Category Archives: Resource Based Economy

In response to an accelerating climate crisis, activists and policymakers have in recent years urged governments to move away from fossil fuels and at the same time create new clean energy jobs, particularly for workers in the oil, gas, and coal sectors. These proposals fall loosely in the category of Green New Deals, which references the government stimulus packages launched by Franklin Delano Roosevelt to rescue the U.S. economy during the Great Depression of the 1930s. While some of these Green New Deals are market-driven reform packages with an emphasis on decarbonization, others propose more significant economic and social transformations.

The European Green Deal, initiated at the end of 2019, aims to combine a transition to clean energy with an emphasis on economic equity. A similar initiative in the United States, associated most visibly with a resolution introduced at the beginning of 2019 by Rep. Alexandria Ocasio-Cortez (D-NY) in the House and Sen. Ed Markey (D-MA) in the Senate, has inspired some elements of the Biden administrations economic stimulus bills as well as some stand-alone legislation that has not yet passed Congress. In 2020, the South Korean government made a Green New Deal part of its official policy with an emphasis on boosting renewable energy and creating jobs in that sector.

The Global South is both present and absent from these initiatives. It is absent in that mainstream Green New Deals focus on the reactivation of economic growth in their own countries or regions, and the global South is scarcely mentioned. And yet the Global South is very much present as well, for many of the materials required in clean energy infrastructure come from this vast region. In other words, Green New Deals depend on a resource flow from lower-income countries without taking responsibility for the possible impacts that may have on local or transnational ecosystems and societies.

Latin America plays a disproportionate role in this resource flow. For centuries, the continent submitted to the extensive extraction of precious metals and other valuable resources by colonial powers, what Uruguayan writer Eduardo Galeano described as the open veins of Latin America.

That era is not over. Since 1970, according to a 2020 article in the journal Dialogos, the extraction of resources from Latin America has increased fourfold, greater than the global average. A significant portion of these resources leaves the continent as exports.

A transition away from fossil fuels currently requires a vast amount of minerals to build the infrastructure of renewable energy. According to the World Bank, the extraction and refining of minerals such as lithium, graphite, and cobalt will increase by 500 percent by 2050. More than 50 percent of the worlds supply of lithium, a key component in solar panels and the batteries in electric cars, can be found in the Lithium Triangle, a vast area of salt flats spanning Argentina, Bolivia, and Chile. Meanwhile, nearly 40 percent of the worlds copper, another key component in sustainable energy infrastructure, can be found in Peru and Chile.

The majority of Latin American economies import at a higher price than they export, points out Miriam Lang of the Universidad Andina Simon Bolivar in Ecuador in a recent workshop cosponsored by the Ecosocial Pact of the South and Global Just Transition. In other words, they are decapitalizing in material terms without generating positive economic returns. This reinforces the idea of an unequal ecological and economic exchange.

The increase in extraction of natural resources from Latin Americafossil fuels but also minerals like lithium and raw materials like balsa woodhas a direct and negative impact on the communities where the extraction takes place. This energy transition is being promoted to avoid the natural disaster of climate change, notes Esperanza Martinez, a biologist and lawyer with Ecological Action in Ecuador. But in the Global South we see that these actions have nothing to do with natural disasters. These are manmade disasters.

The extraction, for instance, has taken a huge toll on the natural world. Biodiversity has declined worldwide since 1970 at a rate of 68 percent, according to the World Wildlife Fund. But the figure for Latin America and the Caribbean is an astonishing 94 percent.

Enrique Viale, the president of the Argentine Association of Environmental Lawyers, draws a parallel to the development debates of the 1970s when the countries of Latin America were pushed toward making considerable sacrifices in the name of economic growth. Today, in the name of the energy transition, everything is approved, he says. Were going to build new nuclear plants: because of the energy transition. Were going to do offshore oil and gas drilling: in the name of the energy transition. All for the energy transition of the Global North, we are going to sacrifice our territory yet again. Before it was in the name of development, and now its in the name of the energy transition.

Meanwhile in the Global North, the Green New Deals recognize the urgency of climate change and the necessity of combining economic justice with decarbonization. But they do not propose complete economic transformation. I would call the European Green Deal a passive revolution, observes Ulrich Brand, head of the Research Network Latin America at the University of Vienna. Its an attempt by elites to change the resource base of the economy, the energy base, without changing the power structure or the dominant logic of capitalist growth and accumulation.

As it stands, the transitions envisioned by the Green New Deals run the risk of simply shifting the burdens of tackling climate change from vulnerable communities in the north to those in the south. We cant just shift zones of sacrifice around, notes Rajiv Sicora, senior policy advisor for U.S. Rep. Jamaal Bowman (D-NY). To eliminate them altogether, well need global cooperation on genuinely democratic models of development.

The U.S. Green New Deal

The Green New Deal in the United States is largely aspirational. It has appeared in the form of a nonbinding resolution in Congress but not as a piece of legislation. It has influenced parts of the Biden administrations climate policies, but the most significant portions of that agenda have not passed Congress. And it serves as a rallying cry for U.S. progressivesand a lightning rod of criticism from the right wingthough it translates into very different programs depending on which activists you consult.

There are some ways that the Green New Deal has already made a tangible contribution, Rajiv Sicora reports. The Biden administration has set some ambitious goals, though theyre not in line with a U.S. fair-share approach to global emissions nor do they deal with the climate debt to the Global South. The administration, for instance is trying to get to fully renewable electricity generation by 2035. Another direct influence is the Civilian Climate Corps, which is modeled on the Civilian Conservation Corps of the New Deal that put unemployed young men during the Depression to work building parks, planting trees, and doing ecological restoration projects. Alexandria Ocasio-Cortez played a central role in defining what that proposal would look like if it were implemented.

The administration, he continues, has also placed a genuine emphasis on environmental justice, at least within borders of the United States. It has set a goal of distributing at least 40 percent of the benefits of climate investments to historically marginalized communities, those who have borne the brunt of the impacts of extraction and the combustion of fossil fuel, and the other harms and injustices of our economy. This Justice40 initiative, he adds, synthesizes decades of work by the environmental justice movement led by Black, Brown, and Indigenous communities in the United States.

Although the administration has yet to push its major economic bill, Build Back Better, through Congress, it did manage to pass an infrastructure bill last year. Theyre trying to claim that this infrastructure bill is climate-friendly, Sicora adds. But it invests more in car and highway infrastructure than in public transit, which is outrageous.

He contrasts the administrations approach with the more transformative Green New Deal, which uses an emergency framework and stresses the importance of improving the material lives of everyday people and the need to fundamentally restructure our economy. The Green New Deal envisions creating millions of unionized jobs. To do this, we have to mobilize a holistic government response over the next decade.

The differences between the more transformative Green New Deal and the Biden administration begin with the scale of funds. Bernie Sanders, when he ran for president in 2020, put out a detailed and visionary Green New Deal platform that called for investing $16 trillion over 10 years, Sicora continues. President Biden in contrast started out with a $2 trillion proposal that was part of his signature legislation, Build Back Better. The climate spending in that bill has been reduced to $550 billion, and still the Democratic Party has not managed to get Build Back Better passed in Congress. And the leadership of the Democratic Party has not had a strategy to mobilize people at a grassroots level to push for this, or to overcome the resistance of corporate-backed Senators, he adds.

Another major difference involves the drivers of the transition. For the Biden administration, the private sector is the leading edge of the efforts to scale up wind and solar. For advocates of a Green New Deal, the public sector should be the driver of this transition, Sicora explains. The public sector can do it faster, and ensure high standards and democratic participation. We can develop the economic planning capacity to phase down fossil fuels at the same time as we scale up renewables.

This emphasis on the public sector extends to three bills associated with the Green New Deal: on public housing, on cities, and on public schools. Sicora has worked closely on the schools bill. Every school in this country should be safe, comfortable, and zero-carbon, he says. But right now, school facilities across the country are literally falling apart, and health harms and climate disasters are an everyday threat to Black, Brown, and low-income students. Public schools, as Rep. Bowman says, are the heartbeat of our communities. Theyve suffered from neglect and disinvestment for decades, but its hard to think of a single institution that touches the lives of more people.

The three bills also illustrate the organizing strategy of Green New Deal advocates. Were also talking about what coalitions we need to pull together to win radical change, he concludes. We need teachers fighting alongside workers who would benefit from retrofitting schools and alongside student climate activists. Even if these bills arent close to passage right now, we can use them as powerful organizing tools, and weve seen those coalitions start to come together to push for related funding in the Build Back Better package.

The European Green Deal

The European Green Deal, first introduced in December 2019, promises economic growth decoupled from resource use and envisions increasing the share of renewables to 40 percent of overall energy use, renovating 35 million buildings to make them more energy efficient while creating 160,000 new Green jobs in the construction sector, and boosting organic farming as part of a Farm to Fork program that aims to make agricultural production, distribution, and consumption more sustainable.

The EU has pledged to spend as much as 30 percent of its long-term budget, which would amount to around $700 billion, to reduce carbon emissions by 2030. As part of the plan, a Carbon Border Adjustment Mechanism would effectively apply a tariff on carbon-intensive goods coming into the EU. A Just Transition Mechanism of around $85 billion over six years would help poorer regions of the bloc meet the plans goals. Within this mechanism, a public sector loan facility would combine grants from the EU budget with financing from the European Investment Bank.

