Why the 'water scarcity' argument against biofuels is flawed
The massive campaign against biofuels is often based on flawed arguments (such as those driving the 'food versus fuel' debate) or on strategies that consist of fusing unrelated truths into a single argument that fits a predetermined agenda. One of the latest illustrations of this technique is the argument that biofuels will deplete scarce water resources. On closer inspection, the argument bears no relation with reality. On the contrary, we will argue that biofuels production can increase access to drinking water to those deprived of it most, that is, the poor in the developing world.
Let us first listen to Fred Pearce, one of the staunchest anti-biofuels advocates, who uses the popular New Scientist magazine as a campaign platform. Pearce presented his thesis yesterday at the Sugaronline conference in Geneva, a non-scientific meeting of the Euro-American sugar industry:
ethanol :: biodiesel :: biomass :: bioenergy :: biofuels :: energy :: sustainability :: water :: scarcity :: economics :: virtual water ::
No water scarcity in the humid tropics
Let us begin by illustrating the obvious: Brazil is a wet and humid country that faces no water scarcity whatsoever. Strangely enough, in such a wet region, there are many people without access to clean and safe drinking water. But this is not because sugarcane catches the rain before they do. The reason is to be found elsewhere: there's no water infrastructure that brings clean water to them. More importantly, social inequalities are the main cause of people's lack of access to clean and safe water (poor people cannot afford it). Not agriculture's withdrawal of water.
The situation in Central-Africa illustrates this point even better: this vast humid region's agriculture sector only withdraws 0.05% of its entire renewable water resource [FAO Aquastat]. And still, many people there don't have access to clean drinking water. This indicates that not agriculture's or biofuels' withdrawal of water is the cause of the lack of access, but again, lack of infrastructure, problematic economics, bad governance, and a lack of social justice are.
So when it comes to solving this problem, we think the following line of reasoning does makes sense: the sugarcane farmer in the tropics should produce biofuels, to boost the local economy (as has happened in Brazil). The local poor, who do have plenty of access to water, but not to clean drinking water, would immediately benefit. A boosted economy (provided the wealth is distributed more or less fairly), will result in improved access to clean drinking water to those deprived of it. The state would spend less on oil imports, and can invest money in building infrastructures. In short, biofuels production enhances access to drinking water for the poor.
Virtual water and the demand elasticity of food and energy
But of course, the picture is more complex. Pearce takes global figures ("a billion people don't have access to drinking water") and then, in a strange turn, claims biofuels could worsen the situation. Let us first say that, theoretically, there is enough land and water available to produce 1500 Exajoules worth of bioenergy (7 times the amount of oil used today on the planet), without endangering the food security of people, and without threatening fragile ecosystems (IEA Bioenergy Task 40).
So there is no problem with the theoretical production potential. The planet has enough carrying capacity to meet the population's growing demand for food and fuel. The question is: will these resources be distributed fairly and equally?
Of the one billion people Pearce mentions, a great percentage don't have access to clean and safe water because of unfair economics, not because there is no water in their area. But another part of that "one billion" doesn't have access simply because they use more of it than their resource base allows them to (either their population is growing too big, or they live in arid regions). They face physical or virtual water scarcity. Now it is the latter group that deserves focus. They cannot grow enough food themselves, and must rely on imports. And this is how they get connected to a country like Brazil.
The question is: should Brazil refrain from using its agriculture to grow fuels, and instead produce more food so that those who face (physical) water scarcity can import enough of it without spending too much on it?
The answer is: it doesn't matter, both choices result in the same outcome.
Pearce forgets that both food and energy have an equally weak demand elasticity. They are very inelastic commodities. This means they are both crucial to an economy as a whole and to individual households. So for a State that imports food (because it faces water scarcity and cannot grow enough of it itself), it doesn't matter whether food or energy prices decline. Mass-produced biofuels will result in lower energy prices and imply that a state spends less on imported oil; individual households spend less on energy. The savings they make can now be spent on importing food, or in the case of individual households, on buying access to clean drinking water.
Food and energy have an almost equal demand inelasticity. This is why the debate about water depletion and food versus fuel makes no sense. Biofuels produced in the South (where water and land are abundant) result in lower energy prices (both at home, and on the global market), which results in more leverage to tackle the problem of water scarcity.
The reality of Peak Oil
On another note: the case in favor of biofuels gets strengthened if Peak Oil were to be knocking at the door. If the global decline in oil production starts, it will see a rapid reduction in output of some 3-4% per year. Now if this were to happen, there is only one immediate substitute that can prevent a collapse of the global economy, and that is biofuels.
