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Di Methyl Ether: Fuel From Coal

07/02/2008 11:16 AM

China has just cut the rate of value added tax on dimethyl ether a coal based alternative to oil, to help boost the development of alternative energy amid soaring world energy prices.
"China's ministry of finance and state administration of taxation jointly announced on Monday that the government will cut the VAT rate on DME by 4.0 percentage points, to 13% effective on Tuesday. "
"The experts said that the adjustment removes the gap between the VAT rate levied on DME and other fuels, including liquefied gas and natural gas. The move will help the development of the DME industry."

"China is accelerating the use of DME powered buses. Shanghai, for example, planned to put 90 more such buses into operation this year, up from 10 last year. It expected to have 1,000 such vehicles running in the city by 2010."

Can anybody tell me the expectable volume fraction of DME available from any kind of coal?

Any comments?

milo

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#1

Re: Di Methyl Ether: Fuel From Coal

07/02/2008 5:24 PM

why do they call it alternative energy, its coal based. Why not stop and make methanol that is less hazadous than DME. I guess its because you can fumagate diesel engines and not have to do as many modifications as you would to burn methanol.

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#3
In reply to #1

Re: Di Methyl Ether: Fuel From Coal

07/03/2008 9:41 AM

Amen!

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#2

Re: Di Methyl Ether: Fuel From Coal

07/02/2008 7:07 PM

I suppose it is not too surprising to find there is an International MDE Association. It did surprise me,though, that they claim while 31% of DME market is as industrial feedstock, 48% goes to hair-spray. This was in a (very colorful) powerpoint titled "Synthesis and New Applications of DME" dated May 2007. Same report on page 14 points out that the heating value of DME is only about 2/3 that of LPG.

It appears there is enough information in this report to extract an answer to your question (based on stats for a pilot plant combined with other information) and it is real low, but it would be a false answer.

The real answer is another question - how is it being made? Every aspect of each step of the processes used imposes changes in quality and quantity of product, as well as variation in production of side products - wanted or not. Every setting has an impact. Also, the makeup of coal varies a great deal depending on its source, which then tends to drive potential for quantity and quality of product.

It is a curious product. Thanks for bringing up the subject.

You might learn more from the World Coal Institute site, or IEA.

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#4

Re: Di Methyl Ether: Fuel From Coal

07/03/2008 10:44 AM

Quite frankly, I think it is a smart move on the part of the Chinese government. I'm sure the environmentalists with their preconceived agenda wont agree, but thats just politics.

It might be worthwhile for the US government to consider the development of alternative syngas based fuel technologies and help them with tax incentives.

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