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South Africa has finalised its strategy on biofuels, which Cabinet will now consider, a top government official said on Tuesday.
Minister of Trade and Industry Mandisi Mpahlwa told a media briefing in Pretoria that an interministerial committee had finalised the strategy, suggesting some changes, and that it would now go to Cabinet, which would consider the structure and length of incentives.
Mpahlwa said that the committee had looked at any potential effects that the biofuels industry could have on the country's food security, and the kind of support incentives that could be provided for biofuels producers.
Last month, media reports emerged, in which the sugar industry were waiting for biofuels incentives to be introduced before they went ahead with any potential investments in the sector.
Sugar, along with maize, soya beans and algae, are possible feedstocks for South Africa's biofuels production.
Mpahlwa said that more details on the strategy were likely to emerge when he next briefed journalists on the government's economic cluster's programme of action, early next year.
Additional information: Web site Department of Minerals and Energy
News date: 06/11/2007