The Market Monitor Minding the Nation's Business
By Rose de la Cruz
Despite efforts to discredit the health benefits of coconut oil, the Philippine Coconut Authority (PCA) and Japan-based Manryu Co. Ltd. will continue to explore the use of coconut oil as primary feedstock in the production of sustainable aviation fuel.
A memorandum of understanding (MOU) between the PCA – an attached agency of the Department of Agriculture and Manryu was already signed, marking a “strategic partnership” to explore the production of SAF using coconut oil as the primary feedstock, Business World reported.
“The partnership aims to establish the Philippines as a leader in SAF production, leveraging Manryu’s innovative proprietary Maeda Method for biodiesel and SAF manufacturing, which promises enhanced safety features and cost-efficient production,” the PCA said.
“It optimizes the use of coconut oil, one of the country’s most abundant agricultural resources, in the production of biofuels, thus encouraging environmental sustainability and reducing reliance on traditional fossil fuels.”
The PCA said the agreement would maximize joint research and development between PCA’s Research and Development Branch (RDB) and Manryu, which would center on conducting trials at PCA’s facilities to test the viability of the method in producing SAF.
“The method’s potential to lower production costs while maintaining safety and efficiency is expected to drive the commercialization of SAF in the Philippines, ushering the country as a pioneer in sustainable aviation fuel production in the Asean region.”
Under the MOU, the PCA would provide access to its research facilities and high-quality coconut oil, while Manryu would supply its cutting-edge technology and equipment for SAF and biodiesel production.
It added that both organizations would jointly conduct research, experiments, and testing to refine the process and ensure it meets global standards for aviation fuel.
This would also create employment opportunities, reduce carbon emissions, and open doors for further collaboration with stakeholders in the aviation and energy sectors.
“This venture sets the country as a leader in SAF production, contributing to global efforts to reduce greenhouse gas emissions and combat climate change,” the PCA said.
“As the world looks toward more sustainable energy sources, the PCA and Manryu Co., Ltd. are taking a bold step forward, wielding the power of coconut oil to fuel the skies of tomorrow.”
The partnership, formalized through a memorandum of understanding, aims to leverage Manryu’s innovative Maeda Method for biodiesel and SAF manufacturing.
This method promises enhanced safety features and cost-efficient production, making it a promising avenue for the development of SAF in the Philippines,said Chem Analyst News.
The PCA’s initiative aligns with the Department of Energy’s (DOE) mandate to increase the use of biofuels in the country. The agency has already required all diesel fuel sold in the Philippines to be a 3% blend of coco methyl ester (CME). This requirement will further increase to 4% by October 1, 2025, and to 5 percent a year later.
By partnering with Manryu, the PCA seeks to optimize the use of local coconut oil in the production of biofuels. The agency will provide access to its research facilities and high-quality coconut oil, while Manryu will supply its technology and equipment. Together, they will conduct research, experiments, and testing to refine the process and ensure that the produced SAF meets global aviation fuel standards.
The development of SAF is a crucial step towards reducing greenhouse gas emissions from the aviation industry. By utilizing locally sourced coconut oil, the Philippines can contribute to a more sustainable and environmentally friendly transportation sector.
The Carbon Offsetting and Reduction Scheme for International Aviation is designed to offset carbon emissions and reduce CO2 output from international flights, aiming to mitigate the aviation industry’s impact on climate change.