Toyota prepares car engine for coco-diesel testing
by Jennee Grace U. Rubrico

BusinessWorld (11 May 2004) - Japanese car manufacturer Toyota Motor Corp. is sending a model engine to the Department of Energy for testing with coco-methyl ester, more popularly known as coco diesel.

Energy Undersecretary Eduardo V. Manalac told reporters yesterday that Toyota would want to know if coco diesel would be feasible.

The government is promoting coco-methyl ester as an alternative to diesel fuel. It has ordered all government vehicles to run on a blend of coco-methyl ester or CME and diesel.

"Toyota wants to send over a model engine to test it for long-term use to see if bio-diesel based on coconut oil is effective," Mr. Manalac said.

He said the firm would also want to learn the "potential" of the engine, and added that Toyota Philippines could import the engine from Japan if it would run well on coco diesel.

Aside from Toyota, Isuzu and BMW are also participating in the government test on coco diesel. Mr. Manalac noted that automotive manufacturers, in general, accepted certain blends of bio-diesel.

The government has completed the protocols for testing coco diesel on diesel-fed vehicles, and will soon conduct tests to address issues raised particularly by oil companies regarding the effect on car engines of the fuel's prolonged use.

There are questions on the shelf life of coco-methyl ester when mixed with automotive diesel oil. Also to be tackled during the test period are fuel pricing and storage, Mr. Manalac said.

The government test, which will also ascertain the viability of mandating the use of the fuel for private vehicles, will run until the end of the year.

On the issue of pricing, the Energy official said the government hoped market forces would let the price of coco diesel stabilize.

He also said that in terms of supply, industries that use coconut derivatives for other products such as soap, could use the ingredient to produce CME when the demand for products wanes, and vice versa.

He added that in case demand for coconut byproducts increases in other industries at the same time, farmers could ensure supply by planting more coconut trees. "That way, the industry will be developed," Mr. Manalac said.

The testing of coco diesel is part of the government's effort to promote its use as an alternative to diesel, which has become expensive because of its limited supply and the depreciation of the peso against the dollar.

Initially, the government will implement the coco-diesel program for all government agencies and state-owned corporations by July. Under the rules for the use of coco diesel by government vehicles, government agencies will either blend their own requirements directly or use "pre-blended" coco diesel.

The rules mandate government agencies to use 50 milliliters of CME for every five liters of diesel. They also state that CME needed by government agencies be bought only from accredited CME manufacturers and suppliers of government-registered CME products. Suppliers have to ensure sufficient supply and efficient distribution of the product, and will have to make the product available in small packages for government agencies.

Energy, in coordination with the departments of Science and Technology, Transportation and Communications, Environment and Natural Resources, and the Philippine Coconut Authority, will develop a database on vehicle information and CME-diesel fuel source, including volume requirements of government agencies and state-owned firms. Approximately 30,000 land-based government vehicles will be using coco diesel when the program is implemented, Mr. Manalac said. The rules for the program on CME were drafted by Energy after President Gloria Macapagal Arroyo issued Memorandum Circular No. 55, which required the use of 1% CME-diesel blend in the diesel requirements of all diesel-fed land vehicles of the government.

The circular, which was issued in February, aimed to create a new market for coconut farmers. Positive results of various technical tests showed the use of coco diesel also promotes the government's campaign for cleaner air.