60% Percentage of biofuels imported from non-EU countries (used in IT, ES, DE, FR)
Biofuels in cars: A dead end for Europe
Allowing a biofuels loophole in the EU 2035 cars law would bring total European demand to 2-9 times what can be sustainably sourced, new T&E research finds.
Summary: Why biofuels must not be allowed under the EU’s car CO2 regulation
The EU’s CO₂ regulation for cars is the backbone of Europe’s automotive climate and industrial policy and the key driver for the supply of zero-emission cars. Changing the law to allow biofuels would be a disaster – here’s why:
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The shift from environmentally damaging crop-based biofuels to waste-based biofuels has maintained a high reliance on imports: Today, 60% of biofuels are imported from non-EU countries. For used cooking oil, >80% is imported.
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Reliance on imports comes with growing concerns over fraud risks: Previous investigations by T&E strongly suggests that fraud is occurring. As demand from aviation and shipping grows and supply remains limited in Europe, dependency on imports will only grow, further increasing the risk and level of fraud.
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The current EU biofuel mix is delivering limited to non-existent CO2 savings (only 20%-40% CO2e savings vs. fossil fuels on average), and potential waste oil fraud would erase any emissions savings achieved at all.
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Limited biofuels can’t cover planes and ships, let alone cars: Allowing a biofuels loophole in the EU 2035 cars law would add 30% to aviation and shipping biofuel demand and bring total EU demand to 2-9 times what can be sustainably sourced.
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Sustainable sources of waste feedstocks are extremely limited; e.g. a car running on animal fats would require the equivalent of 120 pigs a year while a car running on used cooking oil would need 25 kg of fries per day.
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Allowing biofuels to count as CO2 neutral fuels would risk increasing 2050 emissions by up to 23%. Europe faces a decisive choice: to either lead the global BEV race or fall behind by diverting to false solutions.
Since 2009, EU policies promoting food-based biofuels as fossil-fuel alternatives have led to inefficient land use compared with solar power and EVs. Using farmland for fuel crops causes indirect land-use change such as deforestation, which undermines emissions benefits and increases pressure on food security
9% Percentage of International Sustainability and Carbon Certification (ISCC)-certified UCO collectors in China, Malaysia, and Indonesia verified through an on-site audit
Future advanced biofuels made from sustainable feedstocks (municipal solid waste, cellulosic residues), and processed with complex and uncertain technologies (e.g. gasification and Fischer-Tropsch) would be 80% to 110% more costly than driving a BEV on average.
Jet fuel suppliers’ high demand for a limited feedstock will raise advanced biofuels prices at levels that would be prohibitively expensive for most car drivers.
The optimal pathway to reducing fuel spending is to cancel fuel credits and accelerate the shift to e-mobility. This will reduce our reliance on imported fossil fuels and on the potentially fraudulent feedstocks needed for advanced biofuels.
Policy recommendations
Opening a loophole for biofuels after 2035 would increase EU car emissions
Allowing CO2 credits for biofuels could reduce BEV sales
Recommendations
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1
Keep biofuels out of the cars CO2 regulation: The EU must reject options that include biofuels in the car CO2 regulation (as carbon correction factor or post-2035 exemption) to protect the integrity of the car CO2 regulation and broader climate policy framework. If exemptions for ‘CO2-neutral fuels’ post 2035 are considered, they should be strictly limited: 5% sales cap, limited to vehicles powered exclusively by 100% climate-neutral e-fuels, with no biofuels allowed.
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2
Prioritise advanced biofuels for hard to abate sectors like aviation & shipping: Projected availability of sustainable biofuels will not even be enough to decarbonise ships and planes. Any biofuels going in new cars will increase reliance on fraud-prone imports and even fossil fuels use.
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3
Maintain 2030–2035 car CO2 targets and tailpipe approach Fake alternative like biofuels lead to regulatory ambiguity, undermine company, investor and consumer confidence, and put jobs and EV momentum at risk.
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