In order to further combat fraud in the biofuels sector, the European Biodiesel Board (EBB) has published an ambitious proposal to revise the rules for the validation of sustainable biofuels. The proposal aims to strengthen the validation system in the EU market and ensure fair competition with economies outside the EU.
Since 2022, a surge in biofuel imports from Southeast Asia has led to a severe impact on the EU market, with widespread industry skepticism about whether certain imports meet Renewable Energy Directive (RED) standards. This issue persists due to the exceptional growth in biodiesel production and supply of waste feedstock. In response to this challenge, EU member states at the May 2024 Energy Council meeting called for strong measures to prevent fraudulent biofuels from entering the European market.
In its newly released 30-page proposal, EBB is proposing a series of rule revisions emphasizing that biofuel validation for the EU market should be equally rigorously enforced, especially for production facilities from outside the EU. The proposal suggests that producers should be subject to on-site audits and recommends that member states authorize the number of units produced, capacity and feedstock used by each producer. In addition, EBB proposes to build on the existing biofuels database to include additional information for more effective validation.
The proposal also emphasizes tougher sanctions for non-compliance and suggests that the revocation of certificates of non-compliance have a retroactive effect, ensuring that only biofuels that truly meet the sustainability criteria can contribute to the RED goals.EBB Secretary General, Xavier Noyon, pointed out that, while these reforms will require a concerted effort by all parties in the industry, they are necessary to ensure a healthy market.
