Oil Mallee must look to multi-product industries

Don Cooper, John Bartle, Steven Schilizzi and David Pannell

No 125582, 2001 Conference (45th), January 23-25, 2001, Adelaide, Australia from Australian Agricultural and Resource Economics Society

Abstract: Oil mallees are one of the preferred options to combat dryland salinity in the Western Australian wheatbelt, but their economics are uncertain. We compare three scenarios: on-farm mallee oil production, industrial oil and wood-based electricity production, and a combined oil, electricity and activated carbon system. Only the third option has any serious chances of being a profitable venture, with the second being the worst. The first could break even if oil yields increased from 3 to 4%. Results are sensitive to the price volatility of activated carbon and the operations cost of the cogeneration plant.

Keywords: Environmental Economics and Policy; Resource/Energy Economics and Policy (search for similar items in EconPapers)
Pages: 13
Date: 2001-01
References: View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:aare01:125582

DOI: 10.22004/ag.econ.125582

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