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The European Dimension of Germany’s Energy Transition pp 527–542Cite as

The Role of a Renewable Energy Target for the Transport Sector Beyond 2020: Lessons Learned from EU Biofuel Policy

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Abstract

To date, biofuels remain the main option for addressing the European Union Renewable Energy Directive’s 10% transport sector target for renewable energy sources. At EU level and at the level of the member states, political support for biofuels has been motivated by expected contributions to the aims of greenhouse gas (GHG) mitigation, security of energy supply, rural development and employment creation. However, the diffusion of mainly agricultural crop-based biofuels has been accompanied by a critical debate on a range of sustainability issues such as land use change impacts or impacts on resource competition. Moreover, biofuels’ cost-effectiveness as a GHG mitigation option has been called into question. Between the two poles of high expectations and multi-faceted criticism, EU biofuel policy has proven a very dynamic policy field, with no small amount of policy uncertainty for market actors. Against the background of negotiations on a recast Renewable Energy Directive, this contribution discusses from an economic theory perspective whether there is a case for continuing a target which supports the use of biofuels and other low-carbon options in the transport sector; and if so, what lessons can be derived from EU biofuel policy so far for its design.

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Notes

  1. 1.

    In both cases, emissions from indirect land use changes are not included in the estimates.

  2. 2.

    “Advanced” biofuels encompass not only second-generation but also third-generation biofuels made from algae, see Directive (EU) 2015/1513.

  3. 3.

    Meanwhile, the European Parliament’s resolution on a recast RED criticises this approach, arguing for a more ambitious EU-level RES target of at least 35% by 2030 and its translation into national targets (European Parliament 2018).

  4. 4.

    Also, for the heating and cooling sector, an annual increase in RES share by 1% is envisioned, but in the Council’s 2017 proposal, this is included as an indicative trajectory only (Council of the European Union 2017a, Article 23).

  5. 5.

    In sum, the European Parliament’s proposal combines an overall minimum transport sector RES share (12% by 2030) with a non-decreasing cap on food or feed crop-based biofuels (max. 7% contribution), an increasing minimum share of advanced biofuels and other low-emission and renewable fuels (10% by 2030) and a separate increasing minimum share for selected advanced biofuels and biomethane (3.6% by 2030).

  6. 6.

    This encompasses international aviation but not international shipping, for which a separate 40% reduction target is defined (compared to 2005 levels).

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Authors and Affiliations

  1. Department of Economics, Helmholtz Centre for Environmental Research – UFZ, Leipzig, Germany

    Alexandra Purkus & Erik Gawel

  2. Institute for Infrastructure and Resources Management, Leipzig University, Leipzig, Germany

    Erik Gawel & Daniela Thrän

  3. Department of Bioenergy, Helmholtz Centre for Environmental Research – UFZ, Leipzig, Germany

    Daniela Thrän

  4. DBFZ Deutsches Biomasseforschungszentrum, Leipzig, Germany

    Daniela Thrän

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  1. Alexandra Purkus
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Correspondence to Alexandra Purkus .

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Editors and Affiliations

  1. Department of Economics, Helmholtz Centre for Environmental Research – UFZ, Leipzig, Germany

    Erik Gawel

  2. Department of Economics, Helmholtz Centre for Environmental Research – UFZ, Leipzig, Germany

    Sebastian Strunz

  3. Department of Economics, Helmholtz Centre for Environmental Research – UFZ, Leipzig, Germany

    Paul Lehmann

  4. Department of Economics, Helmholtz Centre for Environmental Research – UFZ, Leipzig, Germany

    Alexandra Purkus

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Purkus, A., Gawel, E., Thrän, D. (2019). The Role of a Renewable Energy Target for the Transport Sector Beyond 2020: Lessons Learned from EU Biofuel Policy. In: Gawel, E., Strunz, S., Lehmann, P., Purkus, A. (eds) The European Dimension of Germany’s Energy Transition. Springer, Cham. https://doi.org/10.1007/978-3-030-03374-3_30

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