Biofuels production could be upped rapidly at a pace of 3-4% per annum. The result would be rising food prices, but this is the opportunity cost we face. If we were not to invest in biofuels, and Peak Oil were to arrive, the entire global food distribution system (which is entirely dependent on abundant and cheap fuel) would collapse, resulting in far higher food prices. The collapse of this trade chain would result in far higher 'virtual water' prices too, for that matter.
Article continues
Let us first listen to Fred Pearce, one of the staunchest anti-biofuels advocates, who uses the popular New Scientist magazine as a campaign platform. Pearce presented his thesis yesterday at the Sugaronline conference in Geneva, a non-scientific meeting of the Euro-American sugar industry:
- The politics of water will become critical as demand for water from rising populations and the needs of industry increase.
- About one billion people lack access to clean drinking water.
- Vast quantities of water are needed to cultivate crops, with two-thirds of the world's water used in agriculture.
- Sugar is one of the thirstiest crops in the world. Pearce estimates that 600-800 tonnes of water were required to grow one tonne of cane.
- Part of the answer is to boost the efficiency of irrigation infrastructure.
ethanol :: biodiesel :: biomass :: bioenergy :: biofuels :: energy :: sustainability :: water :: scarcity :: economics :: virtual water ::
No water scarcity in the humid tropics
Let us begin by illustrating the obvious: Brazil is a wet and humid country that faces no water scarcity whatsoever. Strangely enough, in such a wet region, there are many people without access to clean and safe drinking water. But this is not because sugarcane catches the rain before they do. The reason is to be found elsewhere: there's no water infrastructure that brings clean water to them. More importantly, social inequalities are the main cause of people's lack of access to clean and safe water (poor people cannot afford it). Not agriculture's withdrawal of water.
The situation in Central-Africa illustrates this point even better: this vast humid region's agriculture sector only withdraws 0.05% of its entire renewable water resource [FAO Aquastat]. And still, many people there don't have access to clean drinking water. This indicates that not agriculture's or biofuels' withdrawal of water is the cause of the lack of access, but again, lack of infrastructure, problematic economics, bad governance, and a lack of social justice are.
So when it comes to solving this problem, we think the following line of reasoning does makes sense: the sugarcane farmer in the tropics should produce biofuels, to boost the local economy (as has happened in Brazil). The local poor, who do have plenty of access to water, but not to clean drinking water, would immediately benefit. A boosted economy (provided the wealth is distributed more or less fairly), will result in improved access to clean drinking water to those deprived of it. The state would spend less on oil imports, and can invest money in building infrastructures. In short, biofuels production enhances access to drinking water for the poor.
Virtual water and the demand elasticity of food and energy
But of course, the picture is more complex. Pearce takes global figures ("a billion people don't have access to drinking water") and then, in a strange turn, claims biofuels could worsen the situation. Let us first say that, theoretically, there is enough land and water available to produce 1500 Exajoules worth of bioenergy (7 times the amount of oil used today on the planet), without endangering the food security of people, and without threatening fragile ecosystems (IEA Bioenergy Task 40).
So there is no problem with the theoretical production potential. The planet has enough carrying capacity to meet the population's growing demand for food and fuel. The question is: will these resources be distributed fairly and equally?
Of the one billion people Pearce mentions, a great percentage don't have access to clean and safe water because of unfair economics, not because there is no water in their area. But another part of that "one billion" doesn't have access simply because they use more of it than their resource base allows them to (either their population is growing too big, or they live in arid regions). They face physical or virtual water scarcity. Now it is the latter group that deserves focus. They cannot grow enough food themselves, and must rely on imports. And this is how they get connected to a country like Brazil.
The question is: should Brazil refrain from using its agriculture to grow fuels, and instead produce more food so that those who face (physical) water scarcity can import enough of it without spending too much on it?
The answer is: it doesn't matter, both choices result in the same outcome.
Pearce forgets that both food and energy have an equally weak demand elasticity. They are very inelastic commodities. This means they are both crucial to an economy as a whole and to individual households. So for a State that imports food (because it faces water scarcity and cannot grow enough of it itself), it doesn't matter whether food or energy prices decline. Mass-produced biofuels will result in lower energy prices and imply that a state spends less on imported oil; individual households spend less on energy. The savings they make can now be spent on importing food, or in the case of individual households, on buying access to clean drinking water.
Food and energy have an almost equal demand inelasticity. This is why the debate about water depletion and food versus fuel makes no sense. Biofuels produced in the South (where water and land are abundant) result in lower energy prices (both at home, and on the global market), which results in more leverage to tackle the problem of water scarcity.
