Support Needed for Small-scale Biofuel Industry

Estomih Sawe, Executive Director of the Tanzania Traditional Energy Development and Environment Organisation (TaTEDO) has hit out at the trend that favours large-scale multinational companies in the industry.

He said the industry is mainly based on growing jatropha for biodiesel and sugar cane for ethanol.

In a report on IPP Media Mr Sawe said for small-scale farmers to be fully engaged in biofuel business, they would require special support.

He said the government should now consider creating a special fund, grants and even resolve to assist small farmers to establish their own associations and co-operatives.

Special funds could be created in ways that would support smallholder farmers’ associations and cooperative enterprises from potential exploitation from some profit-driven multinational investors.

He added that there should be incentives such as tax exemptions for basic equipment for processing oil crops such as jatropha could be provided to facilitate sustainable supply of local and cleaner energy needs.

And the report adds that local financing could also add assistance to small scale biofuel enterprises.

A recent assessment by the Food and Agriculture Organization of shows that Tanzania has 55.2 million hectares potential area for rain-fed crop production from the total land area of 93.8m ha.

About 10.8m ha of this area are in use for crop production, leaving 44.4m ha of land potentially available for (food and non-food) crop production.

While these figures present only a broad picture of land use, they do suggest that land availability is not likely to be a barrier to bio-energy production in Tanzania, the IPP Media report says.

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