Spain biodiesel plants running at 9% capacity
The producers hope recent duties imposed by the European Union on US imports will help revive production.
‘Nonetheless, imports and subsidiaries from countries like Argentina, Malaysia and Indonesia, could also become as damaging as those from the US,’ a report by the biofuels division of renewable energy industry group APPA finds.
APPA estimates that 71% of the 586,000 tonnes of biodiesel sold in Spain in 2008 were imported, and called for the Spanish government to ensure legal requirements to blend motor fuel with plant-based fuel be met with EU-manufactured fuels.
‘We are simply asking for measures to ensure the domestic biofuel industry's survival, just as France, Portugal and Italy have been doing,’ APPA adds.
As of 1 January this year, Spain has a mandatory target of 3.4% of automotive fuel used in 2009 to be derived from biofuel measured by energy content; a level that will rise to 5.83% in 2010.
Biodiesel plants were producing 18% of capacity a year ago. Since then capacity has grown quicker than production, the report said.