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Biofuels
in East Africa, as seen ahead of groundbreaking conference
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August
7,2008
- As we near the Biofuels Markets East Africa Conference,
Richard Morgan, Chief Executive of Sun Biofuels took time out to talk
about the challenges and opportunities facing the biofuels sector
in the region.
The CEO joins a growing panel of expert speakers at the September
conference where, together with a diverse audience of delegates, it
is expected to attract in excess of 130 participants from across Africa
and around the world.
Here is the full 60 Second interview.
What do you and your organisation do in the Biofuels sector?
SBF is an African based bio-fuels feedstock producer. We are developing
oil seed plantations in Ethiopia, Tanzania and Mozambique utilizing
Jatropha Curcas under intensive management regimes. While the initial
focus is on feedstock production, SBF is developing small/medium scale
bio-diesel refinery models and PVO energy platforms.
What is the biggest challenge facing the East African Biofuels industry
in the short term (1-3 years)?
Bio-fuels policy uncertainty, transparent, ethical access to poorly
utilized land and access to start up finance.
How is the sustainability issue around Biofuels being
addressed in East Africa?
Regional policies governing Environmental Impact Assessment criteria
and existing environmental protection laws are being enforced. Transparent
rules and regulations regarding the allocation of land to investors
and project developers must be adhered to. Corporate Social Responsibility
commitments are being assessed and subjected to monitoring and evaluation
to ensure landed communities genuinely benefit from investment. The
EU and other destination markets are setting generic standards which
can be adapted to regional conditions locally.
How do we educate the media and wider world about the
benefits that Biofuels can bring following recent negative publicity?
Rigorous academic debate that is based on facts and not emotions.
Provided that the sustainability arguments are met and there is a
balanced policy debate in relation to food security issues it is possible
to show economic, social and environmental benefits from investment
in biofuels projects. Investment in rural infrastructure, primary
education and health and commercial opportunities that develop trade
will win the argument in the end. In my opinion, what many rural people
want is the opportunity to succeed themselves.
The aid and development agencies have a vital role to play in solving
some of the acute problems that result from adverse weather and conflict.
However, it is trade not aid that will secure long term economic security
for many in the agricultural community. The bio-fuels sector should
emphasize its acceptance of the principles of liberalized trade and
access developed economy's markets for products, goods and services
from Africa.
Which non food feedstocks do you see as the most interesting
developing alternatives?
I might be biased but we clearly feel there is big potential for Jatropha
in East Africa. While there has been little in the way of genetic
improvement to date, the plant is very adaptable. With focused effort
and investment we believe that yields can be significantly improved
from where they are now.
SBF believes that Jatropha has the flexibility to be grown by smallholders
and out-growers that can add efficiencies to the core large scale
plantations and at the same time provide the feedstock for devolved
energy generation at the community level. Perennial tree crops like
Jatropha have the potential to be instrumental in preventing soil
erosion and deforestation linked to charcoal and firewood collection.
SBF also believes that with improved monitoring and inspection, plantation
tree crops grown in a sustainable way can provide carbon revenue streams
for local communities.
What is the biggest challenge in the long term (4-10 years)?
The initial challenge is to get large scale plantations of the ground
with adequate medium term finance. Once this has been achieved the
model can be adapted towards out growers with confidence and in a
way that combines the intensification of agriculture across the board.
Successful bio fuels businesses will compliment and improve the local
rural economies in which they exist not compete with them.
Winning this argument is vital in the early stages but will constantly
need to be upheld. Technological change in other renewable sectors
will be seen as a potential threat but, provided innovation is maintained
in advancing yields and the quality of the oil there could be hundreds
of new applications ranging from aviation fuel, engine lubricants
and carbon related biomass.
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