New rules due to be introduced this week by Minister for Transport Eamon Ryan will close down the Irish biofuels sector in favour of imported hydrogenated vegetable oil (HVO), the Irish Bioenergy Association (IrBEA) has warned.

The rules also threaten the Irish meat processing sector and farmers, the association has claimed.

Since 2010, Irish fuel suppliers have been required to blend in a proportion of biofuel into all road transport fuels.

The new rules, IrBEA has said, will put Irish biofuels producers at a distinct disadvantage over imported biofuels.

The minister’s proposed changes to the National Oil Reserves Agency Act 2007 will give an enhanced multiplier to HVO over Irish-produced biodiesel.

Renewable energy certificates

Multipliers refer to the renewable energy certificates generated by the production of the biofuels.

Irish waste-based biofuel production currently gets two certificates for each unit produced. Under the new rules, the imported biofuel will receive three certificates under the proposal, putting Irish production at a disadvantage.

IrBEA CEO Seán Finan said Irish biodiesel producers use animal fats or tallow from the meat processing sector and used cooking oil to produce biodiesel. This sustainable biofuel production and its viability is threatened with the new proposals.

“This will collapse Irish biofuel production at the stroke of a pen,” he warned, saying that the market for Irish tallow will disappear overnight, causing interruptions to the rendering and meat processing sectors.

The fallout will include the loss of Irish biofuel production, direct and indirect jobs in the supply chain and put the emerging biomethane sector at risk, Finan warned.

“How can Minister Ryan stand over the destruction of a sustainable and indigenous biofuel industry and is he fully aware of the implications of signing the regulations?” he asked.