BIOLPGA RENEWABLE
PATHWAY TOWARDS© 2021 LIQUID GAS EUROPE,
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2050

BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

The

Challenge

BioLPG is a drop-in gaseous fuel produced
from biological sources, and potentiallyfrom renewable electricity and CO2.

It is identical in use andperformance to conventional
LPG and gives today up to
80% lower carbon footprint.
In the long run, bioLPG has
the potential to becomecarbon neutral dependingon the development of new
production processes.
BioLPG is a cost-effective solution
to the decarbonisations insegments such as, but not limited
to, transport as well as industry,heat generation and cooking inrural areas. Launched in 2018, it isavailable on the European market
in small, but growing, quantities.

Today only one production process
is commercialised in Europe:
bioLPG as a co-product of hydrotreatedvegetable oils (HVO) diesel or its
variation – hydroprocessed esters
and fatty acids (HEFA) resulting in
Sustainable Aviation Fuel.
The European HVO/HEFA capacity
alone would not be enough to supply
bioLPG volumes to meet the industry’s
commitment by 2050.

.............................................................
Additional production pathways areneeded to deliver bioLPG volumes
required by the industry.
There are several other promisingtechnologies available to produce
bioLPG. But These pathways are not fully
mature and commercially available today.
They still require time and resources togrow from the research and development
or demonstration scale. To further
develop the technologies to produce
bioLPG, a predictable and attractive
investment climate is needed.
The LPG industry’s concern isexacerbated by a general lack ofawareness amongst producers as wellas policymakers about the role bioLPG
can play in the energy sector transition.

.............................................................

1

2

CONTENTS

Our

VisionThe ambition of the European Union is to be climate
neutral by 2050. The European LPG industry iscommitted to support this ambitious goal.

Our industry truly believes
that LPG and bioLPG, asclean-burning, versatile, andresource-efficient gaseous
fuels are perfectly placed to
immediately help to reachthese goals especially in rural
areas and in road transport.
Nowadays bioLPG is already available
in small, but growing, quantities.
We are ready to continue dialogue with
European and national policymakers,
sustainable liquid fuel and biogas
producers as well as other stakeholders
across Europe to develop the necessary
and stable policy framework for new
investments in production facilities
to increase bioLPG volumes.

303

OUR VISION05

INTRODUCTION

06

LPG TODAY IN EUROPE

07

TRANSITION TO BIOLPG

08

BIOLPG PRODUCTION09

LPG AND BIOLPG FOR THE EU 		GREEN DEAL

11BIOLPG AND ITS BENEFITS

13

PATHWAYS TO BIOLPG

17

THE EUROPEAN BIOLPG MARKET
IN 2050

19

POLICY RECOMMENDATIONSinterventions and industry actions will21

LPG INDUSTRY’S PLEDGE

be necessary:

23

ANNEX

This report offers a potential pathway
for the European LPG market tobecome 100% renewable by 2050.
To get there, several critical policy

BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

TABLE OF• BioLPG must be recognised
within European policy
frameworks and regulations• European and national policies
should offer incentives for
consumers to switch to LPG
in the short-term and bioLPG
in the future• European and national policies
should provide incentives for
low-carbon liquid fuel andrenewable gas producers to
produce and valorise bioLPG

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4BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

TODAY LPG AND BIOLPG ARE ONE OF THE FEW
COST-EFFECTIVE SOLUTIONS IMMEDIATELYAVAILABLE TO DECARBONISE AND LOWER
POLLUTANT EMISSIONS FROM OFF-GRID
HEATING IN HOMES, LOCAL BUSINESSES AND
INDUSTRIES, TRANSPORT AS WELL AS FROMSTOVES AND BBQS.

LPG
Today
In Europe
LPG is a co-product of...

