Costa Rica Lacks Resources to Produce Biofuels
21/08/2008 (Costa Rica Pages) - Costa Rica’s desire to get a little greener has encountered a hitch: despite the National Biofuel Program’s October implementation deadline, Costa Rica lacks sufficient natural resources to produce biofuels. Currently, most of the country’s ethanol and African palm oil, which can be used to produce bio combustibles, is sold internationally for a much higher profit than keeping it here at home.
Currently, only two Costa Rican businesses — Ingenio Taboga and Central Azucarera Tempisque (Catsa) — produce sugar cane alcohol. Both firms export their product to Europe, tax-free, making them a solid profit. Taboga, for example, produces approximately 300,000 liters (almost 80,000 gallons) yearly, and next year’s product has already been completely sold. Of Catsa’s 23 million-liter (6+ million gallons) yearly production, only 10 percent stays within the country. To become a local alcohol supplier, Catsa would have to invest in more plantations, distilleries, and supply locations. The company would need significant government help, and would be required to draw up short and long-term plans to guarantee a return on their significant investment.
African palm oil is in a similar situation, as much of its production is exported to Mexico and the rest of Central America. According to Emileth Barrantes, representative for the National Chamber of Palm Producers (Canapalma), if all Costa Rican palm oil production were directed at the country’s biofuel program, Costa Rica’s diesel consumption could be reduced by 15 percent, or 1.2 billion liters. Unfortunately, international prices for African palm oil are very high, having increased by more than $1000 per metric ton in the last 3 years, making palm oil a very expensive green alternative.
African palm oil and ethanol are not the only sources of bio fuel ingredients, though, and Costa Rica could use sorghum, industrial yucca, jatropha, or higuerilla to produce green fuel. None of these methods have taken off yet, however, which already poses a large problem for Costa Rica’s biofuel program. Under the current plan, regular and super gasoline will contain 7.5 percent alcohol and diesel will be made up of 5 percent biodiesel by next year. Without marked changes in biofuel production, neither of these goals will be met.
Industrial yucca, also known as bitter yucca, and higuerilla are Costa Rica’s best bet for further biofuel ingredients. Like sugar cane, yucca is processed to produce ethanol, and 5,400 liters can be produced from a one-hectare planting - that’s 578 gallons per acre. Guanacaste provides the perfect agricultural conditions for yucca cultivation, and there are currently 52,000 cultivated hectares. If properly utilized, Costa Rica could produce more than 280 million liters (75 million gallons) of yucca-based ethanol. Higuerilla, like African palm oil, is used to create biodiesel, and each cultivated hectare can product 1,800 liters (476 gallons) of biodiesel.
With current biofuel sources too expensive for national use, and no companies interested in beginning yucca or higuerilla biofuel production, Costa Rica must consider importing biofuels. Of course, the process of importing and transporting those products contradicts and even cancels out many of biofuel’s positive aspects, so Recope hopes that it will only be a temporary solution.