Americas could be key to global energy security

In its recently released report titled “The Geopolitical Importance of Agriculture in Energy Security”, IICA points out that the Americas are producing up to 71% of the total global liquid biofuels. strategic importance to partially replace current oil and natural gas consumption.

According to IICA, Russia is a key supplier of natural gas to Europe and is also one of the largest oil producers in the world, so sanctions banning fuel imports from Russia also leave serious consequences. Last month, the price of liquefied natural gas (LNG) increased more than six times, and is expected to increase further as supply shortages worsen.

Faced with this situation, the agricultural sector of the Americas can play an important role, because this is a continent with a large amount of agricultural exports, contributing significantly to ensuring global food security and ensuring global food security. energy security as well. The IICA report states that these two goals are not mutually exclusive, as diversification into the comprehensive and efficient use of biomass for biofuel production can increase the efficiency and safety of agricultural systems. food products.

Mr. Agustín Torroba, IICA’s biofuels and energy expert, who edited the above report, emphasized that biofuels have contributed more than 150 million cubic meters to the global liquid fuel matrix, 33% in biodiesel and 67% in bio-alcohol form to blend or replace gasoline.

According to a report by IICA, the Americas are playing a key role in bio-alcohol production when providing up to 88% of total bio-alcohol and 36% of biodiesel for the whole world. The raw materials for bio-alcohol production are mainly corn and cane sugar, while biodiesel is made from soybean oil and palm oil.

The document shows that the Americas region has a high proportion of exports for these raw materials, which could double world bioethanol production and increase biodiesel production by 80%. Currently, liquid biofuels produced in the Americas are helping to cover 22% of the continent’s oil and derivatives deficit. According to IICA calculations, with the balance of export raw materials, through industrialization, liquid biofuels can cover up to 53% of oil demand.

After highlighting the “enormous potential to expand biofuel production and contribute to the achievement of energy security goals” in the Americas, IICA said the biofuel industry has begun to mature, significantly improved production costs over the past decade and become competitive with fossil fuels.