In an information note published on Thursday, 12 June, Austria, Bulgaria, the Czech Republic, and Latvia call on the European Commission to take action to tackle biofuel fraud and ensure a level playing field in the European biofuel sector as part of its ongoing review (see EUROPE 13610/8 and 13421/11).
This request follows several calls on the part of several Member States, including the call by Ireland, Belgium, Germany, and the Netherlands—which put the item on the agenda for the Energy Council meeting held on 15 October 2024 (see EUROPE 13502/6).
The aim of the countries that signed the note, which will be presented on 16 June during the Energy Council meeting (see other news), is to guarantee a level playing field in the European biofuel sector and to ensure that fair rules prevent “low-compliance” players from distorting the market.
In the short term, the signatories are calling for the recognition criteria established for the production of biofuels, bioliquids, and fossil fuels from biomass that are set out in the Directive on the promotion of the use of energy from renewable sources (2018/2001) to be respected. This includes the possible withdrawal of recognition in cases of serious non-compliance.
In the longer term, they are calling for a revision of the regulation in order to check the criteria for sustainability and for reducing greenhouse gas emissions (2022/996) so as to include proportionate measures that aim to both prevent fraud and ensure competitive energy prices.
Consequently, they consider it necessary to do more to ensure the Union Database (UDB) is fully applicable “before setting a starting point for its compulsory use”.
They are also calling for the diversity of voluntary certification schemes on the market to be improved “to counteract monopolies and increase data transparency”.
In their note, the signatory countries cite recent cases of fraud, including a case concerning a hydrotreated vegetable oil (HVO) production facility where the sustainability certificate issued under the ISCC system was revoked and increasingly frequent cases of fraud involving fatty acid methyl ester (FAME) imported from third countries.
“Falsely declared raw materials—such as virgin palm oil reported as eligible feedstock for advanced biofuel production—could undermine the objective of promoting sustainable renewable energy and reducing greenhouse gas emissions,” they write.
To see the note: https://aeur.eu/f/hbr (Original version in French by Pauline Denys)