B plan for making power alcohol


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B plan for making power alcohol

  2. 2.  "I never perfected an invention that I did not thinkabout in terms of the service it might give others... Ifind out what the world needs, then I proceed toinvent."- Thomas Edison
  3. 3. Central idea The main objective of our business is to produce bio-ethanol from sugar industry wastes like bagasseand molasses. Bioethanol can easily substitute petrol or bemixed with it as vehicle fuel without any or littlemodification This idea can effectively reduce fuel prices andrevolutionize transportation.
  4. 4. Our objectives the major goal of our company is to make high qualitybioethanol from sugar industry waste product likebagasse and molasses. To set up manufacturing plant. to sell and popularize cheap bioethanol as a fuelsubstituent for normal diesel to export bio-ethanol to high demand markets likeUS,Canada,Europe ect
  5. 5. Secondary objectives To generate employment for poor unskilledpopulation. To manufacture an ecofriendly sustainable agroproduct. To maximize the potential of the agro trade inIndia
  6. 6. Background of Indian sugarindustry India is the largest consumer and second largestproducer of sugar in the world. The Indian sugar industry is the second largest agro-industry located in the rural India. . About 50 million sugarcane farmers and a largenumber of agricultural laborers are involved insugarcane cultivation and ancillary activities,constituting 7.5% of the rural population Besides, the industry provides employment to about2 million skilled/semi skilled workers and othersmostly from the rural areas
  7. 7. Why sugarcane? Sugar cane has one of the most efficientphotosynthetic mechanisms, among commercialcrops; this allows it to fix almost 2 - 3 percent ofradiant solar energy and transform it into greenbiomass. This high photosynthetic capability also allows it toshow a high coefficient of CO2 fixation, comparableto the moderate climate zone woods. Thiscontributes to the decrease of the greenhouseeffect.
  8. 8. What is bagasse? Bagasse obtained as a by-product of sugar caneprocessing, is composed of fiber, pith, non-soluble solids and waste. Every year, more than 200 million tonnes ofbagasse are obtained together with sugar, in allcane producing countries
  9. 9. What is molasses? Molasses is the final effluent obtained in thepreparation of sugar by repeated crystallization.Molasses still contains some quantity of sugar, but thissugar cannot be extracted by usual technology. Sucrose and invert sugars constitute a majorportion (40 to 60%) of Molasses
  10. 10. What is bio-ethanol ? Ethanol may be a generic name for Ethyl Alcohol thatmay be a product of sugarcane molasses and juice,ready by fermentation and distillation processes. When blended, as an additive with fuel formotorized vehicles, its referred to as Motor FuelGrade Alcohol or Power Alcohol Up to 15% mixture no modifications are neededwithin the engines.
  11. 11. Basic Procedure to make bio-ethanol1. Add the bagasse/molasses /sugar sol to barrel.2. Mash the mixture after adding water3. Add yeast to the barrel4. Ferment the mixture for 7-10 days5. Distill the mixture.6. Filter the mixture.7. Dehydrate the mixture.8. Add gasoline (petrol) to the ethanol (optional).
  12. 12. Cheap raw materials:literallyfree!! The molasses prices that used to rule around 200 perton during the yearly niceties shot up to Rs.1400 perton as a result of decontrol crop in 1996, the pricescame down to Rs .400 level. However the present prices of molasses are onlyaround Rs 800-1000 per tonne!!.
  13. 13. What are flexi fuel vehicles? A flexible-fuel vehicle (FFV) or dual-fuel vehicle ) isan vehicle with an internal combustionengine designed to run on more than one fuel,usually petrol blended with ethanol , and both fuelsare stored in the same common tank. Today almost 27.1 million FFVs are used in the world Brazil(16.3 million), U.S.A(10 million),Canada(more than 600,000) and Europe, led by Sweden(228,522).
  14. 14. Some Common FFVsFord fiestaHonda cityFiat puntoHonda civic MitsubishipajeroToyota corollaToyota etios
  15. 15. Technical feasibility as fuel Automakers spend an only estimated $100 or Rs 5500to make a vehicle E85-ethanol capable!!!! Flexible fuel vehicles (FFVs) are engineered to run onblends of gasoline and ethanol in any percentage upto 85 percent. E85 is 85 percent ethanol and 15percent gasoline. Almost all international manufacturers make FFVs-Audi,Honda,ford,Toyota,Volvo …..ect According to the National Ethanol Vehicle Coalition,approximately 10 million vehicles have been soldin the United States
  16. 16. Market potential(success stories) Brazil is the largest sugar manufacturer in theworld accounting for 25% of total world production.Half of the sugarcane produced is used to produceethanol. In Brazil, $14.6bn of investment is being ploughedinto the industry in the next five years in the bid tocreate a reliable supply chain that will enable thecountry to triple its exports of biofuels in the nextten years.
  17. 17.  Growing consumption in Japan, Europe and the US isset to make the commodity Brazils top export inless than a decade, overtaking soya by 2017. Lastyear, the industry was worth $6bn to the Brazilianeconomy. The figure is set to quadruple by 2015. Exports currently account for about 15% of totalproduction, with 80% used to fuel Brazilian flex-fuel vehicles capable of running on alcohol andgasoline.
  18. 18. Initial investment required To set up a small bio-ethanol an investment of only10 lakhs is enough. Major equipment is EFuel 100 MicroFueler It has a 250 gallon tank and produces up to 35gallons per week. It will cost approximately $10,000 or Rs 5.5 lakhs The fuel can be used in vehicles that are designed forethanol use, such as flex-fuel vehicles, or when mixedwith 90 percent gasoline (petrol).
  19. 19. E fuel 100 microfueler A bio ethanol pump
  20. 20. Economic considerations The direct employment potential is likely to be atleast 50 times that of a Petroleum refinery. A 6 billion liters ethanol production, could save anestimated around US$1 billion in foreign exchangein diesel / petrol equivalent. This in turn would provide an additional income peryear to the tune of Rs 6500 Crore at an average priceof Rs. 650 per tonne.
  21. 21.  Petrol consumption in India during 2006-07 is9,295,000 MT and only 0.64% of petrol is replacedwith Ethanol.Present ethanol demand and supply in india
  22. 22. Marketing strategy Major beneficiaries of our business will be carmanufacturers. Car sales are majorly affected by rise and fall of fuelprices so cheaper fuel means more car sales Car companies will recommend buyers to use bio-ethanol Since most petrol cars can be easily modified to FFVsso consumers will naturally prefer it Component manufacturers,mechanics,dealersmay be roped in to promote the fuel.
  23. 23. Weakness or Barriers of entry India still dependent on Traditional Distillationprocedures of C6 & C12 Indian Sugar Cycles and Global prices have not enabledEthanol to be traded freely. Infrastructure for Domestic Storage, Transport,Handling and at Ports for export yet to be developedalike Thailand as a Consortium. Opposition from Chemical and Potable alcoholmanufacturers to compete for feedstock and pricing. No Political and Public support almost non existentInspite of $135 crude pricing.
  24. 24. Overall advantages We can provide a cheap alternative to petrol Create jobs for people of rural India Provide a eco friendly solution to vehicle population Provide a boost to Indian agro industry We may Solve our fuel import problems Produce export quality fuel at minimum prices.
  25. 25. Thank You