Agora Verkehrswende: Focus E-Fuels on Air and Shipping - End Sham Debate

The Berlin-based think tank Agora Verkehrswende has joined the e-fuel debate with a discussion paper and is calling on the federal government, the EU Commission, and industry to focus the ramp-up of production of electricity-based synthetic energy sources (e-fuels) on applications for which there is no other climate-neutral option. In the transportation sector, this means primarily the production of e-fuels for aviation and shipping. Investments in the exclusive production of e-fuels for road transport, on the other hand, would divert valuable resources in the wrong direction and do not fit into an economically efficient overall concept for climate neutrality. The paper titled "E-Fuels Between Wish and Reality" summarizes the state of science on the potential of electricity-based synthetic fuels for the energy transition in transportation.

Discussion on e-fuels for passenger cars is just a distraction

Even focusing on e-fuels for aviation and shipping is a major challenge in meeting demand, according to the Berlin scientists. The globally expected production capacities for e-kerosene by 2030 would only cover about three percent of Germany's kerosene demand alone; the production capacities for e-methanol would likely be enough for barely three percent of Europe's shipping fuel consumption by 2030. The EU's goals, currently being negotiated, are already moving in these orders of magnitude. European aviation is to achieve an e-fuel share of at least two percent from 2032, and European shipping from 2034. By 2050, the EU aims to be completely climate-neutral; Germany by 2045.

“Those who are serious about e-fuels, economic efficiency, and climate protection should first gather all forces for the production of e-kerosene and e-ship fuels. Germany needs renewably produced hydrogen and e-fuels based on it for the energy transition – in industry, the energy sector, and transportation. Political decisions for the establishment of global production must be made now and should be based on a strategy with clear priorities, also keeping international contexts in mind. E-fuels can complement the direct use of renewable electricity, but they are not an alternative," argues Wiebke Zimmer, deputy director of Agora Verkehrswende.

For passenger cars, therefore, electromobility is the first choice. A battery-electric vehicle requires six times less renewable electricity for the same distance than a combustion vehicle with e-fuels, she calculates. The notion that new vehicles solely fueled by e-fuels could play a significant role in the future is misleading. If e-fuels are used in passenger cars, it will likely be temporary and as an additive to reduce CO2 emissions from existing vehicles. The costs of this are hard to calculate but are far from being able to compete with electromobility in the foreseeable future. Facilities producing e-fuels solely for road transport would not be profitable and would quickly lose value; certain quantities could, however, be provided as a byproduct from the production of aviation and shipping fuels.