AS gas prices soar to record highs, discussions around the possibility of domestic sugar cane ethanol production is being revived. Sugar cane ethanol is an alcohol-based fuel produced by the fermentation of sugar cane juice and molasses.

Since the start of the year Jamaicans have paid about $12.00 or 7.8 per cent more for both 87 and 90 gasoline. But according to a 2020 study commissioned by the Ministry of Science, Energy and Technology titled ‘Jamaican Domestic Ethanol Fuel Feasibility and Benefits Analysis’, Jamaicans could be saving significantly on petrol if the island started producing its own sugar cane ethanol. The study projects that in 2030 “domestic ethanol would keep up to US$138 million in the Jamaican economy that would otherwise be spent abroad.”

Sugar cane ethanol is a biofuel. It has become a popular renewable fuel which is blended with gasoline and diesel for use primarily in the transportation sector. The study revealed that Jamaica is currently importing corn-based ethanol from the United States and blending it into gasoline to create E10. But it also highlighted that with a few changes, Jamaica can produce its own ethanol from sugar cane and other local crops which produce less greenhouse gas emissions than corn-based ethanol. The data showed that switching to domestic sugar cane ethanol production could reduce greenhouse gas emissions by 29 per cent to 57 per cent. Jamaica pledged to reduce its greenhouse gas emissions by 10 per cent below its 2005 business-as-usual trajectory by 2030, subject to the provision of international support.

In addition to the E10 blend which is available on the local market, the study also assessed the possibility of introducing E15 and E25 blend. To put things into context, E10 refers to a blend of 10 per cent ethanol and 90 per cent gasoline, E15 refers to 15 per cent ethanol and 85 per cent gasoline while E25 refers to 25 per cent ethanol and 75 per cent gasoline. But it is important to note that, for now, sugar cane ethanol is blended with gasoline and therefore does not make crude oil importation obsolete.

In the meantime, since Jamaica already has the land to grow sugar cane in large quantities, the 2020 research noted that the country doesn’t have a long way to go in setting up the lucrative industry. “A theoretical maximum was set at 288 million litres per year of sugar cane ethanol under a scenario where the amount of land devoted to sugar cane is returned to its 1960s levels of 60,000 hectare and productivity is maximised at 4,800 litre per hectare per year.”

This theoretical maximum allows for all goal quantities of ethanol including E10, E15 and E25 to be achieved while fulfilling domestic sugar needs. The study also noted that Jamaica has achieved these yields in previous years.

However, despite the prospects outlined in the 2020 study, the Government in 2021 indicated its intention to put former sugar cane lands into productive use in other ways by leasing acres to farmers to plant a variety of crops, agro-processing, modern cattle-breeding as well as housing.

Aside from recovering land needed for sugar cane ethanol production, there are other challenges to expanding sugar cane ethanol production in Jamaica. Firstly, a domestic ethanol industry requires foreign equipment expenditures which must be accounted for. “Jamaica’s transition to domestic ethanol production would require significant investment in production capacity and facility operations, agricultural resource capacity, logistics infrastructure, fuelling station infrastructure and vehicle fleet conversion,” the study highlighted.

It continued, “Jamaica would need to overcome some substantial hurdles such as low sugar yields, committing government funding for capital or encouraging private investment in infrastructure and developing a conducive policy environment for transitioning equipment to support and utilise higher ethanol blends.”

However, the research also pointed out that “the potential exists for Jamaica to utilise land and equipment that were devoted to sugar cane production when the industry was much larger.”

Brazil is the world’s largest sugar cane ethanol producer and a pioneer in using ethanol as a motor fuel. In 2019-20, Brazilian ethanol production reached 32.5 billion liters. Most of this production is absorbed by the domestic market where it is sold as either pure ethanol fuel (E100) or blended with gasoline (E27).