Understanding the implication of investing in biodiesel production in South Africa: a system dynamics approach

Abstract

This paper presents a Bioenergy Systems Sustainability Assessment and Management (BIOSSAM) model. The BIOSSAM model was developed as a means to provide insights into the implications of expanding bioenergy programmes in South Africa, which is deemed critical for sustainable energy development in the region. The BIOSSAM model was applied to the case of biodiesel production in the Eastern Cape Province of South Africa. At present, biodiesel production in the Eastern Cape is envisaged to promote socio-economic development through, for example, job-creation, which, in turn, would lead to the further economic growth of the Province. The development of biodiesel production value chains is influenced by a number of factors such as producer/supplier profitability; this is determined by several factors such as: land availability to supply raw materials, feedstock prices, and government regulations, amongst others. To explore the extent of achieving the socio-economic goals from biodiesel production value chains, the BIOSSAM model provides a freamework for understanding the casual-loop/feedback structure and dynamics of this emerging industry.