..........................................................................................................
It is a gaseous fuel that contributes to cleaning the air in Europe’s
countryside and cities. With the right policy environment in place forthe producers to secure the necessary feedstock and sustain a stablebusiness model, the entire European LPG market can become 100%
renewable by 2050. Our industry will be thriving to deliver on thisambitious objective.

OR

Natural Gas

Oil Production

and thus resource efficient by its very nature

60%of all LPG produced
globally derives fromnatural gas extraction..........................................................................................................

Energy-users of LPG*

IT IS A HIGHLY
VERSATILE ENERGY
SOURCE IMPORTANT
APPLICATIONS IN THE

Road
transport

Improving
air quality
with LPG

Reducing
carbonemissionswith LPG

5

Residential heating,industrial powerand heat generation

LPG cars havealmost no pollutant
emissions. They
emit 98% less NOx
than diesel cars and
90% less PM thangasoline cars in real
driving conditions**

Boilers using LPG emit
80-99% less PM and
50-75% less NOx thansolid and liquid fuels
boilers (such as coal,heating oil, peat)

LPG well-to-wheel
carbon intensity asin the Fuel Quality
Directive is alsosignificantly lower
than diesel (-23%)
and petrol (-21%)

LPG is a lower carbon
alternative to liquidand solid fuels for
combustion purposes.
Switching from an oilor coal boiler to an
LPG one can reduce
emissions respectively
by 25% and 50%

HOME, IN INDUSTRY,

Industrial
power & heatgeneration

IN ROAD TRANSPORT
AND AGRICULTURE.

19%
Road
Transport

33%
Residential
Heating48%

Currently, LPG covers theheating needs of morethan 20 million EU citizens
and 700,000 businesses,
predominantly in areas
where the natural gas
network is not available.
Autogas (LPG astransport fuel) fuels acurrent fleet of over
8 million vehicles anda network of 32,000
stations across Europe.***40% of European LPG demand is used as feedstockby chemical industry**Measuring emission performance of Autogas cars inReal Driving Conditions (2016) Liquid Gas Europe

6BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

TO BIOLPGONE OF THE PATHWAYS FOR THE INDUSTRYTO OFFER FURTHER EMISSION REDUCTIONIS TO GROW THE SUPPLY OF BIOLPG.

BIOLPGPRODUCTION
IN MOST CASES, BIOLPGIS A CO-PRODUCT OF
SEVERAL TECHNOLOGIES.

Some of them are still at an early stage ofdevelopment in Europe. Therefore, Liquid
Gas Europe looks into a potential pathway
for the European LPG market to become
100% renewable by 2050.

BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

TRANSITION..............................................................................................
In 2018, it was estimated that consumption of branded
bioLPG, a product available on the market explicitlylabelled as such, was at about 100 kilotonnes a year.*
The rest of the produced bioLPG, another 100 kilotonnes
a year, is used today internally as a process fuel. Sometimes
bioLPG is also put on the market without being labelled
as such.

Location: Sweden
Capacity: 180 kt
Location: USA
Capacity: 80 kt

Location: Netherlands
Capacity: 1000 kt

Nevertheless, the available volumes are still growing.
The following operators are currently producing
bioLPG in Europe:

Location: Finland
Capacity: 100 kt
Location: Finland
Capacity: 260 kt

Location: Netherlands(under construction)
Capacity: 100 kt• ENI (ITALY)

Location: France
Capacity: 500 kt• GLOBAL BIOENERGIES (FRANCE)• NESTE (THE NETHERLANDS)• PREEM (SWEDEN)• REPSOL (SPAIN)

Location: USA
Capacity: 125 kt

Location: Spain
Capacity: 80 kt
Location: Spain
Capacity: 180 kt• TOTAL (FRANCE)
Location: USA
Capacity: 250 kt

BIOGAS CONVERSION TO BIOLPG IS
POTENTIALLY ATTRACTIVE TO ‘STRANDED’
BIOGAS PRODUCERS

Conversion to bioLPG and distribution using the existing
LPG infrastructure would in many cases be most attractive
economically, if a biogas-to-bioLPG process werecommercialised. This process is being pursued by several
technology suppliers.

