Report: EU’s 10% biofuel goal could indirectly damage environment

Europe’s US$13 billion biodiesel industry could be undermined by EU plans to tackle the unwanted side effects of biofuel production, after studies showed few climate benefits, Reuters reported. The EU had set as a goal the implementation of biofuel use to 10% of all road fuels by 2020. The EU has been arguing for two years over the extent of indirect damage to the environment caused by this target. Reuters said the EU is getting close to deciding what to do. “The land use change effects make nearly half of the expected gains of shifting from fossil fuels to renewable biofuels disappear,” Reuters said, quoting from one of four reports. “This would have significant implications for the existing EU biodiesel industry,” it added. “The viability of existing investments could be affected in the long run, as the availability of conventional biodiesel feedstocks would be extremely reduced.” (July 8, 2011)