Q&A to Report of 17 November 2024

Statement provided to Report on 3 November

The Mattei Plan is a broad governmental political project that includes multiple areas of activity on the African continent.
The agri-feedstock project in Kenya – Eni‘s project in the Plan – was launched in 2021 through an agreement with local institutions to develop projects related to decarbonisation and biofuels, with a focus on the production of vegetable oils (agri feedstocks) for bio-refining. In view of the positive environmental and socio-economic impacts of the initiative even from its early stages, the project received support from the International Finance Corporation (part of the World Bank) and the Italian Climate Fund.
The initiative involves, among other things, collaboration with local farmers, who work their own land, and receive support in terms of inputs, mechanisation, logistics, certification and training.
The seeds are grown on degraded land and in rotation with food crops, helping to regenerate soil fertility. By harnessing the residues from agro-industrial supply chains, the project promotes the adoption of circular economy practices.
The initiative also contributes to local food security through the production and sale of feed and fertiliser from the by-products of vegetable oil extraction.
The project will ensure additional income for up to 200,000 smallholder farmers in Kenya and regenerate up to 200,000 hectares of farmland.

On the subject of the disputed waters between Kenya and Somalia, Eni has not carried out, nor plans to carry out, any exploration activities in the offshore blocks in question. Finally, Eni does not comment on international disputes.

Answers given to Report on 13 November

As part of the vegetable oil production project in Kenya, issues emerged in several regions such as Nakuru where castor oil trees produced very little fruit. What happened? Have local farmers been given the right support?
The agricultural campaign in Kenya, which started in 2022, has so far involved about 80,000 hectares and 100,000 smallholder farmers in more than 20 counties, with a growing trend. To date, performance is in line with targets and there has been a gradual improvement in crop yields.
Castor production in the Nakuru area, which covers about 3,500 hectares and has about 2,700 small farmers involved in the project, is in line with that of other counties. On about 100 hectares in Nakuru County, where about 170 farmers are involved, a programme is underway to improve production compared to the first campaign thanks to the distribution of new seeds made available by the aggregator.
Eni‘s contracts with aggregators require them to provide support to local farmers in production activities. 

In its dealings with local farmers, Eni was advised by an intermediary, the company SAFA. By what procedures was SAFA selected and what kind of engagement did it receive from Eni?
 

To develop the castor-oil supply chain in Kenya, Eni adopted a business model that involves the use of private and public aggregators/cooperatives to coordinate and manage small-scale local farmers.
SAFA is one of the aggregators operating in several counties in the country and was selected according to Eni‘s qualification process. Under the contract with the aggregators, Eni supplies castor beans for cultivation and purchases the seeds produced by farmers.

Has Eni audited the results produced by SAFA in its intermediation activities?

SAFA is an aggregator and does not act as an intermediary. The contract between Eni and SAFA includes clauses on verifying compliance with the terms of the contract.

Has Eni verified the actual crop conditions in Nakuru County?

In Kenya – and thus also in Nakuru County – Eni has developed and implemented a tracking and monitoring system for agricultural campaigns in order to obtain timely feedback on the progress of cultivation and, at the end of the season, on the production yield.