The Angolan government plans to produce biofuels for domestic use and export before 2030, with an initial investment of around 20 billion dollars (around 19 billion euros), a source in the sector said today.
The National Oil, Gas and Biofuels Agency (ANPG), the national concessionaire, today presented the strategy for launching biofuels in Angola, the last stage of the public consultation carried out, according to the head of the ANPG’s Energy Integration and Biofuel Directorate, Vita Mateso.
The Minister of Mineral Resources, Oil and Gas, Diamantino Azevedo, said that this is not a new issue for the oil and gas sector, and in order to encourage the development of a biofuel exploration and production chain in Angola, the Angolan concessionaire has the responsibility to regulate and supervise this activity.
“Therefore, the act we are witnessing today should be the first of many that will lead us to reflect on and enact legislation that is relevant to the full exercise of this activity and the achievement of results in the near future,” he emphasised.
Diamantino Azevedo emphasised that the National Biofuels Strategy approved in 2009 to meet the commitments of the Kyoto Protocol, which includes, among other objectives, the reduction of greenhouse gas emissions, has been revised in the light of the current economic circumstances, technological development and energy transition.
According to the minister, the use of biofuels in Angola’s energy matrix could have an impact on the import of oil products, thus contributing to saving foreign currency, noting that Sonangol, the state oil company, and ENI, the Italian oil company, had signed a memorandum of understanding for the construction of a biorefinery.
“The memorandum aims to materialise Sonangol’s energy transition strategy, and provides for the identification and assessment of a number of opportunities such as agro-industrial supply chains for the production of low-carbon biofuels, the valorisation of residual biomass and the promotion of synergies between agricultural production chains and bioenergy,” he said.
Speaking to the press, Vita Mateso emphasised that Angola has “a lot of potential” for biofuel production, looking at the amount of arable land it has, allowing the country to achieve four defined objectives, namely growth in Gross Domestic Product, reduction of greenhouse gas emissions, social growth and the export of green energy.
He emphasised that the government is looking at biofuels not only for domestic consumption, but also for export as a finished product.
The construction of basic infrastructure is one of the challenges for biofuel production, in terms of storing the crop, agricultural production, its disposal, “in other words, appropriate roads”, oil extraction plants and biorefineries.
“The ultimate goal of this strategy is not just to produce oil to be exported, but we want to transform the oil in Angola, have our biorefineries spread across the country to produce locally and the end product to be used internally and part of it to be exported,” he emphasised.
Vita Mateso said that for production for domestic use, an initial investment of around 12 to 20 billion dollars is estimated for the first few years, with a feasibility study planned for 2024 in the short term, looking at the issue of certification and reviewing legislation.
“We have been working on new legislation, which covers not only the issue of biofuels, but will also refer to the issue of carbon credits, the issue of reducing greenhouse gas emissions,” he emphasised, adding that Angola’s first production “of biofuel, ready-made, finished material” should take place before 2030.