ePure says European Commission’s Fit for 55 package sets strong foundation for renewable liquid fuels

In Belgium, the European Commission’s new Fit for 55 package sets important new goals for emissions reduction and creates a solid foundation for reaching them by giving a role to renewable liquid fuels in decarbonizing transport. Unleashing the true potential of crop-based ethanol and creating a policy environment that can spark investment in advanced ethanol are must-have components of any realistic roadmap to carbon-neutrality.

With the main components of the Fit for 55 package, the Commission should fully maximize the tools it has on hand for decarbonization – especially the Renewable Energy Directive.

This is the third time since 2009 the Commission has tried to get RED right. With Fit for 55, the Commission finally realizes that to succeed it needs to focus on higher GHG intensity reduction targets that drive renewable energy in transport, without multipliers that hide the EU’s continued reliance on fossil fuels. Now that sustainability issues have been settled, the EU should unleash the potential of crop-based biofuels and encourage the wider deployment of advanced biofuels.

Other Fit for 55 components should work in concert to promote solutions that make a realistic impact on decarbonization. The CO2 for Cars Standards should include more than just one technology and recognize the benefits of using renewable fuels such as ethanol to reduce the carbon-footprint of cars on the road. The Energy Taxation Directive should incentivize renewable fuels, moving away from volume-based taxation to carbon intensity. A parallel Emissions Trading System for transport should complement, not replace, binding national targets for emissions reductions in the Effort Sharing Regulation, and avoid increased fuel prices and social discontent.