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rise dramatically for ethanol – from 61 to 259 million liters per year – and for biodiesel – from 27 to 266 million liters per year – between 2006 and 2010.22 The Dominican Republic is a prime example of the extent to which Caribbean countries can rely on biofuels for their energy needs. Table 2 compares the consumption estimates of the IDB study for the Dominican Republic with the country’s total predicted imports of hydrocarbons and their products.23 Even assuming high consumption levels of ethanol and biodiesel (22 percent of gasoline and 20 percent of diesel, respectively), it is clear that biofuels will still only make up a small proportion of the Dominican Republic’s energy matrix at about 6 percent for 2010. Indeed, even Brazil – a key player in the biofuels market – relies on sugarcane for only roughly 13.5 percent of its energy matrix.24 Table 2. Dominican Republic: Projected Consumption of Biofuels and Hydrocarbons (mboed) 2006-2010 Gasoline Ethanol Diesel Biodiesel Hydrocarbons Imports (OLADE) Biofuels as % Total Imports mboed % Used mboed mboed % Used mboed mboed % 2006 2007 2008 2009 2010 21.0 5% 1.0 22.7 2% 0.5 131.0 1.1% 20.2 12% 2.4 22.7 5% 1.1 135.4 2.6% 20.2 16% 3.2 22.7 10% 2.3 139.9 3.9% 20.2 19% 3.8 22.7 15% 3.4 144.7 5.0% 20.2 22% 4.4 22.7 20% 4.5 149.6 6.0% Source: Garten Rothkopf (2007); OLADE. Haiti is a second promising biofuels producer although it does not currently engage in production of biofuels. Due to high levels of deforestation, the study recommends that Haiti should focus on biodiesel production. Biodiesel would offer a substitute fuel source for the transportation and power generation industries, both of which currently rely on diesel oil. Haiti has taken steps to develop the industry, and signed an agreement to receive technical assistance from Brazil in May 2006. However, several barriers to Haiti’s competitiveness remain, including poor infrastructure, especially roads; high rates of deforestation; and a climate and topography that limit the potential of reviving the sugarcane industry for ethanol production. Another important factor is Haiti’s recent signing of Petrocaribe, which may have the mixed effects of encouraging consumption of hydrocarbons while enabling production of biofuels through its socioeconomic development incentives. 12PDF Image | Prospects for the Oil-Importing Countries of the Caribbean
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