The country's first ethanol plant is in Leyte

In the country's quest for renewable, environmental friendly fuel, Leyte will always be remembered for being the host of the biggest geothermal fields in the country and 2nd in the whole world.

What is not known by many, is that it is also in Leyte where the first ethanol plant was opened in answer to Biofuels Act of 2006.

In 2008, Leyte Agri Corp (LAC), an affiliate of Philippine Agribusiness Development Corp. (PADC), has opened a P300 million ethanol plant, the first in the Philippines, that produces 20,000 to 27,000 liters of 95 percent ethanol daily.

This was learned from the Department of Energy Visayas Field Office staff who were guests at the recently-held Harampang Ha PIA at Gerry's Grill Tacloban.

Engr. Magdaleno Baclay, Jr., Engr. Felix Timbal and Engr. Gerald Cabizarez, informed that the plant which is situated in Ormoc City, can produce about 300,000 liters of ethanol per month. The production was a far cry from the total Philippine requirement but it was then good news as it signaled that the country is on track to sourcing its bioethanol needs locally.

LAC invested P350 million for the facility with 50M of that going to the distillation equipment. The plant gets its feed stock from sugarcane which is taken from around 56,000 hectares of plantations found in Ormoc City.

With a ready buyer in Petron Corporation and Flying V, LAC went on to a good start. LAC, a holding company owned by Julio Sy Jr., wasn't new to the ethanol business as it had been producing food-grade alcohol since 2001. Its facility produces about eight million liters of alcohol a year.

Petron Corp., the country's largest oil refiner, started the procurement of locally-produced ethanol from Leyte Agri Corp. (LAC). The ethanol would be mixed with their fuel sold at the pumps.

The purchase is consistent with its commitment to promote the use of indigenous alternative fuels. Petron would use the fuel grade ethanol from LAC to blend with its E10 Premium gasoline.

The use of ethanol in gasoline have a positive impact on the environment since it is biodegradable and reduces harmful exhaust emissions.

Petron's E10 Premium is a specially formulated unleaded gasoline that meets and even exceeds the requirements of the Biofuels Act. It contains 10- percent fuel grade ethanol and 90-percent premium unleaded gasoline with enhanced fuel additive. This unique additive allows the removal of existing deposits, which results in improved power and fuel economy.

The Biofuels Act of 2006 mandates a five-percent ethanol blend in gasoline by 2009 and a 10-percent blend by 2011.

LAC has beaten San Carlos Bioenergy in becoming Philippines' first ethanol plant.

Today, San Carlos Bioenergy plant in Negros Occidental is producing 40 million liters of ethanol per year.

The third ethanol plant in the country is La Carlota plant which is also producing the same number of liters of ethanol as that of San Carlos.

source: pia.gov.ph