Biofuel reform in trouble

MEPs must choose between accepting a weak Council position on control of biofuel or handing the issue to the next Parliament

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Attempts by the European Commission to rein in the use of so-called “first generation” biofuel that may be causing indirect land-use change (ILUC) and food shortages look likely to be seriously weakened.

On 13 December, environment ministers are set to adopt a position – agreed in advance by a working group on Tuesday (19 November) – that would largely maintain the European Union policy, established by a law passed in 2009, of encouraging this biofuel.

MEPs voted to strengthen the Commission’s proposal to restrict EU support for biofuel in a vote in September. But centre-right MEPs stopped rapporteur Corrinne LePage entering into negotiations with the European Council on the changes, and this decision was confirmed by a vote in the Parliament’s environment committee last month.

This will send the discussions into a ‘second reading’ procedure, assuming the ministers vote as expected next month. The Parliament will have four months to amend, approve or reject the member states’ position. If MEPs opt to maintain their original stance, the subject will then go into conciliation – a process that will surely last longer than the term of the current Parliament, which ends in April 2014. MEPs would have to choose between accepting the Council’s position or risking the revision to EU biofuel rules fall apart in the hands of a new group of MEPs.

Nusa Urbancic, a campaigner with green transport group T&E, attacked the ministers’ stance. “Instead of recognising their mistake and phasing out the backing for harmful biofuel, European governments choose to keep throwing public support behind biofuels that cause more emissions than the fossil fuels they are supposed to replace,” she said. “Better alternatives exist, but they will not have a chance with the current Council proposal.”

The 2009 renewable energy directive dictates that 10% of transport fuel must come from biofuel by 2020. Last year the Commission proposed that only half of this (5%) could be met by traditional biofuel, with the other half coming from new second-generation biofuel that does not cause ILUC. The Parliament wants to raise this to 6%.

But MEPs also voted to strengthen the proposal by adding binding ILUC ratings in the fuel-quality directive from 2020, discouraging fuel suppliers from using biofuel that causes ILUC. The Council’s position would raise the cap to 7% and scrap the ILUC factors altogether.

Lobbying from the industry producing traditional biofuel has been intense. They say the science around ILUC is too unclear to be governed by laws and that a policy U-turn now would kill their fledgling business, which was built on the promise of EU support.

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Automotive and fuel companies have been pushing for greater regulatory certainty and are wary of a delay to the next Parliament. A report to be published next week (26 November), commissioned by a coalition of companies including Daimler, Shell and Volkswagen, will argue for a clear policy framework to 2030.

“There is urgent need for specifications for new biofuel blends, for policy to promote high-quality advanced biofuels and compatible vehicles, and a framework that addresses biofuel sustainability issues,” said Ausilio Bauen, author of the report.

Authors:
Dave Keating