The recent discoveries of a International Energy Administration whistleblower that the IEA might have distorted key oil projections under intense U.S. pressure is, if real (and whistleblowers seldom step forward to advance their careers), a slow-burning thermonuclear explosion on future global oil production. The Bush administration's actions in pressing the IEA to underplay the rate of decline from existing oil fields while overplaying the possibilities of finding brand-new reserves have the potential to throw federal governments' long-lasting planning into mayhem.
Whatever the truth, rising long term global demands appear certain to outstrip production in the next decade, particularly provided the high and increasing costs of establishing new super-fields such as Kazakhstan's offshore Kashagan and Brazil's southern Atlantic Jupiter and Carioca fields, which will require billions in investments before their very first barrels of oil are produced.
In such a scenario, ingredients and substitutes such as biofuels will play an ever-increasing role by extending beleaguered production quotas. As market forces and increasing rates drive this innovation to the leading edge, one of the richest possible production areas has actually been completely neglected by financiers up to now - Central Asia. Formerly the USSR's cotton "plantation," the region is poised to end up being a significant gamer in the production of biofuels if adequate foreign investment can be procured. Unlike Brazil, where biofuel is manufactured largely from sugarcane, or the United States, where it is primarily distilled from corn, Central Asia's ace resource is an indigenous plant, Camelina sativa.
Of the former Soviet Caucasian and Central Asian republics, those clustered around the shores of the Caspian, Azerbaijan and Kazakhstan have seen their economies boom since of record-high energy rates, while Turkmenistan is waiting in the wings as a rising manufacturer of gas.
Farther to the east, in Uzbekistan, Kyrgyzstan and Tajikistan, geographical seclusion and reasonably scant hydrocarbon resources relative to their Western Caspian neighbors have actually largely prevented their ability to capitalize increasing global energy demands up to now. Mountainous Kyrgyzstan and Tajikistan stay mostly reliant for their electrical requirements on their Soviet-era hydroelectric facilities, however their increased need to generate winter season electrical power has actually led to autumnal and winter water discharges, in turn significantly affecting the farming of their western downstream neighbors Uzbekistan, Kazakhstan and Turkmenistan.
What these 3 downstream nations do have nevertheless is a Soviet-era tradition of farming production, which in Uzbekistan's and Turkmenistan case was mainly directed towards cotton production, while Kazakhstan, starting in the 1950s with Khrushchev's "Virgin Lands" programs, has become a significant manufacturer of wheat. Based upon my discussions with Central Asian government officials, offered the thirsty needs of cotton monoculture, foreign proposals to diversify agrarian production towards biofuel would have great appeal in Astana, Ashgabat and Tashkent and to a lower degree Astana for those hardy financiers willing to bet on the future, particularly as a plant indigenous to the region has already shown itself in trials.
Known in the West as incorrect flax, wild flax, linseed dodder, German sesame and Siberian oilseed, camelina is drawing in increased clinical interest for its oleaginous qualities, with a number of European and American companies already examining how to produce it in business quantities for biofuel. In January Japan Airlines carried out a historical test flight using camelina-based bio-jet fuel, ending up being the very first Asian carrier to experiment with flying on fuel originated from sustainable feedstocks during a one-hour presentation flight from Tokyo's Haneda Airport. The test was the conclusion of a 12-month evaluation of camelina's operational efficiency ability and prospective commercial practicality.
As an alternative energy source, camelina has much to suggest it. It has a high oil content low in saturated fat. In contrast to Central Asia's thirsty "king cotton," camelina is drought-resistant and immune to spring freezing, requires 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 significant wheat exporter. Another bonus offer 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 heap (1000 kg) of camelina will include 350 kg of oil, of which pushing can draw out 250 kg. Nothing in camelina production is wasted as after processing, the plant's particles can be utilized for animals silage. Camelina silage has a particularly appealing concentration of omega-3 fatty acids that make it an especially great animals feed candidate that is just now getting recognition in the U.S. and Canada. Camelina is quick growing, produces its own natural herbicide (allelopathy) and competes well against weeds when an even crop is developed. 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 family, is indigenous to both Europe and Central Asia and hardly a brand-new crop on the scene: archaeological proof indicates it has actually been cultivated in Europe for at least 3 centuries to produce both grease and animal fodder.
Field trials of production in Montana, currently the center of U.S. camelina research, revealed a vast array of results of 330-1,700 pounds of seed per acre, with oil content varying in between 29 and 40%. Optimal seeding rates have actually been determined to be in the 6-8 lb per acre range, as the seeds' little size of 400,000 seeds per lb can create problems in germination to attain an ideal 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 since achieving independence 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 textile industry. The process was accelerated under the Soviets. While Azerbaijan, Kazakhstan, Tajikistan and Turkmenistan were likewise purchased by Moscow to plant cotton, Uzbekistan in specific was singled out to produce "white gold."
By the end of the 1930s the Soviet Union had ended up being self-dependent in cotton; five decades later on it had ended up being 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 may to diversify, in the absence of alternatives Tashkent remains wedded to cotton, producing about 3.6 million lots yearly, which generates more than $1 billion while constituting roughly 60 percent of the country's hard cash income.
Beginning in the mid-1960s the Soviet federal government's regulations for Central Asian cotton production mostly bankrupted the region's scarcest resource, water. Cotton uses about 3.5 acre feet of water per acre of plants, leading Soviet planners to divert ever-increasing volumes of water from the region's 2 main rivers, the Amu Darya and Syr Darya, into inefficient watering canals, resulting in the remarkable shrinking 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 eco-friendly catastrophes.
And now, the dollars and cents. Dr. Bill Schillinger at Washington State University recently explained camelina's organization 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 garner $230."
Central Asia has the land, the farms, the irrigation infrastructure and a modest wage scale in comparison to America or Europe - all that's missing out on is the foreign financial investment. U.S. financiers have the cash and access to the knowledge of America's land grant universities. What is particular is that biofuel's market share will grow over time; less particular is who will reap the advantages of establishing it as a feasible issue in Central Asia.
If the current past is anything to go by it is not likely to be American and European investors, focused as they are on Caspian oil and gas.
But while the Japanese flight experiments show Asian interest, American financiers have the academic proficiency, if they want to follow the Silk Road into developing a brand-new market. Certainly anything that lessens water usage and pesticides, diversifies crop production and enhances the lot of their agrarian population will receive most cautious factor to consider from Central Asia's federal governments, and farming and grease processing plants are not only much less expensive than pipelines, they can be built more rapidly.
And jatropha curcas's biofuel capacity? Another story for another time.