I see the Green Deal in continuity with the Green economy formulated after the financial crisis of 2008-9, observes Ulrich Brand. It is explicitly a growth strategy to transform the EU into a just and wealthy society with a modern, resource-efficient competitive economy. It is a growth strategy designed to give Europe a competitive edge.

This is not, Brand is quick to add, a complete transformation of the European economy. It is an attempt to transform the energy basis of the economy but not its political economy, he explains. For instance, the plan is to have a certain number of electric cars by 2030, which means its not about restructuring the whole transportation system. Also, the success of the plan is predicated on large-scale resource extraction from the Global South.

More progressive versions of the Green Deal exist in Europe that differ from the official policy in four important respects. First, more progressive versions put the state, rather than private capital, at the center of restructuring the economy. Second, in place of a paternalistic approach, the more progressive versions insist on a just transition in which workers secure good jobs, particularly those in high-carbon certain industries that are being restructured or phased out. Third, not only should the economy be electrified but also certain branches such as automobiles, air transport and the chemical sector should be reduced and reorganized. Although there is some consensus around such reorganization, Brand notes, there is more disagreement about challenging the growth imperative of capitalist economics.

On this last point, we need to rethink our wellbeing, he suggests. Our status shouldnt be about having a larger car or flying across the world. In a care economy, we need to care for ourselves, for our community, and for nature.

He points to one additional challenge related to the state. In the end, most Green New Deals are reformist, he notes. They think that the state can make a difference, and they dont reflect the fact that the state is a problem. We need to rethink the very structures of the state. Over the last two months, I went through the Green New Deal literature and I was surprised that there is no reflection on what the state means and how it should be changed. This, too, is a blind spot.

The Case of Balsa Wood in Ecuador

Ecuador is the worlds largest exporter of balsa wood. In 2020, the country exported over $400 million of the timber, 85 percent of it to China. The wood, because it is light and flexible but also hard, is particularly well-suited for the construction of wind turbine blades. China is a major consumer of wind energy and exporter of wind technology.

As Esperanza Martinez explains, however, this key component in the clean energy thats central to Green New Deals is having anything but a clean impact on communities and the biodiversity of the Amazon in Ecuador.

When we talk about oil and gas, you can imagine the negative impacts, like an oil spill or a fire, she says. When you think about balsa wood, its green. Its used for forest recovery. But no, balsa projects also have negative impacts. Wild balsa is no longer available, even in protected areas like the Yasuni National Park. Harvesters have gone into territories where voluntarily Isolated populations are living to get wild balsa.

The removal of balsa, meanwhile, has led to deforestation as part of whats been called balsa fever. The harvesting has caused landslides, Martinez reports, and balsa plantations have led to the displacement of people, particularly around the port city of Esmeraldas where many Afro-Ecuadorans live.

The balsa boom coincided with the COVID pandemic. People didnt have income, particularly people working in services and tourism, Martinez explains. People were left with no money and suddenly theres this opportunity of balsa. People in the countryside get seeds and the promise of payment three or four years later. It sounds like a good deal. But the problem is that it happened so quickly. There was too much production of balsa wood in 2020 and the prices went down. And this had a major effect on peasants whod changed the management of their land to grow the balsa.

The extraction of balsa wood from Ecuador resembles in many ways the extraction of fossil fuels. When businesses come in a violent way, they tear people away from their traditional ways of life, Martinez continues. This leads to a lot of disorder, robbery, violence. They just cut down forests and theres no discussion of rights, biodiversity, or food sovereignty. And its happening in a country that has recognized the rights of nature! In 2008, Ecuador became the first country in the world to enshrine the rights of nature in a constitution.

As an oil-producing country, Ecuador faces a particular challenge in transitioning away from fossil fuels. I remember when we said that we want to get out of oil production, Martinez remembers. They said it was impossible, it was too unpopular a position in the north. But we saw how it was costing lives in the south because of wars, cancer, and other environmental impacts. Now, we see that the climate change agenda is only focused on decarbonization. Yes, we have to close the oil wells. But we cant only talk about carbon. We also have talk about land appropriation. We have to talk about consumption. And we have to talk about our autonomy.

The Case of Lithium in Argentina

Lithium, like balsa wood, is a key component in clean energy alternatives. Lithium-ion batteries, for instance, are an essential part of electric cars. Like most minerals and metals, this white gold is in limited supply. According to one calculation, the global supply of lithium would run out in five years if the current number of conventional cars produced every year were replaced by electric ones.

The Lithium Triangle in the northern part of Argentina, in an area shared with Chile and Bolivia, is the new El Dorado, reports Enrique Viale. Its where we are promised enormous wealth. And its also where the new conquistadors can gain power.

Viale is experiencing a powerful sense of dj vu. In the past, Argentinians were promised that petroleum or copper would be the countrys savior. Now its lithium thats supposed to save us, he says. Everything is justified in the name of lithium. And it just so happens that the lithium is located where indigenous communities have lived a long time. All of their rights are being sacrificed on the altar of this idea of an energy transition that requires lithium. And again we environmentalists are the bad guys who want to stop progress in the name of energy transition.

The environment, too, bears the brunt of lithium mining. The salt flats of the Lithium Triangle are some of the driest areas on earth. Yet the extraction of lithium from beneath this desert requires a lot of water: 500,000 gallons per ton of lithium. At the Salar de Jujuy facility in Argentina, for instance, the pumps pull 2 million gallons per day of groundwaterin a place that receives less than four inches of water a year.

The lithium mining takes place in Argentinas liberalized economy. When mining came in the 1990s, during the era of the Washington consensus, everything was written with the same pencil, Viale remembers. There are low taxes. The state was even prohibited from participating in mining operations. Not even the progressive administration of Alberto Fernandez has dared to change that.

As a result, he concludes, we are living with a certain type of neo-neo-extractivism. Instead of the commodities boom of previous period, its now all done in name of energy transition. We need to challenge this corporate model. We dont want to be the ones who sacrifice everything so that everyone in the United States can have a Tesla.

Climate Justice

Green New Deals put climate justice at the heart of their programs, for instance in targeting funds at communities that have historically suffered negative environmental impacts But too often climate justice stops at the waters edge. In its eagerness to make a transition to clean energy, the Global North rarely considers the impact of this transition on the Global South.

The problems in Latin America are totally different from those in the North, explains Enrique Viale. When we see debates in the Global North, they only talk about decarbonization, as if that were the only issue, as if that were sufficient. They forget about all the local impacts of these development models. This turns our countries into colonies. We need new narratives in the name of energy transition.

A major issue that often gets lost in the climate discussions between north and south at the governmental level is debt. Latin America has a financial debt of dubious origins, Viale continues. The Global South pays more than $2 trillion a year just in interest on the debt. We have a really big IMF debt here in Argentina that the previous neoliberal government left and that we can never pay. It generates pressure on our territory. Because we need more money, the government says that we need more mining and more oil to get dollars to pay that debt.

Then theres the climate debt: the huge gap in historic emissions between the Global South and the Global North. Europe and North America, for instance, are responsible for over 60 percent of the carbon emissions since 1750. Contrast that with the 3 percent of emissions for which South America is responsible. We need to discuss the climate debt between north and south, which is so large, Viale concludes. We need to put the ecological debt and the financial debt on the table and think about who owes whom. We need to find a real way to pay off the ecological debt. And we have to find a way out of this dead end of Latin America being an exporter of nature.

Ulli Brand agrees. Within the progressive versions of the Green New Deal, there is discussion about historic responsibilities and colonial legacy, he points out. The Green Climate Fund should get more money, there should be greater redistribution of resources, and so on. But there is no direct dialogue with the Global South, no reflection of the experiences that Esperanza and Enrique are referring to. This is a new objectification where the south is a poor object that is exploited. We need to make the stories of struggle and success in the Global South more visible in the Global North. Our challenge is to make a story out of the numbersto show that if you use public transport and not a car or dont eat industrial food, this has implications on material extraction from the Global South.

One effort to apply principles of climate justice to the global economy has been the application of environmental and social standards throughout the supply chain. The UN Global Compact, a a voluntary agreement by global businesses, has promoted various practices to ensure greater sustainability in supply chains. Beginning in 2023, according to a new law, German businesses with more than 3,000 employees will be required to eliminate or minimize human rights violations and environmental risks in their supply chains.

However, when investors dont abide by these principles, there isnt an independent capacity to control their actions, Esperanza Martinez points out. She brings up the case of a contract between the Ecuadoran government and a Chinese company to drill for oil under the Yasuni National Park, a secret deal that was eventually cancelled, only to be followed by another huge deal with Chinese companies in a remote section of the Amazon rainforest. The investment contracts that the government accepts always work for the investors, not on behalf of human rights or the rights of nature, she continues. We need an agenda that reinforces those obligations by independently monitoring investments. The investments should not be done without full verification that the businesses are meeting their obligations concerning human rights and the rights of nature.

The United States, meanwhile, has been slower to embrace principles of climate justice. From a movement and organizing perspective, weve come a long way, Rajiv Sicora reports. There are U.S.-based groups participating heavily in growing global coalitions. They are organizing resistance to calls for increased lithium extraction in Nevada and California where you have the same problem of violating the rights of indigenous people and local communities.

This organizing is not, for the most part, reflected in the work of Congress where if you try to talk about supply chain justice and extractivism, you mostly get blank stares, he continues. One promising thing the Biden administration is doing, for example, is promoting more recycling of materials in batteries. But its not looking at ways to reduce demand for the materials in the first place by changing how we consume and how our economies are structured.

