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EU Policy on Biofuels


Current Status

The European Union adopted in 2003 a Directive promoting the use of biofuels aimed at replacing 5,75 % of all transport fossil fuels in the EU by 2010. This piece of legislation set indicative targets of 2% market share for biofuels to be achieved in 2005 and 5.75% in 2010.  

The Directive delivered growth rates in the biofuels market of more than 35% in the last couple of years. However, most Member States are still far from achieving their targets.

Towards 2020

The Commission proposed in January 2007 to set a binding target of 10 % market share for biofuels to be reached in 2020. European Heads of State agreed in March  to set a binding target but set several conditions: the target’s binding character will depend on “production being sustainable, second-generation biofuels becoming commercially available and the Fuel Quality Directive being amended accordingly to allow for adequate levels of blending”.

This new target has been welcomed by the industry as it will trigger new investments for better greenhouse gas performance and more cost-efficient production.

The Commission announced the release of a Framework Directive covering the biofuels sector before the end of 2007.

EU Policy on Biofuels: Documents