Tycoon riles villagers over land
By Business Writer
Monday, 18 April 2011 17:03
HARARE – Tycoon Billy Rautenbach’s lowveld investment companies have
reportedly clashed with villagers in Chipinge over land rights.
Through Macdom and Rating Investments, the business magnate entered into a
joint venture with the Agricultural Rural Development Authority, Arda, to
build a US$600 million ethanol plant, which is scheduled for commissioning
this year.
Although company executives insist the two do not own the land as it is in
Arda’s hands, peasants in Chisumbanje accuse one of the companies of mowing
down 285 hectares of maize in the past two seasons.
Claris Madhuku’s Platform for Youth Development, PYD, says it has been
helping the villagers in reclaiming their land, which Rautenbach’s companies
were given to grow sugarcane for the multi-million Green Fuels plant in
south-eastern Zimbabwe.
The lobby group even claims it has petitioned State Enterprises Minister
Gorden Moyo to intervene in the matter and bar the company from seizing
communal land.
The Movement for Democratic Change appointee was not immediately available
to authenticate the matter.
Green Fuels, which envisages to churn out 100 million litres of fuel from 11
500 hectares of land in the first phase of the project, says it requires up
to 50 000 hectares of land to build up enough feedstock for the plant.
At full production — and phase three of the project — the Brazilian-modeled
plant will spurt out 250 million litres of product yearly, company
executives say.
With the company spending nearly US$70 000 a week in fuel money alone for
clearing the lowveld land, Green Fuels has pushed forward the commencement
of fuel sales and production due to the late delivery of critical components
for the plant.
At peak, the company says it will provide about 80 percent of Zimbabwe’s
fuel needs and there is a huge market for its product in the region going
forth due to the world’s move or change to cleaner energy.
The project will augment Zimbabwe’s renewable energy supplies and is also
providing huge employment opportunities for locals.
Zimbabwe is currently a net importer of fuels is susceptible to
international price fluctuations which in turn result in spiral effects in
the economy.
Sugarcane ethanol projects have been a success story in a number of
countries worldwide, with Brazil rated among the leading nations.
In 2009, global production reached 75 billion litres, which was a 64 percent
increase from 2007’s output.