The revision of the Renewable Energy Directive (REDIII) was agreed by Member States on the 16 June and will now go to a plenary vote in the European Parliament later this year.
Within the agreement there is a proposed new binding combined target for renewable fuels of non-biological origin (RFNBOs) and advanced biofuels and biogas (i.e., that are produced from the feedstock listed in Part A of Annex IX of the EU Renewable Energy Directive) at a level of 5.5% by 2030, with a binding minimum share of RFNBOs in transport of 1% by 2030. These targets will not be mandatory until the European Parliament has voted in favour of the agreed text between the Member States.
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 and European obligations concerning sustainability and GHG reduction criteria. The policy since 2010 has been to increase renewable energy in transport by pursuing progressive increases in the renewable transport fuel supply obligation (RTFO) on fuel suppliers, as provided for under Part 5A of the National Oil Reserves Agency Act 2007.
I published the Renewable Transport Fuel Policy Statement 2023-2025 on 28 June. The Policy Statement sets out updated rates for renewable transport fuels over the next two years and outlines the steps that have to be taken to achieve these proposed rates, in line with European requirements and national climate action objectives.
I made regulations on the 31 March 2023 to authorise the National Oil Reserves Agency (NORA) to issue additional Renewable Transport Fuel Obligation (RTFO) certificates for specified renewable transport fuels, where those fuels are used for specific purposes or means of transport, to incentivise their supply. The regulations became operational from 1 April, aligned to the administrative requirements of the RTFO. This included additional certificates for renewable fuel of non-biological origin such as Green Hydrogen and other advanced renewable transport fuel such as biomethane.
Renewable hydrogen has been identified as one of several technologies with the potential to decarbonise hard-to-abate transport sectors. Transport sub-sectors identified as potential renewable hydrogen off-takers include the long-haul road transport hydrogen fuel cell vehicles where there is an advantage over electrification, and in the production of future e-fuels for the maritime and aviation sectors.
The National Hydrogen Strategy to be published by the Department of the Environment, Climate and Communications will outline the pathways towards the production of green hydrogen, and its use in Ireland’s energy mix. The strategy is currently under review by government and publication is expected in the coming weeks.