New T&E report calls out weaknesses in Eni’s African feedstock plan

In Belgium, Italian oil giant Eni is failing to deliver on its promise to produce thousands of tonnes of biofuel crops, a new investigation by Transport & Environment (T&E), in collaboration with The Continent, shows. The study raises questions over the credibility of the company’s plan – which is backed by Italian prime minister Giorgia Meloni –  to scale up biofuels as an alternative to oil and gas.

Eni is betting big on biofuels and just recently signed a big deal with Ryanair to supply so-called sustainable aviation fuels. The Italian government for its part is leaning heavily on Eni as part of its foreign policy ambitions to stem migration flows through economic development in Africa. A key part of this strategy is energy investments. At a recent Italy-Africa summit, Meloni spoke of Italy being a natural energy hub between the EU and Africa.

Eni has promised to create an entirely new supply chain of “sustainable oils” from agricultural crops and has set up partnerships with six African countries in order to develop ‘agri-hubs’ that will supply vegetable oil for its refineries. The main crop that Eni is betting on, castor, is advertised as being drought-resistant and suitable for planting on poor quality land. In Kenya alone, Eni aims to enrol 400,000 farmers producing up to 200,000 metric tons a year by 2027.

On-the-ground interviews with farmers and other key stakeholders in the two countries where the projects are most advanced – Kenya and the Republic of the Congo – show the company is significantly underproducing. Data analysis in Kenya shows that Eni has failed to reach even a quarter of its 2023 production targets, while, in the Republic of the Congo, Eni’s projects have been languishing at the pilot stage for more than 18 months.