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Europe Daily Bulletin No. 9953
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GENERAL NEWS / (eu) eu/biofuel

European biodiesel sector fears new obstacles to its development

Brussels, 31/07/2009 (Agence Europe) - Although anti-dumping and compensatory duty has been brought in against imports to the EU of American B99 biodiesel, the unfair commercial practices used by their third-country competitors (such as differentiated export taxes applied by Argentina, and a practice whereby traffic is diverted via countries which produce little or no biodiesel in order to get round the duty brought in against B((: EUROPE 9948) are not the only problems feared by European biodiesel producers. They are concerned that the activity of their sector, which has been borne by the 10% objective of the proportion of renewable fuel used in transport in the EU by 2020, will have further obstacles to face. In particular, the European Biodiesel Board (EBB) is concerned that some Member States may not have correctly transcribed new Community legislation, the directive on the promotion and use of renewable sources of energy, the so-called "renewables" directive, which was adopted in December 2008 as part of the "Energy/Climate" legislative package (EUROPE 9805). Amongst other things, the EBB is concerned that Germany, which leads the field in renewables issues, has brought in provisions which exceed those required by the new directive. The adoption of national conditions or complicated Community standards for its implementation could, the Board believes, constitute another brake on the development of the sector. One of the most complex concepts, which is related to the protection of the environment, is the indirect impact of production on biofuels on land use. The "renewables" directive provides for the European Commission to submit a report on the issue before the end of 2010. The Commission is planning to table this report in March next year, in order to help the Member States to prepare their national action plans for renewables by June 2010. The EBB believes that the "positive" indirect effects on the use of land should also be taken into account, such as increased yields, which may be obtained by rotating cereal crops more often. The EBB also pleads in favour of certification for the sustainability of biomass, as long as this applies to all of its uses, not just biofuels. (E.H./trans.fl)

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