When Congress looks at global supply chains, it focuses almost exclusively on protecting U.S. production and consumption from disruptions. The way were thinking about supply chains is to secure access to inputs and materials or onshoring production to the United States, without a real strategy for supporting equitable, climate-friendly development around the world, he continues, pointing to a new bill that ties investments in innovation to the larger geopolitical competition with China.

There are opportunities for the Left to shift the narrative and contest how this is implemented, he concludes, but the bill is a dangerous mishmash of ambitious investments in science and innovation, indiscriminate subsidies for tech companies, and an aggressive approach to countering China in the global South. Parts of the bill are premised on the fantasy that well force other countries to choose us rather than China for energy and development assistance. Theres military support for Latin American countries and energy-related assistance to other countries, including to expand fossil fuels, and the greenest parts of the bill are all within a Green nationalism framework.

Paths Forward

The Ecosocial Pact of the South, which was formed in the first months of the pandemic in 2020, aims to chart an energy transition from below by amplifying and synthesizing local approaches to community control, food sovereignty, and the like. The Ecosocial Pact of the South has come out of the Global South, and it is for the Global South, says Enrique Viale.

In the short time that the Pact has been working, weve been trying to talk about different, specific alternatives, reports Esperanza Martinez. Weve had meetings, were working with local governments and existing networks to articulate these alternatives, not just from top to bottom, but from bottom to top. Its a big mistake to say that there is just one big economic variable that needs to be resolved for the future. In a diverse world, single recipes dont work. Instead, we have principles and values and were putting as many restrictions as possible on things coming from outside to protect what is valuable here.

Enrique Viale agrees: What were trying to talk about are horizontal ideas that have been forged over the last few decades: the rights of nature, buen vivir, redistributive justice, just transitions, autonomy, post-extractivism, ecofeminism, food sovereignty.

Another future trajectory involves challenging the very growth imperative of the global economy. Degrowth is not about shrinking the GDP, Ulrich Brand points out. A shrinking GDP is a crisis, as our comrades from Latin America knowand its usually a crisis for the weaker people, not the elite. Instead, degrowth is a way of overcoming the constant need to accumulate capital through mining, for instance. You can find this growth imperative even in well-intentioned Green New Deal debates where it appears as leftist Keynesianism.

One way into this discussion of degrowth is to focus on the definition of a good life. In the United States, were very far behind LA movements, but theres an emerging idea that if our basic needs are met, if we have free time to spend with friends and loved ones, if we have access to free arts and public services, then we will also be less likely to consume in a materially intensive way, notes Rajiv Sicora.

This focus on what Latin Americans call buen vivir, or the good life, has the potential to be maximally inclusive. After all, as Ulrich Brand points out, we cant expect most people to be internationalists. The radical transformation has to be a transformation of everyday life: what I eat, how I commute. Policymaking, law making, investment decisions: these have to be international and transformative, but we cant expect ordinary people to be transformative or think about the global scale in their everyday life.

Even in the United States, a core group of progressive legislators Alexandria Ocasio-Cortez, Ilhan Omar, Cori Bush, Jamaal Bowman, Ayanna Pressley, Rashida Tlaibhas been pushing for substantially different ways to approach the economy. Thanks in part to their efforts, the Build Back Better bill combined investments in clean energy with those into the care economy such as paid family medical leave and an expansion of child care. Even though the media portrayed Build Back Better as a grab bag of Democratic proposals, theres a powerful logic to tying climate action and the care economy together, Rajiv Sicora explains. Care jobs are already relatively low-carbonexactly the kind of sector we should be expanding and strengthening as part of a Green New Deal. And nurses, teachers, and homecare workers are all routinely dealing with climate impacts in their jobs.

Were also working on a bill to expand energy storage technology, which is an opportunity to address supply chain justice, he continues. And were exploring other ideas related to expanding and democratizing public ownership. As an inside-outside movement, we are basically figuring out for the first time how to try to transform and democratize the U.S. state and internationalize the struggle. Were learning as we go. And I think we should formally collaborate across borders, for instance, on how to transform the trade and investment regime. Legislative staffers like myself can work with counterparts in other countries to put forward alternative bilateral and multilateral frameworks. We need to trade lessons and have each others back as we work in solidarity.

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The Impact of Green New Deals on Latin America - FPIF - Foreign Policy In Focus

By Dr. Arlington Chesney

News Americas, NEW YORK, NY, Weds. Mar. 16, 2022: Guyana has recently become a major oil and gas country. The estimated recovery resource base is 9 to 15 billion BOE. Consequently, GDP is projected to grow by 49.7% in 2022.

The Governor of the Central Bank reported that, for 2021, the Oil and Gas sector revenues were USD680 million. The Exxon Consortium estimated that six Floating Production Storage and Offloading (FPSO) are required to harvest this resource base. Extrapolating from 2021, the projected annual Government revenue in 2027 is cautiously estimated at USD4.8 billion.

Guyana held its Inaugural International Energy Conference Guyanas Energy Conference: Aspirations for a Sustainable Future from February 15-18,2022. From reports, this was not an Oil and Gas conference per se. It showcased opportunities for Guyanas sustainable development with the oil boom being the pivot for the viability of the other sectors.

Keynote speakers identified climate change, infrastructure, environment, marketing and energy; renewable energy, education and health and education, health, training, and the enhancement of competencies. These keynote takeaways facilitated 11 Platforms for Moving Forward, including, financing renewable energy projects; growing the non-oil sector; training and mentorship.

The agriculture and food sector could benefit from many of these cross-cutting platforms. However, in spite of many Government pronouncements on its importance, agriculture was not named as a growth sector. This is surprising but not unexpected. Since 2001, hemispheric Ministers of Agriculture recognised that the policy space for agriculture during important development conversations, was declining, especially for developing countries. This was accompanied by a reduction in resource allocation. Further, it was linked to the underestimation of agricultures importance to the rest of the economy, which was directly related to the traditional measurement of national agriculture GDP.

Consequently, an InterAmerican Group, led by the InterAmerican Institute for Cooperation on Agriculture, developed an alternative which measured both output (as per the traditional method) and income. It also measured relationships between agriculture and other parameters, such as, impact on rural development and quality of life, food security and sovereignty, maintenance of the environment and biodiversity, and the backward and forward linkages to other production sectors. When measured in 12 countries in the Americas and Caribbean the difference was 1.9 to 11.6 depending on the state of the countrys development.

Therefore, it can be extrapolated that the true contribution of agriculture to GDP in 2020 in Guyana would have at least been twice the reported 16.9%. With the expected rapid growth of the Oil and Gas sector and hence the economy, this multiplier factor can be expected to substantially increase.

This data strongly supports governmental actions to prioritize the use of oil and gas returns in the revitalization of the agricultural sector. These resources are to support potentially viable industries and entities. For example, climate-resilient agriculture can be supported with new protections against rising sea levels and unusual precipitation patterns. But they should not be used to prop up those that are not financially and/or economically viable.

The following paragraphs provide some suggestions, necessarily limited in scope, for possible interventions/initiatives to be supported by the Oil and Gas bonanza.

Sugar Cane Industry

This discussion is on sugar cane and not sugar. Indeed, sugar is to be only one economic commodity with production confined to quantities needed for profitable markets: offering the required forms of sugar and provided in the most appropriate packaging.

A second commodity is ethanol: Previous work has shown that the production of ethanol as a fuel was viable once the price of oil exceeded US$60 per barrel. Naturally, this critical figure will have to be re-examined. This profitable commodity also has the potential to substantially and very rapidly kickstart the Governments renewable energy platform as part as its Low Carbon Development Strategy to complement the Oil and Gas sector. The model of Brazil, another major oil and gas producer, can be adopted/adapted as its specific guidelines and role in enforcing same.

The third suggested commodity is cogenerated electricity: To be developed at an estate with the necessary conditions to allow the enterprise to be viable. In spite of the difficulties experienced at Skeldon Estate, the concept remains credible. Notwithstanding, the preparation of the business plan must be accompanied by a critical revisit of all aspects of the development and turbulent operations of that initiative.

The fourth suggested commodity is livestock (ruminant) feed supplements based on sugar cane tops: The impending commissioning of multi star hotels will require premium quality meat. The Sugar Cane Feed Centre in Trinidad and Tobago has established the technology to produce quality meats from feeds based on sugar cane tops and molasses. Guysuco, can fine tune and commercialize the technology.

The final suggested is bagasse board: to be used as binder less laminated particleboard, primarily for internal partitions, and multipurpose packaging. The experiences in Jamaica for the first commodity can be examined.

This recommendation to resuscitate sugar cane cultivation may not find unanimity because of historical performances linked to sugar. However, even with only three operational estates, 8,000 persons are employed, and 49,500 acres are under cultivation with another 50,000 acres being abandoned but land formed with drainage and irrigation infrastructure. Because of the dominance of heavy clay soils on the coastlands, sugarcane remains one of the few crops that can be readily cultivated in large acres.

In addition, sugarcane cultivation enhances both national income and output: the two major pillars for the alternative/non-traditional method of measuring agricultural GDP; and satisfies almost all of the Platforms listed at the Oil and Gas Conference.

The existing large acreage of sugarcane cultivation (with potential for expansion) is critical to the economic and environmental development of the coastlands and, with its expansive drainage and irrigation network, also serves as a crucial adaptation measure against climate change impacts, such as, possible climate change events.

The challenge is to arrive at the correct mix of viable commodities.

