Alice-Mary Higgins (Independent) | Oireachtas source

I move amendment No. 10:

In page 16, between lines 1 and 2, to insert the following: “Amendment of Principal Act - Report on palm oil

28.The Principal Act is amended by the insertion of the following after section 67:

“Report on palm oil

67A.Within 12 months of the passing of the National Oil Reserves Agency (Amendment) and Provision of Central Treasury Services Act 2020 the Minister shall publish and lay before both Houses of the Oireachtas a report setting out analysis and direction as to whether palm oil, including any used cooking oil which primarily consists of palm oil, should be excluded from recognition as a ‘biofuel’ for the purposes of this Act.”.”.

The Minister will be aware that the Bill provides for a more favourable levy on biofuels compared with the levy on other fuels. That was discussed earlier and on Second Stage. I want to highlight a major concern, of which I know the Minister is aware because we have discussed it previously at the Joint Committee on Climate Action. It relates to an aspect of biofuels, specifically palm oil. Palm oil has an extraordinarily negative impact on climate, the environment and biodiversity as a result of the indirect land-use risks and deforestation associated with its production. This deforestation results in a great loss of flora, fauna and biodiversity.

Palm oil is a key issue yet we know from a 2019 report that it has been finding its way into our biofuel supply indirectly, often through the mechanism of being described as used cooking oil. In response to very concerning reports last year which suggested that up to one third of used cooking oil entering the biodiesel supply in Europe could consist of repurposed palm oil, the European Parliament introduced changes that ended some of its policy support for palm oil biodiesel under the renewable energy directive, RED II, scheme. At that time, the Department of Communications, Climate Action and Environment indicated that it was going to review this area.

Biofuels and biodiesel cut across the other part of the Minister's mandate and brief. Drivers in the European Union are the biggest users of palm oil in the world. They use more than the food and cosmetics industries combined. Many of us have become aware of the food industry's over-reliance on palm oil and some of us will check labels and try to avoid it. However, palm oil is entering our cars disguised as something good, namely, biofuel. It is almost given an imprimatur as a sensible and more environmentally appropriate alternative.Given the lesser rate of levy attached to biofuel, is it possible for the Minister to produce a report or find some other mechanism, either through the Bill or perhaps through his work on transport policy, to make sure there is analysis on palm oil and used cooking oil whereby it is not being factored into the biofuel which, under the Bill, is being given a better levy? Bear in mind that there is a strange anomaly whereby used cooking oil is double counted and has a double benefit in our system.