I propose to take Questions Nos. 1193 and 1194 together.
The planned introduction of a Biofuels Obligation by 2009 will require all fuel suppliers to ensure that biofuels represent a certain percentage of their annual fuel sales.
The Government has committed to achieving 5.75% market penetration of biofuels by 2009, in advance of the target date in the EU Biofuels Directive. We have also committed to achieving 10% market penetration of biofuels in Ireland by 2020. We will undertake a series of consultations later this year with stakeholders on the specific details of the scheme and this will be followed by the introduction of appropriate legislation. We have set 2009 as the date for introduction of the obligation.
The 2005 pilot mineral oil tax relief scheme for biofuels has resulted in eight projects being awarded excise relief for a two-year period under the scheme. The Biofuels Mineral Oil Tax (MOT) Relief Scheme II was introduced in 2006, valued at over €200m. Under this scheme sixteen projects have been awarded excise relief to the period 2010. The scheme will enable us to reach an initial target of over 2% market penetration of biofuels by 2008. As a result of this scheme, biofuels are already being mainstreamed in blends of up to 5% at a number of existing petrol and diesel pumps, and higher blends are being sold to identified vehicle fleets.
My colleague, the Minister for Transport and the Marine, is preparing a national Sustainable Travel and Transport Action Plan, which will underpin and support the Government's overall objectives for sustainable use of energy in transport, including biofuels.