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Tue Feb 12, 2019, 06:27 AM

EU targets palm oil for road fuel phase-out, but with exemptions

Source: Reuters

SUSTAINABLE BUSINESS FEBRUARY 11, 2019 / 1:09 PM / UPDATED 41 MINUTES AGO

EU targets palm oil for road fuel phase-out, but with exemptions

Philip Blenkinsop
3 MIN READ

BRUSSELS (Reuters) - The European Commission has concluded that palm oil cultivation results in deforestation and its use in transport fuel should be phased out, but environmentalists criticized it on Monday for allowing a number of exceptions.

The Commission published its proposed criteria for determining what crops caused harm at the weekend, following a law passed by the European Union last year to end the use of feedstocks in biofuels that damage the environment.

Under the new EU law, the use of more harmful biofuels will be capped at 2019 levels until 2023 and reduced to zero by 2030.

The law has caused an uproar in palm oil producing countries. Indonesia has threatened to challenge it at the World Trade Organization, while Malaysia is looking into restricting imports of French products over French plans to remove palm oil from biofuel in 2020.

The Commission proposal, designed to become law after four weeks of feedback, said 45 percent of the extra land used for palm oil production since 2008 had previously been forested, compared with 8 percent for rival oil crop soybeans and 1 percent for sunflowers and rapeseed.

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Read more: https://www.reuters.com/article/us-eu-biofuels/eu-targets-palm-oil-for-road-fuel-phase-out-but-with-exemptions-idUSKCN1Q021Q

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