Non-coastal agricultural production

Regional agricultural imports approximate US$3.8bn with corn and soya (for animal feed), meat, white potatoes, niche fruits and vegetables being major imports. Because of its large land mass and altitude characteristics, Guyana is a CARICOM country that can significantly contribute to the reduction of this massive bill.

However, the increased cultivation must occur in the hinterland. Corn and soya and beef in the Intermediate Savannahs in large, mechanized acreages.

White potatoes and niche fruits and vegetables in the Interior Highlands, dominated by the Pakaraimas. These commodities can best be produced by MSMEs owned and/or operated by the resident Indigenous Peoples. Special attention will be required to effectively manage the existing flora and fauna.

A major limiting factor for the successful economic production of these commodities is the inadequacy and/or unavailability of public infrastructure, roads and utilities. Accelerated provision of these by the Government though revenue spending is needed.

Restructured research for development facilities

The meaningful use of oil and gas revenues for the above and other relevant commercial initiatives require an all integrated, focused, result-and time-based approach to research for development along the entire value chain. This approach, led by the Government, was followed by Chile in the successful development of its grape/wine industry and could be adapted.

The resources are available for successfully making the agriculture sector a key economic driver. The time is now for the manifestation of an overwhelming all of Government political will. With the growing national concern on local content (local benefits), this will garner all of society support.

This programme will also benefit CARICOM with a measurable reduction in its food import bill as recognised by President Ali at the recent Caricom Heads of Government meeting. The decades long adage, Guyana, the breadbasket of the region, could fast become a reality.

EDITORS NOTE: Dr H Arlington D Chesney is a leading Caribbean Agricultural professional who has served his country, the Caribbean and the Hemisphere. He is a Professional Emeritus of IICA and, in 2011, was awarded Guyanas Golden Arrow of Achievement for his contribution to agricultural development in Guyana and the Caribbean.

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Agriculture More Than Food On The Table: A Conceptual Approach Within Guyana's Oil And Gas Riches - Caribbean and Latin America Daily News - News...

Ukraines representative on the Internet Corporation for Assigned Names and Numbers (ICANN) recently asked that Russias top-level domains (TLD) including .ru and .su be revoked along with their Secure Socket Layer (SSL) certificates.

They also asked the regional internet registry for Europe, the Middle East and Central Asia (RIPE) to withdraw Russias right to use their assigned IPv4 and IPv6 addresses, and to block their root DNS servers.

The result would have been to effectively disconnect Russia from the internet.

In explaining why ICANN and RIPE both rejected the requests, Andrew Sullivan, president and chief executive officer of the Internet Society, called the potential result Splinternet. Cutting Russia off would not only shatter interconnection, but it would also create a fragmented internet, split along geographical or political boundaries. Sullivan saw this as a slippery slope and the antithesis of how the internet was designed and meant to function.

Others like the RIPE Executive board argued that the means to communicate should not be affected by domestic political disputes, international conflicts or war. Paul Twomey, a former ICANN president and CEO, tweeted that keeping the internet operating in Russia was the best way to ensure that sites carrying diverse views to Russian audiences are effective.

In response, the Ukrainian government has taken another approach. They have been actively and successfully campaigning to have technology firms cut ties with Russia. There is a long list of companies who have shut down or suspended their Russian operations: Google, Apple, Facebook (Meta), IBM, Oracle and a host of others.

Cryptocurrency trading platform Coinbase has blocked 25,000 wallet addresses in Russia. Traditional financial platforms Visa, Mastercard, American Express, PayPal have all withdrawn.

Digital certificates that browsers require to ensure safe encrypted traffic are not being renewed in Russia. The Russian government is working to replace these with their own Russian issued certs, but those are only good if they are recognized by internet browsers. So far, Google, Microsoft and Firefox have not accepted these new Russian certificates.

Finally, two of the main backbone internet providers have done what ICANN and RIPE would not they have cut the main internet trunk links to Russia, at least the ones they control. Lumen Technologies and Cogent have thus severed Russias ties to the internet. This doesnt totally isolate the country, but it will have a major impact not only on Russian data but also telecom services. It may also disturb a number of other countries allied with Russia.

Russias response is, if sources are correct, to disconnect themselves from the internet.

A free Belarusian news service called NEXTA, based in Warsaw, Poland, released what purported to be a Russian policy document which stated that by Friday, March 11, all Russian websites must be switched to the Russian Domain Name System service (DNS).

One reason this leaked information appears credible is that Russia already requires Internet Service Providers (ISPs) to route traffic through servers managed by Roskomnadzor, the Russian telecom regulator. In effect, Russia is already equipped to disconnect from external connections and create a Russian only Internet. Moreover, they tested this capability in 2019. They have even have a name for the network: RuNet.

RuNet would effectively block all access not explicitly permitted by Russia. Presumably the network would retain some external connections and allow permitted site traffic, although what that would be is uncertain.

As much as the internet regulators feared a slippery slope, the reality is that Russia wouldnt be the first country to have its own version of the internet. Iran and North Korea also have severe restrictions on external internet access, and China built its own insulated internet many years ago with the Great Firewall.

Fang Binxing, the father of Chinas Great Firewall, is reported to have visited Russia in 2016 to assist them in developing RuNet. According to author James Griffith, Binxing wanted to make the Russian firewall much more similar to the Chinese one.

For its part, Russia has denied that it is planning on cutting itself off, saying that recent tests have only been a way of trying to protect Russian websites from foreign cyber-attacks.

What would a Russian only internet do? It would effectively shut down social media like Facebook and Twitter. But that could be a moot point; Russia already blocks or throttles social media sites. Moreover, the social media giants such as Meta (Facebook), Google, Twitter and Apple have all effectively pulled out of Russia.

It would also deal a death blow to anything that is left of independent media. Most independent media is shut down in Russia, and what remains communicates from nearby countries via the internet. While the internet is open, Russians can still use VPNs, but not without risk. VPN use in Russia is legal, although accessing officially blocked content is not. They can also use the TOR network, the open-source system for anonymizing online communication also known as the onion router. Russia has the second largest user base for TOR in the world, with over 300,000 daily users. Dissidents and forces opposed to the Putin regime depend on these methods for access to uncensored information and to communicate with the outside world without being tracked by the authorities.

If Russia were to disconnect from the internet, what would the impact be? To those committed to a universal free and open world wide web, it is a setback. Other than that, the impact might be minimal. For those in the west it might even have some positive results.

Corporate communications would be disrupted enormously. All of the communications tools of the global corporation Teams, Zoom, Webex, Google Meetings and Docs, Slack and other chat programs these and a host of collaboration tools and systems would be disrupted or shut down. Realistically, today that only affects the handful of international companies that might choose to remain in Russia. That list gets smaller every day.

In a software-as-a-service (SaaS) based world, software is no longer stored on local computers but is downloaded from a central server. If these are withdrawn or shut down, processing grinds to a halt. Most western companies could not function for even a few days, or in some cases even for hours, without internet supplied software. How long Russian companies can function is a real question. Presumably, there are some desktop versions of software that Russians will have access to, but even these will be problematic. They will no longer receive security updates. Week by week they will be more vulnerable to attack. Bugs will not be fixed. No new features will be added. And as we saw when hackers were able to disrupt the Iranian nuclear program, no network, even one that is insulated from the global internet, is immune to attack.

On the plus side, Russia has been a known haven for cyber-criminals and ransomware gangs. Those attacks, even using TOR and the dark web, will be easier to spot and block if they cant be hidden in the mass of other Russian traffic. These groups might decide to work outside of Russia, but the protection they have enjoyed within Russian borders would no longer be there.

Recently, there have been stories about the growing popularity of cryptocurrencies in Russia. Russians have been reportedly flocking to stable coin, which has a fixed conversion to a currency such as the US dollar. Cryptocurrencies would allow them to hold US dollars as the ruble becomes almost worthless.

That might be useful for those who were already holding cryptocurrencies, but for those who try to convert their Russian money today there is a problem. The ruble is almost worthless already; its value is less than one cent in US dollars.

Russian oligarchs and even the Russian government might use cryptocurrency to defy sanctions or hide their overseas assets. That becomes more difficult with the internet effectively shut down and fewer and fewer options available. The participation of any major cryptocurrency in evading sanctions is sure to bring severe penalties and restrictions from governments in the west.

Will a mainstream cryptocurrency want to risk western government sanctions? Will western investors stay loyal to a cryptocurrency they feel is helping to devastate Ukraine? When over 70 per cent of US citizens will pay more at the gas pump to assist Ukraine, cryptocurrency will not get a pass on this or fly under the radar.

Lastly, Russia will be increasingly isolated, not just in real life, but in all aspects of the digital transformation that all economies are going through. The emergence of this new digital order will continue to transform every aspect of our lives in the same way that the mobile era has maybe even more intensely. Innovation and transformation will create new wealth and new opportunities. Behind their firewall, a generation of Russians will be left behind.

Weve seen this before. For years before the fall of the Berlin wall, the ever-popular Levis blue jeans were coveted by Russian youth. They were smuggled into the country at great cost and at great risk. It was illegal to smuggle them in, yet so many Russians defied the ban that it became impossible to hold back the tide of change. The government failed miserably with its attempt to have its own brand of jeans; the youth of Russia wanted to have what western teens had. Russia finally gave in and imported tens of thousands of pairs of Levis.

Theres a lesson to be learned here. The tactics of the last generation may succeed in the short run and keep an aging and conservative population under control, but holding back a younger generation is another thing entirely.

