Shailee PowerPoint - Tufts Institute of the Environment

Research Background
Biofuels and its Implications on Food Security, Climate Change, and Energy Security:
A Case Study of Nepal
By Shailee Pradhan
Master of Arts in Law and Diplomacy Candidate at The Fletcher School
Master of Science in Food Policy and Applied Nutrition Candidate
at Friedman School of Nutrition Science and Policy
Tufts University
The solution to the problem of energy scarcity is to become more
efficient in our use of energy, which in advanced economies can be
achieved through mass transit systems and energy-efficient appliances.
In developing countries, the need still remains in providing affordable,
reliable, and accessible energy through diverse sources.
Biofuels can play an important role in supplying energy in rural
transport sector without negatively affecting food security and the
environment. The key is to distinguish between large-scale biofuel
production that diverts water, labor, land, and food crops like maize
and sugarcane away from food to fuel and small to medium-scale local
biofuel production for local energy needs using non-food crops,
marginalized land, and labor where there is minimal employment
opportunities.
Research Objective and Methodology
This research was undertaken to examine the case of biofuels in
Nepal and to provide recommendations on pursuing biofuel
production in a way that does not compromise food security. The research was carried out through extensive literature review,
interviews with key stakeholders, cost-benefit analysis of biofuels
production, and case studies of existing biofuel projects in Nepal.
Why Biofuels?
“No country in modern times has substantially reduced poverty in
the absence of massive increases in energy use” - (UN-Energy
2007, 6)
The alternative energy sources in Nepal focus primarily on rural
electrification through micro-hydro power and solar energy and on
cooking and heating through biogas and biomass. However, there
has been very little focus on alternative energy for transportation. Because diesel-run irrigation pumps and tractors are important
input in agriculture and are cheaper than electric or solar vehicles,
this makes biodiesel a popular alternative fuel for vehicles.
If we ensure that land, water, and food crops are not diverted away
from food, then the negative impact of biofuels on food security
could be mitigated. Furthermore, small-scale local production done
in a sustainable manner will reduce GHG emissions.
What are Biofuels?
Biofuels have been defined as any fuel of biological and renewable
origin, including biomass. Much of the public debate has focused on
liquid biofuels for transportation, namely bioethanol and biodiesel.
Biofuel currently come in two forms:
Winrock International Nepal’s Biofuel Project: Bio-diesel Irrigation Pump; photo courtesy: Kuikel (2009)
2. Biodiesel: Biodiesel can be manufactured by the transesterification
of vegetable oil. It can be blended with diesel to reduce the
consumption of diesel.
In Nepal, Jatropha is found widely in the wild in over 70 of the 75 districts
of Nepal. High oil yielding Jatropha is found in all tropical and subtropical
districts up to 1200 m. Rural communities can cultivate their own Jatropha
plants in the community wastelands or as hedges in their private land. Source: http://www.sanog.org/sanog4/images/nepal_map.gif Jatropha plant; photo courtesy: Kuikel (2009)
Cost-Benefit Analysis for Biofuel Production in Nepal
There are costs and benefits associated with biofuel production, and a careful
analysis is needed to devise biofuel policies. The Nepalese Scenario
Implications
Costs
- High poverty and low - If biofuel production diverts
land, food, water, and labor,
Diversion of nutritional indicators this will have negative
food and land - Net importer of food
to
biofuels - Stagnant productivity in implications for food security
may
cause agriculture and lowest crop - However, energy security is
food prices to yields in South Asia
crucial to improve food
rise
security. Energy security can
improve
agricultural
p r o d u c t i v i t y,
provide
employment
opportunities,
and improve health
Benefits 1. Ethanol: Ethanol can be made from sugars (e.g., sugar beets,
sugarcane and sweet sorghum), grains (such as maize and wheat), root
crops (such as cassava), cellulose and waste products
- Nepalese Oil Company
E n e r g y (NOC) runs at a monthly loss
of more than USD 2.2 million
access (Republica 2009)
- If local energy needs can be
met through biofuels, it would
lower the monthly losses of
NOC - Only 48% population has -Energy services through
access to electricity (Adhikari biofuels
may
improve
2008)
agricultural productivity by
making
mechanized
- Agriculture characterized by
agricultural inputs available,
slow and variable growth and
thus contributing to food
low productivity
security
The Trade-Offs Associated with Biofuels
The trade-offs are depicted in the graphical representation below.
It shows how food security is affected by climate change and
biofuel production as well as how climate change and biofuel
production are related. Climate change will negatively affect food
security. However, if we can emphasize the positive signs and
reduce the negative signs, biofuel production can improve food
security and mitigate climate change.
