Presentation on theme: "1 Investment Days, FAO HQ, December 2014 Sustainable Bioenergy and Investments in Agriculture The Approach and a new collaboration with EBRD Irini Maltsoglou,"— Presentation transcript:
1 Investment Days, FAO HQ, December 2014 Sustainable Bioenergy and Investments in Agriculture The Approach and a new collaboration with EBRD Irini Maltsoglou, Climate Change, Energy and Tenure
Some key definitions: Biomass, Biofuels and Bioenergy Pathways RESOURCE Solid Biofuels Gaseous Biofuels Liquid Biofuels Firewood, charcoal, briquettes Biogas, syngas (gasification) Bioethanol, biodiesel and straight vegetable oil Woodfuel and woody residues, crop residues, livestock residues, crops, food producessing residues FEEDSTOCK Heating and CookingElectricity Transport
3 Key Definitions: Food Security ….exists when all people, at all times, have physical and economic access to sufficient safe and nutritious food that meets their dietary needs and food preferences for an active and healthy life World Food Summit held in Rome Key Definitions: Food Security ….exists when all people, at all times, have physical and economic access to sufficient safe and nutritious food that meets their dietary needs and food preferences for an active and healthy life World Food Summit held in Rome the 4 dimensions of food security AVAILABILITY - Physical AVAILABILITY of food ACCESS - Economic and physical ACCESS to food UTILIZATION - Food UTILIZATION STABILITY - STABILITY of the dimensions
4 Linkages: Bioenergy and Food Security Bioenergy Food Availability (Supply) Food Availability (Supply) Food Access (Income and prices) Food Utilization (Nutrition) To be defined which, if any, are: Environmental sustainability, social acceptability, and economic viability of the bioenergy sector “setup” To be defined which, if any, are: Environmental sustainability, social acceptability, and economic viability of the bioenergy sector “setup” Which options allow to integrate the energy and agriculture production systems?
5 FAO’s Bioenergy and Food Security (BEFS) Approach Assisting countries with the development of a sustainable, food secure bioenergy sector that integrates the agricultural sector Six areas of support Impact Monitoring, Evaluation and Response Support to Policy Formulation Sustainable Bioenergy Assessment Scoping Stakeholder Dialogue and Capacity Building Risk Prevention, Management and Investment Screening BEFS Rapid Appraisal BEFS Operator Level Tool
6 The BEFS Rapid Appraisal Transport Bioethanol, biodiesel Transport Bioethanol, biodiesel Electricity Gasification, SVO, Combustion Electricity Gasification, SVO, Combustion Country Specific Evidence Country Status Review of key indicators and trends: Agriculture, Energy, Environment, etc. Energy End Use Options Techno-economic and socioeconomic analysis Biomass Potential Assessment Agriculture Residues Woodfuel and Wood Residues Crops Natural Resources Biomass Potential Assessment Heating and Cooking Charcoal, briquettes and biogas Heating and Cooking Charcoal, briquettes and biogas Pellets, Biogas (larger scale), CHP
7 BEFS Operator Level Tool: indicators and scoring system Screening of sustainability of bioenergy projects (environmental, social and economic) –According to EBRD sustainability requirements and FAO food security indicators At the end the investment reviewed receives an overall scoring: –No significant impacts –Potentially significant impacts, that can be mitigated –Potentially significant impacts, that are not acceptable
8 FAO EBRD project on bioenergy Title: Supporting National and Private Sector Capacities in Sustainable Agricultural and Bioenergy Investments Aim of the project: supporting decision-making related to bioenergy in countries of operations of the EBRD –The implementation period of the project will run from October 2014 to August Three core elements of the project: 1.Tools: BEFS Rapid Appraisal and BEFS Operator Level Tool 2.Country level work: Egypt, Turkey, Ukraine, including private sector coverage 3.Capacity building: EBRD and in country
9 Where to find all the information Introduction to BEFS RA BEFS RA Data collection sheets BEFS RA Tools and Manuals BEFS Approach
10 BEFS RA: output and interlinkages Country status Key food staples, agriculture export crops, energy demand and access Natural Resources: Biomass Potential Assessment Quantity of feedstock potentially available considering the country needs Feedstock costs for some cases Energy end use options Considering the feedstock potentially available, the feedstock costs and the domestic energy requirements: Production costs, investment requirements, economic profitability, labour needs, number of households supplied, etc.
