Transitioning Towards a Greener Future: The Role of HVO100 in Reducing Transport Emissions
The transport sector faces an urgent need to significantly cut its emissions, while society remains deeply reliant on the seamless functioning of this sector. Daniel Granquist, a fuel expert at Preem, believes in the importance of complementary solutions to electrification that can be utilized in existing vehicles. One of the most notable innovations in this arena is the renewable fuel HVO100, which Preem was the pioneer in producing in Sweden. Since its inception, Preem has broadened its HVO100 product offerings. The new renewable diesel branded as Preem Redefine HVO100 is now available at over 70 stations across the country. This fuel serves as an alternative to conventional diesel, utilized by various sectors from haulage companies to organizations with extensive vehicle fleets.
There is a pervasive misconception that HVO100 might be detrimental to engines or applicable solely to a limited range of vehicles. However, HVO100 is chemically akin to traditional diesel, allowing both new and a vast array of older diesel vehicles to operate on it. If a vehicle's fuel cap mentions 'XTL', it can be refueled with HVO100 without any modifications, allowing for easy toggling between HVO100 and standard diesel.
HVO100 is synthesized from renewable raw materials including vegetable oils, animal fats, and byproducts from the paper pulp industry. The renewable diesel marketed as Preem Redefine HVO100 carries the Swan label, reflecting strict standards, and it is produced at Preem's refinery in Gothenburg. Granquist emphasizes that customers can trust that their fuel does not contain palm oil or related byproducts. This ensures that the product can effectively replace traditional diesel and achieve a reduction in fossil greenhouse gas emissions by over 90%.
The demand for HVO100 has seen a substantial increase, particularly among haulage companies and transportation firms. While HVO100 represents a significant part of the solution for reducing emissions, it is important to note that production capabilities currently cannot replace all existing diesel consumption. However, Granquist is optimistic about the future, stating that as more vehicles transition to electrification and HVO100 production ramps up, the gap between supply and demand will diminish. Preem's goal is to reach around three million cubic meters of HVO100 by 2035 through enhancements at their Lysekil and Gothenburg facilities.
Though HVO100 is presently more costly than diesel, it offers companies a viable avenue to lower their emissions in the short term. Granquist stresses the need for immediate actionable solutions, particularly for vehicles that lack electrical alternatives. This is not merely about future investments; it is about enabling existing diesel vehicles to begin their transition at the next refueling.
About Preem:
Preem stands as one of Sweden's largest fuel providers and a leading advocate for renewable fuels. With operations spanning refineries in Lysekil and Gothenburg, along with a comprehensive network of fuel stations, Preem is driving progress towards a long-term reduction of the climate impact associated with the transportation sector by augmenting the availability of renewable products.
The methodology for calculating greenhouse gas emissions in grams of CO2eq/MJ has been conducted in alignment with Article 31 of the EU directive on renewable energy (2018/2001/EU RED II). The reference value for fossil transport fuel is set at 94 grams CO2eq/MJ according to Annex V in RED II, which serves as the benchmark for calculating percentage reductions.
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