UCOs for EU Biofuels Smells Like Soy, Not Palm Oil
Update September 13, 2022
It has been "revealed" that Ireland is breaching the EU's limits on biofuels. The report from Sean Goulding Carroll of Euractiv is utter nonsense as he insinuates, without providing evidence, that Irish Used Cooking Oils (UCO) could have come from Asian countries. Instead, he writes that Malaysia is an emerging hub for the UCO trade and props up the concern by providing a link to an Index Mundi statistic that Malaysia is the second largest producer of palm oil globally. The fact that Malaysia is only an emerging hub makes for a weak prop to support his insinuation that Irish UCOs contain palm oil.
CSPO Watch has written on UCOs and palm oil where China, being the largest importer of soy and exporter of UCO, brings the risk of deforestation in Latin American soy, to EU UCO imports. Sean should do some research on UCO sources for the EU.
It has been "revealed" that Ireland is breaching the EU's limits on biofuels. The report from Sean Goulding Carroll of Euractiv is utter nonsense as he insinuates, without providing evidence, that Irish Used Cooking Oils (UCO) could have come from Asian countries. Instead, he writes that Malaysia is an emerging hub for the UCO trade and props up the concern by providing a link to an Index Mundi statistic that Malaysia is the second largest producer of palm oil globally. The fact that Malaysia is only an emerging hub makes for a weak prop to support his insinuation that Irish UCOs contain palm oil.
CSPO Watch has written on UCOs and palm oil where China, being the largest importer of soy and exporter of UCO, brings the risk of deforestation in Latin American soy, to EU UCO imports. Sean should do some research on UCO sources for the EU.
Original Post from July 2022
There is a smell emanating from Used Cooking Oils (UCOs) coming out of the EU. The approval of the European Parliament of draft Sustainable Aviation Fuels (SAF) targets under the ReFuelEU initiative is likely to increase the smell. But where is it coming from?
Green MEPs have been reported as being dissatisfied with the EU Commission’s handling of “fraud concerns” in the supply of UCOs for EU biofuels
Five Greens lawmakers – Ciarán Cuffe, Jutta Paulus, Ville Niinistö, Martin Häusling, and Rasmus Andresen – sent letters to the EU executive in April formally asking for all data obtained under voluntary UCO certification schemes to be made public.
The MEPs’ letters came in the wake of a finding of “maladministration” towards the European Commission by the EU Ombudsman. The Strasbourg-based watchdog made the ruling due to the Commission’s refusal to furnish information on UCO imports in response to a citizen request.
According to Industry and Energy, Europe’s demand for used cooking oil (UCO) to power its transport could double in 2030 leaving it increasingly reliant on dubious imports.
The EU promotes UCO under its green fuels law despite over half of it coming from abroad. The EU’s own auditors have raised concerns over inadequate systems to stop virgin oils like palm, which drive deforestation, being passed off as used. Transport & Environment (T&E), which commissioned the report, called on the EU to limit UCO in transport and improve monitoring to avoid fueling deforestation.
There is a smell emanating from Used Cooking Oils (UCOs) coming out of the EU. The approval of the European Parliament of draft Sustainable Aviation Fuels (SAF) targets under the ReFuelEU initiative is likely to increase the smell. But where is it coming from?
Green MEPs have been reported as being dissatisfied with the EU Commission’s handling of “fraud concerns” in the supply of UCOs for EU biofuels
Five Greens lawmakers – Ciarán Cuffe, Jutta Paulus, Ville Niinistö, Martin Häusling, and Rasmus Andresen – sent letters to the EU executive in April formally asking for all data obtained under voluntary UCO certification schemes to be made public.
The MEPs’ letters came in the wake of a finding of “maladministration” towards the European Commission by the EU Ombudsman. The Strasbourg-based watchdog made the ruling due to the Commission’s refusal to furnish information on UCO imports in response to a citizen request.
According to Industry and Energy, Europe’s demand for used cooking oil (UCO) to power its transport could double in 2030 leaving it increasingly reliant on dubious imports.