11 Overview of the project (contd.) Outputs of the project: 1.A set of tailored tools to the country context 2.Country level analysis and report 3.Training on the approach and the tools
12 How does the appraisal account for food security and sustainability? Food Security –Identify key food staples in the country –Strive for feedstock production that is additional to current uses –Consider options for income generation, employment and potential tradeoffs (feedstock level, processing level) Sustainable use of natural resources –intensification of agricultural production as preferred option –forestland and protected areas excluded –current/planned uses of residues excluded –importance of residues for soil fertility and structure considered Economic and social sustainability –competitiveness –financial viability –outgrowers’ inclusion
13 BEFS Rapid Appraisal Characteristics: –Excel based set of tools –globally applicable, national (subnational) level assessment –implementable in a relatively short time –can be used with limited user defined data, default values are provided as an option –analysis can focus on country needs –allows to limit the scope of detailed analysis Limitations: –Accuracy of results depend on the accuracy of the data Default data, user defined data –Further detailed analysis would be required for actual policy formulation, so this is the initial step. A sub-national level BEFS RA could be an option.
14 Phases of implementation of the BEFS RA Phase 1: country needs, focus (stakeholder discussions) and data collection Phase 2: analysis with the BEFS RA tools –Country status, natural resources and energy end use options Phase 3: results screening, discussion and decision on way forward Timing 4 to 6 months
15 Impact Monitoring, Evaluation and Response Support to Policy Formulation Sustainable Bioenergy Assessment Scoping Stakeholder Dialogue and Capacity Building Country level support and Evidence: The Bioenergy and Food Security (BEFS) Approach Six areas of support: Risk Prevention, Management and Investment Screening Structure Evidence Stakeholder Dialogue Capacity Building Integrate Agriculture and Energy
16 BEFS RA Case study Rural electrification options in Malawi Options for rural electrification to be generated from SVO/gasification technology from sunflower/soybean Which is the most suitable solution?
17 The BEFS Rapid Appraisal Overview information –Heavily dependent on agriculture, high poverty, low GDP/capita Food security and agriculture –Main food crop: Maize –Main ag export crop: Tobacco Energy and energy access –Heavily reliant on biomass for energy, household main consumers Country Status Review of key indicators and trends: Agriculture, Energy, Environment, etc.
18 The BEFS Rapid Appraisal Crops – available for bioenergy sunflowersoybean Intensification (t/year)8,47091,844 Change of crops (t/year)54,942 Extensification: possibility unclear at this level of analysis TOTAL (t/year)63,41291,844 Allocated for SVO (t/year)31,70645,922 Allocated for biodiesel (t/year)31,70645,922 Crops residues – available for bioenergy 91,844 Maize cobSorghum straw/stalk TOTAL (t/year)57,28138,167 Allocated for rural electrification - gasification57,28138,167 Natural Resources Agriculture Residues Fuelwood and Wood Residues Crops
19 The BEFS Rapid Appraisal Transport Bioethanol, biodiesel Transport Bioethanol, biodiesel Rural Electrification Gasification, SVO, Combustion Rural Electrification Gasification, SVO, Combustion Heating and Cooking Charcoal, briquettes, biogas Heating and Cooking Charcoal, briquettes, biogas Energy End Use Options Techno-economic and socioeconomic analysis
20 Production cost (USD/kWh) GasificationSVO
21 Investment cost (USD) GasificationSVO
22 Number of Plants Sustainably supplied GasificationSVO