John Paul Phelan (Fine Gael)

I move recommendation No. 7:

In page 50, before section 27, but in Chapter 4, to insert the following new section:

"27.—Within three months of the passing of this Act, the Minister shall lay before the Houses of the Oireachtas a Report outlining proposals which could be introduced to encourage a greater use of bio fuels.".

This recommendation relates to an issue I raised on Second Stage in the area of biofuels, with which the Minister of State, Deputy Parlon, is familiar in his other capacity. Coming from a farming background, I am also familiar with it. The development of biofuels is an area where I suspect there will be much progress in the next few years which should be encouraged. I am aware the Government has applied to the European Union for a derogation in respect of biofuels. I would like to know what is contained in that application.

Of particular concern to me is the area of sugar beet, which is familiar also to the Minister of State, Deputy Parlon and to my colleague, Senator Bradford. It is a potential biofuel which is not usually listed as a primary biofuel source such as oilseed rape and other similar products. This recommendation proposes that the Minister, within three months of the passing of this Act, lays before the Houses of the Oireachtas a report outlining proposals to encourage a greater use of biofuels. In light of significant increases in the cost of oil, the biofuel sector should be developed and this country has great potential for doing so. The agriculture sector is under pressure and biofuels could provide a very useful new source for the farming community. It is a resource that has not been fully utilised and which could be of great benefit to the country if it was fully utilised in the future. I await information on the Department's policy on this matter.