EU Proposal Backs Renewable Fuels Produced Within the Bloc

The European Biodiesel Board (EBB) welcomed an agreement proposed by the German and French governments on October 16 to promote technological openness in transport decarbonization. Representing European biodiesel, renewable diesel and sustainable aviation fuel (SAF) producers, EBB said the proposal marks a positive step toward expanding renewable fuel use.

The agreement supports a 90% reduction target for vehicle tailpipe emissions while recognizing the important role of renewable fuels in the EU energy mix. EBB believes this approach could create additional policy space for biodiesel and renewable diesel in road transport.

However, EBB expressed disappointment that the agreement does not include a renewable fuel credit mechanism, which could provide direct incentives for greater deployment. The proposal also introduces a new category of zero-emission vehicles powered exclusively by eligible renewable and low-carbon fuels.

EBB Secretary General Xavier Noyon stressed that fuel eligibility should follow the criteria established under the EU Renewable Energy Directive (RED). Excluding feedstocks that comply with RED requirements could undermine existing decarbonization solutions.

EBB also welcomed the proposal that eligible fuels should be produced within the EU and expressed its readiness to work with EU co-legislators to implement the initiative. The final implications for renewable fuel producers and imports will depend on the definitive policy text.