International Biofuel News: February 20, 2014

Here’s an update on recent news items and other public policy developments in recent weeks relating to the development and commercialization of renewable fuels in Europe.

European Union Renewable Energy Directive


In news relating to the EU Renewable Energy Directive (RED), it was announced that the European Commission had filed suit in the EU Court of Justice against the Republic of Ireland for its alleged failure to implement its obligations under the RED.

Also in February, the U.K. Department of Energy and Climate Change issued updated statistics for the U.K.’s compliance with its RED obligations, showing that 1.34 billion liters of renewable fuels were used in the12-month reporting period that ended in April 2013. This represented 3% of the total road transport fuels used in the U.K. in that time period.

On January 22, 2014, the European Commission issued its 2030 framework for climate and energy policies, to extend EU’s goals for greenhouse gas emission reductions beyond 2020 when the RED will end. Many in the biofuel industry were disappointed that this proposal did not include any proposals for binding targets for renewable fuel use in motor vehicle transport beyond 2020.

European Union Ethanol Policies


EU ethanol anti-dumping actions
.  In late January 2014, the European ethanol trade association ePure filed a formal complaint with the European Commission, alleging that U.S. ethanol producers are illegally dumping ethanol at low prices onto the European market in circumvention of the anti-dumping duties the EU imposed on U.S. ethanol in February 2013. The allegation is that U.S. ethanol is being exported to Norway, which is not an EU member state, and then exported from Norway into the EU in the form of E48 ethanol/gasoline blends. ePure says that Norwegian ethanol imports from the U.S. have grown tenfold in the past year.

More recently, ePure has also pointed to rising exports of ethanol from Peru into the EU, following the entry into force of the EU’s Free Trade Agreement with certain Central and South American countries in August 2013. The association claims that a three-fold increase of ethanol exports from Peru to the EU to over 93 million liters in the first ten months of 2013 has corresponded to exports from the U.S. into Peru of about 84 million liters in the same time period.

The subject of dumping and the EU ethanol tariffs was the cause for a spirited debate at a panel session of the National Ethanol Conference on February 18, 2014, in which Rob Vierhout, the head of ePure, defended the need for tariffs against assertions made by Bob Dineen, the executive director of the Renewable Fuels Association and other North American industry representatives.

Previous Biofuel Policy Watch posts on international biofuel news:

D. Glass Associates, Inc. is a consulting company specializing in government and regulatory support for renewable fuels and industrial biotechnology. David Glass, Ph.D. is a veteran of over thirty years in the biotechnology industry, with expertise in industrial biotechnology regulatory affairs, U.S. and international renewable fuels regulation, patents, technology licensing, and market and technology assessments. More information on D. Glass Associates’ government and regulatory consulting capabilities, and copies of some of Dr. Glass’s prior presentations on biofuels and biotechnology regulation, are available at www.slideshare.net/djglass99 and at www.dglassassociates.com. The views expressed in this blog are those of Dr. Glass and D. Glass Associates and do not represent the views of any other organization with which Dr. Glass is affiliated. Please visit our other blog, Advanced Biotechnology for Biofuels

 

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