The Ukraine crisis has accelerated our economic transformation in the same way that the COVID pandemic changed how we work. Governments all around the world are scrambling to accelerate their progress to a greener digital economy that needs less and less of what Russia has to sell oil and gas. Without fully participating in the digital economy, where will Russias future wealth come from?

Expecting that a younger generation will let that opportunity of the future pass them by has always been a losing bet. The idea that they will choose a call of duty in real life (where they get shot) over a Call of Duty in an immersive game world is an extremely bad bet.

In the end, it is by no means certain whether will Ukraine win the ground war. But even if Russia wins that war, they may lose the long game. Ukraine may have forced Russia to retreat into an isolated island, held back in a resource-based economy while the world around it moves into the next phase of the industrial revolution the digital age.

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Splinternet: will Russia pull itself off the internet? - IT World Canada

PARTNER CONTENT: Digital economy, as the trend of development, has become the key driving force for the sustained and stable growth of global economy. As the most effective bridge for information communication and services, communication networks play a key role in supporting and guaranteeing the development of digital economy.

Mr. Hong Gongcun, Vice President of ZTE, shared his views on how superb networks improve the network quality and value of operators in the digital economy era.

As the most effective bridge for information communication and services, communication networks play a key role in supporting and guaranteeing the development of digital economy. Network delivery under the epidemic faces many challenges, such as limited time, space restrictions, and higher human resource requirements. Building a high-quality communication network and maximizing its value has become the constant concern of global telecom operators.

With the gradual expansion of 5G network construction globally, operators networks are becoming more and more complex. As 2G, 3G, 4G, and 5G networks co-exist, network maintenance costs remain high. Meanwhile, network deployment under the epidemic faces many challenges, such as limited time, space restrictions, and higher human resource requirements. Building a high-quality communication network and maximizing its value to support the development of the digital economy and promote the connection of all parties has become one of the constant concerns of global telecom operators.

We adheres to making things simpler for our customers, but keeping complexities to ourselves. It has always been the pursuit of the communication industry to make communication network deployment easier through digital and intelligent tools and systems, thus achieving the goal of deploying high-quality networks in a smooth and rapid manner.

Based on years of experience in communication network deployment, Based on the concept of digital network deployment, we initiated superb network construction solution, aiming at optimal user experience and constantly pursuing a leading position in network technologies and quality.

Superb network construction goes with the entire process of network construction and operation. Starting from network planning, it is based on network performance improvement, focuses on user perception, and finally achieves service growth and profit increase for operators. ZTEs superb network construction includes four phases: basic network deployment, value network evaluation and improvement, user experience improvement, and operator service growth.

Aiming at the network features and requirements of different operators, by relying on ZTEs leading digital network deployment solution, tools and systems, the superb network construction team provides customized network performance improvement solutions. We actively introduce big data tools into our solutions, and through functions such as coverage evaluation, network coverage comparison, antenna feeder detection, virtual drive test, and intelligent optimization, we provide powerful guarantee for achieving the objectives of superb network construction.

We summarize the highlights of the solution into three aspects.

Firstly, the superb network construction accomplishes the full process of network deployment and operation. Starting from network planning, with network performance improvement as the basis, it focuses on user perception and finally helps the customer achieve service growth.

Secondly, we can provide personalized, differentiated, and intelligent network performance improvement solutions in accordance with operators network features and requirements.

Thirdly, ZTE introduces intelligent big data platforms. Through functions such as coverage evaluation, multi-network coverage comparison, antenna feeder detection, virtual drive test and intelligent automatic optimization, this solution provides powerful guarantee for achieving the objective of superb network construction.

By using intelligent tools, ZTE provides full life-cycle services covering network planning, construction, maintenance, operation and optimization, to build superb networks for customers.

For example, based on big data and value models, the wireless precise planning platform SmartHippo supports intelligent planning, and realizes better coverage and higher capacity with less site investment. With the UniDeploy, an app on mobile phone, site commissioning becomes more convenient. With the automatic drive test tool WNG, the site survey and verification can be performed automatically, accelerates the network deployment. The intelligent O&M tools NIA and NGI support alarm and KPI root cause analysis, automatic coverage optimization, and network GIS (Geographic Information System) visualization, improve the efficiency of network O&M and optimization. The AI-based platform VMAX supports user and service perception analysis, end-to-end fault analysis, and user complaint handling, it is powerful for user experience improvement.

Operators continuously improve network infrastructure construction and network quality, and keep a leading network quality to improve their brand value.

ZTE delivers not only high-quality products, but also superb networks and services. ZTE has built superb networks together with a number of operators, at the speed of building averagely 20 sample superb networks each year in the recent 10 years. The superb networks help operators improve network quality and user perception in over 100 countries and regions.

In the overseas market, many networks that we deployed, such as Hutchison Drei Austria, MTN South Africa, Telkomsel Indonesia, AIS Thailand, WindTre Italy, have ranked first in various third-party tests, such as Ookla, Umlaut (P3), R&S and Opensignal. These results help to boost brand value, promote user development, and increase revenues for operators.

Hutchison Drei Austria owns the largest scale LTE network in the country. Its also the pioneer in 5G era. In June 2019, Hutchison Drei Austria first put the 5G network into commercial use in Linz, the state of Austria. In September 2021, Hutchison Drei won the Ookla Speedtests fastest 5G mobile network award for its high-quality 5G network.

In China, ZTE has jointly built 5G benchmark networks with operators in Beijing, Guangzhou, Shanghai and other first-tier cities, achieving ultra-gigabit continuous coverage experience, facilitating digital transformation and economic development for industry partners. In 2021, multiple projects won the Excellent Project Award organized by China Association of Communication Enterprises.

In 2022, ZTE will continue to participate in the design and standard construction of autonomous networks, and works with global operators to carry out commercial practice in this field.ZTE uSmartNet solution provides operators with agile operation and intelligent O&M services. We will continue to provide diversified tools to achieve efficient delivery of new networks and intelligent O&M of existing networks, achieve faster troubleshooting and closed-loop self-healing, promoting the evolution of the network from L2 partial autonomous network, to L3 conditional autonomous network and L4 high autonomous network.

Focusing on customers value, ZTE is committed to provide high-quality and efficient mobile services for customers around the world. We will continue to make innovation to achieve better user experience and network efficiency, and to build cost-effective networks to helping operators improve network value and achieve service growth in the digital economy era.

See the article here:

ZTE: superb networks boost value for CSPs in the digital economy era - Mobile World Live

A recent systematic review published in Reviews in Aquaculture has evaluated the environmental consequences of insect farming and insect-based diets in aquaculture. The results suggest that the sustainability picture of insect meals and oils isnt as straightforward as it initially appears.

The researchers found that insect farming was associated with fewer land inputs than conventional ingredients but came with greater energy use and a larger carbon footprint. For some environmental indicators, insect meal and conventional aquafeed ingredients had comparable results. This suggests that there isnt a huge environmental gain in adopting insect meals the industrys footprint could remain largely unchanged as it adopts alternative ingredients.

Though this finding makes the insect sectors sustainability pitch more complex, the researchers noted that the industry has ample room to innovate and grow. New technologies, emerging research and investment are on the insect sectors side. These improvements in production efficiency and research efforts could reduce the insect industrys greenhouse gas emissions and make it more competitive with conventional ingredients. In time, insect meals and oils could generate a smaller carbon footprint and potentially reduce aquacultures total environmental impact.

Insect meals and oils are generating a steady media buzz as an alternative protein and lipid source for aquafeeds. Insect meals usually derived from black soldier flies, mealworms or houseflies have a strong nutrition profile, are commercially feasible and can be created at scale. Previous research has shown that marine and freshwater finfish can consume insect ingredients during the production cycle without experiencing growth or performance deficits.

Insect meals also come with a compelling sustainability pitch. Opting for insects in lieu of marine ingredients in aquafeed means that producers can reduce their fish-in-fish-out measures, addressing one of the sectors sustainability woes. Other studies have found that insect farming uses fewer land and water resources than soy another key aquafeed ingredient. The fact that some insect species feed off waste products and upcycle them into digestible proteins and fats is an additional benefit.

At face value, it appears that including insect meals in aquafeed could substantially decrease its environmental footprint but this hasnt been fully quantified by researchers. There isnt a lot of published literature on the full environmental consequences of insect meal diets for aquaculture. The industry is still producing small volumes of feed ingredients and has not achieved an economy of scale making production more expensive and less efficient than other ingredient options. There also isnt a side-by-side comparison of insect ingredients vs fishmeal and fish oil on environmental indicators. This leaves many sustainability questions unresolved.

Most conversations about environmental sustainability and aquafeed focuses on inclusion levels for fishmeal and fish oil but this presents only a partial picture. The current push to reduce or even replace marine ingredients with alternative feed sources isnt necessarily a silver bullet for sustainability. Each alternative ingredient including insect-based ones comes with its own water, land and energy use footprint. It also comes with its own global warming potential. Researchers have to capture all of this complexity before they can say that a feed ingredient environmentally friendly.

CAT

For this study, the researchers conducted a systematic review of life cycle analyses (LCAs) on ingredients derived from three insect species: black soldier fly (Hermetica illucens), mealworm (Tenebrio moilitor) and housefly (Musca domestica). LCAs evaluate the environmental impacts of a product throughout its lifespan and also measure the systems that created it from raw materials, processing and eventual disposal.

