Feasibility Assessment of Converting Sugar Mills to Bioenergy Production in Africa

Manoel Regis Lima Verde Leal, João Guilherme Dal Belo Leite, Mateus Ferreira Chagas, Rui Da Maia and Luís Augusto Barbosa Cortez
Additional contact information
Manoel Regis Lima Verde Leal: Brazilian Bioethanol Science and Technology Laboratory (CTBE), Brazilian Center for Research in Energy and Materials (CNPEM), P.O. Box 6192, Campinas 13083-970, Brazil
João Guilherme Dal Belo Leite: Interdisciplinary Center for Energy Planning (Nipe/Unicamp), Rua Cora Coralina 330, Campinas 13083-896, Brazil
Mateus Ferreira Chagas: Brazilian Bioethanol Science and Technology Laboratory (CTBE), Brazilian Center for Research in Energy and Materials (CNPEM), P.O. Box 6192, Campinas 13083-970, Brazil
Rui Da Maia: Technical University of Mozambique (UDM), Av. Albert Lithuli 418/38, Maputo, Mozambique
Luís Augusto Barbosa Cortez: School of Agriculture Engineering (Feagri/Unicamp), Av. Cândido Rondon 501, Campinas 13083-875, Brazil

Agriculture, 2016, vol. 6, issue 3, 1-10

Abstract: World sugar production has consistently overrun demand in the past five years. Moreover, in 2017 the European Sugar Regime will expire, ending the quota system and preferential sugar prices, largely affecting small producers, particularly in Africa. Diversification emerges as an option for sugar-oriented mills. Two evident alternatives are ethanol and electricity production that allow better use of molasses and cane fibers, respectively. Molasses is the cheapest feedstock for ethanol production, while the cane fibers—in the form of bagasse—are readily available at the mill. The transition from sugar to sugar, ethanol and electricity may require substantial investment capital, yet our results show that significant progress can start at relatively small cost. In this work, we use simulations to explore the impact of ethanol and electricity production in an existing sugar mill in Mozambique. In spite of the large amounts of energy obtained from ambitious scenarios, such as Ethanol-2 and Ethanol/EE, molasses-based ethanol (Ethanol-1 scenario) seems more attractive in economical and infrastructural terms. High opportunity costs for molasses, low oil prices and enabling institutional conditions, such as mandatory blending mandates, to promote bioenergy remain a challenge.

Keywords: sugarcane ethanol; biomass electricity; simulation; Mozambique (search for similar items in EconPapers)
JEL-codes: Q1 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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