Central Asia's Vast Biofuel Opportunity
The recent revelations of a International Energy Administration whistleblower that the IEA may have distorted essential oil forecasts under extreme U.S. pressure is, if real (and whistleblowers seldom step forward to advance their careers), a slow-burning thermonuclear surge on future worldwide oil production. The Bush administration's actions in pressing the IEA to underplay the rate of decrease from existing oil fields while overplaying the opportunities of finding brand-new reserves have the possible to throw governments' long-term planning into turmoil.
Whatever the reality, rising long term global demands seem specific to overtake production in the next decade, specifically given the high and increasing expenses of developing new super-fields such as Kazakhstan's overseas Kashagan and Brazil's southern Atlantic Jupiter and Carioca fields, which will need billions in financial investments before their first barrels of oil are produced.
In such a situation, additives and alternatives such as biofuels will play an ever-increasing function by stretching beleaguered production quotas. As market forces and increasing costs drive this technology to the forefront, one of the richest possible production areas has been absolutely ignored by investors up to now - Central Asia. Formerly the USSR's cotton "plantation," the region is poised to end up being a major player in the production of biofuels if enough foreign investment can be procured. Unlike Brazil, where biofuel is produced mostly from sugarcane, or the United States, where it is primarily distilled from corn, Central Asia's ace resource is a native plant, Camelina sativa.
Of the previous Soviet Caucasian and Central Asian republics, those clustered around the shores of the Caspian, Azerbaijan and Kazakhstan have seen their economies boom due to the fact that of record-high energy costs, while Turkmenistan is waiting in the wings as a rising manufacturer of gas.
Farther to the east, in Uzbekistan, Kyrgyzstan and Tajikistan, geographical seclusion and relatively scant hydrocarbon resources relative to their Western Caspian next-door neighbors have actually mostly inhibited their ability to cash in on rising worldwide energy demands up to now. Mountainous Kyrgyzstan and Tajikistan stay mainly dependent for their electrical needs on their Soviet-era hydroelectric facilities, but their heightened requirement to generate winter electrical energy has actually led to autumnal and winter water discharges, in turn severely affecting the farming of their western downstream next-door neighbors Uzbekistan, Kazakhstan and Turkmenistan.
What these three downstream nations do have nevertheless is a Soviet-era legacy of farming production, which in Uzbekistan's and Turkmenistan case was mainly directed towards cotton production, while Kazakhstan, beginning in the 1950s with Khrushchev's "Virgin Lands" programs, has actually ended up being a significant manufacturer of wheat. Based upon my conversations with Central Asian government authorities, provided the of cotton monoculture, foreign proposals to diversify agrarian production towards biofuel would have great appeal in Astana, Ashgabat and Tashkent and to a lower level Astana for those sturdy investors happy to bank on the future, specifically as a plant native to the region has currently shown itself in trials.
Known in the West as false flax, wild flax, linseed dodder, German sesame and Siberian oilseed, camelina is bring in increased scientific interest for its oleaginous qualities, with a number of European and American companies already investigating how to produce it in commercial quantities for biofuel. In January Japan Airlines carried out a historic test flight utilizing camelina-based bio-jet fuel, ending up being the very first Asian carrier to explore flying on fuel stemmed from sustainable feedstocks during a one-hour demonstration flight from Tokyo's Haneda Airport. The test was the conclusion of a 12-month examination of camelina's functional efficiency capability and prospective business practicality.
