Alternative Fuels Update

Source: Opec 4/15/2008, Location: Europe

As was agreed among EU members, Germany is already working on a plan to increase the ethanol blend in gasoline to 10% from 5% which will commence next year. The EU plans to adopt a similar policy by 2020. Critics charge that this will not only further increase food prices but also cause food shortages as well as massive deforestation. Sugar prices have increased by 50% since the beginning of 2008 due to high demand for sugar cane from the biofuel industry. The push for biofuels is also coming at a hefty financial cost to OECD countries. US biofuel subsidies alone exceeded $7 billion a year. UN pressure on various countries to halt biofuel industry for five years to restore food prices and reduce massive deforestation has been resisted especially by European nations. However, the UK has begun to re-evaluate the impact of the biofuel industry on both the economy and the environment. It is anticipated that low corn production in the US will aggravate food prices this year which have already been on the increase due mainly to the biofuel demand for corn. A US government regulation to increase ethanol biofuel production is seen as the main reason behind the abrupt food price hikes over the past two years. Some studies suggest that the amount of biofuels needed to fill a SUV could feed a person for a whole year.

Some Asian companies are cutting the blend of unsubsidized biodiesel in an effort to reduce further losses. Even with the high oil prices, biodiesel blend is accruing losses when not heavily subsidized by governments.


Sweden >>  6/27/2022 - Lundin Energy AB (“Lundin Energy”) announces an update to the guidance for its renewables business, expected to trade under the new name, Orrön Energy...
United Kingdom >>  6/27/2022 - The technology group Wärtsilä will partner with low carbon energy company SSE to deliver a 50 MW / 100 MWh energy storage system in Salisbury, Wiltshi...

South Africa >>  6/23/2022 - Ambri, provider of long-duration energy storage, announced that Earth & Wire, South Africa's independent renewable energy retail brand, placed an orde...
United States >>  6/23/2022 - The U.S. Department of Energy (DOE) issued a $70 million funding opportunity announcement to establish its 7th Clean Energy Manufacturing Innovation I...

United States >>  6/22/2022 - The Company provides the following update in advance of its AGM which will be held at 3.00 p.m. BST.

U.S. renewable energy market update
Bahrain >>  6/21/2022 - The meeting between Eni CEO Claudio Descalzi and His Royal Highness Prince Salman bin Hamad Al Khalifa, the Prime Minister of Bahrain, was held today ...

Related Categories: Biomass Energy  General  Geothermal Energy  Hydropower  Photovoltaic Solar Energy  Solar thermal Energy  Wind Energy 

Related Articles: Biomass Energy  General  Geothermal Energy  Hydropower  Photovoltaic Solar Energy  Solar thermal Energy  Wind Energy 


Gulf Oil and Gas
Copyright © 2021 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.