E-Fuels

• This is short for the English word "electro-fuels" and can be translated as "electric fuels".
• As the name suggests, e-fuels are produced using electricity. As the production process is known as "Power-to-X", synthetic fuels are sometimes also referred to as PtX fuels.

The production of e-fuels requires specialised and highly complex industrial processes that are associated with considerable challenges and risks.

On the one hand, electrolysis produces hydrogen, which is highly flammable. Secondly, sourcing the necessary CO2 is likely to be difficult, as direct air capture technology is not available for domestic use.

Therefore, production in the hobby cellar is not possible and the experiment is also extremely dangerous.

• E-fuels have almost the same properties as conventional fuels; they are liquid AND contain carbon.
• Electricity is used to produce e-gasoline, e-diesel and e-kerosene from water and CO₂.
• Synthetic fuels can be used in conventional combustion engines without conversion.
• The infrastructure is also in place; e-fuels can be distributed via the existing petrol station network.

• Electrolysis uses renewable electricity to split water (H2O) into hydrogen (H2) and oxygen (O2). Although it is also possible to use conventional electricity in the power mix, this would be fatal in terms of the carbon footprint.
• The CO2 required for the production of e-fuels can be captured from the atmosphere or from industrial processes, so-called point sources, using the "direct air capture" method.
• Fischer-Tropsch synthesis is used to produce synthetic petrol, diesel and paraffin from the resulting e-crude oil, also known as e-crude.

Another argument against e-fuels is the energy balance. From the source to the road (also known as "well-to-wheel"), a car fuelled with e-fuels consumes around five times as much primary energy per kilometre as an electric car.

• Much of the energy originally contained in the electricity is lost during the production of e-fuels, which can be up to 60 per cent.
• If the synthetic fuel is then burned in an engine, another 60 per cent of the energy stored in the e-fuel is lost.
• In the end, barely more than 16 per cent of the energy originally present in the electricity is used to power the vehicle.

E-fuels have the same chemical properties as conventional fuels.

This means that any combustion engine can run on electrically produced fuel without the need for modifications to the engine or fuel system.

Consumption is also comparable and is currently at a theoretical average of 6.3 to 6.5 litres per 100 km for newly registered cars.

At present, e-fuels are not a cost-effective alternative to fossil fuels, as this technology is still new and production is not yet on a large scale.

According to current estimates, the production costs for e-fuels can be around 2 to 3 euros per litre and higher.

However, prices are expected to fall as the technology matures and production is scaled up. In addition, the mineral oil tax would also be one way in which politicians could make synthetic fuels competitive with fossil fuels.

Electromobility is seen as the key to the turnaround in the automotive industry and the achievement of climate targets, but a not inconsiderable number of vehicles with combustion engines will remain on the road in the foreseeable future.

The average age of the 48.8 million passenger cars in Germany is currently around 10 years. 20 per cent of the fleet is between 15-19 years old (as of 01/01/2023).

E-fuels can play an important role in the transition phase and build a bridge between combustion engines and e-vehicles.

The production of synthetic fuels is still in its infancy and we are still a long way from producing enough for the market.

Even if all the plants were built, this total supply would only meet around 10 per cent of German demand - and only in essential e-fuel applications, not in automotive transport. With prescribed quotas for electric fuels, the EU wants to offer companies and investors planning security and boost production.

E-fuels quota

According to EU regulations, 29 per cent of the energy consumed in the transport sector must come from renewable sources by 2030

• At least 5.5 per cent of this should be e-fuels.
• In aviation, an e-fuels quota of 1.2 per cent applies from 2030, rising to 35 per cent from 2050.
• In shipping, the share of electric fuels should be at least 2 per cent from 2034.

It is still unclear what the new vehicle category for combustion engines will look like and what consequences this will have for the target values by 2035.

"For example, it must be ensured that newly registered vehicles can actually be refuelled exclusively with e-fuels," says Helge Schmidt from TÜV NORD IFM.

According to the TÜV NORD expert, this can be implemented with smart solutions such as petrol pumps that communicate with the vehicle or sensors to detect fuel quality. However, regulations in this regard are only likely to be discussed and adopted in the coming years.

Chile pilot project: full wind power ahead

The first commercial e-fuels plant was put into pilot operation in Chile at the end of 2022 by a consortium of international companies including Porsche and Siemens Energy:

• The south of the country is ideal, as wind turbines there are fully utilised 270 days a year. That is three and a half times as much as in Germany.
• The "Haru Oni" plant will initially produce around 350 litres of e-fuels per day.
• By the end of the decade, the capacity should be 550 million litres.

In Germany, there is not enough wind or solar energy to operate a comparable plant.