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Global policy initiatives

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Over the past six months, the International Energy Agency (IEA) has reported significant developments in the global biofuels sector, encompassing bioethanol, biodiesel, renewable diesel, and hydrotreated vegetable oil (HVO). These advancements are driven by evolving policies, technological innovations, and shifting market dynamics.

Brazil: In October 2024, Brazil enacted the Fuel of the Future law, setting higher blending levels for ethanol and biodiesel, introducing greenhouse gas targets for the aviation sector, and establishing a national programme for green diesel.

European Union: The EU approved the Renewable Technological innovations and feedstock challenges Energy Directive III (RED III) in 2023, doubling the renewable energy target in the transport sector to 29% by 2030 or achieving a 14.5% GHG emissions intensity reduction.

The directive also imposes feedstock limitations and sets targets for advanced fuels.

India: In November 2023, India announced mandatory blending of compressed biogas, starting at 1% in 2025 2026 and increasing to 5% by 2028-2029. Biogas and compressed biogas use are projected to expand by...

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