Implications of biofuel sustainability standards for Indonesia

Dec 2009

Over recent years, as energy security and environmental concerns have risen, there has been a substantial interest in biofuels and their potential contribution to energy security, mitigation of GHGs in the transport sector and also in delivering rural economic development benefits. Growing concern surrounding the sustainability of biofuels has led to numerous initiatives that attempt to define sustainability in the context of biofuels. Their aim is that, if adopted, these standards will deliver a sustainable outcome.
The majority of standards for biofuels or feedstock have been developed without a national context. This paper addresses the concept of biofuel sustainability in Indonesia and is specifically focused towards assisting organizations that are developing sustainability standards for biofuels. The aim is to support the effective development of sustainability standards through accessing information and interpreting impacts and outcomes in a specific national context. The report assesses the status of key issues and potential implications of applying sustainability standards in Indonesia, in terms of relevance, potential production locations and volumes and the capacity to implement and monitor standards.
The term biofuels can be used to cover solid biomass and liquid and gaseous fuels derived from biomass. This report is focused primarily on liquid biofuels. While there are many feedstocks for liquid biofuels, the scope of this paper is limited primarily to oil palm for biodiesel and sugarcane for bioethanol.
The report considers the following implications of sustainability standards:

  • Relevance of sustainability standards (based on market demand)
  • Implications for production and planned production
  • Relevance of standards for meeting national priorities on energy security and poverty alleviation
  • Capacity building implications

By: Winrock International

 
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