Jamaica: Advancing a Sustainable Biofuels Industry Maureen R. Wilson Ph. D. Laboratory Manager Sugar Industry Research Institute Kendal Rd, Mandeville SRC May 2008

BIOFUELS Products from biological origin Liquid biofuels - ethanol and bio-diesel Solid biofuels - wood chips, woody biomass, bagasse Gaseous biofuels - biogas, from digesting organic waste SRC May 2008

Sustainable biofuels industry Sustainable use of land and water Maximum biomass production Integrate into existing farming systems Efficient Conversion Technologies Stringent waste management SRC May 2008

Sustainable biofuels industry II Standardization and Certification Compliance, enforcement and accountability Legislation - emission control, land use and trade Auditing tools, Life Cycle Assessment Greenhouse gas savings SRC May 2008

Jamaica’s Energy Policy Seeks to secure access to energy, energy security and to protect the environment MTBE to be replaced by 10% ethanol 2008 & to increase to 15% by 2012 Bioethanol from sugar cane Mix of 2 % bio-diesel in petroleum diesel The Jamaica Energy Policy 2006 – 2020 SRC May 2008

Jamaica Ethanol dehydrating plants Cogeneration using bagasse Bioethanol from sugar cane Fuel wood project at Font Hill Farm Northern Caribbean University – biodiesel from waste vegetable oils Biogas for use by households and small industries - SRC SRC May 2008

Restructuring SRC May 2008

Ethanol Production Costs (US$/hl; 1hl = 100litres) Country Feedstock Plant size hl/year Feed- Stock Cost Other Oper. Costs Gross Prod. Net Brazil B-molasses Cane juice 550,000 9.67 3.88 13.55 12.58 US Corn, dry milling 570,000 23.12 12.20 35.32 26.70 Lignocellulosic Ethanol 90.00 EU Wheat 500,000 39.10 27.77 66.87 59.18 Sugar beet 27.16 24.66 51.81 46.21 Colombia 16.68 3.67 20.35 India C-molasses 150,000 12.80 5.83 18.63 Pakistan Molasses 375,000 11.97 2.55 14.52 Jamaica 19.00 F. O. Licht SRC May 2008

Biofuel yields of selected feedstocks World Watch Institute, 2006 SRC May 2008

France (beet) Brazil (cane) USA (corn) SRC May 2008

Source: EC Renewable Energy Roadmap, 2006 Greenhouse gas savings of different biofuels compared to their fossil fuel comparator Type of biofuel GHG savings (%) Biodiesel from: PALM OIL 53 % RAPESEED OIL 51 % SOY 29 % Ethanol from: SUGAR CANE 89 % WHEAT 49 % BEET 40 % SRC May 2008 Source: EC Renewable Energy Roadmap, 2006

Benefits of using Sugarcane “There seems to be a consensus that among the major crops usable as a feedstock for ethanol, sugarcane is arguably the best, thanks to low production costs, a high net energy gain and a healthy CO2 balance.” H. Ahlfeld, 2007. Intl. Sugar and Sweetener Report, vol 139 # 33 p 577 SRC May 2008

Trade Rapid increase in trade in biofuels and feedstocks result in a great increase in vegetable oil prices, negative impacts on viability of biofuel and food prices Need for increase in production Right sizing of the industrial complex Examination of export taxes, transport charges as well as import duties and incentives Policies to minimize barriers SRC May 2008

Policy Coherence Coherence between policies of different Ministries and Government Departments affecting the production of biofuels Coherence between national policies and those of EU to ensure that there are no barriers to export trade SRC May 2008

Socio Environmental Issues Conflict between using land and water for growing crops for food, livestock feed and biofuel, rearing livestock, aquaculture Unsustainable production - destroying tropical forests, affect eco-systems Improved efficiencies in land and water management practices Soil fertility management - removal of crop residues for lignocellulosic ethanol or for cogeneration - impact on soil structure - promote erosion SRC May 2008

Socio Environmental Issues II The potential of biofuels in poverty reduction appears to be significant, but fragile Use marginal lands to grow crops such as jatropha – improve soil structure Stringent management is necessary to achieve high productivity of crops High prices of fertilisers and poor agronomic practices SRC May 2008

The role of Science Technology and Innovation To increase availability and improve quality of feedstock - characterisation and optimisation of feedstock life cycle Economic analysis of the productivity and suitability of the various feedstock Technological options for conversion should provide direction towards cost-effective solutions SRC May 2008

The role of Science Technology and Innovation II GIS technology to identify feedstock availability Harvesting and storage of the raw material Improvement in dehydration /compaction Use pure plant oil applications in adapted engines Alternatives to esterification Logistical issues for transporting biofuels SRC May 2008

The role of Science Technology and Innovation III Compatibility with the existing infrastructure, equipment capacity and capability International biofuels quality standards may require adaptation to suit local requirements Greater investments in research and developing human capital and physical infrastructure are required SRC May 2008

Training Locally and regionally train engineers, agronomists environmentalists, management, bio-engineer Specialist training received from Brazillians Training from suppliers of equipment to maximise production of ethanol Establish Centres of Excellence regionally through CREDP for comprehensive renewable energy training Collaboration between Government Institutions, educational facilities, research organisations, Ministries and Departments facilitating the development of the biofuels industry SRC May 2008

Public Education and Awareness Programme Designed and aimed at all sectors of civil society including activities aimed at children and young people to communicate the overall goals of the governments with respect to the country’s economic development, advantages of using renewables and for protection of the environment. SRC May 2008

Conclusions Jamaica is naturally endowed – climate, arable land and water resources Jamaica has the capacity to produce fuel grade ethanol and bagasse for cogeneration Jamaica must advance the sustainable production of biofuels increasing the competitive state of the agricultural sector National strategies to maximise benefits to farmers and other investors in trading agreements with US and EU SRC May 2008

Conclusions II In developing policies, the linkages between biofuels, agriculture - livestock, fisheries and societal goals of food and nutrition security and economic prosperity must be recognized Jamaica must act and increase investment for sustaining science, technology and innovation by building human resource capacity and physical infrastructure Potential exists for increase use of biogas, biodiesel from waste vegetable oil SRC May 2008

Conclusions III Potential for production of bio-diesel from castor oil plant. Through policy coherence for development (PCD), which highlights the EU’s commitments to improving the effectiveness of development assistance, ACP national governments should be able to access policy, budgetary and technical support in the areas of environment, energy, and agriculture and food security (COM, 2008). SRC May 2008

SRC May 2008