The document discusses opportunities for using coconut oil as a biofuel in Pacific Islands. Key points include: 1) Coconut oil can replace or be blended with diesel fuel in engines, providing economic benefits through lower local costs compared to imported diesel. 2) Using coconut oil can support local agro-industries and reduce emissions compared to diesel. However, straight coconut oil requires engine adaptations. 3) Producing biodiesel from coconut oil is more expensive than using straight coconut oil due to chemical processing requirements.

1. Coconut Oil as a biofuel in Pacific Islands
Coconut Oil as a Biofuel in Pacific Islands
Jan Cloin
South Pacific Applied Geoscience Commission
There are great opportunities to utilise coconut oil as a fuel in the Pacific. Coconut oil can
be blended with diesel fuel, and under certain conditions totally replace it. Coconut oil in
Pacific islands countries is increasingly used in both transport and electricity generation
through its lower local cost. Other benefits include the support to local agro-industries
and a decrease in emissions.
Biofuels in the Pacific extinct, especially through the high inputs
The use of biofuels is nearly as old as the of labour required, with low return. By
diesel engine itself, as Mr. Diesel switching to mechanised production of
designed his original engine running on local fuel substitutes instead of focusing
peanut oil. During periods in history on highly competitive exports, economic
when regular diesel supply was niches can be found on the islands
hampered seriously such as during World themselves.
War II, throughout the world vegetable
alternatives from different sources and in There are a number of ways in which
different forms have been used. vegetable oils such as coconut oil can be
used in compression engines (See
The specific circumstances of small Coconut Oil Fuel Technology). Another
Pacific Islands call for local solutions. promising technology includes straight
Since most Pacific island countries gasification of whole coconuts, however
import their fuels at very high transport this requires further technological
costs, it makes economic sense to find development.
local fuel supplies. Even though the
Pacific islands on a world-scale do not Coconut Oil Fuel Technology
contribute much to the emission of Use of Coconut Oil in Standard Engines
greenhouse gasses, their case for Figure 1 gives an overview of the options
mitigation assistance under the Kyoto to use coconut oil in Compression (Diesel)
Protocol becomes much stronger if they engines. Coconut oil can be blended with
simultaneously look for environmentally diesel, straight in an adapted engine or
beneficial alternatives to fossil fuels. turned into biodiesel. Because of higher
specific density and slightly lower energy
The traditional production of copra (flesh content, specific fuel consumption using
from a coconut) and its oil, an industry coconut oil is generally 8% higher.
inherited from colonial times, has been
suffering from low world market prices Many studies involving the use of
and high transport costs. In a number of vegetable oils such as coconut oil were
countries, the copra industry is nearly conducted in the early 1980s. Short term
Diesel
Blend<20%
Compression Engine
Coconut oil
Generator / Car
Adapt Engine:
Coconut Oil Fuel pump, tank,
filters and injectors
Standard
Waste Biodiesel
Vegetable Oil
Figure 1: Overview of Biofuel Choices for Compression Engine
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2. Coconut Oil as a biofuel in Pacific Islands
engine testing indicates that vegetable
oils can readily be used as a fuel or in a
range of blends with diesel. Long-term
engine research however shows that
engine durability is questionable when
fuel blends contain more than 20%
vegetable oil [1,2,5,11]. Especially
deposits on the pistons, valves,
combustion chambers and injectors can
cause severe loss of output power,
engine lubricant deterioration or even
catastrophic failure to engines [6].
Using pure coconut oil in standard
engines is very attractive through its low
cost, however it requires special Figure 3: Coconut Oil Adapted Vehicles in
technical supervision and may shorten Vanuatu (Tony Deamer)
engine life.
