The Renewable Energy Directive requires that by 2020 each Member State must ensure that 10% of energy in transport will be from renewable energy sources. Ireland will meet this target primarily through the use of biofuels. The Biofuel Obligation Scheme, by requiring that large suppliers of road transport fuels include a certain percentage of biofuel across their general fuel mix, creates a market and demand for biofuels. Biofuels are defined as liquid or gaseous transport fuels produced from biomass and would also include Dimethyl ether (DME) produced from biomass. I will shortly be increasing the biofuel obligation which will further increase the demand for biofuels in Ireland.