The current revelations of a International Energy Administration whistleblower that the IEA may have misshaped key oil forecasts under intense U.S. pressure is, if real (and whistleblowers seldom come forward to advance their professions), a slow-burning thermonuclear explosion on future global oil production. The Bush administration's actions in pressuring the IEA to underplay the rate of decrease from existing oil fields while overplaying the chances of discovering brand-new reserves have the possible to throw federal governments' long-term planning into chaos.
Whatever the reality, increasing long term worldwide demands appear particular to overtake production in the next decade, especially offered the high and rising expenses of developing new super-fields such as Kazakhstan's offshore Kashagan and Brazil's southern Atlantic Jupiter and Carioca fields, which will need billions in financial investments before their first barrels of oil are produced.
In such a circumstance, ingredients and replacements such as biofuels will play an ever-increasing function by stretching beleaguered production quotas. As market forces and increasing rates drive this innovation to the forefront, one of the richest potential production areas has been absolutely overlooked by financiers already - Central Asia. Formerly the USSR's cotton "plantation," the area is poised to become a significant gamer in the production of biofuels if sufficient foreign financial investment can be obtained. Unlike Brazil, where biofuel is manufactured mostly from sugarcane, or the United States, where it is mainly distilled from corn, Central Asia's ace resource is an indigenous plant, Camelina sativa.
Of the previous Soviet Caucasian and Central Asian republics, those clustered around the shores of the Caspian, Azerbaijan and Kazakhstan have actually seen their economies boom due to the fact that of record-high energy rates, while Turkmenistan is waiting in the wings as an increasing producer of natural gas.
Farther to the east, in Uzbekistan, Kyrgyzstan and Tajikistan, geographical seclusion and fairly little hydrocarbon resources relative to their Western Caspian neighbors have largely hindered their ability to cash in on increasing global energy demands already. Mountainous Kyrgyzstan and Tajikistan stay mainly reliant for their electrical requirements on their Soviet-era hydroelectric facilities, however their heightened need to generate winter season electrical energy has resulted in autumnal and winter water discharges, in turn badly affecting the agriculture of their western downstream neighbors Uzbekistan, Kazakhstan and Turkmenistan.
What these three downstream nations do have however is a Soviet-era legacy of agricultural production, which in Uzbekistan's and Turkmenistan case was mainly directed towards cotton production, while Kazakhstan, beginning in the 1950s with Khrushchev's "Virgin Lands" programs, has become a significant manufacturer of wheat. Based upon my discussions with Central Asian government authorities, provided the thirsty demands of cotton monoculture, foreign propositions to diversify agrarian production towards biofuel would have great appeal in Astana, Ashgabat and Tashkent and to a lower degree Astana for those durable financiers willing to wager on the future, particularly as a plant indigenous to the region has currently proven itself in trials.
Known in the West as false flax, wild flax, linseed dodder, German sesame and Siberian oilseed, camelina is attracting increased clinical interest for its oleaginous qualities, with a number of European and American business already examining how to produce it in commercial amounts for biofuel. In January Japan Airlines undertook a historic test flight utilizing camelina-based bio-jet fuel, ending up being the very first Asian carrier to experiment with flying on fuel originated from sustainable feedstocks throughout a one-hour demonstration flight from Tokyo's Haneda Airport. The test was the conclusion of a 12-month evaluation of camelina's functional efficiency ability and possible business practicality.
As an alternative energy source, camelina has much to suggest it. It has a high oil content low in hydrogenated fat. In contrast to Central Asia's thirsty "king cotton," camelina is drought-resistant and immune to spring freezing, needs less fertilizer and herbicides, and can be utilized as a rotation crop with wheat, which would make it of particular interest in Kazakhstan, now Central Asia's major wheat exporter. Another bonus of camelina is its tolerance of poorer, less fertile conditions. An acre planted with camelina can produce approximately 100 gallons of oil and when planted in rotation with wheat, camelina can increase wheat production by 15 percent. A ton (1000 kg) of camelina will contain 350 kg of oil, of which pressing can extract 250 kg. Nothing in camelina production is lost as after processing, the plant's particles can be utilized for livestock silage. Camelina silage has a particularly attractive concentration of omega-3 fats that make it an especially great animals feed candidate that is simply now acquiring acknowledgment in the U.S. and Canada. Camelina is quick growing, produces its own natural herbicide (allelopathy) and contends well against weeds when an even crop is established. According to Britain's Bangor University's Centre for Alternative Land Use, "Camelina could be an ideal low-input crop suitable for bio-diesel production, due to its lower requirements for nitrogen fertilizer than oilseed rape."
