Thai agency launches partially hydrotreated biodiesel, aims to scale up

Thailand's National Science and Technology Development Agency has launched a premium-grade biodiesel produced via partial hydrogenation, positioning the fuel as a near-term decarbonization solution for hard-to-electrify transport segments such as logistics.

The fuel, branded H-FAME and developed by NSTDA's National Energy Technology Center, or ENTEC, can reduce carbon emissions by up to 50% and PM2.5 emissions by as much as 86% compared with petroleum diesel, project lead Peerawat Saisirirat said in a statement April 23.

ENTEC said the "drop-in" biodiesel can be used in existing diesel engines without modification, either as a blend or in neat (B100) form, offering a lower-cost pathway for emissions reduction versus full electrification in freight transport.

"Reducing emissions at the lowest possible cost is key, particularly for the logistics sector, which accounted for roughly one-third of emissions in 2022," Peerawat said. He added that high upfront investment and infrastructure constraints continue to limit electric vehicle adoption in heavy-duty transport.

Stability gains over conventional FAME

H-FAME is an upgraded form of fatty acid methyl ester biodiesel, produced using a partial hydrogenation process that improves molecular stability. ENTEC researchers said the fuel delivers oxidation resistance around three times higher than conventional biodiesel, reducing degradation, sludge formation and engine deposits.

The improved stability enables higher blending ratios and supports use in B100 form without the storage and performance issues typically associated with traditional FAME, they said.

A patent has been filed for the production process.

Thailand is promoting biofuels as part of its strategy to cut greenhouse gas emissions and enhance energy security by reducing reliance on imported crude. Officials say domestically produced feedstocks such as palm oil could help stabilize fuel supply and prices amid global market volatility.

Industry participants view H-FAME as a "transition fuel," particularly for trucks and industrial machinery that are difficult to electrify in the near term. Field trials covering more than 3,000 liters across forklifts, construction equipment and chemical transport vehicles have demonstrated compatibility without engine modification, ENTEC said.

Scale-up under discussion

Current production remains at a semi-industrial scale of around 500 liters/day. ENTEC said it is in talks with refinery and biodiesel industry partners to develop a demonstration plant with capacity of 10,000-30,000 liters/day.

Initial output is available for industrial use on demand, with broader commercialization dependent on scaling and partnerships.

Researchers said the technology could leverage existing biodiesel infrastructure, avoiding the need for new refining systems required for alternatives such as hydrotreated vegetable oil, potentially lowering deployment costs.

As governments and industry balance electrification, hydrogen and biofuels pathways, ENTEC said H-FAME could offer an immediate emissions reduction option within existing diesel-based transport systems while supporting longer-term net-zero targets

Platts, part of S&P Global Energy, assessed Palm Fatty Acid Distillate (PFAD) at $1,020/mt April 24 for May-loading cargoes, despite the firmer BMD CPO market, with indicative bids heard at $980/mt.