Location: Brazil
Capacity: 230 kt

Other US projects indevelopment capacity app.
1,000 kt

Source: Atlantic Consulting:* Process Technologies and Projects for
BioLPG (2018) E. Johnson

7

Location: Italy(two locations)
Capacity: 550 kt
Capacity: 580 kt

Location: USA
Capacity: 500 kt(expansion to 800 kt)..............................................................................................
Less than 1% of biogas produced in Europe is injected to thegas grid. Majority of biogas is currently produced in remotelocations which are unlikely to make biomethane injectionsin the future. It is reasonable to presume that significant
amounts of biogas will still be stranded from the grid.

Location: Spain
Capacity: 125 kt

Multiple producers
in China capacity:
320 ktNB. The above refinery capacity figures represent capacities for HVO biodiesel. Most of these plants
produce bioLPG as a co-product at approx. 5-7% by weight of the biodiesel output. These capacities
reflect the rated amount that a given plant can manufacture per year, actual production can be lower.

8

LPG AND BIOLPG FOR

THE EU GREEN DEAL
Liquid Gas Europe sees a significant role for theEuropean LPG industry in meeting the EU Green Deal
ambition and achieving climate neutrality by 2050.
Our renewable pathway will help European
and national policymakers understand thepotential of bioLPG for decarbonisation ofoff-grid residential heating, local businesses
and industries as well as for road andmaritime transport.

9

The gradual, seamless
transition to bioLPG can bedone in existing appliances
without any additional costsof modifications
ADDED VALUE
OF BIOLPGPOLICYBENEFITS

Smart Sector
Integration Strategy
and the Renewable
Energy Directive

BioLPG helps reducing carbon
footprint of off-grid residential
heating, local industrial and ruralbusiness. In rural areas, there is agreater role for LPG and bioLPG
in gas-powered heating combinedwith renewable thermal systems
and hybrid systems

Synergies with thedecarbonisation ofaviation, maritime androad transport fuels

Renovation Wave
Initiative

BioLPG can turn the existing
rural building stock into ‘futureproofed’ homes using readily
available, well-established andaffordable heating solutions.
LPG heating solutions also offer
rural communities an opportunity
to invest in common small LPG
networks

Scaling up the uptake ofsolar thermal and hybrid
solutions

Strategy for
Sustainable andSmart Mobility

Autogas (LPG as transport fuel)is Europe’s leading alternative roadtransport fuel with a good networkof filling stations already in place.
Converting existing vehicles toAutogas or purchasing a new
LPG vehicle is affordable for the
consumer, and a cost-effective
solution to accelerate roadtransport emissions
reduction efforts

Improving air quality
in cities by tacklingemissions from today’s
car park

10

BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

BIOLPG

WITH THE RIGHT VOLUMES, SWITCHAND ITS BENEFITSTO BIOLPG COULD HAPPEN OVERNIGHT

BioLPG is a direct renewable replacement of
conventional LPG, making it a drop-in gaseous,liquified fuel. Therefore, it can be used pure or
blended in the very same applications ranging fromvehicles to boilers. This means that when available
in sufficient volumes all users of LPG appliances
can seamlessly switch to bioLPG.
COST-EFFICIENT SOLUTION TO RENEWABLE
ENERGY UPTAKE

The growing availability of bioLPG means thattoday’s investments in LPG supply chain andappliances are future-proof as they can operate

BioLPG1 is thecommonly usedterm to describe any
molecules of propane
and butane2 produced
from biologicalsources or renewableelectricity and CO2.

on bioLPG without any additional upgrading costs.
Switching to bioLPG saves households and businesses
the budget and hassle from changing to appliances
or vehicles now running on conventional LPG.
FLEXIBLE PARTNER WITH RENEWABLE
TECHNOLOGIES AND HYBRID SYSTEMSIn rural areas, there is a greater role for bioLPG as
BIO
LPGa gaseous fuel for gas-powered heating combinedwith renewable thermal systems, for cogeneration,
fuel cells and hybrid systems (an electric heat pump

