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Biofuels Sustainability Qs:
towards solutions Njeri Wamukonya
Presented at the High-level Biofuels Seminar in Africa, Addis Ababa, 30July-1 August 2007
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A fast growing market… Worldwide investment in bioenergy in 2005 were US$2.66 billion, in 2006 it was US$ 21 billion.
Governments in developed and developing countries are putting into place bioenergy targets.
Main drivers for bioenergy uptake are energy security, climate change and development concerns.
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… with huge potential
But risks
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Food security4 cumulative dimensions:
Availability, Access, Stability, Utilization
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Water scarcity
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Issues/realities
The biofuel industry will prevail due to the forces/incentives and drivers in place
Drivers are multifaceted (CC underlying- but it is MITIGATION –(who has the mitigative obligations?))– and that’s all its about from a CC perspective
What are the risks posed by this driver: is there danger of solving one env problem while creating other env problems
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Issues/realities Stakeholders interests can be conflicting
(large companies vs women subsistence farmers)
What experiences can and should be transferred?
What pitfalls should be avoided based on past cash-crop experiences?
How can potential threats be circumvented?
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Challenges (two-fold) 1: it is important that environmental and
social criteria for production of the biomass are met
2: this criteria should be flexible to achieve maximum yield for biofuels production (but not compromising)
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Challenges Hence UNEP and partners are setting up a
process for establishing stds for biofuels (starting with vehicles) ; policy guidelines also needed ; enforcement mechanisms/self regulatory
Agreement on a criteria or principles is
necessary Target stakeholders: producer and consumer Tool : certification
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Certification
assures customers that the product they purchase is produced in a sustainable manner
Certification steps:1. Application of Stds - locally relevant but also comply with
international stds/good practice
2. Inspection (audit) –assessment to ensure stds are met
3. Evaluation and results of audit –tracing product to source
4. Issuance of the certificate if compliance is met - after receiving accreditation then products can be labeled with ‘seal of approval’
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Team activities towards stds goal Gather info on existing certification systems
that could be adapted `for establishing sustainable biomass production system
12 different labels were screened in Forestry, Agric, bioenergy for heat and electricity production and trade sector – examining indicators that cover social, economic, ecological and general criteria
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General findings
Agric: - no certification system for biomass production specifically for bioenergy
Existing systems emphasis on: Organic farming – prohibits use of agrochemicals
eg mineral nitrogen fertilisers and pesticides Integrated agric – farming in an economically
viable way while respecting ecological demands
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General findings
Forestry: certification ensures management and proper logging practices are adhered to
Considers social, economic and env benefits for both producer and consumer of products
There are 20 forest certification organizations and stds in operation
2 major forest certification umbrellas – Programme for endorsement of forest certification schemes Forest stewardship council
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General findings
Bioenergy for heat and electricity production : deals with criteria for sustainable energy from biomass sources
2 systems – European Green Electricity Network (EUGENE) Green gold certificate
3rd relevant system focusing on principles and criteria for palm oil production – Roundtable on Sustainable Palm Oil (RSPO)
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General findings
Trade : can benefit the economy But can also create inequities Eg: 49 LDCs rep---10% of world’s pop---
contribute only 0.4% of global exports Incoperating trade criteria provides better
trading opportunities and ensures producers especially poor and disadvantaged producers benefit from biofuels (not repeat the LDC scenario)
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Can certification work? Common agenda / shared goals Commitment to goal and partners
Overall : accountability/enforcement mechanisms/commitment and political will
Flexible and lean/simple inst structure examples
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Roundtable on Sustainable Palm Oil (RSPO)
Ensures palm oil production is done in a sustainable manner
Started in 2001 WWF got consultant to explore possibilities
2003 : WWF organised consultative meeting -200 participants from 16 countries
2004 RSPO formally established under the Swiss Civil Code
Association seats in Zurich but sec currently based in Kuala Lumpur
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Roundtable on Sustainable Palm Oil (RSPO)
Funding ordinary membership fees at Euro2000/yr Affiliate membership fees at Euro 250/yr
Structure Managed by EB comprised of 16 members designated by
general assembly for 2 years Members : oil palm growers, palm oil producers, palm oil
processors and traders, consumer goods manufacturers, env ngos, retailers, banks/investors, social/dev ngos
decisions made on consensus basis
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Roundtable on Sustainable Palm Oil (RSPO)
STDs and the respective principles
1. Social Dev: Responsible consideration for employees, individuals
and communities affected by growers or mills
2. Econ Dev: Commitment to long term econ and financial viability
3. Env Dev: Env responsibility and conservation of natural resources
and biodiversity
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Roundtable on Sustainable Palm Oil (RSPO)
4. Generic Stds Env responsibility and conservation of natural
resources and biodiversity Compliance with applicable laws and regulations Responsible dev of new plantings Commitment to continuous improvement in key
areas of activity
Accreditation : independent
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Firetrade Labelling Organisation
For such products as coffee and cocoa Purpose: improve position of poor and
disadvantaged producers in the developing world
Labeling initiatives and members encourage industry and consumers to support fairer trade and purchase products
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Firetrade Labelling Organisation
Funding: license fees from Labeling Initiatives Premiums from consumers Certification paid by producers and traders
Structure : Board of Directors (11 members for 3 years) . A Director runs the organization
3 sets of stds: for small farmers Laborers on plantations and factories Traders
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Firetrade Labelling Organisation
Label criteria: Minimum and progress requirements for Stds Producers business unit –suppo
Certification areas: 560 orgs in 75 countries in africa, asia, and LA (their effectiveness in africa is questionable given 0.4% share of trade among LDCs!!)
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Does Africa need such an approach - stds/criteria? Status and stages of dev in African countries differ Level and extent of involvement will differ External stakeholders diversified – approaches
individual or community or country No level playing field between ‘external’ players and
local (includes gov) eg external players are financially and information advantaged
Past experiences with cash crops call for caution
A policy makers choice!!
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Basis for development
Social Dev : not compromise/compete with food, (water, land, labor etc)
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Does the country meet food demand locally What is the share towards food security does
local production meet? Is the country under food security threat?
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Guiding approaches ??
Areas under food production should not shift to biofuels
Areas with high-medium production potential should not be used for biofuels
Marginal land: used only if not under threat to severe unrecoverable degradation
Clear forest land/wetlands for biofuels What type of national support to provide for
biofuels? How does this compete with other food security needs?
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Asanteni Sana