Imports in the EU's renewable energy policy: environmental non-tariff barriers and developing country biodiesel

Abstract

In response to the negative externalities associated with the intensification of biofuel production; the spike in food prices in 2008 and threats to biodiversity, the European Union revised it biofuels policy to reduce its negative impact on the environment and food security. It did not, however, revise its renewable fuels policy which mandates ambitious consumption targets. The framework used to mitigate the negative externalities of environmental degradation (GHG emissions) and food insecurity through the diversion of land used for food production into the production of biofuels crops is Directive 2009/28/EC. The revised policy applies to the production of biodiesel imports from developing countries. The restrictions on land use and the proof required will make it difficult for developing countries to produce biodiesel for the EU market. The paper outlines the EU requirements and the problems developing countries will face in supplying biodiesel to the EU.