Wednesday, December 13, 2006
Prospects for Biodiesel in South Africa
Following enquiries from potential international investors regarding prospects for bio-diesel in 'developing' countries, Parallax has investigated the situation in South Africa. Parallax has particular interest in this area since it seems that the best geographical prospects for bio-diesel in South Africa are in KwaZulu Natal, the province in which Switch On Energy Services (the local Section 21 company established by Parallax) operates. The current level of bio-diesel activity in South Africa is limited, with the KZN government and two private companies apparently taking the lead.
Government Moves
In the provincial government, the KZN Department of Agriculture and Environmental Affairs (DAEA) is divided along the departmental themes with regard to the use of Jatropha for bio-diesel. The environmentalists are very cautious, expressing concerns over the introduction to South Africa of a potentially invasive plant. There is a need for more investigation to make an informed decisions. One key source has been an academic institute in Darwin, Australia, which has warned DAEA of the invasiveness of Jatropha. At the Task Team meetings, the need for a Strategic Environmental Assessment before the introduction of Jatropha to any land was adopted in January 2003, but then rescinded in the February meeting. The suggestion was that any SEA should be done on a project by project basis at the community level. The environmentalists in DAEA fear that this means the need for any SEA will simply be overlooked.
Overall, DAEA recognises that Jatropha is already present in South Africa. The National Department of Agriculture has declined previous requests for imports of Jatropha, though there is evidence to suggest that the plant is growing in Zululand, KZN. Though permits are required for any application of new plants to previously cultivated land or virgin territory, DAEA believe that vast areas are already planted with Jatropha.
A possible alternative to Jatropha is a plant called Maringa, though again there is little knowledge of this source. Early indications suggested that bio-diesel production may yield more oil from Maringa, though again DAEA has insufficient information to make any valid assessment.
The political position towards Jatropha has been strengthened by a national government initiative to support bio-diesel production. The national department is pushing Jatropha use for bio-diesel, linking this to poverty alleviation. The benefits from job creation (particularly for farmers), as well as the use of the end product, is seen very positively. In addition to the oil produced from Jatropha, the cake remaining after the seeds are processed is a good fertilizer. One concern however is that the seeds are highly flammable and therefore the process should not be located near to any sugar or paper producing operations (two of the major industries currently operating in KZN).
In general, the use of bio-diesel for energy generation has been given a positive reception from the environmentalists at DAEA, though it is clear that further consideration is required. Of particular significance is the growing public interest in the use of bio-diesel. In early 2003, a Bio-diesel Information Day was held at a local Technical College in Pietermaritzburg. This event attracted over 1000 visitors and gave a useful a push to the bio-diesel prospects in South Africa.
Read full version on http://www.parallaxonline.net/biofuel.html
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