Use of Coconut Oil in Adapted Engines Fuel System Adaptations
Fuel Heater It is also possible to adapt the fuel system
As coconut oil has up to 30 times higher of a compression engine to start and stop
viscosity than regular diesel at the same on pure coconut oil. Mostly, these engines
temperature, most engine modifications feature adapted injectors, dedicated fuel
include a fuel heater. As heat is pumps and extra filters. A good example
exchanged between the engine coolant of this is the pilot plant in Ouvéa, New
and the fuel, the oil viscosity Caledonia, implemented by SPC and
approximates that of diesel [7]. As CIRAD in the 1990’s [3,12]. Further
coconut oil solidifies below temperatures feasibility studies have shown favourable
of 250C, often an electrical heater is opportunities for both electricity
incorporated in the fuel tank. generation and taxis in Vanuatu [9,10].
Start / Stop on Diesel In Europe and the United States, the use
Most adaptations incorporate a start and of dual fuel systems, mainly in automotive
stop on regular diesel. As soon as the applications, is slowly developing. Through
engine is operating at rated a combination of high taxation on fuels
temperature, the fuel supply switches to (Europe), low vegetable oil prices (U.S.)
coconut oil and just before shutting an increasing number of consumers have
down, the supply is switched back to acquired an alternative fuel system built in
diesel. This system ensures that the fuel their vehicles. Reportedly, the emission
system has diesel ready for a cold start reductions achieved through use of these
fuels have been mixed [8].
The main advantage of adapted engines is
their fuel flexibility and relatively low
additional cost. The major disadvantage is
the loss of guarantee from the engine
manufacturer, even though some engine
manufacturers are now supporting the use
of coconut oil under certain conditions. A
second disadvantage is the requirement
for higher loads, as low loads result in
heavy deposits on the combustion
chamber components, reducing engine life
[12].
Figure 2: Fiji Rural Electricity Generation
adaptations: special pump and filter.
and avoids coconut oil residues in the
fuel system.
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3. Coconut Oil as a biofuel in Pacific Islands
The use of Biodiesel
CNO World Export Market and price per litre
Biodiesel is a standardised fuel that
consists of vegetable oil Methyl Ester. 2.5 0.8
It is a product of vegetable oil that
reacts with an alcohol (methanol) and 0.7
a catalyst (sodium hydroxide). This 2
process generates two products: 0.6
glycerine, which can be used in soap
production, and biodiesel. There are
Million tonnes
0.5
1.5
US$/litre
two fully developed standards of
0.4
biodiesel, ASTM-D 6751 in the U.S.
and EN14214 in the E.U. Following 1
0.3
these standards upholds the
guarantee of the engine 0.2
manufacturer [4]. 0.5
0.1
Positive impacts on engines include
increased lubricity and a reduction of 0 0
visible particles in the exhaust. 1997 1998 1999 2000 2001 2002 2003
Secondly, other (waste) vegetable oil Year Market Volume
can be included in the feedstock of US$ per litre
biodiesel production.
Figure 4: Copra Oil World Export Market and Price
The major disadvantage of biodiesel is (Source: Philippines Coconut Authority)
its high costs through the use of a
chemical facility and the requirement of world price. The price composition for
imported methanol. Current research by traditional production of copra oil in Fiji is
the University of the South Pacific will given in table 1. The value of the coconuts
have to point out whether the production and the labour to create copra (includes
of standard biodiesel can be competitive cutting the coconut flesh out of the shell
using locally produced ethanol from and drying it) are almost equal. On top of
sugarcane. that the mill obtains 11 US cents per litre
in return for producing and filtering the
Coconut Oil Economics oil. Finally 11 US cents are required to get
The world production of coconuts in the oil to the world market, in this
copra equivalent has been floating example, the port of Rotterdam.
around 10 million tonnes per year. Of
this market, between 1 and 2 million One of the reasons why the copra oil
tonnes has been traded on the world industry in many Pacific island countries is
market. Figure 4 shows the volume of suffering is because they have a relatively
the global copra oil market and the small size and little opportunities for
associated price per litre over the last 5 economies of scale. Because of the low
years. return for the harsh work involved with
the cutting and drying of copra, many
The price fluctuation of coconut oil has rural farmers are diverting to other cash
been significant, between 0.3 and 0.7 crops, leaving coconuts unharvested in
US$/litre. The export market consists plantations. Regional potential production
mainly of industrial processes that can estimates amount up to a total of 100
use other vegetable oils if the world price million litres of coconut oil.
for coconut oil is high. This can be seen
for example 1999 when there was a There are many opportunities to
worldwide shortage of coconut oil. The mechanise the process of copra
world market price is therefore also very production, but this will only materialise
much linked to the prices and yields of when investors perceive the risks of the
other oils such as palm, corn and canola. investments required to be minimal.
