Bernard Allen (Cork North Central, Fine Gael)
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Question 67: To ask the Minister for Transport when the biofuel usage requirements outlined by Government will be introduced; and if he will make a statement on the matter. [24367/07]

Noel Dempsey (Meath West, Fianna Fail)
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The Government remains committed to meeting the indicative target agreed in the Biofuels Directive 2003/30/EC of 5.75% by 2010 through 5% obligatory fuel blending by 2009 and excise relief. Ireland remains on course to meet its revised interim target of 2% for 2008, which was agreed by the EU, through the Mineral Oil Tax Relief (MOTR) Scheme II, announced in November 2006. This Scheme will place 163 million litres of biofuels on the market at a cost to the Exchequer of €200 million over the period 2006-2010. It is expected that, at full capacity in 2008, the Biofuels MOTR Scheme II will result in 2.2% of transport fuels being met by biofuels resulting in savings of over 1.2 million tonnes of carbon dioxide (CO2) over the five-year period.

As part of my overall objective for sustainable urban transportation I have requested CIE to move to a 30% bio-diesel blend in all new buses as part of their fleet replacement policy. In line with the Programme for Government I have also asked the company to set out as quickly as possible an action plan to convert the existing fleet to a 5% biofuel blend taking account of logistical, technical and financial issues.