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

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

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

The author states that biodiesel made from grease was even worse for the environment than fossil fuels.

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

Since 2008, the UK has needed fuel suppliers to include a growing percentage of sustainable materials into the petrol and diesel they provide. These biofuels are mainly ethanol distilled from corn and biodiesel made from rapeseed, utilized cooking oil and tallow.

Deep fried fuel

But research study brought out for Chatham House states that reaching the 5% level suggests that UK vehicle drivers 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 up regularly as biofuels have a lower energy content.

The report say that if the UK is to meet its responsibilities to EU energy targets the cost to vehicle drivers is most likely to increase to ₤ 1.3 bn per year by 2020.

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

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

The EU biofuel requireds are also having hugely distorting impacts in the marketplace. Because used cooking oil is concerned as among the most sustainable kinds of biodiesel, the cost for it has actually increased quickly. Rob Bailey says that towards the end of 2012 it was more pricey than refined palm oil.

"It produces a monetary incentive to purchase refined palm oil, cook a chip in it to turn it into used cooking oil and after that sell it at revenue,"

"It is crazy however the incentives are there."

There are also worries that taking EU land out of production to grow rapeseed oil in particular is producing more climate issues than it resolves. The more fuel of this type that is taken into cars the bigger the deficit developed in the edible oils market. This had resulted in increased imports of palm oil from Indonesia, frequently produced on deforested land.

"Once you take into consideration these indirect effects, biofuels made from veggie oils really result worldwide in more emissions than you would obtain from using diesel in the first place," said Rob Bailey.

"Plus you are asking vehicle drivers to pay more for the fuel - it makes no sense, it is a totally illogical technique."

Biofuel advantages

The European Biodiesel Board (EBB), which represents the industry, external throughout the EU, stated it knew the problems triggered by the required. But it thinks that biofuels have lots of positives.

"Blaming biofuels for all the difficulties worldwide is a bit too exaggerated," stated Isabelle Maurizi, task manager at the EBB.

"It has brought great deals of benefits. It has enhanced the security of our diesel; it has actually lowered EU reliance 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 strikes the 5% of liquid fuels mark, the federal government faces some hard choices on how to move forward on this problem as it deals with tripling the expenses for vehicle drivers by 2020.

Insiders recommend its choice would be to attempt and get agreement in Brussels on the effects of indirect expenses which may constrain what counts as biofuel. However getting arrangement from countries with powerful agricultural sectors who benefit from the current plan will be tough.

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

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