What Are Biofuels

What Biofuels Can Bring to the Economy?

Biofuel is composed of a biomass which is a good alternative to be used as a gas fuel. There are several countries now that are trying to engaging in this type of scheme and one of these is Europe. Almost every citizen in Europe drives their cars with the use of biofuels. In addition to this, majority of their EU biodiesel are being produced right there in their country from their own grown rapeseed. With the directive about renewable energy given in 2009 Europe has been investing billions of Euros with regards to biofuel production.

Renewable Energy Directives

Having the directive on renewable energy present, an introduction was made to the transport sector that there will be a share of 10 percent on renewable energy by 2020. The goal of RED or Renewable Energy Directive includes the following:

• R – Reducing the emission of CO2 in tackling climate change.
• E – Ensuring the independence or security of Europe’s energy.
• D – Developing and giving support such as jobs to people in rural areas.

With the directive that Europe have it has created almost 220.000 jobs in different areas. Including to this is the animal feed, oilseed crushing, green chemistry, agriculture, and R and D. There are now 150 facilities on oilseed crushing and 120 biodiesel plants that are active Europe.

Negative Effects of Biofuels in the Economy

Europe is one of the largest producers of biodiesel all over the world under the strict criteria in sustainability. However, with all of the good things that is can bring into the economy it still has its down side which placed Europe in danger.

After four years that the RED was implemented there was a consideration introduced by the European commission about the Indirect Land Use Change. That means there will be now a limit set in producing the traditional biofuels in Europe. With the policy present, the thousands of jobs given to the European people will be endanger. And investing on biofuels in the 2nd and 3rd generation will be discouraged.

Truth behind the Proposal of ILUC

There has been negotiation about the truth behind the ILUC or Indirect Land Use Change on why they want to implement the said policy. Here are the following reasons:

• Biofuels is not the cause of food prices getting high – World Bank concluded that biofuels is the reason for price increase in food which is limited. Based on them 1.5 percent of the agricultural land all over the world accounts biofuels.

• Europe’s biofuels do not contain an amount of palm oil that is high – The EU biodiesel being produced comes from the rapeseed and does not contain over 10 percent palm oil.

• Biofuels of 1st generation reduces the emission of GhG and dependency on fossil fuel – This in some ways supports the farmers of EU.

These are some of the truth behind the ILUC that wants to be imposed in Europe. Instead of putting up this policy the country should be proud of the innovation and investment that biofuels bring as a sustainable development. Farmers should not turn their back on the industry and on the progress that they have already made. Lastly, stop imposing limits that are unreasonable in dealing with biofuels in Europe.