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Germany paves way for synthetic fuels in road transport

  • Market: Biofuels, E-fuels, Hydrogen
  • 03/03/23

Members of Germany's parliament today passed a motion asking the government to allow the sale of synthetic fuels — or e-fuels — and hydrotreated vegetable oil in pure form (HVO100) at domestic service stations.

The motion calls for fuels meeting DIN EN 15940 specifications to be added to the domestic biofuels legislation, which would allow fuel suppliers to sell paraffinic diesel fuel from synthesis or HVO beyond the current blend limit of around 26pc. It also proposes including fuels according to the DIN EN 16734 specifications, which would allow the sale of B10 diesel, a blend which contains up to 10pc of biodiesel.

The parliament also requested an increase in the minimum required share of advanced biofuels produced from feedstock listed in Annex IX Part A of the recast of the EU's Renewable Energy Directive (RED II), while leaving the current cap on crop-based biofuels unchanged at 4.4pc. The country's greenhouse gas (GHG) emissions reduction quota should not be lowered and the multiplier for electricity used to charge e-vehicles (EVs) should remain at three and not be lifted to four, according to the motion.

The motion has now been passed to the leading committee for environment and to the transport committee for consultation. It comes just days after Germany's three governing parties — the FDP, Greens and SPD — announced that they have come to a political agreement admitting the use of e-fuels in Germany's road transport sector and that they will start the appropriate legislative steps.

Related to this, Germany's transport minister Volker Wissing has urged the European Commission to facilitate the use of synthetic fuels to achieve climate goals and make a proposal on how new cars with internal combustion engines could still be allowed beyond 2035 if fuelled exclusively with e-fuels. "Since the EU Commission has so far failed to make a proposal, the federal government cannot agree to the compromise in the Council of Ministers," Wissing said on Tuesday.

Stakeholders in the oil and road transport market welcomed the announcement, with industry associations Uniti and bft seeing the plans as a positive step for more climate protection. Finnish refiner Neste said it is pleased that Germany will allow 100pc renewable diesel to be sold at all service stations. Germany's aviation association BDLI said it approves of any initiative that increases the production and availability of synthetic aviation fuel, but highlighted that the government has to give priority to those sectors that have no alternative to liquid hydrocarbons.

Germany will introduce a blending quota for synthetic fuels in aviation — a PtL quota — of 0.5pc in 2026, rising to 1pc in 2028 and 2pc by 2030.


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