Abstract
Techno-economic models for optimised utilisation of jatropha oil under an out-grower farming scheme were developed based on different considerations for oil and by-product utilisation. Model 1: Out-grower scheme where oil is exported and press cake utilised for compost. Model 2: Out-grower scheme with six scenarios considered for the utilisation of oil and by-products. Linear programming models were developed based on outcomes of the models to optimise the use of the oil through profit maximisation. The findings revealed that Model 1 was financially viable from the processors’ perspective but not for the farmer at seed price of $0.07/kg. All scenarios considered under Model 2 were financially viable from the processors perspective but not for the farmer at seed price of $0.07/kg; however, at seed price of $0.085/kg, financial viability was achieved for both parties. Optimising the utilisation of the oil resulted in an annual maximum profit of $123,300.
Highlights
Diminishing fossil fuel sources coupled with concerns about climate change presents the need to focus on renewable energy sources to address the escalating energy demands of growing economies likeGhana
Based on a required farm size of 200 ha for the base scenario, 400 farmers are required with the assumption that each farmer cultivated or intercropped 0.5 ha of his/her total land holding with jatropha
A planting distance of 1.5 m for hedges implies that total planting distance of 556 m is required for each farmer to achieve the required plant population
Summary
Case studies into the failure of jatropha cultivation businesses using the large scale plantation model has been reported in Sub-Saharan African countries including Ghana [14,15,16] cultivation of jatropha as a hedge plant in poor rural areas without alternative income generation opportunity has been reported to be the most profitable [14,17]. Recent reported failures of large scale jatropha plantation in Ghana [16] provides the need for critical consideration of the out-grower model which has been reported to contribute to sustainable development in rural areas. Linear programming model was developed to optimise the use of the crude jatropha oil for profit maximization
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