Biofuels
The use of renewable sources of energy, including biofuels produced from crops,
has increased as governments have sought to reduce consumption of, and dependence
on, other sources of fuel, such as oil, coal and gas. This trend is driven partly
by concern over the impact of traditional fossil fuels on the environment, and
partly by the rising cost of these sources of energy as a result of political
instability in some regions of the world and rising demand from developing
economies
in large countries such as India and China. The UK Government has set a
target
that 5% of all our petrol and diesel consumption should be from biofuels
by
2010.
The European Union, meanwhile, is proposing a target that biofuels
should
be used
for 10% of petrol and diesel consumption by 2020.
FDF supports the role that renewable energy from agricultural sources can play
in tackling climate change and addressing fuel security. However, FDF members are
concerned that policies encouraging use of biofuels are having an adverse impact
on supplies and prices of food. This is because increasing numbers of farmers are
selling their produce into the energy market instead of the food market,
resulting in raw material shortages for food manufacturers and subsequent price
inflation
for consumers.
FDF would therefore encourage the UK Government and other EU member states to
stand by two 'caveats' agreed at the 2007 Spring European Council. These stated
that the EU's 10% target for biofuels must be introduced in a way that is cost
efficient and sustainable. FDF believes that if these caveats cannot be
satisfied,
it
would be inappropriate to proceed with the 10% target as proposed
because
of
the
potential for conflict between food and fuel supplies.
More Information
Last reviewed: 16 May 2008