As part of the systematic review, the LCAs measured the global warming potential, energy use, land use, water use, acidification and eutrophication associated with insect-derived ingredients. The researchers also evaluated the benefit of replacing marine ingredients with insect meals and insect oil using the economic fish-in-fish-out measure (eFIFO). This helped quantify the environmental consequences of using insect meal as an aquafeed ingredient and see how it stacks up against fishmeal and fish oil.

The review found that insect meals used fewer land resources than plant-based ingredients like soy. Within the insect category itself, houseflies required fewer land inputs than mealworms. When comparing land use efficiency between insect production, fishmeal and single-cell proteins, the researchers found that all three industries were roughly comparable. The researchers also learned that insect-based ingredients were associated with greater energy use and had a larger carbon footprint when compared to conventional marine ingredients. These measures were especially pronounced when looking at greenhouse gas emissions and global warming potential.

...replacing fishmeal with other protein sources was associated with increased global warming potential, energy use, water use, acidification and eutrophication.

In general, the review found that replacing fishmeal with other protein sources was associated with increased global warming potential, energy use, water use, acidification and eutrophication. When taking a closer look at the indicators, the researchers learned that insect meals and fishmeal had comparable environmental impacts. In many cases, insect ingredients gains in one area namely land use were offset by deficits in another like solid nitrogen waste levels.

In this study, fishmeal had the lowest impact across the experimental categories the only area where it fell behind was in energy use. Alternative aquafeed ingredients appeared to exert an enormous impact on global warming potential, energy use, water use, acidification and environmental eutrophication. At this stage, opting for innovative aquafeed ingredients wouldnt immediately translate into an environmentally friendly end-product.

One area where insect ingredients excelled was in their ability to reduce aquafeeds eFIFO measures. The researchers found that this replacement potential was feasible across multiple species. If this finding is applied broadly, it means that choosing insect meals in lieu of fishmeal could make the aquaculture sector a net producer of fish instead of a net consumer. Adopting insect meals and oils could, play an essential role in conserving finite forage fish resources while meeting the increasing demand for aquafeed protein [and] lipid sources, according to the experimental analysis.

However, the researchers stressed that fully replacing marine ingredients with insect meals would require nutritional fortification especially for amino acids and essential fatty acids. The nutrition profile of insect meals varies depending on the quality of the insect feed and processing method. Lipid levels for insect oil could fall between 16.6 percent and 40.3 percent. This needs to become more consistent for it to accomplish a one-to-one swap.

In the near term, blending insect ingredients with microalgae-derived materials would make alternative feed sources nutritionally comparable to fishmeal. It would also, allow the inclusion of higher proportions of insect ingredients [in aquafeed], thus reducing dependence on marine fish resources, the researchers said.

Though elements of the review put insect-based ingredients in a positive light, the authors note that the insect farming industry needs to make drastic improvements to follow through on its sustainability pitch and be competitive with marine ingredients.

Insect producers will need to balance the trade-off between nutritional gains and environmental impacts as the industry develops.

According to the researchers, the sector needs to become more efficient and develop better substrates for its insects. Fly farmings biggest environmental drain comes from the insects food source, or substrate and each food source carries environmental ramifications.

In this review, distillers grains which are already used as feed in the livestock industry appeared to be a promising food source for houseflies and black soldier flies. But the grains arent always environmentally efficient and drove much of the insect industrys water use. This means that adopting a high-quality substrate will increase the sectors environmental footprint. Insect producers will need to balance the trade-off between nutritional gains and environmental impacts as the industry develops.

Similarly, the literature indicates that feeding insects food waste and manure the substrates that could move the industry towards a circular economy is only workable in some cases. Mealworms cannot metabolise manure and feeding food waste to animals is subject to strict regulations, especially in the European Union. Insects also need consistent feed inputs to achieve competitive lipid and protein profiles. This means that relying on wastes with variable nutrient content may not be a workable strategy.

The industry still needs to identify the best substrate for rearing insects and work to quantify its environmental consequences. This would give the industry a more accurate picture of its sustainability credentials and allow protein and lipid levels in insect meals to become more consistent.

Though this presents a complex picture, the researchers were quick to point out that the environmental impacts of insect-based diets are influenced by multiple components. They also noted that the insect industry has huge potential for improvement. This stands in contrast with the marine ingredients sector. Forage fish stocks are a finite resource, and the sector is already operating at peak efficiency. Insect farming is only starting to come online and is still producing small volumes. Marine ingredients might be eclipsed if the insect industry achieves economies of scale and operates more efficiently.

The researchers say that insect-rearing facilities need to be optimised. If the facilities are constructed and operate with minimal wastage and high efficiency, the environmental impact measures for insect-based ingredients will improve dramatically. Land use metrics could reduce if facilities scale up and take advantage of vertical production, multi-level shelves or stackable boxes. Access to renewable energy could cut impact measures by 25 percent. This would offset the facilities environmental burden and make heating and drying costs more reasonable. The researchers also suggest building insect facilities in equatorial climates to reduce heating expenses.

InnovaFeed

Focusing on the facilities construction and location, while also using optimal substrates for the insects would bring much-needed progress to the sector. The industry is winning huge investments and is increasing its production volumes improving on these metrics could spur further investment and innovation. It could also make its on-paper environmental pitch more concrete.

In the researchers view, insect meals and oils probably wont be the sole ingredients the sector relies on as it formulates sustainable aquafeed. Its more likely that the industry will use a combination of alternative protein and lipid sources that have low environmental impacts. This will let feed formulators be strategic about their ingredient selections and account for potential innovations across the broader alternative ingredients sector.

Read the full paper in Reviews in Aquaculture.

Megan Howell first started writing about aquaculture in 2019 as part of the editorial team at 5m Publishing and The Fish Site. She has a MSc in applied research methods from Trinity College Dublin. She currently lives and works in Ireland.

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What are the environmental impacts of using insect ingredients in aquaculture? - The Fish Site

Researchers from Thailand have investigated the effects of expanding land use for biofuel crops. The results of their findings have been published online in the journalSustainability.

Study:Effects of Biofuel Crop Expansion on Green Gross Domestic Product. Image Credit:Mabeline72/Shutterstock.com

Recently, biofuels have been widely proposed as a replacement for diesel and gasoline. Biofuels have advantages over traditional petrochemical-derived fuels including fewer emissions and more renewable resources, reducing societys over-reliance on finite fossil fuels. Many bodies such as the Department of Alternative Energy Development and Efficiency have reported that biofuel demand and consumption have increased in recent years.

Increasing the supply and production of bioethanol and biodiesel is a central concern amongst researchers in the field of renewable fuels. However, increasing the supply of feedstocks comes with a cost in terms of land usage. In Thailand alone, land use for sugarcane and oil palm cultivation alone is being targeted for a significant increase by 2026. Targets for increasing land for sugarcane are 1.6-2.6 million hectares, whereas for oil palm it is planned to increase land use from 0.7-6.2 million hectares.

A main drawback of increasing land use for biofuel production is its effect on food production. Arable land that could be otherwise used to feed the growing world population is being given over to produce crops for biofuels. Other activities can become affected by this use, and there can be economic knock-on effects for several industries.

Thailands biofuel consumption (million liters per day).Image Credit:Haputta, P et al., Sustainability

One way to measure the impact of increasing biofuel cropland use is to investigate it from the aspect of gross domestic product (GDP.) Currently, there is a lack of study on this impact, despite the vast amounts of land used for agricultural purposes. In Thailand, which the new study published in Sustainability concentrates on, 40% of land use is for agricultural purposes and the agricultural sector accounts for approximately 10% of the nations total GDP.

Some studies have investigated various aspects of the impact of biofuel production on economies and GDP. Studies have investigated the economic impact of bioethanol production in Thailand, using GDP as an indicator. Intertemporal GDP has been used in studies to reveal the dynamic economic effects of biofuel promotion. These studies have neglected the effects of land expansion.

However, GDP alone is insufficient for investigating the true impact of land use expansion for biofuel crops. Whilst it is a good indicator for economic growth, it does not account for social aspects, human well-being, social sustainability, and the long-term effects on the environment of present consumption. To overcome this issue, indices such as Green GDP and the Genuine Progress Indicator have been introduced in recent years.

Main connectivities of economic transactions and activities within the CGE model.Image Credit:Haputta, P et al., Sustainability

Green GDP is a system for predicting economic impacts wherein the depletion and degradation of natural resources are subtracted from conventional GDP. In essence, it is an index of sustainable economic growth. Future levels of natural and environmental resources are derived by subtracting used resources from conventional GDP.

There have been several studies on Green GDP, including incorporating factors such as emissions, natural resource depletion, and waste, with one study using an economic input-output LCA. GDP has been integrated with ecosystem services values. These studies have used Green GDP as a system for proposing more sustainable practices and policies by governments and industries governing biofuels.

The new paper published in Sustainability has assessed the effect on Thailands Green GDP and wider economy caused by expanding land use for biofuel crop growth. The authors have aimed to use this study to help address the current lack of studies in this area. In turn, the authors have proposed that by using Green GDP to study the economy-wide effects on Thailand of expanding land use for biofuel crops, more sustainable policies governing biofuel production can be implemented.

Structure of production. Image Credit:Haputta, P et al., Sustainability

Targets that were officially published in AEDP 2015 were used as a basis for the incorporation of expanding biofuel cropland use into the study. The study has examined different simulation scenarios which incorporate alternative land expansion strategies and the impact of environmental interventions. The authors employed a static computable general equilibrium (GCE) model in combination with life cycle impact assessments to evaluate the impact of expanding land use on conventional GDP and economic transactions.

