South Korea spent 8 million USD to turn Can Tho straw into bio-oil

Talk to VnExpressMr. Hyun Dong-Hoon, Chairman of SEP Group and a professor at Korea University of Technology, said that many Korean businesses are and are about to deploy green technology projects in Vietnam.

Sharing on the sidelines of the carbon neutral technology development cooperation workshop on January 16, Mr. Huyn mentioned that the project to produce biodiesel (biodiesel) from rice straw is being piloted in Can Tho. The event is hosted by the Center for Science and Technology Enterprise Development, Department of Startups and Technology Enterprises.

With the above project, Korean businesses have technology but lack raw materials. Meanwhile, straw resources are abundant in Mekong Delta provinces such as Can Tho and An Giang.

According to statistics from the Ministry of Agriculture and Environment, Vietnam’s agricultural by-products each year reach more than 156 million tons, including straw, rice husks, bagasse… However, the recycling and reuse rate is only 10-35%. With straw alone, reuse is still low because the fields are scattered and the collection rate is less than 30%.

“We are working very closely with the Department of Agriculture as well as the Departments of Industry and Trade of Can Tho, An Giang and other provinces in the Mekong Delta on straw source data,” Professor Hyun said. He added that they have established a joint venture with Gia Dinh Group from Vietnam. The parties are negotiating about collecting raw materials to serve production.

According to calculations, a growing area of ​​144 km2 can produce 17,400 tons of biodiesel per year. This output helps reduce 51,000 tons of CO2 emissions into the environment, thanks to the corresponding clean energy conversion in transportation and production, and the amount of greenhouse gases reduced by preventing straw burning.

The above project has an expected investment capital of 12 billion won, equivalent to more than 8 million USD, supported by the Korean government. Mr. Huyn said they plan to complete the experimental report to submit to the governments of the two countries in the middle of this year, proceeding to produce sample products. After testing and product approval, they expect to be able to deploy the production plant early next year.

To facilitate green fuel, the Korean side recommends that Vietnam soon have a policy regulating the rate of green fuel use in transportation and production. This rate in Korea is at 5%, and has a gradual increase roadmap. Besides finished biodiesel products, they plan to sell carbon credits in Vietnam, in the context that the Vietnam carbon exchange will operate on a pilot basis this year.

In addition to the above project, they are also piloting electricity-saving technology by cooling down the air conditioner condenser, aiming to reduce electricity costs, while supporting a carbon-neutral building.

Mr. Ta Dinh Thi, Deputy Chairman of the National Assembly’s Science, Technology and Environment Committee, said Vietnam has high demand for green technology, abundant biomass raw materials and a rapidly growing market. Meanwhile, Korea has strengths in technology, management, and high-quality investment capital. The two sides can cooperate comprehensively from research, testing, technology transfer to commercialization of green products.

To realize this potential, Mr. Thi proposed researching the establishment of a joint working group on carbon neutral technology, promoting green technology human resource training, exchanging experts, and implementing pilot projects in suitable localities in Vietnam.