Biofuels: ‘Irrational’ and ‘even worse than fossil fuels’

The UK’s “irrational” usage of biofuels will cost vehicle drivers around ₤ 460 million over the next 12 months, a think tank says.

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

The author states that biodiesel made from veggie oil was even worse for the climate than nonrenewable fuel sources.

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

Since 2008, the UK has actually required fuel providers to add a growing proportion of sustainable materials into the fuel and diesel they supply. These biofuels are primarily ethanol distilled from corn and biodiesel made from rapeseed, utilized cooking oil and tallow.

Deep fried fuel

But research study performed for Chatham House says that reaching the 5% level implies that UK motorists will need to pay an extra ₤ 460m a year because of the greater expense of fuel at the pump and from up more typically as biofuels have a lower energy content.

The report state that if the UK is to satisfy its commitments to EU energy targets the cost to drivers is most likely to increase to ₤ 1.3 bn per year by 2020.

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

“Biofuels increase costs and they are a really costly way to reduce carbon emissions,” he stated.

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

“It develops a financial reward to buy refined palm oil, cook a chip in it to turn it into used cooking oil and then offer it at profit,”

“It is insane but the rewards are there.”

There are likewise frets that taking EU land out of production to grow rapeseed oil in particular is developing more environment issues than it solves. The more fuel of this type that is taken into cars the bigger the deficit created in the edible oils market. This had actually caused increased imports of palm oil from Indonesia, frequently produced on deforested land.

“Once you take into account these indirect impacts, biofuels made from veggie oils in fact result worldwide in more emissions than you would receive from utilizing diesel in the first place,” said Rob Bailey.

“Plus you are asking motorists to pay more for the fuel - it makes no sense, it is a completely unreasonable method.”

Biofuel benefits

The European Biodiesel Board (EBB), which represents the industry, external across the EU, stated it understood the problems brought on by the mandate. But it believes that biofuels have lots of positives.

“Blaming biofuels for all the troubles in the world is a bit too overstated,” stated Isabelle Maurizi, project manager at the EBB.

“It has actually brought lots of advantages. It has actually enhanced the security of our diesel