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This research assesses the financial feasibility of a large scale copra-based biodiesel refinery in Vanuatu and whether any carbon finance could be sought to improve the viability of the project. The research cannot be perfectly predictive of the next fifteen years of financial situation, however, the research can quite accurately replicate the feasibility assessment that potential investors would make. The research finds that the project is not financially viable under current projections without carbon finance. The research also shows that carbon finance could be sought from a number of sources in order to make the project feasible. Under current projections the research finds that utilising the clean development mechanism would add approximately 2.9 million United States Dollars (USD) to the present value of the project. The conclusion from these results is that the proposed biodiesel project is sufficiently profitable to attract investors. The primary recommendation resulting from the research is that the stakeholders to the proposed biodiesel project begin an open discourse to work through any issues in order to develop a sustainable copra-based biodiesel refinery in Vanuatu to produce a substitute for the import of fossil diesel used for electricity generation in Port Vila. The secondary recommendation is that international climate change policy negotiators should keep in mind the full set of barriers when addressing the uptake of clean technology in developing countries; often it may not only be the financial feasibility that is preventing climate change mitigation activities.

Coco-Power: Exploring Copra-Derived Biodiesel for Grid Connected Electricity in Vanuatu