Op-Ed: Biofuel from Sugarcane – Why Is SA Not Rushing Ahead?

Business News/Analysis, Feedstocks, Field/Orchard/Plantation Crops/Residues, Funding/Financing/Investing, Green Jobs, Opinions, Policy, South Africa

March 15, 2018

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by Chris Ward (Daily Maverick) Support for diversification of the sugar industry provides a superb and immediate opportunity for the government of South Africa under its new president to create thousands of new jobs by leveraging sugarcane as a key strategic economic resource.

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No other agricultural crop produced in South Africa has such potential to create a healthier, greener planet while creating employment, reducing dependence on petrol and lowering carbon dioxide emissions. And yet government is lagging behind in the initiatives that could help this crucial industry contribute to its full capacity.

South Africa once had a thriving sugar industry, but in the last 20 years, 58,000 hectares and around 11,000 mostly smaller independent producers have gone out of production. Diversification into new areas is now essential for the industry to survive and prosper.

The good news is that if these new avenues are exploited, particularly if government were to ratify a mandated blend of ethanol in petrol, the sugar industry can not only expand, it can create jobs and alleviate poverty.

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For example, from 2000 to 2011 the percentage of global sugar output that went into bioethanol production doubled from 11% of world sugar production to 22%.

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Last March, South Africa’s Department of Science and Technology launched the Bioenergy Atlas of South Africa to provide information on potential bioenergy resources and their socioeconomic impact.

As the Atlas notes: “The development of a bioenergy industry could have significant impact on job creation, seasonal and permanent, while improving access to energy. As a resource fully exploited, the potential impact with respect to energy access is estimated at 864,000 people and job creation potential of at least 125,000, including seasonal jobs.”

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South Africa finally has a new president after nine years of slow decay under Jacob Zuma. Cyril Ramaphosa’s commitment to job creation and rural and industrial development opens the door for the implementation of measures to take advantage of the sugar industry as a key economic resource, and promote its diversification.

An easy and effective start would be a 2% mandated bioethanol blend for petrol with a target to increase this to 10% or more. READ MORE

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