RE: [Biofuel] Biofuel as a rural community development project in Mozambique
Hello Alexis Dear Armando, Hakan, Chris, Mel, and everyone else, Thanks for the responses received to my question. I make two tentative conclusions: (a) It seems biodiesel is probably more attractive than bioethanol, as far as local production for poverty reduction is concerned. You don't have to choose, indeed you shouldn't choose. There'll surely be some circumstances where bioethanol is more appropriate than biodiesel, for one or another reason, and there'll be other circumstances where both would be better. Another option is biogas, to provide heat for processing, and as a useful village technology in iteself. By-products and wastes from fuel production help to feed the biogas unit; the biogas effluent and sludge is composted to provide more fertiliser for growing the biofuels crops. In some situations using the mash from ethanol production as livestock feed can be a critical cost factor in whether the whole operation is economically viable or not. (The livestock manure then feeds the biogas unit and the compost unit.) And so on. "A rational and sustainable energy future requires great reductions in energy use (currently mostly waste), great improvements in energy use efficiency, and, most important, decentralisation of supply to the small-scale or farm-scale local-economy level, along with the use of all ready-to-use renewable energy technologies in combination as the local circumstances require." This is from a previous message: I am mainly concerned with plant oil as fuel in developing countries on the basis of village technology, and in this case all blends of oil with alcohol or biodiesel make the system more complicated (oil extraction is a simple technology compared with alcohol destillation). Well, I agree, but I also think there are many village situations where both alcohol and biodiesel are feasible. I think it's not so easy to find an area where distillation is unknown. All over the world (not just the Third World) local people make hooch - very often beer, but there's usually some distilling going on too. We hear the bad stories - 20 people killed after drinking illegal liquor at a village wedding party, you know what happens. I think however that these are a small minority of cases, most local hooch is well-made with no methanol. Whatever, the local technology is often there, and improving it, making it safer, while providing a useful fuel supply is no bad thing, and can provide double-use for local crops and/or crop wastes. Again, with biodiesel, most or all of what's required can be locally available (the oil, ethanol, an easy way of drying the ethanol, KOH from ash, simple ways to control quantities and pH). But it all depends on local conditions, local requirements. I think it's as well to have as many options available as possible. Keep your options open rather than deciding in advance. (b) It seems that the local rural market may be much larger than I initially thought, since, if the price is right, biodiesel can also be used as an alternative for fuel in the home (cooking, lighting). So can biogas, and so can ethanol, all the more so if the local community is producing it themselves from their own resources. Any more contributions gratefully accepted! In particular, what is the "best" feedstock for Mozambique? Coconut/copra, sunflower, oil-rich algae, oil palm, jatropha? I suppose it partly depends on whether we are talking about coastal or inland areas. There is no "best" feedstock. It just doesn't work that way. This is how it works: http://journeytoforever.org/community.html Community development http://journeytoforever.org/community2.html Community development - poverty and hunger It's a sad fact that most development projects don't work well, if at all, and at worst they can do more harm than good. A major reason for this is that no doubt very well-intentioned people get to thinking they're the ones who should decide what's the "best" feedstock, the "best" technology, the "best" methods, without the local people having any say in it, although they're the ones who'll be doing it, and they're the "target group" who're supposed to benefit from it. It just doesn't work - they have to be involved at every level, including the decision-making level, and particularly with women's issues. If projects aren't done this way, it's not too cynical to say that perhaps the only way they'll "work" is in providing opportunities for grant-seeking, for field experience that looks good on a CV, for research material for a doctoral thesis, for career enhancement for development workers, while what happens on the ground is another story, with the intended "benefits" going in all the wrong directions or "unforeseen" side-effects somehow achieving the opposite of the intended results. Working with community involvement is more difficult, and you end up with a bunch of different projects - the one in this valle
RE: [Biofuel] Biofuel as a rural community development project in Mozambique
