Global certifier: ‘Decimal point errors’ behind biofuel discrepancies in Italy, Malta

Global certification body the ISCC has revised down the extremely high quantities of used cooking oil reportedly collected in Italy and Malta for biofuels production in 2022, saying that the original figures were the result of accounting errors in the submitted data.

According to the data released last month by DG ENER, the European Commission directorate responsible for energy policy, some 604,040 metric tonnes of oils used to fry food were collected in Italy in 2022, with 520,000 tonnes collected in Malta alone.

The original collection figures would have put Italy and Malta among the top three used cooking oil (UCO) suppliers in the world, raising suspicions as to the authenticity of the feedstocks.

UCO can be refined to produce second-generation biofuels, a greener alternative to fossil fuels. Such biofuels are increasingly sought in Europe to decarbonise the oil-reliant transport sector, as the EU pushes to reach carbon neutrality by the middle of the century. 

Under EU rules, biofuels from waste sources can also be double counted towards national transport renewable energy targets, making the feedstock highly valuable.

The 2022 figures reported for Italy and Malta far exceeded average UCO collection rates of around two litres per capita. The data indicated that around 13 litres of UCO per capita were certified as originating in Italy in 2022, while in Malta the figure reached a staggering 1,100 litres per capita.

In an opinion piece published on Euractiv, James Cogan, a policy advisor to biofuels company Ethanol Europe, said that the data suggested that huge quantities of materials such as virgin palm oil were being “falsely certified” as UCO.

However, according to an ISCC statement released on Monday (15 January), the figures, which were based on submissions to the ISCC as part of annual EU reporting requirements, were erroneous.

“Unfortunately, decimal point errors were identified in the submissions from System Users in Malta and Italy,” reads the statement.

“Contrary to the reported 520,000 metric tonnes for Malta, the corrected figure is 520 metric tonnes. The corrected figure for Italy is 50,200 metric tonnes (instead of 604,040 metric tonnes).”

In some cases, the total quantities of waste and residues material collected were reported exclusively as UCO.

“ISCC is in the process of working together with Certification Bodies to clarify inconsistencies and adjust numbers accordingly,” a spokesperson told Euractiv.

Certification

To prevent fraud, biofuel producers must gain certification from private sector schemes approved by the European Commission or EU member states.

To date, 15 voluntary and national certification schemes are recognised by the Commission. The ISCC is the largest such certification body for Europe.

Certification bodies are tasked with ensuring that applicable biofuels on the EU market comply with relevant EU sustainability criteria. This includes proving that feedstocks do not come from high carbon stock land that was converted for feedstock production, such as forests or wetlands.

Certification bodies are also empowered to carry out verification audits at biofuels companies to ensure compliance with EU rules and to check that feedstocks are authentic.

However, critics have accused voluntary schemes of being too weak to effectively tackle fraud, and have pushed for stronger certification measures.

Last year saw the European Commission launch an investigation into biofuels entering the bloc from China and the UK, following suspicions that Indonesian producers are using these countries to circumvent customs duties. 

It is further alleged that virgin palm oil, which is restricted in the EU on sustainability grounds, is being fraudulently passed off as UCO.

EU to investigate Indonesian biodiesel amid tax concerns

European Commission officials have launched an investigation into biodiesel imports following suspicions that Indonesian biodiesel is transiting through China and the United Kingdom in a bid to circumvent taxes.

To assuage concerns, the EU put forward the “Union Database for Biofuels”, which would track biofuels along the supply chain. However, the database is yet to be fully operational.

‘Global Sustainability Conference’

Issues surrounding the future of biofuels certification will be discussed at the ISCC Global Sustainability Conference in Brussels on 22 February. The annual meeting sees government officials, regulators, biofuel companies, and certification experts gather to discuss policy developments and challenges.

The meeting, which comes at a time of increased scrutiny of certification schemes, will look at topics including the roll-out of the Union Database, the expected growth in demand for biofuels prompted by the aviation and maritime sectors’ green fuel mandates, and new due diligence rules.

High-ranking officials from the European Commission are set to speak at the event, including Werner Bosmans of the Directorate General for the Environment, and Bernd Kuepker of the Directorate General for Energy.

[Edited by Zoran Radosavljevic]

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