SEKAB Biofuels & Chemicals AB
SEKAB B&C
SEKAB erbjuder hållbara produkter och lösningar till industriella kunder genom att: - producera och distribuera kemikalier och biodrivmedel - utveckla och sälja teknologi för förädling av biomassa till kemikalier och biodrivmedel
ID: 894343328347-20
Lobbying Activity
Response to Sustainable Products Initiative
1 Jun 2022
Sekab, a leading producer of bio-based chemicals, welcomes the European Commission’s Sustainable Products Initiative and its ambition to reduce the negative life cycle environmental impacts of products through an updated Eco-Design Directive.
We are, however, concerned about the proposal to use the Product Environmental Footprint (PEF) methodology in the proposal under the eco-design requirements. The PEF method does not take an approach that recognises the sequestration of biogenic carbon during growth and thus give a carbon credit to producers of bioproducts, as opposed to fossil-based ones. This puts bioproducts at a comparative disadvantage to fossil products and disincentivizes both the use of biproducts and recycled products, indirectly promoting fossil products.
As an alternative Sekab proposes that full life cycle analyses, such as those provided by ISO 14065 and EN 15804, be added to the legislation to take carbon sequestration into account. Through this ‘Lifecycle Assessment’-approach, carbon credits would be given in the production phase of the product, reflecting the actual emissions of bioproducts. This would create a level-playing field of the bio-based sector vis-à-vis the fossil industry.
Please find our detailed recommendations attached.
Read full responseResponse to Updating the EU Emissions Trading System
15 Oct 2021
SEKAB position on
THE PROPOSAL FOR A REVISED EMISSIONS TRADING SYSTEM
Introduction
SEKAB, a key player in the European bio-ethanol industry, welcomes the proposed revision of the Emissions Trading System (ETS) as a part of the Fit-for-55 legislative package. The ETS is one of the most effective tools in the Comission’s arsenal to achieve the goals of the EU Climate Law.
We welcome the extension of the mechanism to put a price on carbon in the road transport, aviation and maritime sectors, which should disencentivise the use of fossil fuels among traditionally high emitters.
SEKAB welcomes the fact that all zero-rated fuels must now be certified sustainable
Under the current ETS system, the emission factor of biomass is zero. This is reflective of the net zero emissions from biomass and derived fuels such as bioethanol. Under the proposed review of the system, however, the zero factor-rating is dependent on fuel source meeting all of the the sustainability criteria under the Renewable Energy Directive (RED II) and its Implementing Regulations.
Sekab produces a range of sustainable alternatives to fossil fuels, all of which are compliant with RED II and its associated secondary legislation. We are therefore pleased that the fuels we produce will continue to be categorised as zero-rated under the updated Directive. Sustainable bioethanol removes carbon dioxide from the atmosphere and stores it in soils, and plants. When managed and harvested in a sustainable way, biofuels reduces fossil fuel emissions by directly displacing oil, coal and natural gas use while being carbon neutral. While the biogenic carbon cycle is recognized by IPCC and global climate experts and was the basis of biomass zero-rating in the previous ETS Directive, clearly these feedstocks must be produced sustainably, and so we welcome the Commission’s proposal.
The Commission defines advanced biofuels using Article IX of RED II
SEKAB notes that in the Commission’s Staff Working Document, Commission officials continued to define ‘advanced biofuels’ as those made from waste residues under Annex IX of RED II. Supporting the development of these fuels is clearly a key focus for the Commission, given that through extending the scope of the ETS Directive to the maritime shipping and aviation sectors, the Commission hopes that fossil-based fuels will be replaced by advanced, sustainable biofuels, such as those SEKAB is hoping to invest in.
However, the revised ETS Directive comes just as the Commission consults on Annex IV of the Implementing Regulation on rules to verify sustainability and greenhouse gas emissions saving criteria and low indirect land-use change-risk criteria . Annex IV of the regulation lists the feedstocks which can be considered as residue to produce advanced biofuels under RED II. While Annex IX of RED II listed an extensive scope of residues, Annex IV of the regulation considerably restricts the scope of products that can be considered as “waste or residue” under RED II.
Specifically, Annex IV omits practically the full scope of products listed under point (o), Annex IX, of RED II, including bark, branches, precommercial thinnings, sawdust, black liquor, etc. Only “tall oil” is retained under Annex IV to the Commission’s Implementing Regulation. This will have a catastrophic impact on the development of the advanced biofuel sector, meaning that the Commission’s ambition to begin reducing the consumption of fossil fuels in the maritime shipping and aviation sectors will not be achieved.
Aside from the aviation and shipping sectors, this also presents challenges for governments to support technologies in hard-to-abate sectors such as heavy-duty transport, and for industry, which makes investment decisions over a 15-year horizon. Investment plans for SEKAB alone are forecasted between €500 million – €1 billion. Investments will be frozen unless there is certainty for investors.
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Read full responseResponse to European Bioeconomy Policy: Stocktaking and future developments
30 Aug 2021
Sekab welcomes the opportunity to provide feedback to the European Commission Roadmap “European bioeconomy policy: stocktaking and future developments”. On the one hand, we believe that the Bioeconomy Strategy as a whole and the future progress report have the potential to support an industry that will -, and is already providing solutions to the climate crisis, the preservation of European ecosystems, and the dependency on fossil fuels. On the other hand, the upcoming report represents an unprecedented opportunity to reflect on key aspects of the existing EU Bioeconomy Strategy that could hinder the long-term fundamental contribution of this sector to the achievement of the EU climate and environmental goals.