To reap the benefits, LPG andwith an LPG boiler, for cold days). Hybrid heating

bioLPG must be recognised within

systems are the enabler for affordable renewablepolicy frameworks and regulations.

residential heating and an improvement in the overall

The producers need to be able toenergy efficiency in Europe. Further, Autogas-electric

secure the necessary feedstock

hybrids offer bigger environmental benefits thanand sustain a stable business model

petrol hybrid systems.

backed by a supportive, clear andpredictable EU legal framework.

DECARBONISATION AND BETTERAIRPOLLUTION

AIR QUALITY WITH BIOLPGBioLPG is a renewable solution that can provide
up to 80% emissions reduction compared toconventional LPG. However, these GHG savings are
expected to increase when production processes
will move towards further use of waste or cellulosic
materials as feedstocks. With the same molecular
structure, bioLPG is a clean-burning fuel that producesvery low concentrations of particulate matter and NOx.

1 In some European markets bioLPG is better

known as biopropane
2 BioLPG might also contain molecules ofisobutane, propene, and butenes

11

12PATHWAYS TO BIOLPGFEEDSTOCKVEGETABLE OILANIMAL FATSTALLOW
USED COOKING OIL

In most cases, bioLPG is produced as a co-product, a minor output of a multi-product process.
All possible synthesis routes to bioLPG (and their development status): conventional and advanced
chemical processes, biological processes, and other, are described below. Only one process isalready commercial: the HVO diesel production.

TECHNOLOGY AND PROCESSBIOREFINING

SUGAR AND STARCH(FROM CELLULOSE)PRODUCTSECONDARY PROCESSLIPID HYDROTREATMENTHVO DIESEL JET FUEL

CO-PRODUCTTRANSESTERIFICATIONFAME DIESEL GLYCERINEGYCERINE-TO-BIOLPGFERMENTATIONFERMENTATIONOLIGOMERISATION (ALCOHOL-TO-JET)PYROLYSIS OILCATALYTIC CRACKING

THERMAL GASIFICATION OF BIOMASS(FOLLOWED BY METHANATION)SYNGAS (TO SNG)SYNTHESISFISCHER-TROPSCH (FT) SYNTHESISOF SYNGAS FOLLOWED BY
HYDROCRACKINGDIESEL JET FUEL

CO-PRODUCTMETHANOL SYNTHESISOF SYNGASMETHANOLMETHANOL-TO-GASOLINEAND BIOLPGPYROLYSISTYPE OF LPG

BIOLPG

LIGNOCELLULOSIC BIOMASSWOOD AND RESIDUESFROM FORESTRYWASTE-WOOD FROM INDUSTRYAGRICULTURAL RESIDUES(STRAW, STOVER, MANURE)GASIFICATION

BIOLPG

ENERGY-CROPSMUNICIPAL SOLID WASTE(ORGANIC FRACTURE)
SEWAGEBIOGASANAEROBIC DIGESTIONRENEWABLE ELECTRICITY,
WATER AND CAPTURED CO2

13

POWER-TO-X

OLIGIMERISATION OF BIOGASUPGRADING OF BIOGAS

BIOMETHANESYNGAS

SYNTHESISFT SYNTHESIS OF SYNGASDIESEL JET FUEL

CO-PRODUCTMETHANATION OF CO2
BY ELECTROLYTICALLYOBTAINED HYDROGENSYNTHETIC METHANESYNTHESISRENEWABLE
LPG

14

POTENTIAL BIOLPGYIELD (OF TOTAL FUEL)TECHNOLOGIES & PROCESSTECHNOLOGYREADINESS

EXAMPLES OF EXISTINGPRODUCERS OR PROJECTS*

Eni (Italy), Global Bioenergies(France), Neste (theNetherlands), PREEM (Sweden),
Repsol (Spain), Total (France)

BIOREFINING

Lipid hydrotreatment

Biorefineries transform biomass into a wide spectrum of products and energy carriers.
In biorefineries producing ethanol, sugars are fermented. Such alcohol can be further
converted into drop-in jet fuels. BioLPG is a by-product of this process.

