Raízen and Volkswagen Develop ‘New Ethanol’ as an Alternative to Electric Cars

Seeking A Reduction In CO2 Emissions, Raízen And Volkswagen Have Formed A New Partnership To Develop A New Ethanol As An Alternative To Electric Cars.

Raízen, licensed to the Shell brand, and Volkswagen do Brasil announced on Friday (29) that they have reached an agreement for decarbonization in the automotive sector, with an initiative for a new ethanol formula, R&D for biofuels in the national territory, and measures to expand the use of ethanol as an alternative for electric cars worldwide.

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Volkswagen Factories Will Have Reduced Emissions With Renewable Natural Gas From Raízen

In addition to the new contract, Raízen plans to implement a network of fast charging stations, providing a better experience for customers when recharging Volkswagen electric cars.

The project for electric car charging stations will start in the state of São Paulo. In Volkswagen’s factories in the country, the goal is to replace natural gas with renewable natural gas to be supplied by Raízen, which would reduce emissions from the units by over 80%.

According to the posted notice, clean electricity will also be supplied to the Volkswagen dealership network through Raízen’s renewable energy plants using distributed generation.

Pablo Di Si, the President and CEO of Volkswagen, states in the announcement that ethanol has several benefits for society and the environment, and also in job creation in Brazil. Furthermore, the partnership will help both companies in creating technologies from ethanol as an alternative for electric cars at their R&D Center in the country.

Raízen Discusses The New Partnership With Volkswagen

According to Ricardo Mussa, CEO of Raízen, it is an honor to have Volkswagen on the project. This move reinforces the company’s role as an entity that brings clean solutions both in the short and long term, considering the global decarbonization process.

Lauran Wetemans, Vice President of Downstream Business for Shell in Latin America, states that the partnership between Raízen and Volkswagen will help expand bioenergy in the automotive sector.

According to Lauran, Shell is investing in several alternatives aimed at the energy transition towards a low-carbon footprint, such as electric cars and hydrogen. Given that all options are essential for reducing CO2 emissions and that biofuels are already an offered solution, it is a pleasure for Shell to be part of this initiative in the country.

Federal Government Advocates For The Use Of Ethanol

Close to the 26th United Nations Climate Change Conference, the Federal Government and the Sugarcane Industry plan to advocate for ethanol as an alternative for electric cars.

According to researchers from the Intergovernmental Panel on Climate Change (IPCC), the production of ethanol and other biofuels can lead to deforestation in forests so that monocultures are cultivated.

This theory is contested by the Federal Government, which states that the planting for production is done on areas that have already been degraded and not on untouched forests. According to the President of Copersucar, Luís Roberto Pogetti, ethanol could be an alternative for electric cars; however, this may vary by region.