Biofuels: 'Irrational' and 'even worse than nonrenewable fuel sources'
The UK's "irrational" use 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 reliance on sustainable liquid fuels will likewise increase food prices.
The author says that biodiesel made from grease was worse for the environment than nonrenewable fuel sources.
Under EU law, external, biofuels are set to comprise 5% of the UK's transportation fuel from today.
Since 2008, the UK has actually needed fuel suppliers to add a growing percentage of sustainable products into the petrol and diesel they supply. These biofuels are mainly ethanol distilled from corn and biodiesel made from rapeseed, used cooking oil and tallow.
Deep fried fuel
But research brought out for Chatham House says that reaching the 5% level suggests that UK drivers will have to pay an extra ₤ 460m a year because of the greater cost of fuel at the pump and from filling up more frequently as biofuels have a lower energy content.
The report say that if the UK is to satisfy its obligations to EU energy targets the expense to drivers is 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, told BBC News.
"Biofuels increase expenses and they are a really costly way to reduce carbon emissions," he stated.
The EU biofuel mandates are likewise having hugely distorting results in the market. Because used cooking oil is considered as one of the most sustainable kinds of biodiesel, the cost for it has increased quickly. Rob Bailey states that towards completion of 2012 it was more pricey than refined palm oil.
"It creates a monetary reward to buy refined palm oil, prepare a chip in it to turn it into used cooking oil and after that offer it at revenue,"
"It is crazy however the rewards are there."
There are likewise frets that taking EU land out of production to grow rapeseed oil in particular is producing more climate problems 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 resulted in increased imports of palm oil from Indonesia, often produced on deforested land.
"Once you consider these indirect impacts, biofuels made from vegetable oils in fact result worldwide in more emissions than you would obtain from using diesel in the very first place," said Rob Bailey.
"Plus you are asking motorists to pay more for the fuel - it makes no sense, it is a totally irrational method."
Biofuel advantages
The European Biodiesel Board (EBB), which represents the market, external throughout the EU, stated it was aware of the issues brought on by the mandate. But it thinks that biofuels have numerous positives.
"Blaming biofuels for all the difficulties worldwide is a bit too exaggerated," stated Isabelle Maurizi, job supervisor at the EBB.
"It has brought great deals of advantages. It has enhanced the security of our diesel; it has decreased EU dependency 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 government faces some difficult choices on how to move forward on this issue as it faces tripling the expenses for drivers by 2020.
Insiders recommend its preference would be to attempt and get agreement in Brussels on the effects of indirect costs which may constrain what counts as biofuel. However getting arrangement from nations with effective agricultural sectors who gain from the current plan will be tough.
"When you have a lobby which includes the agricultural sector and the oil sector it is really difficult for Governments to make a U-turn," stated Rob Bailey.
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