Since the Pacific island countries only Switching to higher value product-market
produce a small percentage of the world combination such as Coconut Oil Fuel
export (Papua New Guinea: 2.2%, might assist in this transition. The electric
Solomon Islands: 1% Samoa 0.4%, Fiji utility of Western Samoa (EPC) is
0.3%), any increase or decrease in currently carrying out a feasibility study of
production in the Pacific will not alter the
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4. Coconut Oil as a biofuel in Pacific Islands
a mechanised Coconut Oil Fuel
production plant on the island of Savai’i.
Table 1: Fiji Coconut Oil Price Composition
Price in Oil Share of
Equivalent Local Oil
[US$/l] Price [%]
Coconuts on field 0.22 39
Return for labour to Cut/Dry Copra 0.25 42
Dry Copra at Mill 0.47 81
Return for Milling / Filtering 0.11 19
Coconut Oil Price at Mill (Fiji) 0.48 100
Storage, Transport, Financing 0.11 19
World Coconut Oil Price (Rotterdam) 0.59 123
Figure 5: Traditional Copra Production in Samoa
What becomes apparent when looking at
the figures in Table 1 is that the local depicts the opportunity cost of a litre of
price of coconut oil is significantly lower coconut oil of being exported. The price
than the world price, through the cost of difference is even larger for remote islands
storage, transport and financing. Since and villages inside the Pacific islands
one litre of diesel must be replaced by countries, where additional local transport
1.08 litre of coconut oil (see box “Coconut costs have to be taken into account.
Oil Fuel Technology”), the opportunity
cost for local coconut oil versus diesel is Given the volatility of both the prices for
therefore US$ 0.52 per litre. coconut oil and diesel, flexible fuel
systems running on both fuels, have
Figure 6 shows the retail prices and preference. Even running generators on
landed cost of diesel fuel in the region, the low blends (10-20%) of coconut oil
difference being taxes, excise and without investing in engine adaptation can
distribution costs. The line in the graph have great financial benefits.
Pacific Regional Diesel Prices
Niue
Tuvalu
Vanuatu
Tonga
Kiribati
New Caledonia
Marshall Islands
French Polynesia
Papua New Guinea
Solomon Islands
Fiji Pacific Island Opportunity Cost of Coconut Oil: US$0.52/litre
Hawaii
Retail
Samoa Excluding Duty & Taxes
0 20 40 60 80 100 120 140
US$cents/litre
Figure 6: Pacific Regional Diesel Prices (Source: Pacific Islands Forum Secretariat Fuel Price Monitor Nov-Dec 2004)
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5. Coconut Oil as a biofuel in Pacific Islands
coconut oil with diesel to decrease
The further rationalisation and costs per km. For coconut oil fuel to
mechanisation of the coconut oil supply be a sustainable alternative to diesel
chain will increase the security of supply, fuel in the Pacific, restructuring of the
however this requires significant coconut industry and replanting of
investment in the coconut oil sector. coconut plantations is required.
After restructuring and replanting of Widespread utilisation of alternative
coconut plantations, most Pacific islands fuels will require active involvement
have the potential to provide one third to of engine manufacturers and local
half of their current diesel imports. mechanics.
