California-based real estate and startup investment company SP Investment Fund has funded affordable housing developments across the country. SP Investment Fund is also an early investor in C16 Biosciences, a company developing a sustainable form of palm oil derived from byproducts.
Palm oil is found in food, beauty products, and biofuels. For this reason, it is one of the most in-demand crops in the world. However, current farming methods have caused widespread environmental damage in producer countries such as Indonesia and Malaysia. Some of the most serious issues include:
Greenhouse gas emissions: Since palm oil is such a lucrative crop, farmers often convert large swaths of carbon sequestering rainforests into plantations. Clearing out forest flora can also raise soil temperatures, which triggers methane release.
Deforestation: The demand for palm oil drives farmers to destroy millions of hectares of rainforest. This destroys the habitat of tropical animals, reduces biodiversity, and contributes to soil erosion.
Polluted waterways: Palm oil processing produces chemical residues that can leak into groundwater. An average palm oil mill produces more than 2 metric tons of waste for every metric ton of usable palm oil.
