Abstract:
Main purpose of this research is to switch the rubber industry in Sri Lanka from fossil
fuels to fuel wood in the process of generation of thermal energy and consequently to
reduce foreign exchange spending on oil imports and to protect the environment
through energy efficiency, environmentally benign energy sources and energy
conservation.
This study utilizes three key concepts: sustainable competitive advantage in cost of
production, reduce emission of greenhouse gas and an Integrated National Plan to
acquire bare land and grow a suitable fuel wood crop to fulfill the future demand. This
study was carried out through a situational analysis and an in-depth questionnaire
surveys in both raw and value added sectors in Sri Lankan rubber industry. The
questionnaire survey was carried-out covering main plantation companies and key value
added manufacturers.
This study shows that biomass application is already happening in raw rubber sector
without using any fossil fuels. Problem exists in value added industry since a massive
amount of thermal energy is required for their processes. This research has estimated
the equivalent fuel wood quantity required by their machines to be switched in to fuel
wood and a national level program is proposed to assure a strong and sustainable supply
chain of fuel wood. This study only covers rubber industry in western province,
concentrating on high-end consumers of thermal energy and hence SME sector was not
covered.
Policy recommendations are proposed to assure a strong and sustainable supply chain of
fuel wood. This starts from acquiring bare land, selecting a suitable fuel wood crop, a
criterion to decide priority order for firms to be switched and sufficient financial
assistance for selected firms. All these tasks have been treated as ongoing parallel
activities.
Motivation and convincing programs are proposed to address all stakeholders on this
switching by changing their mindsets from going for easy solutions to achieve
sustainable competitive advantage and environmental conservation. This is to signify
the future global requirements for environmental conservation and to take precautions
in advance by taking early initiatives.
Key words: Rubber industry, Energy crops, Green house effect, Carbon footprint, Sri
Lanka.
