Biofuels: 'Irrational' and 'worse than fossil fuels'
The UK's "illogical" use of biofuels will cost motorists around ₤ 460 million over the next 12 months, a think tank says.
A report by Chatham House, external says the growing dependence on sustainable liquid fuels will likewise increase food rates.
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 make up 5% of the UK's transportation fuel from today.
Since 2008, the UK has needed fuel suppliers to add a growing proportion of sustainable products into the fuel and diesel they supply. These biofuels are primarily 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 means that UK vehicle drivers will need to pay an extra ₤ 460m a year because of the higher expense of fuel at the pump and from filling regularly as biofuels have a lower energy content.
The report state that if the UK is to meet its responsibilities to EU energy targets the expense to motorists is most likely to rise to ₤ 1.3 bn per annum by 2020.
"It is hard to discover any excellent news," Rob Bailey, senior research fellow at Chatham House, informed BBC News.
"Biofuels increase costs and they are a really expensive way to decrease carbon emissions," he said.
The EU biofuel mandates are likewise having hugely distorting impacts in the marketplace. Because used cooking oil is regarded as among the most sustainable kinds of biodiesel, the cost for it has increased quickly. Rob Bailey states that towards completion of 2012 it was more expensive than refined palm oil.
"It produces a monetary incentive to purchase refined palm oil, prepare a chip in it to turn it into used cooking oil and then offer it at revenue,"
"It is insane but the rewards exist."
There are also stresses that taking EU land out of production to grow rapeseed oil in specific is producing more environment problems than it solves. The more fuel of this type that is put into cars and trucks the larger the deficit created in the edible oils market. This had actually lead to increased imports of palm oil from Indonesia, frequently produced on deforested land.
"Once you take into consideration these indirect results, biofuels made from veggie oils in fact result worldwide in more emissions than you would receive from using diesel in the first location," stated Rob Bailey.
"Plus you are asking motorists to pay more for the fuel - it makes no sense, it is an entirely illogical method."
Biofuel benefits
The European Biodiesel Board (EBB), which represents the market, external throughout the EU, said it understood the issues brought on by the mandate. But it believes that biofuels have lots of positives.
"Blaming biofuels for all the problems in the world is a bit too exaggerated," said Isabelle Maurizi, task manager at the EBB.
"It has brought lots of benefits. It has actually improved the security of our diesel; it has lowered EU reliance on animal feed imports, thanks to the rapeseed we grow for biodiesel."
"If there was no biodiesel farmers would just make their land idle - no food, no feed!"
As the UK hits the 5% of liquid fuels mark, the federal government faces some tough choices on how to move on on this concern as it deals with tripling the expenses for drivers by 2020.
Insiders recommend its choice would be to attempt and get contract in Brussels on the effects of indirect costs which might constrain what counts as biofuel. However getting agreement from countries with effective agricultural sectors who gain from the existing plan will be challenging.
"When you have a lobby which consists of the agricultural sector and the oil sector it is really hard for Governments to make a U-turn," said Rob Bailey.
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