European Parliament resolution on a strategy for biomass und biofuels (2006/2082(INI))
Date: 2006-12-14
Institutions: Committee on Industry, Research and Energy, European Parliament
Subjects: bioenergy, biomass, energy policy, environmental policy, environmental protection, substitute fuel

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P6_TA(2006)0604

Biomass and biofuels

European Parliament resolution on a strategy for biomass und biofuels (2006/2082(INI))

The European Parliament,

— having regard to the Commission communication entitled ‘Biomass action plan’ (COM(2005)0628),

— having

regard to the Commission communication entitled ‘An EU Strategy

for Biofuels’

(COM(2006)0034),

— having regard to Directive 2001/77/EC of

the Council of
27 September 2001 on the promotion of electricity produced from renewable energy sources in the
internal electricity market (1),

the European Parliament and of

— having regard to Directive 2003/30/EC of the European Parliament and of the Council of 8 May 2003

on the promotion of the use of biofuels or other renewable fuels for transport (2),

— having regard to its resolution of 14 February 2006 with recommendations to the Commission on

heating and cooling from renewable sources of energy (3),

— having regard to the mandate given to the European Commission for the WTO negotiations in the field
of agriculture, as laid down in the EC's proposal for the modalities in the WTO Agriculture Negotiations
(ref 625/02, January 2003),

— having regard to Rule 45 of its Rules of Procedure,

— having regard to the report of the Committee on Industry, Research and Energy and the opinions of the
Committee on Agriculture and Rural Development, the Committee on the Environment, Public Health
and Food Safety, the Committee on International Trade and the Committee on Transport and Tourism
(A6-0347/2006),

A. whereas greater use should be made, inter alia, of biomass in the long term as an energy source and its
energy use should be exploited to the fullest extent possible, above all in forestry, agriculture and waste,

B. whereas sustainable solutions to the energy challenge are to be achieved through remarkable, indispen-
sable improvements in energy efficiency, through energy savings and, at the same time, through the
expansion of renewable energy sources,

C. whereas the primary potential uses of biomass lie in electricity generation, heating and cooling,
hydrogen and methane production, fuel manufacture and the chemical, food, paper and woodworking
industries,

D. whereas biomass is the only carbon carrier among the renewable energies and both energy use and the

manufacture of carbonaceous products therefore merit attention,

E. E whereas increased use of biomass can make a contribution to the three main objectives of energy
policy, namely security of supply, competitiveness and environmental sustainability, by reducing green-
house gas emissions,

F. whereas the type of bio-energy use and the choice of crop and the characteristics of the agricultural
system in which the crop is grown will determine whether the use of bio-energy will reduce the produc-
tion of greenhouse gases,

(1) OJ L 283, 27.10.2001, p. 33.
(2) OJ L 123, 17.5.2003, p. 42.
(3) OJ C 290 E, 29.11.2006, p. 115.

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G. whereas the transport sector is responsible for more than 20 % of greenhouse gas emissions although
this sector is not included in the emissions trading mechanism; whereas these emissions are expected to
continue to increase in future years and biofuels are one way of improving the sector's environmental
performance,

H. whereas biomass could be a means of reducing dependence on external energy sources and of unlocking

new economic development and employment opportunities in rural areas,

I. whereas some Member States are not complying with Directive 2003/30/EC concerning biofuels for

transport, and are setting very low targets,

J. whereas, today, there are still logistical and technical barriers to the use of biomass that are attributable
to comparatively low energy content, decentralised availability, the variety of substances employed and
fuel synthesis,

K. whereas second-generation biofuels (‘Biomass-to-Liquid (BTL)’ fuels) have a much higher energy use

potential than first-generation biofuels (vegetable oils, biodiesel, ethanol),

L. whereas Community legislation on petrol quality prohibits the use of mixtures with more than 5 %

bioethanol,

M. whereas the technology is available for the production of second-generation biofuels, demand is

increasing for higher-quality fuels and infrastructure and drive systems are in place as well,

N. whereas, worldwide, the switch to the production of carbonaceous products using synthetic fuels is
economically feasible, as demonstrated by examples in South Africa and Trinidad; nevertheless, this
production of second-generation biofuels must not impede the production of first-generation fuel
initiated by Member States in accordance with Directive 2003/30/EC,

O. whereas the framing of an EU-wide policy for the promotion of biomass requires an integrated approach

that opens up competition to all types of use,

P. whereas, in keeping with the subsidiarity principle, the biomass action plan must allow Member States
the necessary discretion and flexibility to decide for themselves their own goals and political measures
as well as the instruments for promoting bioenergy, provided that those policies do not distort competi-
tion between Member States,

Q. whereas cost effectiveness and sustainability are important guiding principles for the ecologically rational
promotion of bio-energy combining a high level of environmental safety with an economically viable
long-term funding base,

R. whereas to fulfil the objectives of environmental sustainability and a reduction in greenhouse gases it is
necessary to ensure that the overall life cycle of biofuel from field to fuel tank, including all transporta-
tion, results in significantly lower carbon emissions than are produced by fossil fuel,

