Question

Leading investors have joined the growing

chorus of concern about governments and

companies rushing into producing biofuels as a

solution for global warming, sayings that many

involved in the sector could be jeopardising future

profits if they do not consider the long-term impact

of what they are doing carefully.

It is essential to build sustainability criteria

into the supply chain of any green fuel project in

order to ensure that there is no adverse effect on

the surrounding environment and social

structures. The report produced by the investors

expresses concern that many companies ‘nay not

be fully aware of the potential pitfalls in the

biofuel sector.

Production of corn and soya beans has

increased dramatically in the last years as an

eco-friendly alternative to fossil fuels but

environmental and human rights campaigners are

worried that this will lead to destruction of rain

forests. Food prices could also go up as there is

increased competition for crops as both foodstuffs

and sources of fuel. Last week, the UN warned

that biofuels could have dangerous side effects and

said that steps need to be taken to make sure that

land converted to grow biofuels does not damage

the environment or cause civil unrest. There is

already great concern about palm oil, which is

used in many foods in addition to being animportant biofijel, as rain forests are being cleared

in some countries and people driven from their

homes to create palm cal plantations

An analyst and author of the investors’

report says that biofuels are not a cure for climate

change but they can play their part as long as

governments and companies manage the social

and environmental impacts thoroughly. There

should also be greater measure taken to increase

efficiency and to reduce demand.​

Answer 1

Answer:

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