The reality of Peak Oil
On another note: the case in favor of biofuels gets strengthened if Peak Oil were to be knocking at the door. If the global decline in oil production starts, it will see a rapid reduction in output of some 3-4% per year. Now if this were to happen, there is only one immediate substitute that can prevent a collapse of the global economy, and that is biofuels.
Biofuels production could be upped rapidly at a pace of 3-4% per annum. The result would be rising food prices, but this is the opportunity cost we face. If we were not to invest in biofuels, and Peak Oil were to arrive, the entire global food distribution system (which is entirely dependent on abundant and cheap fuel) would collapse, resulting in far higher food prices. The collapse of this trade chain would result in far higher 'virtual water' prices too, for that matter.
Article continues
Friday, October 20, 2006
Not investing in biofuels may result in water scarcity for millions
Just when an anti-biofuels advocate writes that biofuel production might put stress on water resources (previous post), a new report from the Christian development agency Tearfund indicates that by 2050 millions may face water scarcity and drought because of climate change. In this context, one must now say: not investing in biofuels might result in an unprecedented water crisis affecting millions.
It is easy to make the case for biofuels with this in mind:
- climate change must be tackled now, or we are getting beyond a 'tipping point' after which mitigating global warming becomes much more difficult and certain effects will become irreversible, and disastrous (Blair at the EU energy summit held today in Lahti repeated the doomsday message once again: "act now or the world faces climate catastrophe")
- of all greenhouse gas emitting sectors, the transport sector by far contributes most to CO2 emissions
- of all the renewable and carbon-reducing technologies only biofuels represent an immediate, cost-effective and infrastructurally realistic substitute to fossil transport fuels (wind, solar and nuclear do not deliver a high energy density liquid fuel suitable for transport); only biofuels produced in the South from high-yielding crops that do not destroy rainforests, have high CO2 reduction balances (such as cassava, sugar cane, jatropha, sweet potato, sorghum...)
- if we don't fight climate change now, millions will face water scarcity and drought
- conclusion: we must invest in biofuels in the South now, to prevent a global water crisis of unprecedented proportions
The Tearfund report, Feeling the Heat [*.pdf], urges donors to ramp up assistance to poor countries to adjust to drought quickly. Other charities are likely to make similar pleas in the run-up to next month's UN Climate Summit which begins on 6 November in Nairobi, Kenya.Citing research by the Oxford academic Norman Myers, Tearfund suggests there will be as many as 200 million climate refugees by 2050:
ethanol :: biodiesel :: bioenergy :: biofuels :: energy :: sustainability :: climate change :: CO2 :: transport fuels :: drought :: water scarcity ::
Areas where people are already on the move to avoid climate excesses include, the report says:
* Brazil, where one in five people born in the arid northeast region relocates to avoid drought
* China, where three provinces are seeing the spread of the Gobi desert
* Nigeria, where about 2,000 sq km is becoming desert each year
Attributing the movement of people to climate impacts is, however, a difficult issue, with many other factors including economic opportunity behind decisions to relocate.
One of Britain's leading climate scientists, Sir John Houghton, said the severity of climate change was getting through to world leaders "at a level of rhetoric", but not yet at a level of action.
"There were promises made at the G8 summit and at the last UN meeting in Montreal about money for adaptation," he told the BBC News website, "but I understand that very little of that has come through."
Sir John, who contributed a foreword to the Tearfund report, said water shortages would be the biggest climate threat to developing countries.
"It's the extremes of water which are going to provide the biggest threat to the developing world from climate change," he said.
"Without being able to be too specific about exactly where, droughts will tend to be longer, and that's very bad news. Extreme droughts currently cover about 2% of the world's land area, and that is going to spread to about 10% by 2050."
Overall, he said, climate models show a drying out of sub-Saharan Africa, while some other areas of the world will see more severe flooding.
Sir John is a former head of the UK Meteorological Office, former chairman of the Royal Commission on Environmental Pollution, and co-chaired one of the Intergovernmental Panel on Climate Change (IPCC) working groups.
He is now chairman of the John Ray Initiative, whose mission is to "connect environment, science and Christianity".
The positive side of the Tearfund report is that simple measures to "climate-proof" water problems, both drought and flood, have proven to be very effective in some areas.
In Niger, the charity says that building low, stone dykes across contours has helped prevent runoff and get more water into the soil; while in Bihar, northern India, embankments have been built to connect villages during floods, with culverts allowing drainage.
More information:
BBC: Climate water threat to millions - Oct 20, 2006
Tearfund: Climate change will create millions more refugees - Oct. 20, 2006
Tearfund full report: Feeling the Heat [*.pdf]
Article continues
posted by Biopact team at 11:45 PM 1 comments links to this post