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Biofuels to push up the cost of motoring

Adding to the wave of criticism against the UK’s current policy for the use of biofuels in road transportation, The Times reports that the cost of filling up will rise as the European Union force oil companies to add more of the ‘green’ stuff to petrol and diesel.

An analysis by the UK Petroleum Industry Association (UK PIA) showed that drivers of cars built before 2000 would be worst hit by the increase use of because they may have to buy a more expensive type of fuel to avoid damaging their engines.

Malcolm Watson, technical director of UK PIA, said that drivers of older cars would have to buy “super unleaded”, a higher octane fuel that costs about 6p more per litre, or £3.60 extra to fill a 60-litre tank.
He said that oil companies were planning to increase the biofuel content of ordinary unleaded to 10 per cent while keeping super unleaded at a maximum of 5 per cent.

Mr Watson said that new cars had fuel systems able to cope with higher levels of biofuel but there could be problems with older cars.

Additionally all drivers would have to fill up more often because biofuels produce fewer miles per gallon.
The Government is also removing the fuel duty discount for biofuel from next year and this is expected to add about 2p a litre to pump prices.

Presently, diesel contains about 5 per cent biofuel and petrol 1 per cent.

Last summer Britain responded to concerns about sustainability of biofuel by reducing the rate of increase of biofuel consumption in road transport following the release of the Gallagher Review which questioned whether biofuel was pushing up food prices and influencing the destruction of natural habitats.

But all EU countries must comply with a directive requiring 13 per cent of fuel to be biofuel by 2020. The association said that a new EU standard allowing 10 per cent of petrol to be biofuel would be introduced next year leading to a steep rise in the price of fuel.

Read the full article here: The Times

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Author: Faye Sunderland, April 17, 2009
Filed under: Biofuels

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