Results of the study indicated that expanding the use of land for biofuel crops increased Thailands Green GDP compared to a business-as-usual scenario. Amongst alternative land expansion scenarios, the authors found the most positive effect on Green GDP was when disused rice fields were converted for biofuel crop growth, and the most negative effect was the conversion of forested areas. The results also indicated an adverse effect on rice production and milling when biofuel crop substitution was performed, as well as a reduced production capacity in some industries.

Based on their findings, the authors have stated that using a GCE model to investigate Green GDP yields comprehensive results that can be used for sustainable policies and decision-making. The studys method also has potential for other research into different aspects of biofuel production.

Haputta, P et al. (2022) Effects of Biofuel Crop Expansion on Green Gross Domestic Product [online] Sustainability 14(6) 3369 | mdpi.com. Available at:https://www.mdpi.com/2071-1050/14/6/3369

Disclaimer: The views expressed here are those of the author expressed in their private capacity and do not necessarily represent the views of AZoM.com Limited T/A AZoNetwork the owner and operator of this website. This disclaimer forms part of the Terms and conditions of use of this website.

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What are the Effects of Land Expansion for Biofuel Crops? - AZoM

Another five or six hikes in 2022 can also be expected, barring a severe negative growth shock. But beyond that, the policy path and its market implications are murkier. There are a number of reasons, one being the uncertainty over which half of the Feds dual mandateprice stability and full employmentwill take priority once monetary policy gets close to neutral, and the Fed is confronted with the hard decision of how much further to go.

For much of last year the Fed prioritized labor market recovery, and implicitly growth, over inflation. The latter was considered transitory, while the Fed thought there was still ample slack in the labor market because many people had not yet returned due to pandemic-related issues. That thinking pivoted by December, as did Fed communicationthe labor market is now tight and inflation is at risk of being persistent and unanchored. Consequently, the Fed is in inflation-fighting mode. But after inflation has moderated and growth has slowed, the pendulum between the two mandates is likely to swing back.

The market isnt waiting, as its already pricing in a rate cut in 2024, after over 200bps of rate hikes in 2022 and 2023. This despite the market also pricing CPI inflation to still be near 3% at the time. With many factors influencing market pricing, this shouldnt be interpreted literally as the Fed prioritizing full employment by 2024. But it does beg the question of what will be driving the Feds policy calculus one to two years out. The following are some factors that Fed officials may consider when trying to balance both aspects of their mandate.

First, it may take a significant rise in the unemployment rate to have a material effect on inflation. Using the Phillips curve inverse relationship between inflation and unemployment, and plugging in current levels for both, suggests that unemployment would have to rise to around 10% for inflation to even get close to the 2% target. There are many limitations and valid criticisms of the Phillips curve, but it does provide some perspective on how high unemployment may have to go in order for inflation to come back down to 2%, which may be a cost the Fed is unwilling to bear.

Second, the labor market is historically tight, and its possible that demand destruction within the labor market due to Fed tightening may actually bring supply and demand back in line and moderate wage growth, rather than lead to large job losses. Thats a big if, and history isnt supportive; a 50-100bps rise in the unemployment rate has always been followed by a recession. But its also true that demographics and the long-term decline in labor force participation have never been this conducive to the labor market remaining tight. This may lead the Fed to think that monetary policy can be at least slightly restrictive without risking full employment.

Third, there is a market dislocation argument for the Fed to let inflation stay elevated for a while, if necessary. The stimulus-induced aggregate demand surge in the US economy and the supply-side bottlenecks not only drove headline inflation to nearly 8%, but they also distorted the relative prices of goods, services, and labor. This matters because relative prices determine the resource allocation in the economy, and distortions lead to economic inefficiencies. With the economy, hopefully, moving into the endemic stage of COVID and the effects of the pandemic shocks receding, relative prices can again properly perform their market-clearing function. This will take some time, which the Fed understands. Hiking too much and too soon to curtail a rising absolute price level could prematurely truncate this resource reallocation process.

Fourth, the Fed may be willing to tolerate inflation near or above 3% for a sustained period, as long as the secular trend is toward lower inflation, and it doesnt appear to be re-accelerating. Publicly, the Fed will stay committed to a 2% inflation target to maintain its inflation-fighting credibility. But as a practical matter, if Fed tightening in 2022 combined with a natural moderation is enough to get inflation near 3%, the Fed may well take a measured pace from thereon to get to the neutral policy rate or slightly above to minimize recession risk.

The Feds goal at the start of any hiking cycle is to engineer a soft-landing for the economy. Thats never easy and history doesnt indicate a great track record. The Feds task this time is further complicated by it already being so far behind the curve, with inflation not being this high since the early 1980s. That brings up the possibility that Fed Chair Jay Powell will channel his inner Paul Volcker, hiking rates so much to bring down inflation that a recession is all but inevitable.

That is a risk, but the mid-1990s hiking cycle might be a better template, based on the considerations listed above. The Fed began hiking rates in January 1994 and was done by February 1995, with the funds rate going from 3% to 6%. There were even three 50bps and one 75bps rate hikes. Inflation was 2.7% when hiking began and 2.9% when it ended, and stayed in that range for two years before falling below 2% in 1998. Todays starting inflation is much higher, but the Fed would gladly take that inflation profile for the rest of this cycle.

Rather than Volcker, the 1990s approach of his protg Alan Greenspan might be the more appropriate reference for what to expect from the Fed. This is not an official forecast for what the Fed will do, but simply speculation on how it will think about conducting monetary policy over the next year or two. Something investors will likely be doing rampantly in the months ahead.

Main contributor - Jason Draho

Content is a product of the Chief Investment Office (CIO).

Read original blog - Duel of the mandates, 16 March 2022.

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Duel of the mandates - UBS

New resource uses sophisticated proprietary algorithm to offer Schwab clients access to dozens of investing themes

WESTLAKE, Texas--(BUSINESS WIRE)-- As part of its effort to help clients personalize how they invest, Charles Schwab today announced the launch of thematic stock lists, a new resource designed for self-directed investors who want to invest in stocks aligned with their personal interests and values. Using Schwabs thematic stock lists one of the largest theme-based stock list resources available in the industry today clients can easily view potential investments from a list of 45 different thematic categories and approximately 900 total companies representing a range of trends including data advancement, medical breakthroughs, and environmental innovation. Schwabs thematic stock lists are available to clients for no additional fee on Schwab.com and the Schwab mobile app.

Schwabs thematic stock lists (Image provided by Schwab)

Individual investors are broadening how they think about investing, says Divya Krishnan, Schwab product management director. Nearly a third of our clients today tell us theyre interested in customizing their portfolio to align with themes that are important to them.* Whether its an area that speaks to someones individual values, or its something they have a deep passion for - like space or pets - investors increasingly want the ability to personalize their portfolios.

Krishnan emphasized, We expect this investing approach will continue to grow in importance moving forward. This introduction is another step in Schwabs continued plans to deliver additional personalized experiences to clients with more to come in the future.

Making thematic stock lists easier and more accessible

While most thematic stock lists available today rely on third-party research sources, Schwabs thematic stock lists are built using a sophisticated proprietary algorithm. Schwabs algorithm uses natural language processing (NLP) to mine terabytes of data and millions of public documents, such as patent grants, clinical trials, and regulatory filings to objectively identify publicly traded companies based on their relevance to a particular investment theme. The algorithm can quickly ingest thousands of pages of text and quantify thematic relevance for companies a task that might take an investor multiple days to accomplish on their own.

In recent years, theres been an explosion of data and better accessibility to information, which can make it overwhelming for investors to manually do their own research to find relevant stocks that align with their personal interests and values, says Krishnan. Schwabs thematic stocks lists put all this information in one place to make it significantly easier for clients to make personalized investment decisions based on ideas or trends that matter to them.

Schwabs thematic stock lists take traditional sector research a step further, including companies across multiple sectors and industries that are relevant to a single theme. As a result, investors can view companies by the exposure they offer to a range of prominent current trends, as opposed to simply by sector and size. For example, Schwabs Robotic Revolution thematic stock list includes a variety of companies from across different sectors like industrials, healthcare, and information technology that are building and using robotic solutions for manufacturing, logistics, and medical services.

Additional available themes include Blockchain, Cyber Security, Renewable Energy, Social Networking, Genomics, Online Gaming, Pet Passion, and Space Economy.

All of Schwabs thematic stock lists are available on Schwabs new online thematic investing hub. On the hub, clients can learn more about thematic investing and view individual themes.

Schwab has also published a whitepaper with more in-depth information about the firms unique thematic research approach.

*Q1 2022 Schwab Retail Client Sentiment Report

About Charles Schwab

At Charles Schwab we believe in the power of investing to help individuals create a better tomorrow. We have a history of challenging the status quo in our industry, innovating in ways that benefit investors and the advisors and employers who serve them, and championing our clients goals with passion and integrity.

More information is available at http://www.aboutschwab.com. Follow us on Twitter, Facebook, YouTube and LinkedIn.

Disclosures

Investment Research for thematic stock lists is provided by Charles Schwab Investment Management, Inc. ("CSIM"). CSIM is an affiliate of Charles Schwab & Co., Inc. ("Schwab"). Both CSIM and Schwab are separate entities and subsidiaries of The Charles Schwab Corporation.

Thematic stock lists are not intended to be investment advice or a recommendation of any stock. Investing in stocks can be volatile and involves risk, including loss of principal. Consider your individual circumstances prior to investing.