In particular, we would like to draw the Commission’s attention to the following
(1). The Commission should ensure the effective implementation of action point 1.4 of the EU Bioeconomy Strategy, by developing a clear
regulatory framework for the certification of bio-based products across the EU.
(2). The EU needs to ensure the international competitiveness of the European bioeconomy, including by safeguarding and incentivising the
domestic production of bio-based products and value chains.
(3). A strict interpretation of the cascading use principle is at risk of hampering the production of other bio-based products and value chains that
are instrumental to the achievement of the EU’s climate and environmental goals.
Sekab wishes to thank the European Commission in advance for taking the above points into account in the drafting of the Report and in the future implementation of the EU Bioeconomy Strategy. Sekab’s full response to the Commission Roadmap can be found in the attached document.
Ylwa Alwarsdotter
Executive Vice President Business Development
Sekab BioFuels & Chemicals AB
Read full responseResponse to Detailed implementing rules for the voluntary schemes recognised by the European Commission
12 Jul 2021
Sekab is a Swedish chemical and biofuel company. We have developed technology to convert forest industries residues into advanced fuels and chemicals. We are planning to build a plant producing 100 000 m2 advanced ethanol, 55 000 tons of marine fuel, 5 000 tons of LBG and lignin as bitumen replacement in asphalt. When the plant is up running, we estimate to have the technology ready to produce chemicals from lignin. Our existing chemical plant is using bioethanol as a feed stock. The planned biorefinery will use saw dust and cutter shavings as feed stocks, residues from sawmills. Today we also deliver advanced bioethanol produced as a residue from pulp production. Brown liquor and black liquor are part of the chemical recirculation in pulp production and are a future excellent feed stock for chemicals as well as for advanced fuels.
We see advanced biofuel production as a biorefinery, chemicals and biofuels will be produced in the same unit. All parts of the feed stocks will be used in an efficient and sustainable way. During many years we have worked to develop specialty chemical out of lignocellulosic sugars but have found that we need volumes to achieve better economics hence biofuels is leading the way into specialty chemicals.
Sekab urges the EU Commission to amend the draft 09§implementing regulation “Sustainable biofuels, bioliquids and biomass fuels –voluntary schemes (implementing rules)”. Sekab welcomes the efforts of the draft to implement adequate standards of reliability, transparency, and independent auditing so that certification is done in effective to prevent fraud. However, after years of regulatory uncertainty, there are critical points that need to be addressed to prevent jeopardizing the continued development of the biofuels sector and its contribution to the EU’s climate ambition.
We want to stress the;
• Inconsistency between the REDII and the draft implementing regulation - Annex IV:
The REDII clearly sets out the feedstocks eligible for the production of advanced biofuels in Annex IX, Part A. It furthermore states that the Commission has the authority to amend the feedstock list by adding to it, but not remove from it (Whereas: 126). Annex IV of the draft implementation regulation states that economic operators and auditors must use the list set out in this Annex which is based on a revised version of that in the REDII. However, except for crude tall oil, all wastes and residues from forestry and forest based industries are excluded specifically point (o) Biomass fraction of wastes and residues from forestry and forest-based industries, namely, bark, branches, precommercial thinning’s, leaves, needles, tree tops, saw dust, cutter shavings, black liquor, brown liquor, fibre sludge, lignin and tall oil;
To ensure current investments are not undermined, point (o) must be added to Annex IV.
Investments in new technologies are around 500-1000 Million Euros and can not take place if there are uncertainty regarding sustainability and CO2 reduction calculations.
• Audit Process and Level of Assurance in Article 10
The draft implementation act classifies non-conformities in the categories of minor, major, and critical. It proposed that if a major non-conformity is given during an audit, the certificate is immediately suspended. This causes significant and unbearable risk for operators, as it would mean no supplies or deliveries could be made before the non-conformity is corrected. If the certificate is active at the time the non-conformity is detected, it should not impact the operations unless the non-conformity is not corrected by the deadline.
Read full responseMeeting with Antoine Colombani (Cabinet of Executive Vice-President Frans Timmermans), Daniel Mes (Cabinet of Executive Vice-President Frans Timmermans) and 2030 sekretariatet
29 Mar 2021 · Taxonomy
7 Mar 2019
SEKAB Biofuels & Chemicals produces Biobased Chemicals and Biofuels. We are situated in North Sweden.
We are a supplying high blended biofuels in the market, ED95 for adapted heavy engines. Scania has launched engines for trucks and buses and due to the energy taxation system in place favouring fossil fuels are we dependent on the current support schemes with tax exemption, to market our product. We are strongly worried about the effects for us and the market from a prolongation of the Energy and Environmental Aid Guidelines (EEAG) until 2022. The limit for support to food and feed based biofuels must also be prolonged to 2022 (from 2020), awaiting long-term conditions for the period after 2022. This concerns points 113 ans 121 in EEAG.
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