7%

Demonstration/pilot
phaseTransesterification

Most bioLPG today is produced as a co-product of the hydrogenated vegetable oil (HVO) process,where vegetable oils are treated with hydrogen to produce renewable diesel or aviation fuel.

70%

Commercial phase

Hulteberg (Sweden)

Fermentation

FAME biodiesel and glycerine can be produced through transesterification of oils. Glycerine
can be used as a feedstock and reacted with hydrogen to yield bioLPG and water.

100%

Pilot phase

Byogy (USA), Gevo (USA), UOP(USA), Vertimass (USA)

Demonstration phase

BTG (the Netherlands),
Gas Technology Institute(India), UPM (Sweden)

Commercial/demonstration
phase

BioTFuel project byTotal (France),
Cadent (UK),
Enerkem (the Netherlands),
Fulcrum (USA),Red Rock (USA)Research& development
phase

Alkcon (USA),
PlasMerica (USA)Research& development
phase[Nordic Blue Crude (Norway),
Sunfire (Germany), Synhelion(Switzerland), Repsol (Spain)]

Pilot/demonstration
phase

Carbon Recycling
International (CRI) (Iceland)

PYROLYSIS
Pyrolysis is a process of thermal decomposition in the absence of oxygen. In fast pyrolysis, biomass
rapidly decomposes to generate vapours, aerosols, gases, including bioLPG, and some charcoal.
At the next step, after cooling and collection, a dark brown mobile liquid is formed, pyrolysis oil.
Through catalysis cracking, it can be transformed into bioLPG.

5%

Gasification is a complete thermal breakdown of the biomass particles into syngas, volatiles andash in an enclosed reactor (gasifier) in the presence of any externally supplied oxidizing agent(air, O2, H2O, CO2, etc.). Syngas through methanation is transformed to SNG, which can be futhersynthesised to bioLPG.

20%

GASIFICATION

Thermal gasification of biomass(followed by methanation)

Fischer-Tropsch (FT) synthesis ofsyngas followed by hydrocracking

Alternatively, syngas goes through a cleaning stage to remove impurities before the gas can be usedin Fischer-Tropsch (FT) synthesis. The FT process means producing liquid fuels from syngas using
catalysts. The intermediate product is a solid mixture of hydrocarbons, known as FT wax. It then goes
through a process of catalytic cracking to produce drop-in fuels such as petrol, diesel and jet fuel, as
well as LPG.

5%

Methanol synthesis from syngas

Syngas can be also synthesised to methanol. In the next step, methanol can be used to produce
gasoline. BioLPG would be a co-product in significant quantities of this process.

8%

Anaerobic digestion is a fermentation process, which takes place in a closed airtight digester whereorganic raw materials such as manure, food waste, sewage sludge and organic industrial waste areconverted into biogas and digestate as products.

90%

Power-to-x is a technology that converts captured CO2 and hydrogen made from water by electrolysis
using renewable electricity into gas or, after further synthesis, fuel. Both syngas and synthetic methane
can be further synthesised to renewable LPG.

10%

Renewable LPG would also be a co-product of Fischer-Tropsch synthesis of syngas for synthetic
fuels (e-fuels).

10%Synthetic methanol can be produced using hydrogen made with renewable electricity and captured
CO2. Further it can be used as a feedstock to produce gasoline and bioLPG as a co-product.

