Nov 7, 2014 2014 Seoul S&T Forum, Seoul

Sangyong Kim

Korea Institute of Industrial Technology (KITECH)

RECENT PROGRESS IN JOINT R&BD PARTNERSHIP

FOR RENEWABLE CHEMICAL PRODUCTION:

TOWARDS LOCALIZED BIOBASED ECONOMY IN ASEAN REGION

ISSUE:

BIOBASED CHEMICAL PRODUCTION FOR SUSTAINABLE LOCAL ECONOMY

BY VALUE CHAINED JOINT R&BD PARTNERSHIP

BIOECONOMY:

BIOBASED ECONOMY

AND

BIOREFINERY

Backgrounds

ü  Policy drivers/Government Initiatives

-Low Carbon Green Growth (2010, Legislation, Korea NGGC)

-Bioeconomy Strategy and Its Action Plan (2012, Legislation, EU Commission)

-Biobased Economy Program (2011, Legislation, Nederland MEA)

-National Bioeconomy Blueprint (2012, Legislation, US White House)

-On 27OCT 2014, President Obama announced BIO-BASED Materials as 1-of-3 emerging technologies for US

competitiveness; White House will fund $300M to be equally matched by the private sector.

-National Roadmap on 28 Prime Green Technologies (2009, Korea Presidential Committee on Green Growth), “Concentrate

on top priorities for future!”

* Industrial Greening/Green Process for E2P2/EIP-Bioproduct-CT

equiv. to Biopreferred Program(US), Biomass Nippon Strategy(Japan), Global Green New Deal(UNEP)

-New Industrial Growth Engine on renewable energy, green transportation, green city (Korea)

ü  Global trends

-GHG reduction, non-Petrochemical platform, renewable resources, bioplastics

ü  Market drivers

-Green production,-manufacturing,-consumption, supply chain sustainability, eco products

National practices for circular economy

ü Eco-city in rural residential area

ü  EIP and clusters in national and provincial industrial

complexes

ü Eco-landscaping in natural habitats

ü Cleaner production in manufacturing sites

ü Green development in 4 large river areas

ü Propagation of renewable energies

ü Value-chained green production

What happens now… and what will happen soon… “Cheap Oil Era is Ending”

- Limited resources (Peak oil in 2050?, BP report)

- Increasing demand in developing countries (2%/yr)

High oil prices: $70~120/barrel

- Global warming (0.74±0.18 ℃/100 yr)

- Restriction on emission (e.g. Post-Kyoto protocol)

Greenhouse gas emission cost: 2.4% of GDP

Expensive to Buy Expensive to Use

“Renewable Commodity Era is Begininng”

Carbon Cycle

CO2

(CH2O)n (CH2)n

Photosynthesis

Bio Resources Fossil Resources

Several Billion Years (Irreversible)

Petro-Chemicals

Carbon Neutral Cycle

Greenhouse Effect (Global Warming)

Value chain: petrochemical industry

Drug precursor

s

Resins

Paints

Adhesives

Rubbers

…

Petro-Chem

icals

(Paraffins,

Olefins,

BTX,

Alcohols,

Acids, …) Oil Refinery

~35%

Biorefinery

Alternative

Green

Chemicals

Bio Refinery

- Production: 170 bn ton/yr - Current use: 3~4%

Renewable & Sustainable Resources

Adhesives, Paints

Packaging materials, Bottles

Transportation fuels

Fibers

Bioplastics A biorefinery is a facility that integrates biomass conversion processes and equipment to produce fuels, power, and v

alue-added chemicals from biomass.

National Renewable Energy Laboratory US DOE

Bio/biobased Economy

Future growth of the world economy

Agriculture

Bioprocessing

Health and Medical Biological E (Biochip)

Environment

Bio-energy

Biobased Economy

(Biomass derived economy

by industrial biotechnology

& green chemistry)

"life sciences/industrial biotechnology backed by green chemistry to the development of new products or services advertised through the improvement of the human race/sustainable production to bring convenience to the con

cept that encompasses a variety of economic activity"

Biobased Economy

The Biobased Economy is an economy driven by efficiency in using biomass feedstocks and biomass derived products as food, feed, chemicals, energy and fuels

What are the Main Applications? §  The biobased economy is a term which encapsulates our vision of a future soci

ety no longer wholly dependent on fossil fuels for energy and industrial raw materials.