The EU promotes UCO under its green fuels law despite over half of it coming from abroad. The EU’s own auditors have raised concerns over inadequate systems to stop virgin oils like palm, which drive deforestation, being passed off as used. Transport & Environment (T&E), which commissioned the report, called on the EU to limit UCO in transport and improve monitoring to avoid fueling deforestation.
Industry and Energy quoted T&E staffer, Cristina Mestre, biofuels and grants and fundraising manager as saying: “Europe’s thirst for used cooking oil to power its transport sector is outstripping the amount leftover from the continent’s deep fryers. This leaves us reliant on a waste product being shipped from the other side of the world.”
Ignoring the Elephants in The Room
It is worth noting at this point, that Transport & Environment, is an Euro-centric group that holds an anti-palm oil position for reasons known only to the group.
Their diatribes against palm oil preys upon the popular myths that EU use of biofuels will increase deforestation in Indonesia. This is not surprising when one considers the fact that the salaries at Transport & Environment are paid by entities who whitewash their profits by making charitable donations to groups like T&E.
Winning an argument against a group supported by those with deep pockets is near impossible. One can only reveal the facts behind what they are talking about and hope that the policy makers in the EU can distinguish between fact and fiction.
There are several elephants in the room which need to be called out in the EU’s preference for UCOs in renewable energy. The biggest elephant here is as Transport & Environment acknowledges:
China supplies over a third of Europe’s UCO imports.
The problem with UCOs from China is not palm oil. It is soybeans, particularly those from South and Central America.
China, the world's top importer of soybeans, brought in 9.04 million tonnes of the oilseed from Brazil in August, up from 8.15 million tonnes a year earlier, data from the General Administration of Customs showed. Chinese crushers stepped up soybean purchases last year to meet strong demand as the country rebuilt its pig herd after it was decimated by deadly African swine fever.
In contrast, imports from the United States last month fell to 17,575 tonnes, down 89.4% from 166,370 tonnes in August 2020.Nasdaq
This is not some blip in soybean trade like the US-China political tensions. It is a continuing trend as Statista reports.
Soybean is Brazil’s main export commodity. In 2019, Brazil held the top rank as China’s largest soybean supplier with a market share of 65 percent. The United States and Argentina were also among the top three soybean supplying countries to China.
The drop in China’s import of US soybeans is relevant to the EU’s increased risk of deforestation as US soy has stronger sustainability credentials than those from South and Central America. The Netherlands, as an EU powerhouse in the global trade of agricultural products is the largest importer of Brazilian goods which should be of serious concern to the EU.
These are publicly available facts and statistics which Transport & Environment should be aware as their single-minded focus on palm oil as being bad for the planet is a disservice to the global fight against climate change.
But it is not only the purveyors of misinformation like Transport & Environment that are guilty of sabotaging the EU’s efforts to reduce its emissions. Policy makers and influencers from the EU Commission to the Council and Parliament are equally guilty of using half-truths and misleading information provided by groups like Transport & Environment to drive political self-interests.
Facts vs Supposition
Nowhere is the misinformation more apparent than a reach back to recent times when Brazil and Indonesia were reported to be struggling with efforts to reduce deforestation.
Since that report from 2015, a comparison of developments between soy powerhouse, Brazil, and palm oil powerhouse, Indonesia shows a stark difference in reducing deforestation.
Brazil sees record Amazon deforestation in first half of 2022
Record low deforestation rates in Indonesia despite ongoing pandemic
These are hard facts compared to any namby-pamby theories by Transport & Environment like “Countries that would use UCO for animal feed and other products may end up exporting theirs while using cheap oil, like palm, at home.”
Their previous play of ILUC, which was picked up by EU policy makers, must have failed in the face of challenges by palm oil producing countries which is leading to this desperate pitch that somehow, somewhere, palm oil is bad for EU.
Transport $ Environment may be excused for cringing at the facts and even refuse to accept them but there is no denying that sustainably produced palm oil, is an energy solution that the EU sorely needs.
