Government Signs Protocol of Intentions with the Company BSBios to Enable Ethanol Plant in Passo Fundo
(Governo do Estado Rio Grande do Sul (Google Translation)) Governor Ranolfo Vieira Júnior signed, on the morning of this Monday (20/6), at an event at Palácio Piratini, a protocol of intentions between the state government and the company BSBios to enable the implementation of an ethanol production plant in Passo Background. The document establishes articulated actions to make possible the investment of R$ 316 million projected by the company for the first phase of implantation of the unit producing ethanol and bran from the processing of cereals such as corn, wheat, triticale, rice, and sorghum.
The protocol provides for tax treatments in relation to ICMS for acquisitions from suppliers of industrial machinery and equipment located in Rio Grande do Sul and imports of industrial machinery and equipment from abroad.
The initiative is within the context of the State Policy to Stimulate the Production of Ethanol, established in a law enacted in the State last year, from which the State Program for the Development of the Ethanol Production Chain (Pro-Ethanol) was created. The program aims to promote the production chain and expand biofuel production, especially taking advantage of winter crops as inputs. Today, Rio Grande do Sul produces less than 1% of its demand. The new factory, according to the BSBios projection, should supply 23% of this need from 2027.
The governor highlighted the importance of understanding with BSBios to advance in the search for ethanol self-sufficiency and decarbonization. “The issue of renewable energy dialogues, without a doubt, with the direction we want for Rio Grande do Sul. We have an immense potential for the production of ethanol, the internal demand reaches 1 billion liters per year. The government has been consolidating its commitment to the expansion of production and initiatives like today’s are essential for this space to be used. With Pro-Ethanol, built to overcome governments, we seek self-sufficiency in production, which will encourage an entire chain of producers, warehouses and distributors generating employment, revenue and development”, said Ranolfo.
the power plant
Planned to operate in two phases, processing 750 tons/day of cereals in 2024 and 1,500 tons/day in 2027, the plant totals an investment of BRL 556 million in the period. The project is flexible for the production of anhydrous ethanol (which can be added to gasoline) or hydrated (direct consumption), with a capacity of 111 million liters in its first phase and 220 million liters when fully installed. The plant will be installed at km 316 of BR 285, in Passo Fundo.
The Secretary of Economic Development, Joel Maraschin, noted that among the possibilities articulated in the protocol of intentions of the State government with BSBios is the company’s adhesion to the Operation Company Fund of the State of RS (Fundopem) and to the Industrial Development Harmonization Program of RS (Integrate). The secretary also said that the installation of the plant will move the region economically since, according to BSBios, around 140 new direct jobs and approximately 1,000 indirect jobs should be generated.
“It is an important investment not only for the expected value, but also for the generation of employment and income and also for the sake of collection. By importing 99% of the annual demand for ethanol, we ended up leaving around R$ 600 million in other states. The initiative also stands out for the issue of environmental responsibility, something that the State has prioritized, seeking to convert its energy matrix to renewable energies”, said Maraschin.
The factory will also offer the bran from ethanol production to the market. Obtained immediately after the fermentation process of ethanol production, it is an important co-product of the grain fermentation process, with great potential for use in the production of animal feed for the food production chain. 155 million tons per year of bran will be produced for the animal protein chain in the second phase of the project.
“The initiative will represent an increase in the supply of bran for the animal protein production chains, in addition to promoting investment in the development of genetic technology for the production of specific wheat for ethanol production and being a viable income opportunity for the farmer with the winter cereal crop”, highlighted Erasmo Carlos Battistella, president of BSBios.
Also present at the ceremony were the secretaries Artur Lemos (Casa Civil), Domingos Velho Lopes (Agriculture, Livestock and Rural Development), Marjorie Kauffmann (Environment and Infrastructure), the undersecretary of the State Revenue, Ricardo Neves, the deputy mayor of Passo Fundo, João Pedro Nunes, among other authorities. READ MORE
