Written answers

Tuesday, 21 January 2014

Department of Communications, Energy and Natural Resources

Biofuel Obligation Scheme Implementation

Photo of Seán FlemingSeán Fleming (Laois-Offaly, Fianna Fail)
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410. To ask the Minister for Communications, Energy and Natural Resources his views on whether the Government should grant carbon credits to a company (details supplied) to ship palm oil derivatives from around the world to supply the market here; and if he will make a statement on the matter. [2769/14]

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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The 2009 Renewable Energy Directive sets all Member States a binding target that at least 10% of the energy used in the transport sector must come from renewable sources by 2020. The Directive also requires that all biofuels used to meet the 10% target must comply with certain sustainability criteria. That is, they must not be made from feedstocks sourced from certain categories of land, and must achieve certain greenhouse gas emissions reductions.

The Biofuel Obligation Scheme was introduced in July 2010 by the Energy (Biofuel Obligation and Miscellaneous Provisions) Act 2010 as the primary means through which Ireland would meet the transport target. The scheme, administered by the National Oil Reserves Agency (NORA), is certificate based and, since January 2013, an obligated road transport fuel supplier, at the end of each obligation period (calendar year), must hold six biofuel obligation certificates for every 94 litres of petroleum based fuel it has placed on the market. Certificates are only issued for biofuels that have been demonstrated to have complied with the sustainability criteria of the Directive.

The Renewable Energy Directive requires that the contribution made by biofuels produced from wastes, residues, non-food cellulosic material, and ligno-cellulosic material be considered to be twice that made by other biofuels. Section 44G of the Act gives effect to this provision and requires NORA to issue two certificates for each litre of sustainable biofuel that the agency has determined has been made from such materials. I understand that in the last week NORA determined that biofuels from Palm Oil Mill Effluent (POME) would be eligible for double certificates. POME is a harmful waste product generated from palm oil production and requires effective treatment before it can be safely discharged into watercourses and biofuel can be a by-product of this treatment. NORA has previously determined that biofuels produced from used cooking oil and biofuels produced from category 1 tallow qualify for double certificates. Details of its determinations are available on its website .

The legislation requires NORA to consult with the National Standards Authority of Ireland (NSAI), the Sustainable Energy Authority of Ireland (SEAI), the Environmental Protection Agency and the Minister for the Environment, Community and Local Government before finalising determinations. I also understand that it received submissions from An Taisce and the Laois Environmental Action Forum on the matter.

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