The British Transport Minister, Alistair Darling, has announced new measures aimed at achieving greener fuels by requiring that 5% of all fuels sold at British petrol stations come from renewable energy sources by 2010. The initiative – dubbed the Renewable Fuels Obligation – was announced during an Environmentally Friendly Vehicle Conference in Birmingham, where representatives from international governments and industries met to discuss ways to promote greener vehicles.

The British Government has also published the results of a feasibility study, which explains the operation of the Obligation. It will require big oil companies and importers to ensure that an increasing proportion of their fuel sales come from a renewable source. By 2010, that proportion should be 5%, which means that biofuel sales will multiply 20-fold compared to today’s levels. Today, most biofuels come from crops such as rapeseed and wheat, which can be mixed with petrol and diesel and used in normal vehicles. In the future, more advanced biofuels may be made from waste, and even based on renewable hydrogen. To ensure sustainable sources for biofuels, the government proposes to put in place a carbon guarantee and sustainability system as part of the obligation. By taking on the obligation, companies would have to report on the level of carbon savings they have achieved and on the sustainability of their supplies.

The British Government will consult in due course on the operational details of the obligation. The consultations will cover topics such as the level at which the obligation should be set in the coming years and the duration of each period of the obligation.