Owner and Chairman of the Board of Directors of the Finnish energy company St1 Mika Anttonen says that the obstacle to cleaner energy production and an oil-free world is a systemic problem.
The transition to a bioeconomy is not as simple as it is assumed to be. For example, current bio-based fuels will not eliminate oil dependence – as good as they are as products. Anttonen points out that although biorefineries are often marketed as oil refineries, they are not capable of the same level of refining as traditional oil refineries.
"Biofuels still need a huge amount of product development to truly develop them into products that can replace fossil fuels. The development of biorefineries still needs to be rapid in order to improve refining efficiency. This poses a major challenge for all of us bioeconomy players," says Anttonen.
Development investments are needed because, so far, biorefineries are not able to process enough different fractions from their bio-based raw materials to reduce oil use. For example, with current technologies, biorefineries produce very little jet fuel compared to demand.
Anttonen still does not dispute the quality and importance of current, second-generation biofuels.
“They are good products, and the direction is right, but despite them, the fundamental systemic problem remains.”
Currently, biofuels are best suited for cars, so fossil oil-based products are used elsewhere.
"Oil dependence will not disappear, only the uses of oil will change. The gasoline displaced by electric cars would be used in power plants to produce electricity. Not a very smart thing to do."
"Companies have their own agendas, according to which they develop products. The problem is that even though companies do some really good things, they prioritize their own interests and those of their shareholders in their decisions. That's humane and understandable from a business perspective, but it's not the right medicine to eliminate oil dependence."
Directive manufacturing is not enough
Anttonen does not claim to be a world-changer. However, he opposes the idea that the bioeconomy is promoted by automatically implementing EU goals into national legislation. It is difficult to meet emission reduction goals and renewable energy production growth goals.
"The only way to get rid of fossil fuels is through legislation that is more strictly binding on companies, for example. Merely issuing directives will not help."
The EU's snail's pace in defining sustainability criteria for biomass also surprises Antto. The criteria are still not clear. However, sustainability criteria are essential for Finland. At worst, biomass made from wood would no longer be treated as a source of renewable energy.
To store renewable energy
The use of renewable energy is also hampered by the storage challenge. For example, increasing solar and wind power would require a system in Finland that does not yet exist.
"It is already being developed. But since it is a huge investment, no single company would have enough money to implement it. However, renewable energy storage must be developed, otherwise the goals of drastically increasing the use of renewable energy in society are without a realistic basis."
Text: Jaakko Liikanen
Photo: Sampo Korhonen
