DaimlerChrysler, Renault, Royal Dutch/Shell, Sasol Chevron and Volkswagen have formed an alliance to study the role of synthetic fuels in reducing the environmental impact of motor vehicles. The consortium will demonstrate the benefits of synthetic fuels using trials and promote public awareness.
Go deeper with GlobalData
Synthetic fuels are a new generation of near zero sulphur and aromatics transport fuels made with the Fischer Tropsch process from natural gas (GTL), coal (CTL) or biomass (BTL). Of the three processes, GTL is the most commercially advanced, according to the alliance. A number of plants are being built or planned and product availability will increase from 2006 onwards. BTL needs further R&D investment but has the potential to use domestic resources in Europe.
Greenhouse gas emissions associated with synthetic fuels derived from natural gas are comparable with transport fuels made from crude oil, while those produced from biomass can contribute to greenhouse gas reduction of up to 90%. As synthetic fuels can be used neat or blended in existing diesel engines, distribution and refueling infrastructure, they are the most cost effective solution to reducing petroleum dependency. Synthetic fuels can provide significant local air quality improvement by reducing tailpipe emissions (particulate matter, nitrogen oxides, carbon monoxide and hydrocarbons).
