Govt revisits studies on corn as bioethanol fuel

AS FAR as I can remember, I have been writing decades ago about government studies of corn as bioethanol fuel feedstock, whenever there is a fuel crisis. After that, the studies gather dusts.

Now that we are again facing fuel shortage because of the Iran war with (US-backed) Israel, we are revisiting such studies– with a view of finally adopting and scaling their application this time. But let’s see how far this goes.

The Philippines has extensively studied and is currently re-evaluating the use of corn as a bioethanol fuel feedstock.

The push for corn as a fuel source involves several key initiatives and debates.

Currently, the Philippine Council for Agriculture and Fisheries (PCAF) and the Department of Agriculture (DA) are studying amendments to Joint Administrative Order No. 2008-1. The goal is to lift restrictions and officially add corn alongside sugarcane and molasses as approved feedstocks for bioethanol production.

Surging global oil prices have prompted the government to look for ways to reduce pump prices. The Department of Energy estimates that increasing the nationwide fuel blend to E20 (20% bioethanol and 80% gasoline) could reduce pump prices by about P5 per liter.

The livestock and poultry sectors (like the United Broiler Raisers Association) strongly caution against this move. They argue that with the Philippines currently meeting only about 62.7% of its yellow corn requirements, diverting local corn to fuel could severely impact the supply available for animal feeds and drive up meat prices. 

Beyond using corn kernels, local research—such as studies from the University of the Philippines Los Baños (UPLB) and Philipping Rice Research Institute—had looked into using excess wet-season corn and corn stalks/waste to extract ethanol without competing with human food sources.

The proposed amendments still require final approval from the National Biofuels Board to move forward.

The PCAF is weighing a proposal to allow corn as feedstock for bioethanol, a move seen to lower fuel prices and provide farmers with an alternative income source during lean seasons, reported the Inquirer.

The PCAF said the National Sectoral Committees on Corn and on Livestock and Poultry had recently met to discuss amendments to a joint order allowing corn as one of the approved feedstocks for bioethanol production.

DA Assistant Secretary U-Nichols Manalo said, “We all know we are facing a fuel crisis, which is why we are again discussing the biofuel program.”

“We are holding this consultation to gather your inputs and address your anxieties because, then again, the elephant in the room is the food-versus-fuel debate,” he added.

A UPLB study proposed the use of excess yellow corn in ethanol production, particularly during the wet season, when drying facilities are limited and farm-gate prices decrease.

The Department of Energy noted that raising blend levels, such as E20 (20 percent bioethanol and 80 percent gasoline), could reduce pump prices by about P5 per liter compared with the current E10 blend.

However, some industry groups, including the United Broiler Raisers Association, cautioned that diverting local corn to fuel production could force meat producers to depend more on imported feed ingredients.

Groups also said the hog industry is still recovering from African swine fever (ASF). The Philippines recorded its first ASF outbreak in 2019.

Representatives from the livestock and poultry sectors said domestic output meets only 62.7 percent of its yellow corn requirements, with the crop comprising roughly half of animal feed formulations.

The Philippine Association of Feed Millers Inc. expressed its openness to incorporating Distillers Dried Grains with Solubles (DDGS), a nutrient-dense byproduct of corn ethanol production, into animal feed mixes to help offset supply pressures, Inquirer added.

Livestock groups claimed that DDGS would not fully compensate for a reduction in the direct corn supply.

The proposal is subject to approval by the National Biofuels Board, a government body responsible for monitoring the implementation of the country’s biofuel program.