The European Commission recently decided not to develop targets for biofuels use after 2010 as European countries are having difficulty in meeting present targets, which are for biofuels to comprise two percent of all fuel use by 2005 and 5.75 percent by the year 2010. At present, the European Union (EU) produces 1.4 million tons of biodiesel and 400,000 tons of bioethanol, with the expected level of production in 2004 to be 1.8 million tons of biodiesel.
Recent estimates have shown that for the EU to meet 2010 goals would require eight million tons of rapeseed, which is equivalent to 85 percent of the present rapeseed crop. Other potential raw materials for biodiesel present some challenges, ranging from price for sunflower oil to physical properties of palm oil and inadequate supply of used cooking oils. EU forecasts for oilseed production within the 25 EU member counties do not predict a large increase in production even in the long term.
Some relief might be obtained if land currently under the set-a-side scheme to reduce production was allowed to grow rapeseed for biodiesel production; however, there would still be difficulties with supply.
The view within the United Kingdom is somewhat different. The 2004 Energy Bill contains all the provisions necessary to bring in legislation requiring oil companies to incorporate biofuels (biodiesel, bioethanol, and biogas) as a proportion of their petroleum fuel sales. The British Association for Biofuels and Oils (BABFO) claims that with a fuel duty rebate and the Fuel Obligation Bill, the United Kingdom’s 2010 target – around 800,000 tons of biofuels – could be met from home grown feedstocks.
While only about 25,000 tons of biodiesel is produced in the United Kingdom at present, BABFO estimates that up to one million tons could come from land currently idle under set-aside schemes, and a further one million tons of bioethanol from wheat that is currently exported.
Turkey, the most recent contender to join the EU, uses 15 percent of its total energy in transportation and 30 percent of the petroleum energy is in the form of diesel. In addition, there are many large commercial generators using diesel. Awareness of biodiesel has only surfaced recently and there is now active encouragement given to biodiesel production based upon a lack of hydrocarbon resources as well as meeting the Kyoto gas requirements.
Although there is aggressive interest in biodiesel production in Europe, raw material supply problems will have to be addressed.
February 2005 Render