Biofuels: 'Irrational' and 'even worse than fossil fuels'

The UK's "unreasonable" use of biofuels will cost drivers around ₤ 460 million over the next 12 months, a think tank says.

A report by Chatham House, external states the growing dependence on sustainable liquid fuels will likewise increase food prices.

The author says that biodiesel made from vegetable oil was worse for the climate than nonrenewable fuel sources.

Under EU law, external, biofuels are set to make up 5% of the UK's transport fuel from today.

Since 2008, the UK has actually needed fuel suppliers to include a growing proportion of sustainable products into the fuel and diesel they supply. These biofuels are generally ethanol distilled from corn and biodiesel made from rapeseed, used cooking oil and tallow.

Deep fried fuel

But research study performed for Chatham House states that reaching the 5% level suggests that UK motorists will have to pay an extra ₤ 460m a year due to the fact that of the higher expense of fuel at the pump and from filling regularly as biofuels have a lower energy material.

The report state that if the UK is to satisfy its obligations to EU energy targets the expense to drivers is likely to rise to ₤ 1.3 bn per annum by 2020.

"It is difficult to discover any great news," Rob Bailey, senior research fellow at Chatham House, informed BBC News.

"Biofuels increase expenses and they are a really costly way to minimize carbon emissions," he said.

The EU biofuel mandates are likewise having hugely distorting effects in the market. Because used cooking oil is considered as among the most sustainable types of biodiesel, the price for it has risen quickly. Rob Bailey says that towards completion of 2012 it was more expensive than refined palm oil.

"It creates a financial reward to purchase refined palm oil, prepare a chip in it to turn it into utilized cooking oil and then offer it at profit,"

"It is insane however the rewards are there."

There are also stresses that taking EU land out of production to grow rapeseed oil in particular is creating more environment problems than it resolves. The more fuel of this type that is taken into automobiles the larger the deficit created in the edible oils market. This had actually resulted in increased imports of palm oil from Indonesia, frequently produced on deforested land.

"Once you take into account these indirect results, biofuels made from vegetable oils in fact result worldwide in more emissions than you would obtain from using diesel in the very first place," stated Rob Bailey.

"Plus you are asking motorists to pay more for the fuel - it makes no sense, it is an entirely irrational technique."

Biofuel advantages

The European Biodiesel Board (EBB), which represents the market, external throughout the EU, said it was conscious of the issues triggered by the required. But it believes that biofuels have lots of positives.

"Blaming biofuels for all the problems on the planet is a bit too exaggerated," stated Isabelle Maurizi, project supervisor at the EBB.

"It has actually brought lots of advantages. It has actually enhanced the security of our diesel; it has actually decreased EU dependence on animal feed imports, thanks to the rapeseed we grow for biodiesel."

"If there was no biodiesel farmers would simply make their land idle - no food, no feed!"

As the UK hits the 5% of liquid fuels mark, the government deals with some challenging choices on how to move on on this issue as it deals with tripling the costs for vehicle drivers by 2020.

Insiders suggest its preference would be to attempt and get agreement in Brussels on the impacts of indirect costs which may constrain what counts as biofuel. However getting contract from nations with powerful agricultural sectors who gain from the present plan will be difficult.

"When you have a lobby that includes the farming sector and the oil sector it is very hard for Governments to make a U-turn," stated Rob Bailey.

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