Biofuels: 'Irrational' and 'worse than nonrenewable fuel sources'

The UK's "unreasonable" usage of biofuels will cost vehicle drivers around ₤ 460 million over the next 12 months, a think tank states.

A report by Chatham House, external states the growing dependence on sustainable liquid fuels will likewise increase food prices.

The author states that biodiesel made from veggie oil was worse for the environment than nonrenewable fuel sources.

Under EU law, external, biofuels are set to comprise 5% of the UK's transportation fuel from today.

Since 2008, the UK has actually needed fuel suppliers to add a growing proportion of sustainable materials into the gas and diesel they provide. These biofuels are generally ethanol distilled from corn and biodiesel made from rapeseed, utilized cooking oil and tallow.

Deep fried fuel

But research performed for Chatham House says that reaching the 5% level means that UK drivers will have to pay an additional ₤ 460m a year due to the fact that of the higher cost of fuel at the pump and from filling up more frequently as biofuels have a lower energy material.

The report state that if the UK is to meet its responsibilities to EU energy targets the cost to motorists is likely to rise to ₤ 1.3 bn per year by 2020.

"It is tough to find any excellent news," Rob Bailey, senior research fellow at Chatham House, told BBC News.

"Biofuels increase expenses and they are a really pricey way to reduce carbon emissions," he stated.

The EU biofuel mandates are also having hugely distorting results in the marketplace. Because utilized cooking oil is considered as among the most sustainable types of biodiesel, the rate for it has risen rapidly. Rob Bailey states that towards the end of 2012 it was more costly than refined palm oil.

"It creates a financial incentive to purchase refined palm oil, cook a chip in it to turn it into used cooking oil and then offer it at earnings,"

"It is insane however the rewards are there."

There are likewise worries that taking EU land out of production to grow rapeseed oil in particular is developing more environment problems than it resolves. The more fuel of this type that is put into vehicles the bigger the deficit produced in the edible oils market. This had caused increased imports of palm oil from Indonesia, typically produced on deforested land.

"Once you take into consideration these indirect impacts, biofuels made from vegetable oils actually result worldwide in more emissions than you would receive from utilizing diesel in the very first place," said Rob Bailey.

"Plus you are asking motorists to pay more for the fuel - it makes no sense, it is a completely illogical method."

Biofuel advantages

The European Biodiesel Board (EBB), which represents the market, external throughout the EU, said it knew the problems triggered by the required. But it thinks that biofuels have many positives.

"Blaming biofuels for all the problems worldwide is a bit too exaggerated," said Isabelle Maurizi, project manager at the EBB.

"It has brought lots of benefits. It has actually improved the security of our diesel