Dáil debates

Wednesday, 23 April 2008

1:00 pm

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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Question 68: To ask the Minister for Communications, Energy and Natural Resources if the current targets for bio-fuels still stand; if he will review these targets in view of growing concern regarding food prices and supplies worldwide; the percentage he estimates will be imported from developing countries in order to reach Ireland's target on bio-fuels; and if he will make a statement on the matter. [15630/08]

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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Growing concerns are being expressed internationally about the consequences of increased global demand for bio-fuels for global food stocks as well as a range of sustainability concerns. Developments in European Union policy relating to bio-fuels must take account of these concerns and this is recognised by the Commission and all member states.

Ireland is currently working to deliver the target of 5.75% penetration of bio-fuels by 2010. The EU Commission's new renewable energy directive proposes a minimum mandatory target for all member states of 10% market penetration of bio-fuels in transport by 2020. The directive is currently under discussion with a view to Council agreement by end 2008. The Government is committed to existing targets, but they must be set in the context of a framework for robust sustainability criteria regarding production and deployment. The Commission has proposed such a framework in the new renewable energy directive.

The criteria proposed by the Commission aim to ensure that bio-fuels deployed by member states are produced in a sustainable way. They must not contribute towards the degradation of the natural environment, notably the destruction of forests, wetlands or long established grassland. The criteria will also set strict targets for bio-fuels in terms of the greenhouse gas emissions they must save before they can be considered eligible as counting towards national targets.

As things stand currently, the feed stocks used for bio-fuel production by member states are generally sourced on the open internationally traded commodities market with little or no information about their origins.

It is only by setting stringent sustainability criteria that member states will be able to verify the source of these fuels, and mitigate the cumulative effect of unsustainable practices. I fully support the Commission's work to ensure member states agree a rigorous sustainability framework under the new directive. Monitoring, verification and compliance will be critical to the effectiveness of the sustainability criteria. Moreover, these criteria will place a premium on more sustainable bio-fuels, further encouraging investment in second generation bio-fuels. These fuels, made from non-food crops, are much more productive in terms of fuel produced per hectare and do not have a direct effect on food prices.

My Department is also supporting the development of second generation bio-fuels through the Charles Parsons research awards announced last year.

I will shortly be launching the public consultation on the proposed bio-fuels obligation as set out in the programme for Government. In that context, EU developments on bio-fuels policy, in light of the emerging concerns in respect of sustainability, will be fully factored in and will be publicly debated. The recent introduction by the United Kingdom of a bio-fuels obligation will also be closely monitored by us for lessons to be learned.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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I thank the Minister for that reply and look forward to the debate on the criteria because it is a matter of great concern. Targets have been set by the Government and by the EU. The EU Commission has stated it will not change those targets yet at the same time we are getting information from bodies as diverse as the International Monetary Fund and the World Bank stating the production of bio-fuels is responsible for approximately 30% of the problems relating to food prices, to Oxfam Ireland which is proposing that we change our targets. At the same time motorists who have invested in cars using bio-fuels are complaining they cannot easily access the fuels because it is difficult to get them on garage forecourts and the outlets are few and far between.

The Minister is saying we cannot say whether, in importing bio-fuels, we are participating in and encouraging the use of land in a destructive way that should be used for food production. Is he saying we are powerless when it comes to importing? It would be useful to know how much we currently import.

On the EU Presidency discussions, I am aware the Slovenian President set up a working group on this area and Ireland participates in that working group. What view are we expressing to our European colleagues? The Minister said we must have a debate but food shortages are happening now and it appears to me that from the point of view of policy the response is very vague in terms of the way the Government is addressing what is literally a burning issue.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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We are being very precise in supporting the European Commission's proposals that sustainability monitoring be put in place on any bio-fuels bought or sold in the European Union. It is correct that under World Trade Organisation rules we cannot differentiate between bio-fuels from one country or another and we do not have full traceability in place to examine the origin of the supply. It is right for the European Commission to insist that we develop this system. We are far more effective in adopting such a system as part of the European Union than developing it ourselves. It is much more effective to do it as part of the Commission proposals.

The second point is that we develop bio-fuels which have a genuine emissions reduction because there is a question over certain bio-fuels where the extent of energy put into the product exceeds that which is taken out of it. Those two key developments in bio-fuel policy in the European Commission is something we support within the agreement that must be reached on the overall EU Commission policy by the end of this year.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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How much do we import currently? I do not know if the Minister appreciates our concerns regarding the approach he adopts as a green Minister. When he talks about sustainability there is a concern about climate change and increasing CO2 emissions but this is a separate issue. This is a matter of world poverty and people being directly affected. That does not necessarily come within the term "sustainability". It must be guaranteed that that is part of the requirements.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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I will come back to the details. I do not have the figures with me on the amount of bio-fuels. I agree that sustainability cannot be defined where it is leading to real food poverty across the world.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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Why does the Minister not have the information? It is part of the question.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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In Opposition in recent years I continually referred to concerns that existed about the development of bio-fuels in that it was not the panacea and that it would raise significant environmental and food price issues. I raised that issue on numerous occasions for several years before it started to evolve as a clear problem because we were aware of those sustainability issues. There is, however, a good policy reason for us to try to maintain a fuel supply source separate to the conventional oil supply source, particularly if it is one where we can lower emissions and it can be a second generation bio-fuel and we can benefit from non-food crops. That is a worthy ambition because if we suffered a serious oil shock similar to the 1970s when oil from the Middle East was cut off, it would benefit us to have even a 5% availability of fuel supply that would keep essential machinery running. For that strategic policy reason alone we should develop such a supply but we should be careful that it is not at the expense of the world poor.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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Ceist 69.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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Can I ask a brief question?

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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I am sorry, Deputy. We are two minutes over time.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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I asked a question and the Minister did not answer it.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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The Chair has no control over the nature of the answer given.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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We continue to get such responses from this Minister.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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I call Question No. 69 in ainm an Teachta Joe McHugh.

Photo of Eamon RyanEamon Ryan (Dublin South, Green Party)
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I will come back to the Deputy on the statistic. She has a valid point and I will ensure the statistic, if available, is provided.

Photo of Liz McManusLiz McManus (Wicklow, Labour)
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I thank the Minister.