10%

ANAEROBIC DIGESTION
Oligimerisation of biogas

POWER-TO-X

Methanation of CO2 byelectrolytically obtained hydrogen

FT synthesis of syngas
Methanol synthesis from syngas

15*Process Technologies and Projects for BioLPG (2018) E. Johnson

16THE EUROPEAN

BIOLPG MARKET
IN 2050
Potential future
demand for LPG
In the next 30 years, the non-chemical
European LPG demand* will decline by
25-50% from today’s some 16 million
tonnes. This drop can be explainedby overall trends in European energy
demand leading to 2050:• Final energy consumption will decline
by around one-third• Electrification will rise almost as
sharply, mainly displacing liquid fuels intransport and space heating and cooling• Gaseous fuels’ consumption will decline,
but not as sharply as liquids• Solid fuels will mostly disappear

A 2050 pathway
to bioLPG
The future demand, which should equal
to 8-12 million tonnes of LPG, can be met
entirely by bioLPG produced in Europe fromthe following sources*:• Nearly 9 million tonnes can come frombiorefining, pyrolysis, gasification andpower-to-x technologies (operated byrefiners)• Another 3.5 million tonnes can comefrom the conversion of biogas• In case one of the above options fails,
there are alternatives such as bioLPG
supplied by power-to-x plants operated

17*Still including the UK

This forecast does not consider the
possibility of LPG displacing competing
fuels, thereby gaining market share.
However, the European Commission
projects heating oil and coal demand inbuilding heating to decline by about 70%
from 2020 to 2030. Further decarbonisationof rural commercial and industrial heatingneeds could be achieved with LPG.
One can imagine that in the short tomedium term, LPG could displace heating
oil and coal in off-grid homes, businesses,
and industries, due to its lower carbon
footprint and lower air pollutant emissions.
But for consumers to be able to accept andparticipate in the further energy transition,
they need to have access to renewableenergy sources at an affordable price.

by the gas industry, from glycerine-topropane and alcohol-to-jet pathways(not mentioned in the analysed reports)
or imports
In the short to medium term, bioLPG
volumes are expected to come mainly fromthe biorefining of lipids, biogas conversion
and gasification of biomass. Power-to-x
technology is expected by the European
Commission to start penetrating theEuropean market only after 2030. Thismeans that to ensure the right level of
bioLPG supply by 2050, the LPG industry
needs all available technologies producing
sustainable renewable gaseous and liquid
fuels to succeed.

12

3 , 962
10

K T/ Y E A R

Based on existing, authoritative scenarios and forecasts,
Atlantic Consulting for Liquid Gas Europe concludes that theEuropean LPG market can become 100% renewable by 2050.

148BIOLPG A RENEWABLE PATHWAY TOWARDS 2050

European 2050 supply of bioLPG (by process)

3 ,175

6

3,258

4

2

2 , 5010
BIOREFINING(LIPIDS)G A S I F I C AT I O N ,PY R O LYS I S

LOW L P G D E M A N D

P OW E R -TO -X(O P E R AT E D BY
REFINERS)BIOGAS
CO N V E R S I O N

HIGH LPG DEMAND

Biorefining (lipids)
Already commercialised today, processing of natural lipids will be a source ofaround 2.5 million tonnes of bioLPG in 2050

Gasification, pyrolysis
Gasification with Fischer-Tropsch and pyrolysis of biomass routes can bring some3 million tonnes of bioLPG to the market

Power-to-x (operated by refiners)
Conversion of captured CO2 and green hydrogen can be integrated into European
refineries to produce more than 3 million tonnes of bioLPG

Anaerobic digestion (biogas conversion)
Even 3.5 million tonnes of bioLPG can come from biogas conversion at a 90%
yield. These volumes will depend on the actual biogas production levels*The analysis shows that there should be sufficient feedstocks (biomass and renewable electricity)
available for the pathway to be realised. Feedstocks are not double counted

