Biofuels: 'Irrational' and 'even worse than nonrenewable fuel sources'

The UK's "illogical" usage of biofuels will cost drivers around ₤ 460 million over the next 12 months, a think tank says.

A report by Chatham House, external states the growing reliance on sustainable liquid fuels will also increase food prices.

The author says that biodiesel made from grease was worse for the environment than fossil fuels.

Under EU law, external, biofuels are set to make up 5% of the UK's transportation fuel from today.

Since 2008, the UK has actually needed fuel providers to add a growing proportion of sustainable materials into the gas and diesel they provide. These biofuels are primarily ethanol distilled from corn and biodiesel made from rapeseed, used cooking oil and tallow.

Deep fried fuel

But research study performed for Chatham House states that reaching the 5% level suggests that UK drivers will need to pay an extra ₤ 460m a year since of the greater expense of fuel at the pump and from filling up regularly as biofuels have a lower energy material.

The report state that if the UK is to meet its obligations to EU energy targets the cost to drivers is most likely to rise to ₤ 1.3 bn per year by 2020.

"It is hard to find any good news," Rob Bailey, senior research fellow at Chatham House, told BBC News.

"Biofuels increase expenses and they are a really costly method to lower carbon emissions," he stated.

The EU biofuel requireds are likewise having hugely distorting results in the marketplace. Because used cooking oil is considered among the most sustainable types of biodiesel, the price for it has risen rapidly. Rob Bailey says that towards completion of 2012 it was more costly than refined palm oil.

"It produces a monetary reward to purchase refined palm oil, cook a chip in it to turn it into utilized cooking oil and then offer it at earnings,"

"It is insane but the incentives are there."

There are likewise frets that taking EU land out of production to grow rapeseed oil in specific is creating more environment problems than it fixes. The more fuel of this type that is put into cars and trucks the bigger the deficit developed in the edible oils market. This had actually lead to increased imports of palm oil from Indonesia, often produced on deforested land.

"Once you take into account these indirect impacts, biofuels made from veggie oils really result worldwide in more emissions than you would obtain from utilizing diesel in the very first location," said Rob Bailey.

"Plus you are asking drivers to pay more for the fuel - it makes no sense, it is a totally unreasonable technique."

Biofuel benefits

The European Biodiesel Board (EBB), which represents the industry, external throughout the EU, stated it understood the problems triggered by the mandate. But it believes that have lots of positives.

"Blaming biofuels for all the troubles worldwide is a bit too exaggerated," stated Isabelle Maurizi, project manager at the EBB.

"It has actually brought great deals of benefits. It has improved the security of our diesel