Employment - Unemployment is at 42% - Job creation in rural areas is
generation
(Ghimire 2008)
even more important in the
- Population is growing at a face of rising food prices rate of 2.2% annually (ibid)
A jatropha Nursery in Kathmandu that encourages growing jatropha sustainably and a woman making jute bags
for jatropha plants; photo courtesy: Kashish Das Shrestha
- Small-scale production of
biodiesel could meet energy
needs of a village while
providing
employment
opportunities
The Biofuel Debate
The world faced its worst food crisis in 2008 since the 1970s. Of the
factors that are widely accepted as having led to the rise in food prices,
biofuels are possibly the most controversial. Biofuel production is
charged with diverting land, food, and feed away from food to fuel. R e d u c i n g - With climate change
G
H
G impacts, crop yields could
emissions
decrease up to 30 percent in
South Asia by mid- 21st
century (IPCC 2007)
- Biofuel production has
generally been shown to have
a positive effect in mitigating
climate change, so this may
have positive implications on
- Nepal can take advantage of food security in the long run
the
Clean
Development - Under CDM, the Nepalese
Mechanism (CDM) and sell government can earn revenue carbon credits to countries
with reduction commitments
Additonally, Cohen et al. (2008) argue that biofuels offer only a very
small gain in energy efficiency and their production minimally reduces
GHG emissions. A study by Crutzen et al. (2007) show that some of
biofuels can contribute as much if not more to climate change as fossil
fuels. However, before dismissing biofuels as leading to food security and
environmental degradation, it is important to make the distinction
between large-scale biofuel production that diverts water, labor, land,
and food crops like maize and sugarcane away from food to fuel and
small to medium-scale local biofuel production for local energy needs
using non-food crops, marginalized land, and labor where there is
minimal employment opportunities. The former relates to the way
biofuel production is pursued in advanced economies and the latter
relates to how biofuel production can be pursued in developing
countries, under proper policy guidelines
Jatropha Cultivation in Nepal
The seeds of jatropha curcas contain up to 30 percent oil, which once
processed into biodiesel and blended with conventional diesel can be used in
standard diesel cars (Kuikel 2009). Jatropha offers the following advantages:
1. Requires low water and fertilizer for cultivation
2. Not grazed by cattle or sheep because it is mildly toxic
3. Pest resistant
4. Produces high protein manure Reducing
i n d o o r pollution and
improving
health
- The vast majority of the - Biofuels can reduce indoorpopulation rely on biomass pollution
and
improve
energy
women’s health
- Biomass makes up for 92%
of the basic energy services
such as cooking and heating
(World Bank 2007)
References:
Adhikari, K D. "NEA Half-Year Bulletin." Vidyut 10, no. 1 (August 2008).
Cohen, M J, C Tirado, N Aberman, and B Thompson. Impact of Climate Change and Bioenergy on Nutrition. Washington DC: International Food Policy and Research Institute (IFPRI), 2008.
Crutzen, P J, A R Mosier, K A Smith, and W Winiwarter. "N2O Release From Agro-Biofuel Production Negates Global Warming Reduction by Replacing Fossil Fuels." Atmospheric Chemistry and Physics 7, no. 4 (2007): 11191-11205.
Ghimire, S R. "Environmental Concern in Nepalese Agriculture." The Journal of Agriculture and Environment 9 (June 2008).
IPCC. Climate Change 2007. Geneva: Intergovernmental Panel on Climate Change (IPCC), 2007.
Kuikel, Jagadish Chandra, Senior Research Associate, Winrock International Nepal, interview by Shailee Pradhan. (August 15, 2009).
Republica. NOC brings down diesel imports. September 13, 2009. http://www.myrepublica.com/portal/index.php?action=news_details&news_id=9755 (accessed October 10, 2009).
UN-Energy. Sustainable Bioenergy: A Framework for Decision Makers. New York: United Nations-Energy, 2007, 6.
World Bank. Nepal Renewable Energy Project to Reduce Greenhouse Gas Emissions. July 2, 2007. Washington DC: World Bank, 2007.
-Women’s
health
have
significant impact on food
security
of
the
entire
household
Potential of Jatropha Cultivation As Sharma and Banskota (2006) calculate, Nepal has 14.7 million hectares
of land of which 4.41 million ha (30%) has favorable climatic conditions for
cultivation of jatropha. Even if only 10% of this potential land is used for
jatropha cultivation, with the yield assumption of 10 tons per hectare, 4.41
million tons of jatropha seed can be produced annually, which is equivalent
to 1.1 million tons of jatropha oil or biodiesel assuming oil yield is 25% of
weight of the seeds. This is almost twice the amount of total petroleum
products (i.e. 0.67 million kiloliters) imported into the country in 2004/05. Financing Biofuels Projects
Oil from jatropha can be expelled using a simple mustard oil expeller that
either uses manual labor or diesel. Mustard oil expellers are available in
most rural areas of the country. For a small-scale, locally run jatropha
production, most communities are able to finance their own projects, with
help from microcredit institutions. Already programs like USAID’s Nepal
Biogas Microfinance Capacity Building Program, UNDP’s Small Grant
Program, and Biogas Sector Partnership Nepal, to name a few, have used
microcredit to finance biogas and solar energy projects in Nepal .
Recommendations
Nepal has no national biofuel policy so far, and any activity in this area is
limited to academic or R&D levels with no support from the government.
In January 2004, the cabinet had decided to blend 10 percent ethanol in
petrol being used in the country, however, this decision has not yet
materialized. In Nepal, the Alternative Energy Promotion Center (AEPC) under the
Ministry of Environment, Science and Technology (MoEST) is responsible
for biofuel policies. The recommendations are directed towards them:
1. Formation of a Biodiesel Board
- Coordinate policies amongst different government agencies
- Promote transparency and public debate instead of closed-door policy
formulation
- Evaluate and approve large-scale production proposals
2. Pro- Food Security Approach
Assigning Wasteland for Growing Energy Crops
- Identify wasteland for biofuel production
- Seek support from village level government entities to collect land use
information
- Involve army and police barracks for their manpower, technical expertise,
and land
A Community-based Biofuel Production
- Include landless farmers
- Involve district and village-level government entities in the monitoring
process
Growing Non-edible Energy Crops
- Ban the use of edible crops for a limited time
3. Private Investments
- Limit the scope of land use and crop use policy to wasteland and nonedible crops
- Evaluate and approve the projects through the Biodiesel Board
4. Investing in Research and Development
- Partner with universities at home and abroad and build public-private
partnerships for shared risks
5. Awareness Programs and Trainings
- Compile project updates and create flyers to share knowledge on best
practices