Mick Wallace (Wexford, Independent)
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127. To ask the Minister for Communications, Energy and Natural Resources the way Ireland compares with other European countries regarding the addition of biofuels in petrol and diesel; and if he will make a statement on the matter. [20178/13]

Pat Rabbitte (Dublin South West, Labour)
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The Biofuel Obligation Scheme was introduced in July 2010 as the primary means to meet the target of at least 10% renewable energy in transport by 2020, which was mandated to each Member State by the 2009 Renewable Energy Directive.

The Biofuel Obligation Scheme works by obligating large road transport fuel suppliers to bring a certain amount of biofuels to the market. Since 1 January 2013, the obligation rate stands at 6% by volume.

The main types of biofuels being used in Ireland are ethanol which is blended with petrol and biodiesel which is blended with diesel. Blends of up to 5% ethanol can be used in any petrol powered vehicle with blends of up to 7% biodiesel suitable for use in all diesel vehicles.

How each Member State meets its 10% target is a matter for that Member State. However, I understand that most Member States use quota systems similar to ours, though some define their obligation in energy terms rather than by volume and there is a wide range of obligation rates across Member States. For example, Germany has a 6.5% by volume obligation and Portugal has a 5.5% obligation in energy terms. The UK rate for 2013 and 2014 is 4.75% by volume. Other countries also use gaseous biofuels such as biogas and biomethane in gas powered vehicles and the use of higher blend liquid fuels such as E85 is more commonplace in Europe than in Ireland.

The Biofuel Obligation Scheme has successfully delivered increased amounts of biofuel in Ireland resulting in 145 million litres being placed on the Irish market in 2011. Of this, approximately 18.5 million litres was produced indigenously from waste material such as used cooking oil. For the purpose of the Biofuel Obligation Scheme, a litre of biofuel produced from wastes and residues counts as two litres which means the use of such biofuel is incentivised under the scheme. Though figures for 2012 are not yet available, I understand that the amount of indigenous biofuel on the market increased last year. The recent increase in the obligation rate along with future increases will see the biofuel market grow to an estimated 500 million litres by 2020. This will continue to create opportunities for indigenous industry to produce biofuels here in Ireland.