Camelina, a branch of the mustard household, is native to both Europe and Central Asia and hardly a new crop on the scene: archaeological evidence indicates it has actually been cultivated in Europe for a minimum of 3 centuries to produce both grease and animal fodder.
Field trials of production in Montana, presently the center of U.S. camelina research study, showed a large range of results of 330-1,700 pounds of seed per acre, with oil content differing between 29 and 40%. Optimal seeding rates have been determined to be in the 6-8 lb per acre variety, as the seeds' small size of 400,000 seeds per pound can create problems in germination to attain an optimal plant density of around 9 plants per sq. ft.
Camelina's capacity could permit Uzbekistan to start breaking out of its most dolorous tradition, the imposition of a cotton monoculture that has warped the country's efforts at agrarian reform given that achieving self-reliance in 1991. Beginning in the late 19th century, the Russian federal government figured out that Central Asia would become its cotton plantation to feed Moscow's growing fabric market. The process was accelerated under the Soviets. While Azerbaijan, Kazakhstan, Tajikistan and Turkmenistan were also bought by Moscow to plant cotton, Uzbekistan in particular was singled out to produce "white gold."
By the end of the 1930s the Soviet Union had actually become self-sufficient in cotton; 5 decades later on it had actually become a significant exporter of cotton, producing more than one-fifth of the world's production, concentrated in Uzbekistan, which produced 70 percent of the Soviet Union's output.
Try as it might to diversify, in the absence of alternatives Tashkent stays wedded to cotton, producing about 3.6 million loads annually, which generates more than $1 billion while constituting roughly 60 percent of the nation's difficult currency income.
Beginning in the mid-1960s the Soviet federal government's directives for Central Asian cotton production mostly bankrupted the region's scarcest resource, water. Cotton utilizes about 3.5 acre feet of water per acre of plants, leading Soviet planners to divert ever-increasing volumes of water from the area's 2 primary rivers, the Amu Darya and Syr Darya, into inefficient irrigation canals, leading to the significant shrinkage of the rivers' final destination, the Aral Sea. The Aral, as soon as the world's fourth-largest inland sea with a location of 26,000 square miles, has diminished to one-quarter its initial size in among the 20th century's worst environmental catastrophes.
And now, the dollars and cents. Dr. Bill Schillinger at Washington State University recently described camelina's service model to Capital Press as: "At 1,400 pounds per acre at 16 cents a pound, camelina would bring in $224 per acre; 28-bushel white wheat at $8.23 per bushel would gather $230."
Central Asia has the land, the farms, the watering infrastructure and a modest wage scale in comparison to America or Europe - all that's missing out on is the foreign investment. U.S. financiers have the money and access to the expertise of America's land grant universities. What is specific is that biofuel's market share will grow in time; less specific is who will gain the advantages of establishing it as a practical concern in Central Asia.
If the recent past is anything to pass it is not likely to be American and European financiers, focused as they are on Caspian oil and gas.
But while the Japanese flight experiments indicate Asian interest, American financiers have the academic expertise, if they are ready to follow the Silk Road into developing a brand-new market. Certainly anything that decreases water usage and pesticides, diversifies crop production and enhances the lot of their agrarian population will receive most careful factor to consider from Central Asia's governments, and farming and vegetable oil processing plants are not only more affordable than pipelines, they can be constructed quicker.
And jatropha curcas's biofuel potential? Another story for another time.