The director of British Petroleum (BP), Philip New, in a recent interview for the German newspaper Berliner Zeitung, demystifies the advance of biofuels in relation to the alleged increase in world hunger. In an interview for journalist Jakok Schlandt, the executive of one of the largest energy companies in the world speaks in particular of Brazilian sugarcane ethanol.

Interview: “Biofuels are not to blame for world hunger”

Philip New, BP Director, foresees a positive future for biofuels and believes that challenges can be resolved.

By Jakob Schlandt

Biofuels stirred up great controversy: some believe that ethanol might be the answer for climate change, others point out that it is responsible for increasing hunger in the world. What will be the role of biofuels in the future?

Fundamental. It is estimated that by 2030, 11 to 19% of our energy needs for road transportation will be covered by biofuels. BP believes that these numbers could reach 30% if development is even greater.

This would represent a drastic increase in consumption of around 3% per year. How could this work?

By increasing energy efficiency. When ethanol is produced from grains, or biodiesel from oilseeds like in Germany, the yield is modest, even if production in Germany guarantees sustainability and favorable environmental and work conditions. However, the Brazilian ethanol industry is more efficient and sustainable, because there is a closed energy cycle.

Could you elaborate more?

Sugarcane is crushed, sugarcane juice (garapa in Portuguese) is obtained, and then it is fermented and distilled to obtain ethanol. Solid wastes are used to heat refineries and plants, and, also, fertilize the land. The water used is rainwater. The potential to improve these processes is still large. First, yield can be increased, in harvesting, as well as, cane use. Second, fuel quality can still be improved, by, for example, producing biobutanol instead of ethanol, a form with longer molecular chains.

What is the benefit?

The advantage is that all petrol engines endure biobutanol better. Moreover, butanol’s energy density is greater, that is, you drive more with the same amount of fuel. Another factor is that you can use existing infrastructure such as pipelines.

How much of this technology is sufficiently mature and available?

Together with our partner, DuPont, we are working in the development of biobutanol. BP launched an experimental plant in Britain in 2009, so that the technology could be commercialized within the next five years.

What BP's investment in biofuels?

Approximately $ 500 million, mainly in research and development, and an additional $ 1 billion to build conventional plants and factories for commercial production. We are currently building a plant in Brazil and another in Britain. In the future these plants should be converted to produce biobutanol.

In German politics skepticism towards biofuels prevails. According to government plans, the share of the product in the market should decline. Is the era of biofuels coming to an end?

I think it is just a passing phase. Right now, it makes sense because ethanol can be
added in limited quantities to avoid engine problems. But, in the medium-term, we consider viable a significant expansion accompanied by specific regulations regarding the potential of greenhouse gas emissions reduction. I have pleaded the government that not only BP, but all the biofuel industry needs reliable regulations.

The resistance is enormous. The Food and Agriculture Organization (FAO) and World Bank have warned about the risks of increased food prices due to the use of land for cultivation of crops with energy potential. How much land is needed to achieve your vision of the future of biofuels?

Today, approximately 1% of farmlands in the world are used for biofuel production. According to the UN, this number will increase to 4% by 2020. As seen in Brazil, for example, investments in biofuel production also contribute to a significant increase in cereal production. That is, increased production of biofuels does not necessarily mean a greater need for land. We believe that we still have enough areas available to feed a growing world population without negative consequences for food or animal feedstock production, as well as, for tropical forests or land with high environmental value.

It is unethical to burn food while people go hungry?

I doubt the debate "plate or tank?" is really a useful debate. In my point of view, world hunger does not happen because of biofuel production, but political failure. Globally, we have enough food to feed everyone. The problem is that it does not reach those who most need it. It is a huge problem, but not a problem that can be attributed to biofuels. In recent months, food prices have dropped significantly while the production of biofuels remained stable. This shows that the connection between one thing and another is not as obvious as some critics claim.

Environmental organizations have quite a different point of view.

Nobody said that everything was in order. Many environmental advocates criticized - and rightly did so - that there are huge problems, because expansion is often made without taking into account local conditions and climate. However, we should not exaggerate the criticisms either. For many poor regions, bioenergy is an opportunity. Many people who work with development assistance have confirmed this. The industry provides an income for farmers and creates an industrial infrastructure. If used incorrectly, bioenergy can also cause damage. But if used correctly, it can improve the world.

Who will monitor the success of this strategy? In Indonesia, for example, tropical forests are cut down to plant palm trees to produce vegetable oil. The consequences are disastrous, the CO2 balance too.

There is no justification for this. The destruction of virgin forests is really a disaster. But I also want to remind you that only 5% of palm oil is used for energy production. The rest is bought by the food and cosmetics industry. Even so, we need strict sustainability criteria for bio-energy production - not only for difficult cases such as Indonesia. It is the job of politicians to establish binding agreements and international standards. We will sign when time comes. We already have guidelines, which are very strict.