Dáil Éireann Debate, Wednesday - 17 January 2024
134. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications if he will report on the supply of HVO fuel to Ireland; if the supply is sufficient to meet current demand in all relevant sectors; if there are plans to increase supply; and if he will make a statement on the matter. [1902/24]
View answer135. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications if he will report on the supply of biofuels to Ireland; if the supply is sufficient to meet current demand in all relevant sectors; if there are plans to increase supply; and if he will make a statement on the matter. [1903/24]
View answerI propose to take Questions Nos. 134 and 135 together.
HVO (Hydrotreated Vegetable Oil) is a drop-in bioliquid which can replace fossil diesel up to 100%, with GHG reduction benefits. When used in transport the HVO is referred to as biofuel. HVO bioliquid is also used as renewable energy for heating.
Renewable transport fuels such as biofuels are a core transitional technology relied upon for the medium-term reduction of greenhouse gas emissions in the road transport sector, accounting for 1.08 MT CO2eq (approx 14%) of the transport sector decarbonisation target to be achieved by 2030 under the Climate Action Plan. In 2022, approximately 307m litres of biofuel was placed on the market.
Supporting the supply of renewable energy in transport, the Renewable Transport Fuel Policy sets out the pathway to the achievement of both Climate Action Plan targets ) biofuel targets of at least B20 (biodiesel equivalent) in diesel and E10 (Ethanol) in petrol by 2030 and European obligations under the Renewable Energy Directive and Fuel Quality Directive concerning sustainability and GHG reduction criteria.
The Minister for Transport last year published the updated Renewable Transport Fuel Policy Statement 2023-2025. The Policy Statement sets out indicative obligation rate increase for renewable transport fuels and advanced biofuels to 2030 and outlines the steps that have to be taken over the next two years to achieve these proposed rates, in line with European requirements and national Climate Action Plan (CAP) objectives.
The Biofuel Study Report 2022 estimates that between 570-730m litres of biodiesel/HVO supply could be required to meet the Climate Action Plan biofuel target by 2030. The Study indicates potential to meet this estimated future supply through industry plans for scaled-up indigenous production of these biofuels. The study notes, however, the likely continued reliance on imported feedstock supply to support this level of estimated future production.
Concerning sustainability of future supply, the supply of biofuel feedstocks such as used cooking oil is limited and additional demand for it will impact on its cost and may heighten the risk of fuel fraud in global supply chains. To combat this the EU is introducing more rigorous verification requirements including an EU database for all biofuel supply, and supervision by Member States authorities of certification bodies responsible for ensuring economic operators compliance with EU sustainability rules.
