Economic Impact of NMMO Pretreatment on Ethanol and Biogas Production from Pinewood

Table 5

The manufacturing cost of biofuels and the tax portion of the final prices.

Cost (€/L) or (€/m^3)	Product cost	30% tax on plant income	Energy tax	Carbon dioxide tax	25% VAT^1	Final Price	Final price (gasoline equivalent)
Gasoline^2	0.70	—	0.34	0.28	0.33	1.65	1.65
E85^3	0.82	—	0.05	0.04	0.23	1.14	1.59
Biomethane 100^4	1.26	—	—	—	0.31	1.57	1.39
Manufacturing cost^5
Bioethanol^6 (scenario 1)	0.63	0.07	—	—	0.23^7	0.93	1.40
Biomethane^8 (scenario 2)	0.97	0.07	—	—	0.31^9	1.35	1.20
Bioethanol^6 (scenario 3)	0.50	0.10	—	—	0.23^7	0.83	1.24
Biomethane^8 (scenario 4)	0.77	0.09	—	—	0.31^9	1.17	1.04

VAT is calculated as 25% of the product prices of biomethane which were 10.9 SEK/m³ (1.26 €/Nm³) and ethanol which were 7.9 SEK/L (0.82 + 0.05 + 0.04 = 0.91 €/L). Therefore, VAT for biomethane = 1.26 * 0.25 = 0.31 €/Nm³ and VAT for E85 = 0.91 * 0.25 = 0.23 €/L.
²Average of gasoline (95% octane) in 2013 [4]. The gasoline includes 5% bioethanol.
³E85 is a blend of bioethanol and 15% gasoline. During winter time, the portion for gasoline increases to 25%. The portion of fossil fuel in E85 includes energy and CO₂ tax.
⁴Biomethane 100 contains 100% methane from biological sources and is sold in Sweden along with CNG.
⁵Manufacturing cost includes selling and distribution expenses which were 0.06 €/L for ethanol and 0.1 €/Nm³ for biomethane.
⁶The plant product is 99.9% bioethanol.
⁷It is assumed that the product will be sold to the market in the same price of E85. Thus, VAT was assumed to be similar to VAT for E85.
⁸The plant product is 97% biomethane.
⁹It is assumed that the product will be sold to the market in the same price of biomethane 100. Thus, VAT was assumed to be similar to VAT for biomethane 100.