Dear Armando, Hakan, Chris, Mel, and everyone else, Thanks for the responses received to my question. I make two tentative conclusions: (a) It seems biodiesel is probably more attractive than bioethanol, as far as local production for poverty reduction is concerned. (b) It seems that the local rural market may be much larger than I initially thought, since, if the price is right, biodiesel can also be used as an alternative for fuel in the home (cooking, lighting). Any more contributions gratefully accepted! In particular, what is the "best" feedstock for Mozambique? Coconut/copra, sunflower, oil-rich algae, oil palm, jatropha? I suppose it partly depends on whether we are talking about coastal or inland areas. In the meantime, here are a couple of biodiesel initiatives I have found on the Internet which seem to go along the same lines I was thinking of: - A non-profit pilot run by the Kluyver Centre with Dutch school students, on algae in Mozambique (see http://www.kluyvercentre.nl/content/documents/Projectdescriptionwebsite.pdf) - A World Bank-sponsored pilot by CTx Green and Gram Vikas in India (see the WB Development Marketplace at http://web.worldbank.org/WBSITE/EXTERNAL/OPPORTUNITIES/GRANTS/DEVMARKETPLACE /0,,contentMDK:20214658~menuPK:214469~pagePK:180691~piPK:174492~theSitePK:20 5098,00.html) In addition, I have seen that there is a start-up commercial venture based around jatropha in Mozambique and South Africa (see http://www.deulco.co.za/). Any further information on these and other relevant projects would be very useful. Alexis -Original message by Armando- With the current oil prices I am sure many things can be done in rural communities in Mozambique in the area of biofuels. I would leave fuel ethanol for the sugar cane factories to produce. It can be mixed up to 10% in gasoline as the Malawians are doing, apparently. The rural poor buy kerosene (and sometimes gasoil) for illumination at very high prices, above USD1000,00 per cubic metre in many remote areas, were vegetable oil (coconut oil for instance) could be used. This would be a very small-scale project, but the local alternative price of the raw material should be investigated. I have done some calculations on coconut oil and found out that the raw material (copra) is the most important single cost in the production of oil. The vegetable oil could also be used in diesel engines running the small-scale mills scattered around the rural communities. -Original message by Alexis- I am toying with the idea of trying to set up a pilot rural community development project involving biofuel (bioethanol or biodiesel or SVO, whichever is most appropriate) in Mozambique. I am hoping that you can give me your opinion and advice on the technical feasibility, commercial viability and ultimately, long-term sustainability, in a poor isolated African rural setting, of small-scale, community-based, locally-run biofuel production. If anyone has had experience of a similar project, I would be extremely interested to have information about that. [...] ___ Biofuel mailing list Biofuel@sustainablelists.org http://sustainablelists.org/mailman/listinfo/biofuel_sustainablelists.org Biofuel at Journey to Forever: http://journeytoforever.org/biofuel.html Search the combined Biofuel and Biofuels-biz list archives (50,000 messages): http://www.mail-archive.com/biofuel@sustainablelists.org/
Re: [Biofuel] Biofuel as a rural community development project in Mozambique
hello, alexis. you may have received numerous replies already, but just want to point out that the optimum temperature range for fermentation is roughly between 50 and 70 degrees fahrenheit. efficiency drops off as you get further out of that range. something to be taken into account when calculating costs/feasibility. -chris -Original Message-From: Alexis Rawlinson <[EMAIL PROTECTED]>To: Biofuel@sustainablelists.orgSent: Mon, 27 Jun 2005 20:43:07 +0200Subject: [Biofuel] Biofuel as a rural community development project in Mozambique I am toying with the idea of trying to set up a pilot rural community development project involving biofuel (bioethanol or biodiesel or SVO, whichever is most appropriate) in Mozambique. I am hoping that you can give me your opinion and advice on the technical feasibility, commercial viability and ultimately, long-term sustainability, in a poor isolated African rural setting, of small-scale, community-based, locally-run biofuel production. If anyone has had experience of a similar project, I would be extremely interested to have information about that. Am I right in thinking that the technical feasibility is beyond question? Bear in mind that we are talking about very isolated and poor communities where everything has to be low-tech and low-maintenance. On the basis of this criterion, biodiesel appears to be the most appropriate fuel as it can be used in diesel vehicles/machines/generators (even very old and rickety ones?) with no engine modifications. We can discount the issue of having to change filters initially because of accumulated petrodiesel deposits falling off (we could include the cost of new filters in start-up subsidies). We also don't need to worry about problems with cold starts, since Mozambique is a tropical country. I am more concerned about the question of commercial viability. The project will only be replicable on a larger scale and sustainable in the long term if, after initial start-up costs, every link in the value chain has an incentive to participate and it is profitable for all concerned (i.e. the anticipated gains should outweigh the expected costs, including the opportunity cost of doing something else). a) Inputs: Local farmers will have an incentive to supply the biofuel production facility with feedstock only if prices paid and quantities required by the production facility are stable and remunerative compared to undertaking other activities, such as growing other crops for other purposes. b) Production: Local entrepreneurs will have an incentive to make investments in biofuel production facilities and operate and maintain those facilities only if they can sell their fuel at a remunerative price, i.e. if they can compete against fossil fuels (whether locally, nationally, regionally or globally, depending on the scale of production). c) Demand: We know that the world market for biofuels is growing rapidly and that the policy environment is becoming extremely favourable. However, supposing, as is most likely to be the case, that local biofuel is most competitive on the local market (and least competitive on the global market, where it has to compete with industrial-scale production), there must be a critical mass