18

POLICYRECOMMENDATIONSBioLPG must be recognised within
European policy frameworks and regulations....................................................................
A holistic view is particularly important.
The European policymakers are missing an
opportunity to support the alternative lowcarbon renewable gas solution in transportand for homes, buildings and processes,
especially in off the gas grid areas. To
encourage decarbonisation of the energy mix
used by cars and in rural homes, businesses
and industries, the legislation needs toexplicitly recognise bioLPG. To fully benefit
from the lower carbon footprint of bioLPG,
a Well-To-Wheel (WTW) should be the basis• The revised Renewable Energy Directive
should include a clear definition of bioLPG,
the list of default energy content should be
extended to various types of bioLPG (Annex
III) and default GHG emission savings comingfrom bioLPG production pathways should berecognised in Annex V• If bioLPG is injected together withbiomethane to meet the calorific value
required for the gas network, it shouldbe eligible for any incentives offered tobiomethane in such cases

to assess car emissions and energy efficiency.

European and national
policies should provide
incentives for low-carbon
liquid fuel and renewable
gas producers to produce
and valorise bioLPG....................................................................
BioLPG production is an exciting
opportunity for the EU and regions
which specialise in developing circular
economy solutions. Any new production
facilities, utilising sustainable local

European and national policies should offer
incentives for consumers to switch to LPG
in the short-term and bioLPG in the future
Decarbonising off-grid homes, businesses
and industries, as well as the passenger
car park with LPG and through the gradualintroduction of bioLPG is the best chanceof reaching climate-neutrality costeffectively. Without having to resort toexpensive upgrading or future retrofitting of
the heating systems the European rural areas
can lock-into lower CO2 emissions. BioLPG
fully complements existing alternative fuelinfrastructure, not only for new car sales, butalso serve to decarbonise and improve the air
quality from the existing fleet.
• The Renovation Wave initiative should
encourage providing European and national
incentives for consumers to switch fromhigh carbon fuels (such as coal or heating oil)to LPG and bioLPG in the future

19

feedstock’s, will create new jobs for the
local area, contributing to economic
growth and ultimately creating therenewable energy needed to reach theclimate-neutrality ambition.

• The upcoming review of the Energy Taxation
Directive should continue allowing Member
States to exempt from energy and CO2
taxation LPG and bioLPG• European and national R&D funding
should be made available for low TRL
processes to obtain bioLPG throughHorizon Europe or the LIFE programme• The Commission should carefully consider
the impact of any new proposals have on lowincome households in rural areas, which might
be disproportionately affected by policies
encouraging expensive retrofits• The bioLPG production should besubsidised to allow various technologies
to mature• The revision of the Alternative Fuels
Infrastructure Directive should maintain thecurrent definition of “alternative fuels”, someof which can easily penetrate the market andare compatible with the internal combustion
engine (ICE) technologies• Renewable and low-carbon fuelproducers should be incentivised tocapture or directly produce bioLPG• Generate more research, development
and deployment funding for transportmodes and alternative fuels if their climate
targets become more ambitious

20

LPG industry’s

PledgeBIO
LPG

Liquid Gas Europe pledges to transition
to 100% renewable bioLPG by 2050.
In recent years, the LPG industry has
succeeded in commercialising and scaling
bioLPG distribution. The industry delivers
a new renewable energy source througha readily available, well-established andaffordable supply chain to energy-users
who are not connected to the gas grid.
Nevertheless, rural consumers’ choice of flexible andaffordable energy sources is still limited. The reality ofrural private and non-domestic properties is that they
are often old or historic buildings that are difficult totreat and hard-to-decarbonise. There is no one size fits
all solution to provide sufficient warmth at an affordable
price, avoid expensive retrofitting and keep the visual
integrity of a property.
Liquid Gas Europe advocates a mixed technology
approach to the transport sector and heating
technologies in off-grid homes, businesses andindustries. It is the most effective approach to reduce
their carbon and air pollutant emissions today and in
the future with bioLPG.
Today Autogas is the number one alternative fuelin the EU, counting 8 million vehicles and 35,000
fueling stations. Further, converting existing vehicles
to Autogas is affordable for the consumer, and a costeffective solution to accelerate road transport emissions
reduction efforts from today’s car park. All these efforts
are a perfect basis for the segment to increase theuptake of bioLPG.

