sodium hydroxide (NaOH) is the most common catalyst, though others such as potassium hydroxide (KOH) can also be used Equation presents a mass balance for transesterification, and Figure presents the underlying chemistry Equation 2: Transesterification mass balance 100 kg oil + 24 kg methanol + 2.5 kg NaOH  100 kg biodiesel + 26 kg glycerine Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page Figure 4: Transesterification chemistry R’ R’’ R’’’ = oil acids; R = (CH2)xCH3 The technology required for carrying out the transesterification process is very simple In it’s crudest form, it can be in low volumes as a batch process The methanol and NaOH are premixed and added to the oil, mixed for a few hours, and allowed to gravity settle for about hours The glycerine settles to the bottom, leaving biodiesel on the top With this process, the biodiesel contains some residual methanol which is acceptable for rural applications (rubber hoses in vehicle engines must first be replaced) , and the glycerine is unrefined (refined glycerine can bring about $5 per kilogram on the market for use in pharmaceuticals and cosmetics.) The unrefined glycerin can be used to make soap which can be an addition source of income for the village Ethanol could be used in place of methanol and could be made locally The physical and chemical properties of the resulting biodiesel (Jatropha methyl esters) is presented in Table alongside those for petroleum diesel and European Union standards for biodiesel Table 6: Jatropha Biodiesel properties compared with petro-diesel and EU standards (12) Property Units Jatropha biodiesel Petroleum diesel E.U standards for biodiesel Density @ 30C g/ml 0.88 0.85 > 0.8 Combustion point C 192 55 > 55 Kinetic viscosity cSt 4.84 2–8 Calorific potential MJ/kg 41 45 undefined 52 47.5 > 48 Cetane number Ester content % > 99 > 99 Sulfur content % < 0.5 < 0.55 Carbon residue % 0.024 < 0.35 < 0.1 Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 10 For a production capacity of about 100,000 liters per year, a system involving two 800-liter batch reactor tanks is assumed A cost model has been developed to determine the transesterification costs associated with biodiesel production in this rural community (see Table 7) Calculations indicate a cost of about $0.15 per liter for processing The cost of the biodiesel is this cost plus the cost of the raw crop oil For the case of Jatropha, the cost of biodiesel is about $0.90 per liter Table 7: Transesterification cost model Plant Capacity Capital Operating (per week) 30,000 gal/yr Materials Building Installation $20,000 total $1,500 total $4,000 total (US-based costs assumes to be valid) 1000 sf $1.50 $/sf 20% of materials total annual payment $25,500 $3,532 (see below) Ethanol KOH Oil Utilities Labor $173 $55 $1,500 $20 $12 maintenance per week per year (=2500 gal/wk * 50 weeks) total total $7.69 164 gal/wk 35.4 lb/wk 600 gal/wk 35 hrs/wk $1.05 $/gal $1.56 $/lb $ 2.50 $/gal $0.35 $/hr 2,000 rupies/mo 2% of materials $/gal $/gal $/gal $/gal $/gal $2.95 $/gal Loan percent TOTAL Loan Loan Loan Yearly Interest Payback Amount Payment 50% 12% 10 $12,750 $2,257 Equity percent Dividend Interest 50% 10% $25,500 $0.29 $0.09 $2.50 $0.03 $0.02 $0.01 $/gal $1,768 $88,389 Capital Needed $3.06 $/gal $0.81 $/L Equity Yearly Amount Payment $12,750 $1,275 Total yearly payment 3.3 $0.12 $/gal $3,532 Electricity generation Diesel/ biodiesel can be used to generate electricity for a rural community either in a distributed system (small scale for powering irrigation pumpsets), or in a village-level mini-grid system For both types, the cost analysis involved a comparison of diesel fuel costs to biodiesel fuel costs Based on the cost analysis Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 11 in the previous section, biodiesel costs about $0.90 per liter, while diesel price in India is currently $0.32 per liter (May 2000) Based on the electricity demand profile presented in Table 4, an 80 kW diesel generator is required The generator would operate 10 hours per day providing electricity for irrigation pumps, community and residential The National Renewable Energy Laboratory (NREL) has developed a computer model called HOMER (The Hybrid Optimization Model for Electric Renewables) which an optimization model for designing standalone electric power systems HOMER was used to calculate a cost of electricity generation under this scheme of about $0.35 per kWh using biodiesel, and $0.12 per kWh when using petroleum diesel A capital cost of $17,000 and an operating cost of $2,000 per year (not including fuel costs) were used A comparison of electricity generation costs by various technologies is presented in Table Table 8: Comparison of technologies and electricity costs Technology Cost (cents/kWh)a Micro-grid diesel 20 – 60 Micro-grid hydro 20 – 30 Distributed photovoltaic Small wind-sets a Includes distribution 90 40 – 90 Environmental considerations Climate change is presently an important element of energy use and development Biodiesel is considered “climate neutral” because all of the carbon dioxide released during consumption had been sequestered out of the atmosphere during crop growth Combustion of one liter of diesel fuel results in the emission of about 2.6 kilograms of CO2 (13) Therefore, the use of biodiesel will directly displace