Scania Studio: Problem Area 2

Growing the uptake of bio-based fuels

The cost of producing fuels from biomass is significantly higher than for equivalent fossil fuel options, and unlike other forms of renewable energy, these costs have not been falling over time.

We cannot keep emissions well below 2°C without using biofuels and other bio-based energy in the coming decades. But growth prospects for these are too weak. Between 2012 and 2018, the share of biofuels used in transport in Europe barely changed, accounting for just over 5% of total transport fuel. The 2030 EU target to reach 14% renewable energy in the transport sector is structured in a way that will not provide a strong stimulus to biofuels. 

The costs of producing transport fuel are significantly higher than for equivalent fossil fuel options and unlike other forms of renewable energy, these costs have not been falling over time. And there is a lack of a consolidated policy to enable bioenergy and bioeconomy-related activities across the EU, and de-risk investments.