BIOBASED ECONOMY

FOOD & FEED

BIOREFINERY

CHEMICALS

ENZYMES

BIOFUELS

BIOMATERIALS

TARGET:

BRIDGING THE GAP BETWEEN PRIMARY INDUSTRIES AND SECONDARY ONES

BY IN-SITU VALORIZATION OF AGRICULTURAL/MARINE/

FOREST/FOOD BIOWASTES AS GREEN CHEMICAL AND ENERGY FEEDSTOCKS

AND STREAMLINED CONNECTION TO

DOWNSTREAM AUTOMOBILE, ELECTRONIC, TEXTILE, CHEMICAL

AND COMMODITY INDUSTRIES

Biorefinery in Korea

Renewable feedstock to biobased commodity chemical product -> Expand Petrochemical – specialty chemical – automobile / electronics / textile value chain

Exploring Biomass Resources And Utilization

Developing Processing Platforms

Creating Biobased Products Markets

Implications of the Bio-Chemical Industry

§  Promotion of bio-chemical industry - Strengthening the competitiveness of key industries

CO2

strengthe

ning of ab

ility

Construct th

e ecosystem Improvem

ent of a sy

stem

Quickening period of the bio-chemical

Government led

Oil-dependent reduction

Bio-Chemical Industry

Ripple effect

Electrical, Electronic

Car

Refineries, Oil

Fiber

Industry Material

Five main industries

ü  DOE, USDA in USA : Biorefinery Bio-Fuel, Chemicals in 2020 and in 2050 20% and 50% of Chemical from Biomass ü  Global Chemical Companies: Dupont, Biomass based Polymers

Overview of chemicals that can be obtained from biomass constituents by established or possible biotechnological processes

Crop-based (Corn, Sugar cane)

Wood-based (Lignocellulosic)

Marine-based (Macro algae)

Crop-based (Soy bean)

Marine-based (Micro algae)

Biomass Feedstock

Bioplastic

ü  Unlike conventional plastics produced from fossil resources, bioplastics are made from renewable resources like saccharides, starch, vegetable oils and cellulose.

ü  Bioplastics are eco-friendly, consuming less fossil resources and emitting less carbon dioxide during their life cycle

ü  Bioplastic market will reach $845 million (720 million pounds) through average annual growth of 16% (Biodegradable Plastic to 2012, The Freedonia Group, 2008)

www.sony.net

Bioplastic companies

Bioenergy by biomass cogeneration

Daegu city Hansol Co.

STX Co.

SK Co.

STX Co.

Bioenergy by anaerobic digestion of organic wastes

Landfill Biogas

Biofuels: Biodiesel / Bioethanol

CLUSTERING:

BIOREFINERY CLUSTERS AND

ECO INDUSTRIAL PARK

Integration of renewable resources, advanced technologies and green management into Eco-Industrial Parks (EIP)

Sustainable low carbon EIPs possessing competitivene

ss

Cleaner Production/

CT

LCA / MFA EMS/ SCM Green

Partnership

Renewables

Remanufacturing Urban mining Waste valorization

Industrial integration at Netherlands Bioenergy Valley

A public private partnership for the promotion of sustainable biobased activities and economic development in the Ghent region

Biorefinery Cluster a Rodenhuize Docks Biorefinery Cluster Sas van Gent

A biopark for the promotion of sustainable bio-energy activities in the Terneuzen region

Agro-industrial park, Les Sohettes (France)

Source: IAR - Competitiveness Cluster with a Worldwide Vocation

The agro-industrial site Les Sohettes in France (near Reims, Champagne) is an unique platform perfectly illustrating the biorefinery

