Eamon Ryan (Dublin South, Green Party)

I would very much welcome a detailed debate but this may take more than a debate in the House. For example, this could be a subject for a committee because it is highly complex and technical. Second generation biofuels have different implications for generating feed stock, as they are generated from a general organic source rather than a food source. Such issues require much analysis and it would be appropriate for the Oireachtas to go into detail on this so that we have a proper understanding of market conditions. They are complex not only in the context of food prices for people in the developing world but also in the context of environmental consequences, as we could end up subsidising or supporting biofuel production elsewhere which has a detrimental environmental effect. I commend the Deputy's suggestion that the Oireachtas examines this issue and I look forward to working with her in this regard so that we have a clear outcome.

The best and most effective approach is to reduce demand for fuels and transport in general. When energy prices doubled in 2005, demand for fuel in Ireland increased by 8% in the transport area. That inexorable growth will put us under pressure and it will lead to pressure for these fuels as the world approaches a peak in oil production. The sustainability issue can be addressed. For example, the UK has moved towards a system of labelling the sustainable sources of a biofuel crop. That is a progressive development and we should look to progress that in Ireland. Similar measures have been introduced in Germany and Holland. Although the world trade rules in this area are highly restrictive, that may help us address a number of environmental concerns.

The food price issue is the result of American biofuels policy where the development of bioethanol from wheat and maize is causing a large spike in wheat prices globally. The European Union, therefore, does not have a specific role in this. The development of biofuels will have a beneficial long-term consequence for Ireland in securing its fuel supply if there is an energy shock. Significant waste supplies can also be used for biofuels.

See this speech in context