S. whereas the issue of the domestic generation and import of biomass must be viewed from the angle
that the development of an autonomous biomass sector in the European Union is worth promoting, in
view also of the additional income potentially available to agriculture,

T. whereas the emergence of a European biofuels sector offers opportunities for biofuel technology transfer

to developing countries crippled by rising oil prices,

U. whereas the lack of clear environmental standards and safeguards, especially in the case of biofuels,
could have significant negative effects, such as an increase in tropical deforestation, while failing to
reduce greenhouse gas emissions significantly,

V. whereas existing legislation in the European Union should be reviewed with a view to better utilisation

of biomass,

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W. whereas a balanced mix must be found between goods production and energy use and energy use is

only one of several potential uses of biomass,

X. whereas the chemical utilisation of products derived from animal fats and vegetable oils is a competitive

economic sector, the existence of which must not be jeopardised,

Y. whereas the industrial use of wood and woody by-products as materials is a competitive sector that

creates jobs and value, the existence of which should not be jeopardised,

Z. whereas other, non-European countries have taken significant steps to promote biofuels and have

already succeeded in achieving a high level of penetration of the fuel market,

1. Welcomes the two Commission communications on the biomass action plan and on an EU strategy for
biofuels;

Shares the Commission's assessment of the current state of biomass use and of the barriers to its

2.
further spread throughout the energy sector;

3.
Is convinced that the European Union strategy for promoting biofuels, particularly against the back-
ground of the Lisbon Strategy, must be guided by efficiency and sustainability and that measures must not
be allowed to generate a disproportionately high level of administrative expenditure;

Believes that there is a need to create at regional, national and European level transparent and open
4.
markets for biomass and biofuels which meet sustainable production standards and that these markets
should be integrated into the system of the World Trade Organisation (WTO) and be compatible with a
single, transparent and competitive energy market;

5.
Takes the view that the producers of biofuels need a consistent investment and pricing policy for the
medium term at Member State level and European Union level that will make it possible to recover invest-
ments made within a reasonable period;

6. Urges the Commission to work towards a European market for biomass and calls on the Member States
to eliminate barriers at Member State level and between Member States;

7. Assumes that the biomass action plan and the communication on a strategy for biofuels are the basis
for specific and effective measures;

8. Urges the Commission to re-examine the goals set in the biomass action plan for heat production, elec-
tricity generation and biofuels production with reference to the competitiveness, efficiency and energy
output of each sector;

9. Considers that the Commission should reconsider all action plans and directives with a view to permit-
ting the rational production and use of bioenergy and biofuels and that this should be done principally in
the fields of plant production, forestry and waste management;

10. Agrees with the Commission that the use of biomass in stationary applications such as power, heating
and cooling can contribute optimally to the achievement of the EU's stated objective of reducing greenhouse
gas generation; urges support for the cost-effective and sustainable production and use of biomass in the
areas of electricity generation, methane production, transport and heating and cooling if necessary by means
of appropriate measures consistent with achieving the Kyoto targets and the longer-term 2 °C climate objec-
tive; calls in this connection for special attention to be given to converting district heating networks;

11. Considers that aid and assistance in connection with biomass-based renewable energies should not
distort competition on raw material markets in the long term;

12. Assumes that more rapid development and increased use of biomass and biofuels can also be brought
about by means of voluntary agreements and calls on the Member States and the Commission to encourage
the use of biomass for energy generation, including by applying environmental requirements to emissions
rather than to the choice of fuel;

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13.
Believes that wood biomass is particularly suitable, given the size of the market and the potential uses
available, for developing markets operating on a Europe-wide basis, although existing market shortages and
rising prices must be borne in mind; therefore endorses the Commission's intention to put forward as soon
as possible an action plan for forestry;

Thursday, 14 December 2006

14. Considers however that the use of forest biomass must not lead to increased pressure on natural
forests, halt the recovery of historically over-exploited forests or lead to expansion in monocultures or exotic
species plantations and must always be promoted in ways that are compatible with improving the ecological
quality of forests;

15. Calls on the Member States to make financial support for biomass conditional not on the size but on
the efficiency of the installation in question, on there being a significantly positive greenhouse gases balance
as well as on noticeable benefits for the environment and security of supply, in accordance with the prin-
ciple of additionality, having regard to the type and amount of support necessary to achieve market penetra-
tion for a given type of biomass;

16. Calls on the Commission to develop a tool which can assess the sustainability of production and use
of (bio) fuels; believes that a common methodology should be developed to objectively measure the environ-
mental, social and economic-sustainability aspects of mineral fuels and bio fuels, which could also serve as a
reference point in policy incentives in favour of the most sustainable (bio) fuels;

17. Calls on the Member States as a matter of priority to provide incentives for energy production
achieved pursuant to supply chain contracts between farmers and companies which use biomass for energy
purposes;

Expects Member States to come up with investment incentives for the production and use of biomass
18.
and biofuels that are the most efficient from a climatic point of view and compatible with structural and
agricultural policy rules, taking particular account of environmentally-compatible, regionally-adapted and
traditional varieties; believes that such incentive schemes must under no circumstances lead to the replace-
ment of sustainable local food production;

