International Energy Agency calls for cut in biofuels tariffs
The International Energy Agency has called for tariffs on biofuels to be dropped in order to encourage their use. The Agency argues that the market price of biofuels does not adequately reflect their benefits in terms of both environment and energy security.
Speaking at the launch of Biofuels for transport: An international perspective, IEA Executive Director, Claude Manil said: "In the absence of strong government policies, we project that the worldwide use of oil in transport will nearly double between 2000 and 2030, leading to a similar increase in greenhouse gas emissions. Biofuels, such as ethanol, biodiesel and other fuels derived from biomass could help change this picture, by offering an important low-greenhouse-gas alternative to petroleum over this time frame."
The report argues that biodiesel and ethanol could displace up to 5% of motor gasoline fuel by 2010 if current policies are fully implemented. If production is concentrated on low-cost sugar cane to ethanol processes, up to 10% of world gasoline use by 2020 could be displaced and up to 50% by 2050, the report claims.
IEA press release
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