PKN ORLEN to undertake project aimed at producing innovative biofuel component
At its Production Plant in Płock, PKN ORLEN will implement a modern technology for making hydrotreated vegetable oil (HVO). This environmentally friendly and innovative solution, consistent with the ORLEN2030 strategy, will solidify the ORLEN Group’s position on the biofuel market. It will also be ORLEN’s response to the EU’s ‘Fit for 55’ package, which includes a set of new challenges for the oil refining industry to reduce transport fuel emissions. The project, with an estimated value of approximately PLN 600m, is to be carried out in mid-2024.
“We can see a growing role of renewables in transport. The fuel market is largely being shaped by the RED II provisions, which seek to achieve more widespread use of biofuels, and by the ‘Fit for 55’ package adopted by the European Commission in July. Therefore, we are consistently investing in new and environmentally friendly solutions to meet the ambitious EU goals. As set out in our strategy, over the coming decade we want to be a leading regional producer of biofuels, including advanced second-generation products. The innovative HVO project to be carried out at our plant in Płock will bring us significantly closer to that goal, while enhancing the competitive strength of Polish economy,” said Daniel Obajtek, CEO and President of the PKN ORLEN Management Board.
PKN ORLEN will construct the HVO unit at the Production Plant in Płock, where it will deploy the innovative technology to hydrotreat rapeseed oil, used cooking oil or their mixture on an industrial scale. The end product will be used as an additive to diesel oil or JET aviation fuel. The HVO unit’s annual capacity could reach approximately 300,000 tonnes, an amount that would satisfy the plant’s needs.
The project is in line with the operational programme for biofuels set out in PKN ORLEN’s strategy. It will facilitate achievement of the national indicative target (biofuel quota) and compliance with the EU requirements to increase the share of biofuels in the transport fuel mix. This in turn will help bring down emissions from transport fuels sold on the market, in accordance with the EU’s ‘Fit for 55’ package.
The stream of biofuel components from the HVO unit will also contribute to meeting the requirements set by ‘Fit for 55’ for the aviation industry. The aviation biofuel produced from used cooking oil will meet the sustainable aviation fuel (SAF) criteria. SAF stands for advanced, next-generation biofuels for jet aircraft, which – compared with the commonly used Jet A and Jet A-1 – significantly reduce CO2 and greenhouse gas emissions.