ABSTRACT. The rapidly growing biofuel sector in Africa has, in recent years, been received with divided interest. As part of a contemporary wave of agricultural modernization efforts, it could make invaluable contributions to rural poverty. Conversely, it could also engender socioeconomically and environmentally detrimental land use changes as valuable land resources are converted to plantation agriculture. This research analyzes the impacts and impact pathways of biofuel feedstock development in Ghana. It finds that companies are accessing large contiguous areas of customary land through opaque negotiations with traditional authorities, often outside the purview of government and customary land users. Despite lack of participation, most customary land users were highly supportive of plantation development, with high expectations of 'development' and 'modernization.' With little opposition and resistance, large areas of agricultural and forested land are at threat of being converted to plantation monoculture. A case study analysis shows that this can significantly exacerbate rural poverty as communities lose access to vital livelihood resources. Vulnerable groups, such as women and migrants, are found to be most profoundly affected because of their relative inability in recovering lost livelihood resources. Findings suggest that greater circumspection by government is warranted on these types of large-scale land deals.

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ABSTRACT. High oil prices, recent commitments by industrialized countries to enhance the use of renewable energy, and efforts by developing countries to stimulate foreign investment as a pathway to development have fueled high levels of interest in the biofuel sector throughout much of sub-Saharan Africa. Zambia is no exception. A large, land-locked country with high pump prices and vast tracts of land considered by many to be "degraded" or "underutilized," investor interest in the sector has remained high despite uncertainties associated with unproven feedstocks and market fluctuations. While investment in multiple feedstock and production models may be observed, one of the primary investments has been in jatropha outgrower schemes in which small-scale farmers grow feedstock on contract with domestic and foreign investors. We assess the history and evolution of the largest such scheme in Zambia, as well as the social and environmental impacts in two districts with large numbers of outgrowers. Findings suggest that, although such a production model may hold promise for enhancing rural livelihood benefits from the emerging biofuel sector, to date, small-scale farmers have borne the brunt of the risk and uncertainty that are the trademarks of this emerging industry. We conclude with a discussion of options to minimize forest conversion and protect farmers against high-risk investments, while harnessing the potential of this business model for enhancing rural livelihoods in Zambia and elsewhere.

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