Brussels, 03/02/2006 (Agence Europe) - At their meeting on 1 February, EU Member States experts were generally satisfied with the action plan outlined on 7 December by the European Commission on developing and using farming, forestry and waste for the generation of electricity (see EUROPE 9084). The Agriculture Council backed the strategy in a preliminary exchange of views (EUROPE 9115) and the Austrian Presidency has made it one of its main priority areas.
The debate on 1 February at the Council's expert working group revealed various differences of opinion, however, on how biomass production could actually be stepped up. Some countries, like France and Poland, said EU biomass production should be concentrated upon (wood, organic waste, oilseeds and beet) rather than importing biomass, in order to cut the EU's energy dependency. The United Kingdom, Denmark and Sweden stressed the importance of respecting the EU's commitments to the WTO to import raw materials like Brazilian sugar. Belgium and Austria recommended importing only raw material like Brazilian sugar cane rather than finished products like bioethanol.
France, Germany and the UK pointed out that biomass is not only restricted to energy production but can be used by industry to make solvents and plastics. Belgium said account should be taken of products that are more profitable to farmers, like vegetable oil and biogas. Spain and Sweden said the use of vegetable and animal residue to produce heat should be developed.
Several Member States, including Finland, Greece, Poland and Belgium, called for greater aid for energy farming (introduced in the 2003 reform of the Common Agricultural Policy). Farmers currently get EUR 45 a hectare for up to 1.5 million hectares. Several countries also asked for tax incentives to encourage companies to develop the production of biomass. On a more general front, France wants urban heating to be included on the list of products benefitting from cut-rate VAT and argued that biomass should also be used for refrigeration and air conditioning.
The UK and Sweden recommended cutting red tape to make it easier for farmers to convert to biomass production. Several countries, including France, Portugal and Finland, criticised the idea set out in the biomass action plan of certification that products have been cultivated in a sustainable fashion, on the grounds that there are already enough rules on the respect of environmental factors when awarding farm aid.
Denmark, Sweden and the UK called for the development of second generation biofuel (allowing all a product's biomass to be utilised). Sweden called for a 5 to 10% rise in the amount of ethanol in petrol. The Czech Republic said it backed rural development aid for the production of biomass.
At its meeting on 6 February, the Special Agriculture Committee will discuss the biomass action plan. On 8 February, the European Commission will adopt a communication on the development of biofuel (see Europe of 25 January). On 20 January, the Agriculture Council will have a more in-depth discussion of the issue ahead of the 14 March Energy Council.