Environmental Benefits Acknowledgement
The widespread use of Coconut Oil to The author is grateful for the essential
replace diesel has a range of potential contributions of: Patrice Courty, Tony Deamer
environmental benefits. First, there is and Dr. Gilles Vaitilingom.
the decrease of emissions of poisonous
gases and particulate matter as References
[1] Allen, M. (2002) “Straighter than straight vegetable oils
compared to diesel, through the higher as diesel fuels”, Prince of Songkla University, Thailand
oxygen content of coconut oil. These
[2] Calais, P. and Clark, A.R. (2004) “Waste Vegetable Oil as
benefits however do not materialise so a diesel Replacement Fuel”, Murdoch University and Western
well using straight vegetable oil in Australian Renewable Fuels Association, Western Australia.
standard engines [8]. Secondly, the use [3] Courty, P. (1998) “Potential for copra oil as a biofuel: A
of coconut oil can be considered CO2 development tool for Pacific Community countries and
neutral. The CO2 stored in the coconuts, territories” SPC, New Caledonia
husks and shells are used in the process [4] EMA Engine Manufacturers Association (2003) “Technical
of oil production (husk and shells for statement on the use of biodiesel fuel in compression
ignition engines” EMA, Chicago, U.S.A.
drying the copra) and burning of the oil.
This CO2 is again sequestrated during [5] Jones, J. and Peterson, C.L. (2002) “Using unmodified
Vegetable Oil as a Diesel Fuel Extender” University of Idaho,
the growing of new trees and nuts. U.S.A.
Socio-Economic Benefits [6] Knothe, G. et al (1997) “Biodiesel: The use of straight
vegetable oil and their derivatives as alternative diesel
Creating a local industry that substitutes fuels”, U.S. Department of Agriculture, U.S.A.
fuel imports, benefits fragile Pacific
[7] Kopial, T. et al (2004) “Effects of reducing coconut oil
island countries substantially through viscosity on engine performance”, PNG University of
improvements in balance of payments Technology, Lae, Papua New Guinea
[13] and job creation. Simultaneously, [8] Lance, D. et al (2003) “DfT Biofuels Evaluation – Final
coconut farmers are given access to a Report of Test Programme to Evaluate Emissions
new, potentially booming market once Performance of Vegetable Oil Fuel on Two Light Duty Diesel
Vehicles”, Ricardo Consulting Engineers, U.K.
the difference with the benchmark of the
diesel price further increases. [9] Leplus, A. (2003) “Biofuel Energy from Coconut in the
Pacific Islands” MSc. Thesis, Wageningen University, The
Netherlands.
Conclusion
[10] Ribier, V. et al (2004) “Etude de faisabilité d’un projet
Even though there is quite some de valorisation de l’huile de coprah à l’échelle villageoise – le
evidence of the environmental cas de la coopérative ‘Lory’, Nord Santo” CIRAD, France
benefits using vegetable oils as a
[11] Solly, R.K. (1983) “Coconut oil and Coconut Oil Ethanol
fuel, it is the local cost of fuel that is Derivatives as fuel for Diesel Engines” University of the
the real driver behind these South Pacific, Fiji Islands
developments in the Pacific island [12] Vaitilingom, G. et al. (1995) “Crude Copra Oil, a biofuel
economies. Electric Utilities for diesel engines” CIRAD / SPC, New Caledonia
generally suffer from great [13] Zieroth, G. et al (1985) “Biofuels for developing
dependence on imported diesel for countries: Promising strategy or dead end?”, GTZ, Germany
power generation and are seeking
new ways to hedge these risks. Links for further information
Motorists have successfully blended http://www.journeytoforever.org/biofuel_library.html
http://www.sopac.org/tiki/tiki-index.php?page=Energy+Projects+COPRA
Biography Jan Cloin
Joined SOPAC – Community Lifelines Programme – in December 2003 as a U.N. Associate Expert. He
started his career with PV Solar Home Systems research in Southern Africa for the Netherlands Energy
Research Foundation (ECN). After that, he worked briefly for the UNDP Energy & Atmosphere Programme
in New York. Before joining SOPAC, he was active in the green electricity sector in The Netherlands.
Currently, he is working on the use of Biofuels, Wind Energy Education and Renewable Energy Training.
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