Germany's Green Fuel Plan: A Step Forward or Backward?

Germany's government has given the green light to a new biofuels law. This law allows the continued use of food and animal feed as ingredients in biofuels. The goal is to reduce greenhouse gas emissions from vehicles by mixing biofuels with regular fuel.

Biofuels and Ingredients

Biofuels like biodiesel and bioethanol are made from things like:

• Rapeseed oil
• Waste vegetable oil
• Grains
• Sugar

The previous government wanted to stop using food and feed ingredients. But now, the new law says they can still be used at current levels.

Key Points of the Law

• Palm oil ban starting in 2027: Palm oil won't count towards reducing emissions due to environmental concerns.
• EU Directive Implementation: The law puts the EU's Renewable Energy Directive into German law, covering transport, electricity, and heating.
• Double-counting ban: The law aims to stop double-counting of certain biofuel ingredients.

Reactions and Impact

• German oilseed traders are happy with the new law, believing it will support prices.
• Environmental concerns: The law continues the use of food and feed ingredients, which some criticize.
• Positive aspects: The law stops double-counting and limits palm oil use.

The law has been delayed several times and was finally published. Now, it needs to be approved by parliament.