Published on 7 October 2022
Last updated on 10 October 2022
‘A Review of Requirements and Constraints on Biofuels in Ireland Arising from RED II and National Targets’, prepared by Byrne O’Cleirigh for Department of Transport & The National Oil Reserves Agency.
This is a comprehensive study report concerning the future demand and supply of biofuels under ambitious climate action plan targets, which was progressed on behalf of the Department with the collaboration of UCC and consultants Byrne O’Cleirigh.
The study clearly illustrates the quantum of biofuel and related feedstock supply and production needed to 2030. It sets out the policy challenge for implementation of European renewable energy targets and constraints alongside ambitious national biofuel targets in transport. The Report concludes that both targets can be complied with by 2030 (under existing assumptions for renewable electricity) through meeting and possibly exceeding advanced biofuel targets.
The report notes the establishment of the EU database to ensure the integrity of the biofuel supply chain and new supervision responsibilities on Member States as being significant. It recommends the implementation of policy and regulation for renewable energy in transport to manage risks concerning biofuel sustainability and limits on supply, and to investigate how fraudulent activity might occur within the supply chain to further safeguard against this risk.
Biofuel supply and demand – in figures
- Biofuel supply and demand by 2030 will be significant – an estimated 72-78m litres of bioethanol and between 570-730m litres of biodiesel/HVO for use in transport.
- The composition of Ireland’s biodiesel/HVO differs considerably from European norms:
– approximately 81% of Ireland’s biodiesel/HVO is produced from UCO – the EU average, including the UK, is 25%;
– approximately 18% of Ireland’s biodiesel/HVO is produced from category 1 tallow – the EU average, including the UK, is 4%;
– other countries have a significantly higher reliance on crop-based biofuel with the EU average standing at 67% – Ireland is 5%.
- There is potential for indigenous production to scale up to between 435m and 735m litres of biodiesel/HVO in 2030, but with low recoverable feedstock supplies (potential for 70m litres of biodiesel from indigenous feedstock) reliance on imported feedstocks (UCO and tallow) will continue to be high.
- In the absence of indigenous HVO production, Ireland would be relying on HVO imports that could amount to between 4% and 5% of European HVO capacity and 1% to 2% of global capacity.