Business units and synergies in Les Sohettes agro-industrial park

Industries et Agro-Resources French Competitiveness Cluster

Schematic overview of the feedstock handling on the site of British sugar site in Wissington (UK)

Source : British Sugar

Sustainable Industrial Development

Sustainable Industrial Development

Disposal

Material

Manu- facture

Consu-mption Delivery

Enhancement of corporate value and

competitiveness

Conserving environment

Less wastes

Less impact

Environmental management

EMS SCEM EMA

Product design

Cleaner production technology

LCA DFE LCI

Less resource

Reduction at source

More profit

Conserving resources

ü  Eco-industrial Park is based on the environmental link among companies where by-product or waste from one company can be used as resources of another company ultimately aiming at zero-emission. Through this innovative means of forming industrial complex, not only can businesses obtain environmental, economic befits but also social benefits for the entire region.

ü  Korean Ministry of Knowledge and Economy (MKE) has launched new demonstration projects for EIP construction around the country. First batch of five projects including ‘Establishment of Banwol-Sihwa EIP’ was launched in 2005 followed by second batch of three in 2010.

What is Eco-Industrial Parks?

Existing industrial parks

Economical efficiency

Focused on raw mat’l and prod.

Treating autonomously or consignment

Bulk

hotbed of emitting pollutant

Occurrence of civil complaint

Eco-industrial parks

+ Environmental performance

+ byproduct, waste heat, etc

Reuse & Recycle

Minimize & non-emitting

Comb. of regional society and environ.

Cooperate with regional societies

Basic rules

Link among enterprises

Waste treatment

Amount of pollutant

Social image

Relationship

Energy Raw mat’l

Background of Eco-Industrial Parks

Energy Raw mat’l

Waste Waste

EKC2012 - Industry Forum, 26~28 July 2012, Berlin Germany

Clusters and mini-clusters

ü  Clusters & mini-clusters accompanying EIPs

Suggestion of total solutions

Educational-industrial-laboratorial complex R&D, Patent & Technology transfer, Marketing,

Certification, Censorship

군산2

Progress status of EIP in Korea

Establish sustainable EIP

Core of production +

Eco-friendly structure

1st stage(’05~’10)

• Suggest EIP model • Form a bond of sympathy of EIP model

• Establish the base of EIP model

2nd stage(’10~’15)

• Expansion of EIP • Expansion of networks • Increasing cooperation with a community

3rd stage(’15~’20)

• Completion of Korean type EIP

• Establish national ecosystem • Operation by nongovernment enterprises

ü  Vision & Strategy

Palm biorefinery for chemicals and fuels

ü Example of oleochemical agrobiorefinery platform

ODA PROJECT:

KOREA-VIETNAM INCUBATOR PARK (KVIP)

IN CAN THO CITY

Cheonan-Cantho

3800 Km apart 5 hours by plane

36

Industrial complex organization and management know-how

in Korea

Creating business environment For Korean companies in Vietnam

Mutual industrial cooperation Model leading to success

Modernization and commercialization of agricultural and fishery products

food processing

Establishing industrial incubation platform in Mekong Delta region

+ Strengthening Korea-Vietnam industrial cooperation June 2012~ Dec 2015, 18 bil KRW (17 mil USD)

Supported by Korea Ministry of Industry, Trade & Energy (MOTIE)

KVIP VIEW

38

KVIP Construction Ground Breaking Ceremony

39

Articles on Public

PLANNING PROJECT:

KOREA-ASEAN BIOBASED JOINT R&BD ALLIANCE

SUPPORTED BY NATIONAL RESEARCH

COUNCIL OF S&T (NST)

Purpose

Planning(Project) for Development of Production Technology of High Value-added Industrial Chemicals Derived

from Biomass

Establish official networks between Korea and South-East Asia and collaborate in planning and joint capability b

uilding.

Study on biomass availability , processing and targets along

with partnership building

Draw an optimal planning result on biobased production and suggest detailed joint &BD propo

sal

Construction of bioased value chains and biorefinery

scheme

Based on synergetic potential of human, technical and natural resources regarding biomass utilization toward value added chemical production among Korea and ASEAN countries, a well defined biobased joint R&BD scheme coupled by preliminary proposal will be derived from up-to-date study and mutual understanding among participating institutes as a reference and grounds for further consideration of project funding.

