Another inconvenient truth

Biofuels are presented in rich countries as a solution to two crises: the climate crisis and the oil crisis. However, this Oxfam Briefing Paper argues that they are not be a solution to either, and instead are contributing to a third: the current food crisis. <br /><br />It is asserted that biofuels allow rich-country governments to avoid difficult but urgent decisions about how to reduce consumption of oil, while offering new avenues to continue expensive support to agriculture at the cost of taxpayers. In the meantime, the most serious costs of these policies - deepening poverty and hunger, environmental degradation, and accelerating climate change - are being &lsquo;dumped&rsquo; on developing countries. <br /><br />The paper calls on rich countries urgently to dismantle support and incentives for biofuels in order to avoid further deepening poverty and accelerating climate change. <br /><br />Specifically, it is argued that rich countries should: introduce a freeze on the implementation of further biofuel mandates, and carry out an urgent revision of existing targets that deepen poverty and accelerate climate change dismantle subsidies and tax exemptions for biofuels and reduce import tariffs tackle climate change and fuel security through safe and cost-effective measures The author notes that for poor countries that tend to have comparative advantages in the production of feedstocks, biofuels may offer some genuine development opportunities, but the potential economic, social, and environmental costs are severe. As such, it is recommended that developing countries move with caution and give priority to poor people in rural areas when developing their bioenergy strategies. Specifically, it is argued that developing countries should: prioritise bioenergy projects that provide clean renewable energy sources to poor men and women in rural areas consider the costs as well as the benefits involved in biofuel strategies If they decide to proceed with biofuel strategies, developing-country governments should: carry out their obligations under international law and conventions, including obligations to protect the right to food, to ensure decent work, and to ensure that the Free, Prior and Informed Consent of affected communities is obtained before biofuel projects commence give priority to feedstocks and production models which maximise opportunities for men and women small farmers. And companies and investors operating in developing countries should: ensure no biofuel project takes place without the Free, Prior and Informed Consent of local communities treat men and women smallholder farmers fairly and transparently provide smallholders in their value chains sufficient freedom of choice in their farming decisions to ensure food security for them and their families