Renewable resources in the chemical industry--breaking away from oil?
Rising prices for fossil-based raw materials suggest that sooner or later renewable raw materials will, in principle, become economically viable. This paper examines this widespread paradigm. Price linkages like those seen for decades particularly in connection with petrochemical raw materials are now increasingly affecting renewable raw materials. The main driving force is the competing utilisation as an energy source because both fossil-based and renewable raw materials are used primarily for heat, electrical power and mobility. As a result, prices are determined by energy utilisation. Simple observations show how prices for renewable carbon sources are becoming linked to the crude oil price. Whether the application calls for sugar, starch, virgin oils or lignocellulose, the price for the raw material rises with the oil price. Consequently, expectations regarding price trends for fossil-based energy sources can also be utilised for the valuation of alternative processes. However, this seriously calls into question the assumption that a rising crude oil price will favour the economic viability of alternative products and processes based on renewable raw materials. Conversely, it follows that these products and processes must demonstrate economic viability today. Especially in connection with new approaches in white biotechnology, it is evident that, under realistic assumptions, particularly in terms of achievable yields and the optimisation potential of the underlying processes, the route to utilisation is economically viable. This makes the paradigm mentioned at the outset at least very questionable.
Nordhoff
Stefan
S
Evonik Degussa GmbH, Creavis Technologies and Innovation, Marl, Germany. stefan.nordhoff@evonik.com
Höcker
Hans
H
Gebhardt
Henrike
H
D001709:Biotechnology / Q000191:economics* / Q000706:statistics & numerical data / Q000639:trends; D002617:Chemical Industry / Q000191:economics* / Q000706:statistics & numerical data / Q000639:trends; D003246:Conservation of Energy Resources / Q000191:economics* / Q000706:statistics & numerical data / Q000639:trends; D004736:Energy-Generating Resources / Q000191:economics* / Q000706:statistics & numerical data; D005579:Fossil Fuels / Q000191:economics / Q000706:statistics & numerical data; D005858:Germany
D005579:Fossil Fuels