Supporting documentation for any claims or statistical information is available upon request.

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Schwab's New Thematic Stock Lists Make It Easier for Individuals to Invest According to Their Interests and Values - About Schwab

Global plastic film manufacturer Sdpack(U.S. office in Appleton, Wisc.) and Netherlands-based Clean Cycle, founded by the entrepreneurial Last family which is active in the fields of flexible packaging and the sole owner of the Scholle IPN Group(U.S. office in Elmhurst, Illinois), a leader in the liquid flexible packaging industry, have entered into an agreement for a long-term investment in what is said to be the unique Carboliq chemical recycling technology developed by Germanys Recenso. The latter, is a specialist in the design and implementation of systems for resource recovery and provides advanced recycling solutions. Their portfolio includes machinery and systems for both physical (mechanical) and chemical recycling based on the Carboliq process.

The decision is the logical consequence of the cooperation between Sdpack and Resensos Carboliq about a year ago. The company manufactures and operates plants for oil recovery from mixed and contaminated plastic wastes. Carboliq supplies the circular liquid resource (CLR) it produces via its depolymerization process to the petrochemical industry which uses it as a substitute for fossil raw materials in the manufacture of new, high-end polymers. Now the three companies Sdpack, Clean Cycle, and Resensos Carboliq have pooled their expertise in the area of material management with chemical recycling. Their aim is to further expand available capacities for the innovative and highly efficient chemical recycling of a wide range of plastics.

With the operation of the pilot plant at the disposal center in Ennigerloh, Sdpack and Carboliq have proved that numerous material fractions as well as mixed and contaminated plastic wastes can be converted into a valuable resource. Apart from the large diversity of input materials, the CARBOLIQ process offers competitive advantages in terms of energy efficiency and low emissions. The oil recovered is virgin-grade quality and can be used by the plastics industry in the same way as fossil fuels to produce a wide spectrum of plastic granulates. These granulates can in turn be processed to produce high-performance films for sophisticated packaging applications which are required above all in the food industry.

So far, the cooperation partners have successfully applied the technology both for resource recovery from their own recyclable material flows as well as for recycling packaging materials from processing and from end customers. The Recenso plants for direct oiling work according to the catalytic tribochemical conversion (CTC) process and are unique in the world.

The investment in Carboliq creates a powerful company that will in the medium term continually expand its capacities for highly efficient recycling of a wide variety of plastics. Fundamentally, our joint vision is tackling the problem of high-performance flexible packaging materials that cant be mechanically recycled with current technology. We aim to make them recyclable and therefore compatible with future needs. Thanks to the investment by Sdpack and Clean Cycle, well be able to create a closed-loop, high-performance and industrial-standard system that also handles these products. It will allow us to exploit the extremely promising potential of our technology, explained Carboliqs CEO Christian Haupts.

Said Sdpack business unit manager Dirk Hardow. In a wide range of applications, for example in the food industry, high-performance multilayer films with effective protective functions are the most efficient solutions for keeping all kinds of food fresh. And theyll remain the best choice in the future. Thats because they provide maximum product protection at minimum added weight. However, the drawback is that they cant be mechanically recycled. Now Carboliq offers a key system component for creating a circular economy in the food packaging industry which cant be achieved solely with mechanical recycling, also due to existing legislation.

Said Laurens Last of Clean Cycle Investments,We very deliberately incorporated the word Cycle into our companys name because we see the circular system as our top priority. Were fully confident that chemical recycling will play a crucial role in achieving a sustainable circular economy that even includes high-performance plastic packaging.

Dips in PP and PET tabs proved temporary, as supply/demandimbalances elevate prices and restrict supplies of all five commodity resins. PS hikes are especially brutal.

Theres more to TP polyesters than you think. You may know PET, PBT, and PETGbut what about PCT, PCTG, PCTA, and PTT? If youre not sure what they are, how their properties compare, and who sells them, we have the answersand lots of new developments to report.

The rate of loading for a plastic material is a key component of how we perceive its performance.

Originally posted here:

Sdpack and Clean Cycle Invest in Carboliq Chemical Recycling - Plastics Technology

As global economic power continues to shift eastward, India's position as the world's sixth-largest economy behind the US, China, Japan, Germany and the UK is projected to improve in the coming decades. According to the accounting firm PricewaterhouseCoopers, it is expected to surpass America to become the second-largest economy by 2050, behind a newly arisen China.

India's energy consumption quite naturally will grow even further during this period but there's a catch. With climate mitigation needing to be factored into policymaking, how the country manages its energy transition will be keenly watched by producers around the globe, particularly the Gulf countries, who have had decades-long close ties with the subcontinent.

There is indeed some uncertainty about how quickly the transition will occur.

Looking at the forecasts made by the energy giant Shell, as well as the Energy and Resources Institute in New Delhi, one can only make some cautious guesses, even considering the unpredictability of global energy, financial and other markets. The country's complex political and economic systems have so far forced the government to take a more prudent approach in its climate fight.

In the run-up to last year's Cop26 climate conference, for instance, the widespread belief was that New Delhi would be able to commit itself to a net-zero emissions target by 2050. That it chose a more conservative timeframe of 2070 reflects the challenges of making this transition. In fact, 2080 seems a more reasonable benchmark.

History has taught us that Gulf-South Asia ties have always evolved with the changing times

The country has already begun reforms across a wide swathe of industry, such as fast-tracking the use of hydrogen in the globally critical iron and steel sector, as well as in other heavy industries. There is a desire to increase carbon capture, storage and utilisation. A concerted effort is being made at various levels to transition to biofuels, raise energy efficiency and lower energy use in new buildings. Reforestation efforts are under way. There is also a growing appreciation for nuclear energy as a low-emission source of electricity.

More needs to be done across the board, however, from increasing the overall capacity to generate solar energy to reducing coal consumption to electrifying farm equipment and, eventually, ending the sale of internal combustion engines.

How, then, will all this affect the GCC's energy relations with India?

Given its geographical proximity and robust relationships, it is unsurprising that the country imports 35 per cent of its crude oil from the Gulf. This is unlikely to change in the short term. In the medium term, India may lean even more on the region, despite recent discussions about importing more oil from Russia.

Indeed, India's oil demand is likely to grow from five million barrels a day today to about 8.7m by 2040. Demand for LNG is set to rise four times, to more than 124 billion cubic metres per year during this period. Its overall natural gas demand is projected to increase from 61bn cubic metres per year to about 200bn cubic metres. Currently, India gets 55 per cent of its LNG from the GCC and one can expect those energy relations to continue.

UK Prime Minister Boris Johnson receives Indian Prime Minister Narendra Modi at Cop26 in Glasgow last November. Reuters

The reason for this is simple: as part of the early stages of its transition, India is seeking to replace coal with natural gas. Policymakers have determined that LNG supply needs to be ramped up in the medium term before it can be brought down in the longer term, at which point it is hoped that India will have adequately developed its renewable energy sector. New Delhi has begun domestic exploration for LNG, but to meet the burgeoning demand, it will remain reliant on overseas supply. The Gulf countries will be smart to bridge this gap as swiftly as possible especially if the 2015 Iran nuclear deal is revived following which that country may be reintegrated into the global economy and allowed to sell its energy to the world. Russia, too, is a potential LNG source for India.

Its the same with oil. Aside from the Gulf, India imports large quantities from Angola, Mexico, Nigeria, the US and Venezuela. But with extraction being more expensive in these countries, India will depend ever more on the GCC. After all, as global oil markets begin to decline because of the worldwide energy transition currently under way, it is those producers that are able to get the oil out of the ground at lower prices that will remain competitive.

History has taught us that Gulf-South Asia ties have always evolved with the changing times. Thats likely to be the case even in the latter stages of their respective energy transitions. In fact, they are already finding new avenues for co-operation.

A peek into the future suggests there is much that India and the GCC can learn from one another's transition strategies. Collaborations are possible in a range of areas from green finance to green inventions and innovation to circular carbon economies. With India seeking to move away from coal and the GCC building a post-oil future, expect more joint investments in hydrogen energy and related technologies.

A land drilling oil rig operated by Oil and Natural Gas Corp in Bhimavaram, Andhra Pradesh. Bloomberg

Gulf-based research institutes and think tanks, such as Masdar Institute in Abu Dhabi and the Riyadh-based King Abdullah Petroleum Studies and Research Centre, may find it useful to work with their Indian counterparts. There is potential for university-level collaborations on research and development of energy-related technologies. Indian labour and expertise can help GCC countries with their greening efforts. In turn, GCC expertise, finance and other capabilities will come in handy for India.

There is, of course, no doubt that change will bring with it its share of challenges.

South Asian countries will need to carefully consider the impact of transitioning on their individual energy, water, food, economic and human resource requirements. Just like everyone else, they will also need to prepare for occasional energy shocks.

A country as large as India's will be mindful of the possible employment-related challenges that are bound to spring up, as some old jobs become redundant. It will need to invest heavily into retraining its huge population, so that they are ready to take up new jobs. Here, too, the GCC can play an important role through financing and its world-class educational institutions.

There is already a lot riding on the two regions' collective stability the GCC has a combined GDP of $1.4 trillion, while India's is about $2.9tn and proactively managing headwinds together will be critical for them to continue growing.

Given all this, it makes perfect sense for both entities to continue working together towards a mutually beneficial future.

Published: March 17, 2022, 4:00 AM

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How India and the GCC can help each other in their energy transitions - The National