News reaching FFD is that the UK Sustainable Bio-diesel Alliance (UKSBA) is turning up the heat on the UK government to prevent them removing the 20p tax differential on biofuels.
Chairman of the UKSBA Mark Sneesby said that removing the tax buffer in April next year would "undermine the UK's growing low-carbon economy by making biodiesel more expensive than fossil fuels and therefore commercially unviable."

Photo: jsbarrie
The government's plan is to rely on this thing called the Renewable Transport Obligation (RTFO), which obliges fuel suppliers to ensure that at least 5% of their forecourt sales come from renewable sources like biodiesel.
Sneesby adds: "Many renewable solutions, such as wind or nuclear, require long-term investment and take many years to fulfil their potential, whilst the sustainable bio-diesel industry is an established and growing economic sector delivering real results in reducing CO2 emissions and providing 'green collar skills.

"The UKSBA is in ongoing constructive discussions with HM Treasury and the Department for Transport as well as other policy makers in Westminster and Europe, proposing that the tax differential is not withdrawn until the RTFO is stable and actually working as a supportive mechanism for the industry.
In the long-term the UKSBA hasn't completely dismissed the RTFO, instead it has asked to be included in the consultation on the issue in 2010. FFD will keep you in the loop...
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