German MPs back lower blending levels for biofuels

Publication date: 26 June 2009

The German parliament has agreed to lower mandatory biofuel blending levels in fossil fuels for 2009 from a proposed 6.25% share to 5.25% to avoid competition in the agriculture sector between energy and food crops.

The new share is specified in a draft biofuel law approved by German MPs last week. It will increase to 6.25% in 2010 but will remain unchanged for the next four years. The regulatory emphasis will shift from biofuel content to emission savings achieved by biofuels from 2015. The law also reduces the annual increase in tax levels for pure biodiesel (B100) from 6 to 3%.

*Meanwhile, conservative parties CDU/CSU have delayed a parliament vote on a draft law to promote the development of carbon capture and storage (CCS) technology, ENDS understands. The proposal does not provide sufficient financial compensation for owners of land parcels on which unsuccessful tests have been carried out.

**On Wednesday, the German environment agency UBA released a report showing six major cities including Munich and Stuttgart have already exceeded an annual EU limit on fine particle (PM10) air concentrations. A further ten cities are close to exceeding it, according to the report. Under EU air quality law, PM10 levels must not exceed 50 micrograms per cubic metre (ug/m3) for more than 35 days a year.

Source: ENDS