What Future for Bioenergy?

Quel avenir pour lesbioénergies?

Wie sieht die Zukunft fürBioenergie aus?

In EuroChoices 8(1) I raised aquestion about whether globalbioenergy developmentsrepresented a paradigm shift inthe political economy ofagriculture and land use. Thatremains very much an openquestion. With the aid of hugesubsidies liquid biofuelproduction for example hasincreased very rapidly in theOECD in the quest for greaterenergy security and thepossibility of mitigating GHGemissions, raising concernsabout competition for land useand consequential impacts onfood commodity prices and foodsecurity. A new set of powerfulinterest groups – includingautomobile, aviation and energycompanies – are now effectivelypart of the political economysurrounding agriculture, landuse and the research agenda. Sowe may indeed be witnessing a

paradigm shift especially if thetechnological constraints aroundthe development of morecompetitive second and thirdgeneration biofuels can beovercome.

We should, however, keep inperspective the relativesignificance of the renewablessector in the overall energymix. By any measure themodern sector as a whole andbioenergy in particular in thedeveloped world is very muchin the ‘infant industry’ category.In the last thirty years globalenergy supplies have nearlydoubled but the relativecontribution from renewableshas hardly changed at aroundthirteen per cent. By far thelargest element of therenewables sector globally issolid biomass – mainly woodused for cooking and heatingin developing countries. The‘new’ renewables (solar, wind,tide, bioenergy) have beengrowing fast from a very lowbase, mainly in the OECD; buttheir contribution is stillmarginal at between one andtwo per cent of the globalrenewable supply.

ƒ‘‘Les questions

economiques sont au

centre des debats sur

le role futur des

bioenergies.,,This special issue widens therecent emphasis in the journalon liquid biofuels to the broader

role of agriculture and relatedland-based industries in theproduction of bioenergy. Thefocus is on the major energyconsumers in the developedworld, the European Union andthe United States. Perhaps oneemerging message is thatbioenergy can play a role,probably for the foreseeablefuture a relatively minor –though growing – role in thedeveloped world. Moreover, incertain circumstances the

production of feedstock by theland-based industries canpotentially be ‘win–win–win’ i.e.substitute for non-renewables,have positive environmentalimpacts and be a competitiveland use option even withoutsubsidies. However, importantquestions remain, not least onthe net global environmentalimpacts of bioenergyproduction. Moreover, might theresources devoted to bioenergyproduction be more effectivelyutilised in reducing energyusage?

What is the role of economistsin addressing these issues? Sofar bioenergy development hastended to be dominated by

John Davis, Chief Editor of EuroChoices

ƒ‘‘Die Okonomie ist

von zentraler

Bedeutung fur die

Debatten um

die zukunftigen

Rollen der

Bioenergie.,,

ª 2011 The Author EuroChoices 10(3)ƒ 03

EuroChoices ª 2011 The Agricultural Economics Society and the European Association of Agricultural Economists

policies and politicised targetssome of which seemunachievable, backed bymassive subsidies – about US$

12 billion annually in the EUand North America alone –which seem unsustainableespecially in the current andforeseeable budget constrainedenvironment. In the long run,if bioenergy and other forms ofrenewable energy are to makesignificant and lastingcontributions to the globalenergy mix arguably it will haveto be achieved in a moremarket oriented and less statedominated environment.

To some degree the debate sofar has been captured by zealouslobby groups and by scientistsand technologists in search ofelusive technical breakthroughs.

These may be necessary but arenot sufficient conditions forfinding an ‘optimal’ approach to

the use of our renewable – andnon-renewable – energyresources. The economicsprofession must continue tobring to bear its ways ofreasoning and analyticalmethods to promote a moresocially optimal mix in futureenergy provision and a moreappropriate balance betweenmarket and state in promotingbioenergy and other renewables.

These are big issues for ourprofession.

I am extremely grateful to GuestEditors David Blandford andYves Surry for orchestrating thisspecial issue, to our authors fortheir reasoned and insightfulcontributions and to theeditorial team for responding tosome challenging deadlines. Ihope this issue will encourageother authors to contribute tothese important debates.

Further Reading

n Davis, J. (2009). Biofuels andAgriculture: A New Paradigm?EuroChoices, 8 (1): 4–5.

John DavisChief Editor of EuroChoicesEmail: john.davis@qub.ac.uk

ƒ‘‘Economics is

central to debates on

the future roles of

bioenergy.,,

04ƒEuroChoices 10(3) ª 2011 The Author

EuroChoices ª 2011 The Agricultural Economics Society and the European Association of Agricultural Economists