Biofuels: environmental and social concerns in San Martin region

Since 2005 the Peruvian Government has started a clear policy of promotion of Biofuels, generating regulations like for example the obligatory rates of biofuels with diesel and with gasoline to be enforced from January 1st 2009 (percentages are 2%, 5% and 7.5% for two types of Diesel and Gasohol). To satisfy this growing demand the choices are two: Replacing agricultural land to grow biofuels, reducing the availability of lands for the growth of food. Deforestation, affecting the natural resources such as water, soils and biodiversity. The region selected for this project is chosen because of its particular threats that the promotion of biofuels means to Peru. The region heads the list of areas suffering from deforestation offering a great opportunity for the growth in wastelands. Companies anticipating to the development have moved to the region for the growth mainly of Palm Oil and Jatropha. San Martin still possesses large extensions of tropical forest and protected areas that are facing deforestation under these developments. Because of its morphology the region is covered by mainly high forest but also Andean mountains, peat land and valleys. The Andean Titi Monkey (Callicebus oenanthe) has the status of vulnerable and Geochelone Carbonaria or the red-footed tortoise is endangered. These species are not protected in the current protected areas in Perú. Historically, the legal framework and Peru’s economic policies have promoted and favoured colonization of the rainforest through perverse incentives promoted deforestation. One of them is land owning for example, as only lands that have “agricultural aptitude” are given in ownership, the forest is slashed and burnt down to grow crops and demand a proper certificate. If the promotion of biofuels is not monitored correctly, the risk of elevating the pressure over tropical forest and natural protected areas, as well as the deforestation increases. To add to the equation, the aggressive government policy has promoted the development of rules that regulate their production and commercialization without incorporating environmental and social criteria. The project has five specific objectives: Objective 1: Analyze the biofuels related policies within the framework of the environmental policy and of the social reality. Product: Technical diagnosis with the productive, social and environmental profile of the region of San Martin, linked to the development of investment projects in the growth of crops for the production of biofuels. Evaluation of the opportunities and threats that biofuels plantations represent for the San Martin region. Objective 2: Evaluate the statutory and institutional framework to generate essential regulatory changes that mitigate the environmental and social impacts of this productive activity in the San Martin region. Products: Statutory and environmental institutional diagnosis. Objective 3: Propose environmental and social guidelines that investment projects must comply with in order to regulate and mitigate the adverse impacts that may be caused. Products: Environmental and social guidelines proposal (for legislation) Objective 4: Develop information mechanisms for the Committees of Forests’ Administration, Committees for the Administration of Natural Protected Areas, Farmer’s Federations and the civil society in general regarding the development of investment projects on biofuels. Products: Workshops directed at these actors of the civil society Brochures and radio spots with easily understandable and concrete information for the citizens’ of San Martin. Objective 5: Academic dissemination of the project’s results. Product: Production of a paper that informs about case opportunities and threats created by investment projects for the production of biofuels. Within the framework SPDA has been working for nearly a year in the San Martin region through the promotion of activities for the conservation of ecological biodiversity, supporting the regional government in diverse initiatives such as the establishment of private conservation areas, the regional forest program, the transference of forest related competences to the regional government and the establishment of the institutionality required for that purpose. The local environmental authority endorses the proposal (see supporting letter). The project has a significant potential for replication in other regions in Peru.