Biofuels, the driving force for sustainable development in developing countries
Context
Depending on the school of thought, biofuels are presented either as the solution to the CO2 problem and an end to oil dependency, or as a total disaster. In fact, they are neither. However, much of their immense potential can be realised if incentives (tax relief) in the developed countries are used as a tool to ensure sustainable development. This would particularly advantage the developing countries. To achieve this, we need to insist that products receiving support must respect the sustainability criteria discussed under «Sustainability - concrete measures».
Opportunities for the developing countries
The developing countries can benefit from biofuel development for several reasons:
- they have better climatic conditions than the developed countries
- there is a massive market (strong demand)
- agricultural production for second generation ethanol and biodiesel makes use of land unsuitable for foodcrops
- sustainable production is possible by establishing criteria and quality labels (rules for trade with the developed world) - Swiss, EU and UN
- unlike oil, biofuels employ local workers, and value added activities are carried out and managed locally
- energy products are easier to export to the developed countries than agricultural products
Risks
- Big companies (e.g. the oil and food processing giants) hold vast areas of land and use them for growing biofuel crops without any regard for the environment or the welfare or income of local inhabitants.
- Since absolute priority is given to exports rather than local needs, it is not the local communities who reap the profits.