21....................................................................

To further grow the
bioLPG market, thepolicymakers’ actions
alone are not sufficient.

....................................................................
It is the industry’s ambition to continue
advancing both bioLPG uptake andproduction by:• Advising consumers and businesseson the possibility and advantages ofswitching to LPG in the short-term andbioLPG in the future• Educating stakeholders andpolicymakers about bioLPG
and its potential• Approaching investors on possible
projects producing bioLPG• Considering investing in the
production of bioLPG• Joining consortia applying for
EU funding of research projects• Sponsoring industry-funded PhD,
collaborating with research labs oroffering research grants to look into
new technology pathways for bioLPG

22

ANNEX: TECHNOLOGIESAND PROCESSES FOR THE
BIOLPG PRODUCTION

Pyrolysis to biofuels/biogases

HVO - Hydrogenated Vegetable Oil

LIGHT FRACTION(WITH LPG)

CLEANING
DISTILL ATIONH VO
B I O P R O PA N E

PYROLYSISOILOV E R H E A D S
D E D I C AT E D
H Y D R O T R E AT E R

BIO-OIL

H VO B I O D I E S E L

BIOMASSTO FUEL GASOR TO MARKET

SUBSTITUTE FORHEAVY FUEL OIL
FLUID CAT
CRACKERGASOLINE
LPG

Grinding
DryingBIO-ASPHALTPY R O LYS E R
6 0 0 - 9 0 0 OC
N O OX YG E N

TO MARKETH VO
B I O P R O PA N E
CHARDIESEL+
BIO-OIL
< 3 0 % VO LU M E

MODIFIEDH Y D R O T R E AT E R

FOSSIL DIESEL+H VO B I O D I E S E L

To oil conditioning‘bio-char’

Biogas to LPG

Gasification to biofuels/biogases

AIR

COMBUSTION FORHEAT AND/OR POWERAIRS E PA R AT I O NUNIT

OX YG E N

H2

FISCHERTROPSCHSTEAM

FT WAXES
C 3 -C 12

DIESELGASOLINE
JET LPG

HYDRO
TREATMENTDIGESTER
3 5 - 4 0 OC
N O OX YG E NBIOMASSWET

BIOGAS
50% CO2
50%CH4

OLIGOMERISATIONLPG AND HIGHERHYDROCARBONSGASCONDITIONING

BIOMETHANED I G E S TAT EBIOMASSWA S T E
M U N I C I PA L
OR
INDUSTRAL

Grinding
Torrefaction
Sorting
ShreddingDryingGASIFIER
6 0 0 - 9 0 0 OC

S L AGSYNGAS
H2 & COGASCONDITIONING

MeOH/DME
R E AC T O R

C O N TA M I N A N T S
PLASMA ORC ATA LYS I S

23METHANOLDMEMETHANEETHANEPROPANEGASOLINE
REACTORGASOLINE
LPG

TO S O I L
CONDITIONING

Natural
WA S T E
L A N D F I L L Digestion

BIOGAS
COLLECTOR

NATU R AL
GAS G RIDC O N TA M I N A N T S

24

Power-to-X

LOW- C A R B O N
P OW E R

WAT E RE L E C T R O LYS E R

LOW- C A R B O N
P OW E R

FLUE GAS

CO 2 A B S O R B E R

CO 2

SYNGASG E N E R ATO R

HYDROGENOX YG E N

TO T H E G A S
GRID OR H2/
GAS GRIDTO B I O M A S SGASIFIER

S TO R AG E

SYNGAS
H 2 & COSYNGASG E N E R ATO R

DIESELGASOLINE JET
LPG

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