this amount of CO when used If 100 percent biodiesel is used in the case study rural community described in this paper, 100,000 liters of biodiesel used per year would be equivalent to about 290,000 kg CO Combustion of biodiesel has been reported in a number of sources to have lower emissions compared with petroleum diesel Lower emission of SO2, soot, carbon monoxide (CO), hydrocarbons (HC), Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 12 polyaromatic hydrocarbons (PAH), and aromatics are presented in Figure NOx emissions from biodiesel are reported to range between plus or minus 10% as compared with petrodiesel depending on engine combustion characteristics Figure 5: Lower emissions of biodiesel compared with petrodiesel (14) SO2 Soot CO HC P AHs Aromatics Percent reduction -20 -40 -60 -80 -100 -120 Conclusions The results of the analysis in this paper conclude that there are several barriers against utilization of biodiesel for rural electrification: (a) the amount of agricultural land required to supply enough diesel for a rural community is approximately half of available crop land, and (b) the price of biodiesel locally generated is about $0.90 per liter, over twice the going rate for petroleum diesel in India ($0.32 per liter) There are, though, important benefits of biodiesel that should not be overlooked Biodiesel can be considered “climate neutral” because the carbon dioxide released during combustion was sequestered previously during crop growth The local economic activity resulting from the local growth and processing is important as well Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 13 References (1) The World Bank, 1999 Fuel For Thought: Environmental Strategy For The Energy Sector A World Bank Group Sector Strategy Paper: New York, July http://wbln0018.worldbank.org/essd/kb.nsf/ab34a7716339450985256666007c9ca9/04b214e1c80 c87da85256666007fdab6/$FILE/FINAL+ESES+27July+Board+Reviewed.doc (2) The World Bank, 1996 Rural Energy and Development, Improving Energy Supplies for Two Billion People New York (3) United Nations, 1995 Report of the committee on new and renewable sources of energy and on energy for development on its special session UN Economic and Social Council, New York, February http://www.un.org/documents/ecosoc/1995/e1995-25.htm (4) Menon, M., 1999 Rural power scene still dim, says CEA Indian Express Newspapers Ltd.: Bombay, January 10 http://www.expressindia.com/fe/daily/19990110/01055165.html (5) Kumar, C.A., Malhotra, K.C., Raghuram, S., Pais, M., 1998 Water and Population Dynamics in a Rural Area of Tumkur District, Karnataka State American Association for the Advancement of Science Report http://www.aaas.org/international/psd/waterpop/india.htm (6) Foidl, N., Elder, P., 1997 Agro-industrial exploitation of Jatropha curcas In: Gubitz, G.M., Mittelbach, M., Trabi, M (Ed.), Biofuels and industrial products from Jatropha curcas Dvb-Verlag, Graz, Austria http://www.ibw.com.ni/~biomasa/template1.htm (7) Rockefeller Foundation, 1998 The Potential of Jatropha curcas in Rural Development and Environmental Protection—an exploration Presented at a workshop sponsored by the Rockafeller Foundation and Scientific & Industrial Research and Development Center, Harare, Zimbabwe, May http://jatropha.org/rf-conf1.htm (8) Henning, R., 1998 Use of Jatropha curcas: A household perspective and its contribution to rural employment creation Presentated at the Regional Workshop on the Potential of Jatropha Curcas in Rural Development & Environmental Protection”, Zimbabwe, May 1998 http://jatropha.org/harare98.htm (9) Government of India, 1998 Oil World Annual April http://fcamin.nic.in:80/sugar_edbl.htm (10) Casten, J., Snyder, H.E., 1985 Understanding Pressure Extraction of Vegetable Oils Volunteers in Technical Assistance, Arlington, Virginia http://idh.vita.org/pubs/docs/upe.html (11) Government of India, 2000 Farm Produce Prices Department of Agriculture and Cooperation, Ministry of Agriculture, web site accessed May http://www.nic.in/agricoop/prices.htm Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 14 (12) The Biomass Project, 2000 Curcas Oil Methyl Ester Nicaragua Web site accessed May http://www.ibw.com.ni/~biomasa/emat.htm (13) The United Nations, 1997 Energy and Environment Basics, second edition Food and Agriculture Organization of the United Nations, Bangkok, July (14) Tickell, J., 1999 From the Fryer to the Fuel Tank., second edition GreenTeach Publishing, Sarasota, Florida (15) Sant, G., Dixit, S., 1998 Towards an Efficient and Low Cost Power Sector Prepared for the Narmada Valley Task Force, September (16) U.S Congress, 1992 Fueling Development: Energy Technologies for Developing Countries Office of Technology Assessment, Washington, DC, April Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 15 ... typical rural village in southern India Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page 2 Village characterization Feasibility of biodiesel for micro-grid... Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page Biodiesel system A rural biodiesel system involves growing the oil crop, pressing the seeds into oil,... buildings) kWh/day b One home uses 0.5 kWh/day Rosenblum: Feasibility of Biodiesel for Rural Electrification in India [DRAFT, June 2000] Page A representation of this load profile is presented in