Oil and Gas Press

Biofuels news and comment

As the world looks for an alternative to Oil, Biofuels are increasingly being sourced as a viable option. It is considered a source of ‘renewable energy’ The attraction so far is that it meets the key requirements for alternative energy which are to meet the growing energy demand, increase energy security and limit enviromental damage. In reality the biofuel upsurge is being blamed for the increase in food prices globally and as usual it is the poorest nations that are suffering the most. As evidenced by the backlash in the last one year it is evident that growing crops for oil in order to solve global warming and other polluting effects of oil exploration is not a very good idea as it has a direct effect on food prices and an even more devastaing effect on land use. Biofuel can be defined as the cropping of plants such as wheat,soya beans and sugar cane to generate energy.
Reports by US based Rights and Resource Initiative to be unveiled today states that an area 12 times the size of Germany could be used for farming and producing biofuel by 2030.
Enviromentalists are now greatly concerned about the effect of this so called green energy on the worlds eco system. Because of the potential profit involved some countries are clearing out huge patches of the rainforest just to grow biofuel crops. One of the major reasons for the increase in price of food is because some farmers are diverting there farmlands  from food production to fuel thereby causing a shortage of food in there respective countries.

As of today kenya is now planning to turn a tranquil area off one of its coast into a sugar cane field to use for biofuel, Called the Tana Integrated Sugar Project it has promised the local jobs with good pay and most of the independent farmers think this would improve there standard of living… In the short term it will but will they be able to afford to feed themselves the following year?.
As the world population continues to grow and as Africa continues to starve is it wise to divert food to energy production? The fact is Africa is unable to feed itself yet we are seeing companies such as Global Biofuel investing huge sums in Nigeria to produce ethanol. Is it not better to fuel humans first and worry about other sources of energy. It seems that society has become consumed with making money and they have forgotten that life needs to be preserved before anything else. afterall you cannot eat money!  A recent article by the Christian Monitor states that Europe is signaling a retreat from its bold commitment to biofuels as concern mounts that the plant-based alternative to gas and diesel, once heralded as a panacea for climate change, is contributing to spiraling global food prices.

Biofuel News today

>> According to reports by Thisday newspapers, Global Biofuels Limited, the first biofuels refinery in Nigeria, endorsed by the Nigerian National Petroleum Corporation (NNPC), has committed  the  sum of N87.5billion to ethanol project in the country.
To foster rapid production, the company has also brought in two varieties of sweet sorghum to be produced for feedstock from PRAJ in India while more varieties of feedstock had been developed by the company.

Managing Director and Chief Executive Officer of Global Biofuels, Dr. Felix Babatunde Obada, made this disclosure, at the ground breaking and foundation laying ceremony of the project in Ekiti State, over the weekend, revealing that the company has also invested N12.5 billion in the same project in Ekiti.

According to him, NNPC is the organisation charged with the responsibility of regulating  and generally growing the biofuels sector.  He listed PRAJ India, ICRISAT, IAR Samaru, Zaria, Mariano Marcos State University of Philippines, African Development Bank (ADB), UBA Global Markets, Skye Bank Plc and Santrust Securities Limited as other partners working with the company on the ethanol project in Nigeria.

The Global Biofuels boss explained that Nigeria stands a good chance of benefiting from ethanol production as nations around the world are looking at biofuels to help reduce spiralling oil import costs, and to mitigate pollution and global warming.
  He added that developing, manufacturing, installing and maintaining renewable energy technologies as is the case with  ethanol has the potential to create new  Nigeria-led jobs and modern industries.      

“This would not only serve to empower entrepreneurs and companies to build vibrant and diverse economy, it is also a wise economic choice for long term development. As fossil fuel depletes, Nigeria would have diverse dependable energy sources and be able to strategically benefit from our oil resources,” he stressed.
Also speaking, the Governor of Ekiti State, Segun Oni, assured the company of his full support on the project in terms of road construction to link the project site with the surrounding communities and other infrastructures needed to make the project optimise outputs in the State.
He expressed optimisim that Ekiti would become the ethanol hub of Nigeria within a short possible time.

>>A Kenyan court temporarily halted construction of a government-backed project where sugar was to be grown to generate power in coastal wetlands and opposed by environmentalists. The government has approved the Tana Integrated Sugar Project, a 24-billion-shilling (369.3-million-dollar, 235-million-euro) operation on July 1.
Friday’s ruling, from a court in the coastal town of Malindi, temporarily suspended work to allow environmentalists and local communities to apply for judicial review.
Conservationists and local communities have warned that loss of grazing and crops caused by the project would incur serious land damage in the protected area.

The Tana Delta project, had hoped to produce about 23 million litres ethanol each year and claimed that it will also generate 34 megawatts of electricity and create some 20,000 direct and indirect jobs, partly through the construction of an 8,000-tonne a day sugar mill. The Kenyan government has a 30 percent stake in the project.

Tags: Biofuel, Christian Monitor, Ekiti State, fossil fuel, Global Biofuels, global food prices, Renewable Energy, sweet sorghum, Tana Delta project