Biofuels: 'Irrational' and 'even worse than nonrenewable fuel sources'

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

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

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

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

Since 2008, the UK has required fuel providers to add a growing proportion of sustainable materials into the fuel 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 states that reaching the 5% level indicates that UK vehicle drivers will have to pay an additional ₤ 460m a year because of the greater 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 fulfill its commitments to EU energy targets the expense to drivers is most likely to rise to ₤ 1.3 bn per year by 2020.

"It is difficult to find any good news," Rob Bailey, senior research study fellow at Chatham House, told BBC News.

"Biofuels increase costs and they are an extremely pricey way to decrease carbon emissions," he said.

The EU biofuel requireds are likewise having hugely distorting impacts in the market. Because used cooking oil is considered among the most sustainable types of biodiesel, the price for it has risen quickly. Rob Bailey states 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 but the rewards are there."

There are likewise stresses 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 put into automobiles the larger the deficit produced in the edible oils market. This had lead to increased imports of palm oil from Indonesia, frequently on deforested land.

"Once you consider these indirect impacts, biofuels made from veggie oils really result worldwide in more emissions than you would obtain from utilizing diesel in the first location," said Rob Bailey.

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

Biofuel advantages

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

"Blaming biofuels for all the problems worldwide is a bit too overstated," stated Isabelle Maurizi, job supervisor at the EBB.

"It has brought lots of benefits. It has improved the security of our diesel; it has actually minimized 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 hits the 5% of liquid fuels mark, the government deals with some tough decisions on how to move forward on this issue as it deals with tripling the costs for motorists by 2020.

Insiders recommend its choice would be to try and get contract in Brussels on the effects of indirect costs which may constrain what counts as biofuel. However getting agreement from countries with powerful agricultural sectors who benefit from the existing plan will be difficult.

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

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