Skip to main content

Biofuels push foodstuff costs

Critics of Europe’s push towards biofuels are pointing out that the strategy is boosting the cost of foodstuffs around the world. The combination of drought and high grain prices are fuelling a growing clamour within Europe that is criticising the policy on boosting biofuel use. This comes on top of strong evidence that biofuel use does not reduce carbon dioxide emissions and may in fact be counter-productive. The claims are nothing new. A World Health Organisation (WHO) report strongly criticised the move
December 11, 2012 Read time: 3 mins
Critics of Europe’s push towards biofuels are pointing out that the strategy is boosting the cost of foodstuffs around the world.

The combination of drought and high grain prices are fuelling a growing clamour within Europe that is criticising the policy on boosting biofuel use. This comes on top of strong evidence that biofuel use does not reduce carbon dioxide emissions and may in fact be counter-productive. The claims are nothing new. A 3263 World Health Organisation (WHO) report strongly criticised the move towards biofuels, pointing out that the policies were ill-thought out and poorly planned, resulting in spiralling food prices particularly in developing nations where low income families suffer the most. The 2465 European Commission may well be forced to ensure that biofuels being used in the 1116 European Union do not impact on food production or result in negative environmental changes.

The 6492 UN Food and Agriculture Organisation has asked for a suspension of US ethanol quotas. This follows on from the worst drought to hit the US agricultural sector in more than 50 years and its impact on corn supplies and prices. Until the US election has been concluded, a change in US policy looks unlikely. But there

are strong concerns that EU biofuel targets impact on the commodities markets by increasing pressure on supply at a time when producers are less able to respond.

The EU’s biofuel target is inflexible and this can boost food prices, especially as 65% of our vegetable oils are being converted into biodiesel, according to some environmental groups. In the EU, biofuels form part of the strategy to lower carbon emissions. But research shows biodiesel can actually be worse for the climate than fossil fuels.

EU member states are planning that bioenergy, including biomass for power generation and biofuel for transport, will provide more than 50% of the EU share of renewable energy as part of 2020 climate goals. But the EC has also said it opposes any policy that inflates food prices. At this stage, the EC has not found a way to ensure that its policy of using biofuels impacts on food prices though. But internally the EC’s own Energy Commissioner is opposing a target of deriving 10% of transport fuel from biofuels, as part of an overall goal to get 20% of energy from renewable sources by 2020.

Related Content

  • Strong results for Cummins in Q3
    November 5, 2021
    Cummins is benefiting from strong results in Q3.
  • Road surface quality is vital to safety and policing - TISPOL 2015 conference
    January 18, 2016
    The state of Europe’s road surfaces “is absolutely vital” if TISPOL, the European Traffic Police Network, is going to achieve its target of halving road deaths across the continent by 2020 says AA president Edmund King Speaking at the 2015 TISPOL annual conference in Manchester, King warned that the deteriorating state of Europe’s road pavements has become “a serious problem” and that the number of potholes is now an important road safety issue for the enforcement community.
  • Prepare for ‘interoperability on steroids’
    May 19, 2023
    The gathering of Europe’s toll professionals offers a chance for views to be exchanged by senior people on a number of big issues: and there’s currently an awful lot to think about
  • Low carbon concrete needs holistic approach, not just cement
    April 24, 2018
    The whole supply chain must be addressed if the goal of low carbon concrete is to be achieved, says Koen Coppenholle, chief executive of Cembureau, the European Cement Association. Cement makes up just 10-15% of concrete, but is the most energy-intensive ingredient – although the carbon footprint of the other elements should not be overlooked. Also, the post production carbon impacts of concrete must be considered, said Coppenholle, speaking at an Intermat forum on concrete and the challenge of low carbo