The only fact that Transport & Environment admitted, is that there simply isn’t enough clean UCOs to fill the huge demand for SAF. But knowing China’s business-smarts for creating supply for high demand products, the MEPs should be concerned about deforestation from soy in UCOs, not palm oil.
Published July 2022. CSPO Watch
Ignoring the Elephants in The Room
It is worth noting at this point, that Transport & Environment, is an Euro-centric group that holds an anti-palm oil position for reasons known only to the group.
Their diatribes against palm oil preys upon the popular myths that EU use of biofuels will increase deforestation in Indonesia. This is not surprising when one considers the fact that the salaries at Transport & Environment are paid by entities who whitewash their profits by making charitable donations to groups like T&E.
Winning an argument against a group supported by those with deep pockets is near impossible. One can only reveal the facts behind what they are talking about and hope that the policy makers in the EU can distinguish between fact and fiction.
There are several elephants in the room which need to be called out in the EU’s preference for UCOs in renewable energy. The biggest elephant here is as Transport & Environment acknowledges:
China supplies over a third of Europe’s UCO imports.
The problem with UCOs from China is not palm oil. It is soybeans, particularly those from South and Central America.
China, the world's top importer of soybeans, brought in 9.04 million tonnes of the oilseed from Brazil in August, up from 8.15 million tonnes a year earlier, data from the General Administration of Customs showed. Chinese crushers stepped up soybean purchases last year to meet strong demand as the country rebuilt its pig herd after it was decimated by deadly African swine fever.
In contrast, imports from the United States last month fell to 17,575 tonnes, down 89.4% from 166,370 tonnes in August 2020.Nasdaq
This is not some blip in soybean trade like the US-China political tensions. It is a continuing trend as Statista reports.
Soybean is Brazil’s main export commodity. In 2019, Brazil held the top rank as China’s largest soybean supplier with a market share of 65 percent. The United States and Argentina were also among the top three soybean supplying countries to China.
The drop in China’s import of US soybeans is relevant to the EU’s increased risk of deforestation as US soy has stronger sustainability credentials than those from South and Central America. The Netherlands, as an EU powerhouse in the global trade of agricultural products is the largest importer of Brazilian goods which should be of serious concern to the EU.
These are publicly available facts and statistics which Transport & Environment should be aware as their single-minded focus on palm oil as being bad for the planet is a disservice to the global fight against climate change.
But it is not only the purveyors of misinformation like Transport & Environment that are guilty of sabotaging the EU’s efforts to reduce its emissions. Policy makers and influencers from the EU Commission to the Council and Parliament are equally guilty of using half-truths and misleading information provided by groups like Transport & Environment to drive political self-interests.
Facts vs Supposition
Nowhere is the misinformation more apparent than a reach back to recent times when Brazil and Indonesia were reported to be struggling with efforts to reduce deforestation.
Since that report from 2015, a comparison of developments between soy powerhouse, Brazil, and palm oil powerhouse, Indonesia shows a stark difference in reducing deforestation.
Brazil sees record Amazon deforestation in first half of 2022
Record low deforestation rates in Indonesia despite ongoing pandemic
These are hard facts compared to any namby-pamby theories by Transport & Environment like “Countries that would use UCO for animal feed and other products may end up exporting theirs while using cheap oil, like palm, at home.”
Their previous play of ILUC, which was picked up by EU policy makers, must have failed in the face of challenges by palm oil producing countries which is leading to this desperate pitch that somehow, somewhere, palm oil is bad for EU.
Transport $ Environment may be excused for cringing at the facts and even refuse to accept them but there is no denying that sustainably produced palm oil, is an energy solution that the EU sorely needs.
The only fact that Transport & Environment admitted, is that there simply isn’t enough clean UCOs to fill the huge demand for SAF. But knowing China’s business-smarts for creating supply for high demand products, the MEPs should be concerned about deforestation from soy in UCOs, not palm oil.
Published July 2022. CSPO Watch