Involving more than 700,000 African farmers to produce energy, not food, over the next three years. These are the programs announced by Eni. The Italian company aims to triple biofuel production in Africa and, to a lesser extent, Asia. The goal is to produce about one-fifth of the agricultural raw materials it will need for its biofuels business by 2025. Senior executives of the Italian energy group rely on the growing demand for fuels based on vegetable oil, cooking oil and grease. All elements that will play a key role in the coming years in decarbonizing “heavy” transport sectors such as trucks, aircraft and shipping, according to companies in the industry.
increased demand
Global demand for biofuels will triple to 30 million tons by the end of the decade, according to Barclays analysts. That’s why Eni is increasing its biological treatment capacity. It also aims to expand the agricultural initiatives necessary to secure supply, trying to reduce the risk of excessive volatility in the raw material market, as occurred, for example, in the agri-food sector during the pandemic. Fight in Ukraine. “Our target is to meet 20% of our biofuel production by 2025 with raw materials from our farm, which is an important threshold as we increase our production targets,” said Giuseppe Ricci, head of Eni’s Energy Evolution sector.
The announcements follow last February’s announcement, when the energy company estimated that its current biological treatment capacity will grow from 1.1 million tons per year to over 3 million tons by 2025. However, the target by 2030 is over 5 million tons. To achieve these goals, Eni has targeted developing countries by signing agreements with various states such as Angola, Benin, Republic of Congo, Guinea Bissau, Kenya, Costa d’ Ivory, Mozambique, Rwanda and Vietnam. Local governments will have to help the Italian company identify “degraded” land in order to persuade farmers to stop growing “uncompetitive” crops within the food chain. Forecasts predict that by 2026, around 700,000 farmers will be involved in Eni’s activities thanks to the signed agreements. “We have local farmer ponds that grow crops for us… we take the seeds, press them and bring the oil to our biorefineries,” said Guido Brusco, head of Eni’s Natural Resources department. Agro-industrial waste and residues also make it possible to obtain petroleum for biorefineries. The company also carries out feasibility studies in Italy and Kazakhstan.
New installations
The energy giant says that biofuels can reduce net greenhouse gas emissions by 65% to 90% compared to fossil fuels. Variations depend on the type of raw material and the manufacturing process used. Eni already has two bio-refineries operating in Italy, Ricci said, but could add a third in Tuscany, or rather Livorno. New factory investments in the United States and Malaysia are also being evaluated. The issue of biofuels is very sensitive if you make it a primary and non-residual energy source. Some experts argue that large investments, such as those planned by Eni, could shift farmers’ commitments from food production, which is primarily beneficial for the local population, to energy, which is a priority especially for countries with the highest GDP. Both FAO and the European Union have warned against investing too much in this sector, which could aggravate the current food crisis. NGOs also warn of an effective green footprint. According to some studies, they pollute the environment three times more than diesel.
Source: Today IT
Karen Clayton is a seasoned journalist and author at The Nation Update, with a focus on world news and current events. She has a background in international relations, which gives her a deep understanding of the political, economic and social factors that shape the global landscape. She writes about a wide range of topics, including conflicts, political upheavals, and economic trends, as well as humanitarian crisis and human rights issues.