Planning Strategies and Partnerships

ICES (Singapore)

§  Asia Networks §  Technology based

Business Plans

NIA (Thailand)

§  Biomass in Thailand

§  Bioplastics

VIIC (Vietnam)

§  Biomass in Vietnam §  Policies of Biomass

Utilizations §  Cooperative R&BD

Proposals for Cooperative R&BD Strategies for

Implementation of Feasible Bio-Mass derived Chemical

Technologies between S. Asia and Korea

KITECH (Main) KRICT (Part)

CTU (Vietnam)

§  Biomass in Mekong Delta

§  KVIP Connection

Vietnam (CTU, VIIC)

rice straw and husk, fish oil, coconut

Thailand (NIA) cassava, sugar cane,

rubber plant

Promising raw materials (SE Asia) Singapore (ICES)

•  Perform a joint research •  Researches carried out in co

llaboration with domestic research institutes

•  Biochemical and developing derivatives are co-developed

KITECH & KRICT

Development of platform material & derivatives of C3 ~ C6 organic acid based on biomass (KITECH) Development of platform material & derivatives based on biomass (KRICT)

Succinic acid Fumaric acid Itaconic acid Muconic acid

Networking & MOU

Target Construction of Pan-Asiatic initiative on biobased industrialization Platform for sustainable production of renewable chemicals Joint R&BD partnership toward agrobiorefinery

KVIP linked project study

Target : Biomass of Mekong Delta - Rice straw, husk and bran, Sugar cane syrup / bagasse, Coconut shell / leaves, stem , fish oil Product : Biofuel (ethanol, diesel), chemicals (organic acid) Cellulose, Herbal / Wood chip, RDF (Refuse Derived Fuel) Partner : Can Tho University Support : Can Tho city Future Stakeholders : Korea-Vietnam manufacturing companies

Regional value chained agrobiorefinery scheme

Herbal, Wood chip

RDF

Furan Isosorbide

Feed, Fertilizer

Organic acid succinic acid, lactic acid, itaconic acid

Alcohol EtOH BtOH

2nd alcohols: Fatty alcohols 1,4-BDO 1,3-PDO

Straw

Fish oil

Coconut leaves,

stem

Coconut shell

Sugar cane,

bagasse

Sugar cane syrup

Rice

Business: -  Biomass Processin

g -  Biomass material -  Primary products •  Biomaterial •  Fuel •  Cellulose product

-  Secondary products

•  Chemicals •  Resin, Plastics

-  By-products •  Feed •  Fertilizer •  Biogas

PARTNERSHIP:

BIOBASED R&BD NETWORKING

FOR

JOINT LOCAL BIOPRODUCTION CLUSTER

ICES (Institute of Chemical & Engineering Science), Singapore

ü  Oct. 7, 2013 ICES-KITECH MOU for the cooperation in the biorefinery R&D

NIA (National Innovation Agency), Thailand ü  -Biobased monomers and plastics

MOU Exchange with CTU (Can Tho University)

ü  Sep. 23, 2014 MOU for the cooperation in the biomass utilization

Korea-ASEAN Biobased Production Alliance (KABPA) Conference, Seoul ü  Oct. 28, 2014 ASEAN-KITECH networking conference for the cooperation in th

e joint biorefinery R&BD

ECN (Energy Research Center of the Netherlands), Netherlands

ü  Nov. 4, 2014 ECN-KITECH MOU for the cooperation in the biorefinery R&D

Biobased Chemicals

Fuels Plastics

Acknowledgement

Renewable Chemical Center Industrial Ecology Laboratory Address : Yangdaegiro 89, Ipjang, Seobuk, Cheonan 331-822, KOREA Lab Manager: Dr. Sangyong Kim (sykim@kitech.re.kr) Tel : +82-41-589-8356 Fax : +82-41-589-8580

Thank You