of buyers on that market, i.e. local communities must have the desire / ability to invest in machines, vehicles or generators, and the ability to pay for biofuel on a regular basis to run those machines. I guess the root question is the following: is the current situation in rural southern Africa - no biofuel production - a market failure that could be resolved by kickstarting a virtuous cycle in the sector with start-up outreach and support activities and subsidies, or is it simply not an economically viable sector except with permanent subsidy and support? It seems to me that, to answer this question, there are three crucial cost assessments which need to be made: a) Start-up costs: the required investments by farmers, by local biofuel entrepreneurs, by future biofuel consumers, and to what extent can/should "outreach and support activities" subsidize these fixed costs? b) Price and availability of feedstock: How will local feedstock production compare to growing other crops or not growing crops at all? Might it potentially actually be cheaper to import the feedstock from elsewhere (which would defeat much of the local development aspect of the project)? P.S. A lot of sugarcane is grown in Mozambique and the country has big potential to become a major low-cost producer of sugar (and therefore ethanol?) (although again, we are more likely talking about large estates than small-holders). c) Value of market demand for biofuel: How cheaply will local biofuel producers be able to sell their production, and how large will be their market? To what extent can they compete with fossil fuels, and imported industrial-scale biofuel producers on the local/national/regional/global market? D
Re: [Biofuel] Biofuel as a rural community development project in Mozambique
Alexis, You forgot maybe the most important factor and what keeps many developing countries in their place. The question of trade balance or rather imbalances!!! For many are the internal cost the determining factor, because it can be a major positive effect to lower the negative trade balance, even if the internal energy produce has to be subsidized. The net effect can make biofuel a win - win produce anyway. It is also some more adaptions that has to be made to old engines, the rubber seals has probably be replaced. This is however not a major problem. With the right climate, you can compare directly with Brazil and gain substantially, at the same time as you get substantial job creation. This is valid for both Ethanol and biodiesel. Hakan At 08:43 PM 6/27/2005, you wrote: I am toying with the idea of trying to set up a pilot rural community development project involving biofuel (bioethanol or biodiesel or SVO, whichever is most appropriate) in Mozambique. I am hoping that you can give me your opinion and advice on the technical feasibility, commercial viability and ultimately, long-term sustainability, in a poor isolated African rural setting, of small-scale, community-based, locally-run biofuel production. If anyone has had experience of a similar project, I would be extremely interested to have information about that. Am I right in thinking that the technical feasibility is beyond question? Bear in mind that we are talking about very isolated and poor communities where everything has to be low-tech and low-maintenance. On the basis of this criterion, biodiesel appears to be the most appropriate fuel as it can be used in diesel vehicles/machines/generators (even very old and rickety ones?) with no engine modifications. We can discount the issue of having to change filters initially because of accumulated petrodiesel deposits falling off (we could include the cost of new filters in start-up subsidies). We also don't need to worry about problems with cold starts, since Mozambique is a tropical country. I am more concerned about the question of commercial viability. The project will only be replicable on a larger scale and sustainable in the long term if, after initial start-up costs, every link in the value chain has an incentive to participate and it is profitable for all concerned (i.e. the anticipated gains should outweigh the expected costs, including the opportunity cost of doing something else). a) Inputs: Local farmers will have an incentive to supply the biofuel production facility with feedstock only if prices paid and quantities required by the production facility are stable and remunerative compared to undertaking other activities, such as growing other crops for other purposes. b) Production: Local entrepreneurs will have an incentive to make investments in biofuel production facilities and operate and maintain those facilities only if they can sell their fuel at a remunerative price, i.e. if they can compete against fossil fuels (whether locally, nationally, regionally or globally, depending on the scale of production). c) Demand: We know that the world market for biofuels is growing rapidly and that the policy environment is becoming extremely favourable. However, supposing, as is most likely to be the case, that local biofuel is most competitive on the local market (and least competitive on the global market, where it has to compete with industrial-scale production), there must be a critical mass of buyers on that market, i.e. local communities must have the desire / ability to invest in machines, vehicles or generators, and the ability to pay for biofuel on a regular basis to run those machines. I guess the root question is the following: is the current situation in rural southern Africa no biofuel production a market failure that could be resolved by kickstarting a virtuous cycle in the sector with start-up outreach and support activities and subsidies, or is it simply not an economically viable sector except with permanent subsidy and support? It seems to me that, to answer this question, there are three crucial cost assessments which need to be made: a) Start-up costs: the required investments by farmers, by local biofuel entrepreneurs, by future biofuel consumers, and to what extent can/should outreach and support activities subsidize these fixed costs? b) Price and availability of feedstock: How will local feedstock production compare to growing other crops or not growing crops at all? Might it potentially actually be cheaper to import the feedstock from elsewhere (which would defeat much of the local development aspect of the project)? P.S. A lot of sugarcane is grown in Mozambique and the country has big potential to become a major low-cost producer of sugar (and therefore ethanol?) (although again, we are more likely talking about large estates than small-holders). c) Value of market demand for biofuel: How cheaply will local biofuel producers be able to
