General Biodiesel to make $100 million direct investment in China; plants proposed for Beijing, Shanghai, Guangzhou and Wenzhou

In China, General Biodiesel announced that it will construct biodiesel plants in Beijing, Shanghai, Guangzhou, and Wenzhou in a $100 million direct investment. The announcement comes as China increased its biodiesel production target to 200,000 tons by 2010 and two million tons by 2020.

The Chinese Ministry of Finance recently announced policies to promote the production of biofuels from non-food feedstocks. The subsidies will be flexible, and tied to the price of crude oil. Farmers will receive up to $878 per acre planted with forest products for biofuels, and up to $791 per acre for crops planted for biofuels.

On the biodiesel side, jatropha cultivation will be expanded from 66,000 acres to 660,000 acres. The expansion is planned for Yunnan, Sichuan and Guizhou provinces, which have the most suitable climate for jatropha cultivation. The expansion takes place under the auspices of China’s Green Poverty in Reduction program which was launched in 2006. The $8.5 billion project is a joint venture between the United Nations Development Programme (UNDP), China’s Ministry of Science and Technology and the Ministry of Commerce. The project aims to develop biofuels and other eco-friendly projects in China’s poorer western provinces.

Free Subscription to the Daily Biofuels Digest e-newsletter

Related Stories

Biolux to build 85 Mgy biodiesel plant in Nantong; plant will be China’s largest

The managing director of Nantong Biolux Bioenergy Feed told the Reuters Global Agriculture and Biofuel Summit that Biolux plans to build an 85 Mgy biodiesel facility in Nantong, and that it would be t...

China’s largest state oil company to invest $5 billion in Indonesia for palm, jatropha cultivation and biodiesel production

In China, the country's largest state oil company, Sinopec, said it will invest $5 billion in biofuel plants and crop development in Indonesia. The company will invest in jatropha and palm plantations...

China readies for B5 biodiesel mandate, ramps up production capacity, feedstock resources

In China, the State Energy Administration is making concrete plans for biodiesel promotion, according to a professor from the Chinese Academy of Sciences, and is considering the adoption of a B5 biodi...

Gushan commissions 50,000 tonne Shanghai biodiesel plant

In China, Gushan Environmental Energy said that it has commenced production at its 50,000 tonne biodiesel plant in Shaghai, raising its total capacity to 290,000 tonnes. The company added that it is o...

Today in Biofuels: Bioenergy of America files for bankruptcy, Biodiesel Corp narrowly escapes; 86 percent of new Brazilian cars are flex-fuel; GM CEO says US needs 20,000 E85 stations

Top Story:In New Jersey, Bioenergy of America filed for bankruptcy yesterday, listing assets of $1-$10 million and debts of $10-$50 million. The company represented 15 percent of US biodiesel supply i...

Gushan Environmental Energy opens 50,000 tonne biodiesel plant in Beijing

In China, Gushan Environmental Energy has commenced biodiesel production at its 50,000 tonne Beijing facility. Capacity at the Beijing plant will be increased to 100,000 tonnes by the 4th quarter of 2...