As an alternative energy source, camelina has much to suggest it. It has a high oil content low in saturated fat. In contrast to Central Asia's thirsty "king cotton," camelina is drought-resistant and immune to spring freezing, needs less fertilizer and herbicides, and can be used as a rotation crop with wheat, which would make it of particular interest in Kazakhstan, now Central Asia's major wheat exporter. Another bonus offer of camelina is its tolerance of poorer, less fertile conditions. An acre sown with camelina can produce approximately 100 gallons of oil and when planted in rotation with wheat, camelina can increase wheat production by 15 percent. A heap (1000 kg) of camelina will include 350 kg of oil, of which pushing can draw out 250 kg. Nothing in camelina production is squandered as after processing, the plant's debris can be utilized for livestock silage. Camelina silage has an especially appealing concentration of omega-3 fatty acids that make it a particularly great livestock feed prospect that is simply now acquiring recognition in the U.S. and Canada. Camelina is fast growing, produces its own natural herbicide (allelopathy) and competes well against weeds when an even crop is developed. According to Britain's Bangor University's Centre for Alternative Land Use, "Camelina could be an ideal low-input crop suitable for bio-diesel production, due to its lower requirements for nitrogen fertilizer than oilseed rape."
Camelina, a branch of the mustard household, is indigenous to both Europe and Central Asia and barely a new crop on the scene: archaeological proof suggests it has been cultivated in Europe for at least 3 millennia to produce both grease and animal fodder.
Field trials of production in Montana, currently the center of U.S. camelina research study, showed a vast array of results of 330-1,700 lbs of seed per acre, with oil content differing in between 29 and 40%. Optimal seeding rates have been identified to be in the 6-8 lb per acre range, as the seeds' small size of 400,000 seeds per pound can produce issues in germination to attain an optimal plant density of around 9 plants per sq. ft.
Camelina's capacity might enable Uzbekistan to begin breaking out of its most dolorous legacy, the imposition of a cotton monoculture that has distorted the nation's attempts at agrarian reform because attaining independence in 1991. Beginning in the late 19th century, the Russian federal government identified that Central Asia would become its cotton plantation to feed Moscow's growing fabric market. The procedure was sped up under the Soviets. While Azerbaijan, Kazakhstan, Tajikistan and Turkmenistan were also ordered by Moscow to plant cotton, Uzbekistan in specific was singled out to produce "white gold."
By the end of the 1930s the Soviet Union had ended up being self-dependent in cotton; five years later on it had ended up being a significant exporter of cotton, producing more than one-fifth of the world's production, focused in Uzbekistan, which produced 70 percent of the Soviet Union's output.
Try as it might to diversify, in the absence of alternatives Tashkent stays wedded to cotton, producing about 3.6 million loads every year, which brings in more than $1 billion while constituting around 60 percent of the country's difficult currency income.
Beginning in the mid-1960s the Soviet federal government's instructions for Central Asian cotton production mainly bankrupted the region's scarcest resource, water. Cotton utilizes about 3.5 acre feet of water per acre of plants, leading Soviet coordinators to divert ever-increasing volumes of water from the region's 2 main rivers, the Amu Darya and Syr Darya, into inefficient watering canals, resulting in the dramatic shrinking of the rivers' final destination, the Aral Sea. The Aral, as soon as the world's fourth-largest inland sea with an area of 26,000 square miles, has actually shrunk to one-quarter its initial size in among the 20th century's worst environmental catastrophes.
And now, the dollars and cents. Dr. Bill Schillinger at Washington State University recently described camelina's service design to Capital Press as: "At 1,400 pounds per acre at 16 cents a pound, camelina would bring in $224 per acre; 28-bushel white wheat at $8.23 per bushel would amass $230."
Central Asia has the land, the farms, the irrigation facilities and a modest wage scale in comparison to America or Europe - all that's missing is the foreign investment. U.S. financiers have the cash and access to the know-how of America's land grant universities. What is particular is that biofuel's market share will grow over time; less specific is who will gain the benefits of developing it as a practical concern in Central Asia.
If the recent past is anything to pass it is unlikely to be American and European investors, fixated as they are on Caspian oil and gas.
But while the Japanese flight experiments indicate Asian interest, American financiers have the academic know-how, if they want to follow the Silk Road into establishing a brand-new market. Certainly anything that reduces water use and pesticides, diversifies crop production and improves the lot of their agrarian population will get most cautious factor to consider from Central Asia's federal governments, and farming and vegetable oil processing plants are not only more affordable than pipelines, they can be built faster.
And jatropha curcas's biofuel potential? Another story for another time.