[Biofuel] Biofuel as a rural community development project in Mozambique
I am toying with the idea of trying to set up a pilot rural community development project involving biofuel (bioethanol or biodiesel or SVO, whichever is most appropriate) in Mozambique. I am hoping that you can give me your opinion and advice on the technical feasibility, commercial viability and ultimately, long-term sustainability, in a poor isolated African rural setting, of small-scale, community-based, locally-run biofuel production. If anyone has had experience of a similar project, I would be extremely interested to have information about that. Am I right in thinking that the technical feasibility is beyond question? Bear in mind that we are talking about very isolated and poor communities where everything has to be low-tech and low-maintenance. On the basis of this criterion, biodiesel appears to be the most appropriate fuel as it can be used in diesel vehicles/machines/generators (even very old and rickety ones?) with no engine modifications. We can discount the issue of having to change filters initially because of accumulated petrodiesel deposits falling off (we could include the cost of new filters in start-up subsidies). We also don't need to worry about problems with cold starts, since Mozambique is a tropical country. I am more concerned about the question of commercial viability. The project will only be replicable on a larger scale and sustainable in the long term if, after initial start-up costs, every link in the value chain has an incentive to participate and it is profitable for all concerned (i.e. the anticipated gains should outweigh the expected costs, including the opportunity cost of doing something else). a) Inputs: Local farmers will have an incentive to supply the biofuel production facility with feedstock only if prices paid and quantities required by the production facility are stable and remunerative compared to undertaking other activities, such as growing other crops for other purposes. b) Production: Local entrepreneurs will have an incentive to make investments in biofuel production facilities and operate and maintain those facilities only if they can sell their fuel at a remunerative price, i.e. if they can compete against fossil fuels (whether locally, nationally, regionally or globally, depending on the scale of production). c) Demand: We know that the world market for biofuels is growing rapidly and that the policy environment is becoming extremely favourable. However, supposing, as is most likely to be the case, that local biofuel is most competitive on the local market (and least competitive on the global market, where it has to compete with industrial-scale production), there must be a critical mass of buyers on that market, i.e. local communities must have the desire / ability to invest in machines, vehicles or generators, and the ability to pay for biofuel on a regular basis to run those machines. I guess the root question is the following: is the current situation in rural southern Africa no biofuel production a market failure that could be resolved by kickstarting a virtuous cycle in the sector with start-up outreach and support activities and subsidies, or is it simply not an economically viable sector except with permanent subsidy and support? It seems to me that, to answer this question, there are three crucial cost assessments which need to be made: a) Start-up costs: the required investments by farmers, by local biofuel entrepreneurs, by future biofuel consumers, and to what extent can/should outreach and support activities subsidize these fixed costs? b) Price and availability of feedstock: How will local feedstock production compare to growing other crops or not growing crops at all? Might it potentially actually be cheaper to import the feedstock from elsewhere (which would defeat much of the local development aspect of the project)? P.S. A lot of sugarcane is grown in Mozambique and the country has big potential to become a major low-cost producer of sugar (and therefore ethanol?) (although again, we are more likely talking about large estates than small-holders). c) Value of market demand for biofuel: How cheaply will local biofuel producers be able to sell their production, and how large will be their market? To what extent can they compete with fossil fuels, and imported industrial-scale biofuel producers on the local/national/regional/global market? Do you agree with this general approach? Do you think the idea is viable? Have you undertaken this kind of cost assessment, or do you know of someone who has? Do you have ballpark figures for the various costs involved? In short, should I keep working on this idea and try to turn into reality or are the chances of success too low to merit serious attention? Many thanks for your help. Alexis Alexis Rawlinson Economista, UTCOM-DRI Ministério da Indústria e Comércio Endereço postal: C.P. 400, Maputo, Moçambique Tel: +258 82 8059650 _