19.
Expects Member States to develop national biomass action plans, to combine them in due course with
their own structural and agricultural policy measures and to update such national action plans at specified
intervals; furthermore expects them do everything possible to attain the objectives of Directive 2003/30/EC;

20. Calls on the Commission to examine, on the basis of scientific well-to-wheel comparisons of various
types of imported and EU-produced biomass, the sustainability of biomass and biofuels in all applications,
to publish a review of compatibility with the Community acquis and to forward a report to Parliament and
the Council by the end of 2007;

21. Calls on the Commission and the Member States, in connection with increased use of biomass for
energy purposes, to ensure respect for nature conservation, landscape management, rural management and
forest management interests and constraints;

22.
Expects the Commission, following a strategic environmental assessment, to put forward proposals for
promoting the cost-effective and sustainable use of biomass for heating and cooling purposes in both the
public and private sectors;

23. Considers that, given the conflicting demands on biomass from waste, it is important that bio-energy
should not be used as an excuse to promote waste incineration over more resource-saving options such as
reuse, recycling or composting;

24.
Expects the use as fuel of waste that cannot subsequently be recycled as matter, including by-products
of agricultural food production, except for those originating in areas affected by desertification, to be facili-
tated, account being taken of energy efficiency, in connection with the review of the legal framework for
waste; notes, however, that this should be subject to the condition that it does not present an obstacle to the
reuse of recyclable materials;

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25. Calls on the Commission to eliminate any obstacles based on European legislation so as to render
possible and to promote the fermentation of manure or organic waste to produce biogas;

26. Urges the opening up of gas networks to receive biogas and transport it on a non-discriminatory basis
where it is technically possible to inject it into and transport it safely in the natural gas system;

Expects the administrative procedures for bioenergy production and use to be simplified and extended

27.
to all Member States;

Stresses that support for the promotion of energy crops was introduced as part of the reform of the

28.
common agricultural policy;

29.
Emphasises that, in the interests of sustainability, when exploiting biomass, encouragement should be
provided for exploitation as close as possible to the location where the agricultural raw material originates,
thus eliminating energy waste caused by transport; calls on the Commission and the Member States, there-
fore, to use rural development funding for the purpose of converting rural public institutions to the use of
bioenergy as a heat source;

30. Urges the recognition and promotion of whole-crop incineration, for example, the incineration of
cereals;

31. Welcomes the Commission's emphasis on the importance of using up Community stocks of interven-
tion cereals to produce bioenergy; highlights the fact that this will make it possible to reduce the quantity of
intervention cereals going for export, and thus make it easier for the EU to fulfil the obligations it has under-
taken in the WTO; calls, therefore, on the Commission to devise appropriate incentives with a view to
ensuring that as large a quantity as possible of intervention cereals is used up in this way;

32. Welcomes the objective underlying the Commission communication of continuing to promote the use
of renewable energies, including biofuels, including their use in the transport sector, without prejudice to the
freedom of the Member States to choose other renewable technologies as well as the sector and application
in which biomass achieves the highest greenhouse and energy benefits;

33. Calls on the Member States to promote the use of biofuels through the taxation and excise system so
as to make the production and use of biofuels more attractive; calls on the Member States to increase their
support for a coordinated policy in this field; supports therefore the Commission in its aim to propose
biofuel obligations as outlined in the EU strategy for biofuels (COM(2006)0034); calls on the Commission
to set new, more ambitious, long-term targets until 2020, in order to create investment security;

34. Calls on the Commission, through dialogue with the oil and gas companies and vehicle manufacturers,
to improve access to environmentally-friendly vehicles, and the distribution of and consumer access to
biofuel;

35. Calls on the Commission to remove any unjustified barriers to the market of biomass and biofuels
without compromising the environmental and health considerations on which such measures were based;

Endorses the Commission's intention to provide ongoing support for research and development, parti-

36.
cularly in the field of second-generation biofuels, and to facilitate their large-scale implementation;

Is of the opinion that second-generation biofuels (BTL fuels) have a much higher energy use potential

37.
than first-generation biofuels;

Believes that there is an urgent need to lay down as soon as possible the technical standards
38.
for biofuels and to review Directive 98/70/EC of
the Council of
13 October 1998 relating to the quality of petrol and diesel fuels and its relationship to biofuels use,
without compromising the environmental and health considerations on which this measure was based;
stresses that the existing standards should only be adjusted, or Directive 98/70/EC should only be amended,
once the Commission has finalised its assessment of the impact on air quality of the use of higher biofuels
blends in petrol and diesel;

the European Parliament and of

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39. Urges, in particular, an overhaul of the existing standard EN 14214 in order to include additional
types of biomass;

40. Calls for the definition of different types of second generation biofuels in order to distinguish, given
the impacts on the environment, between sylviculture products and products derived from lignocellulosic
waste materials, landfill organic waste and raw materials of animal and vegetable origin;

Supports the establishment of a biofuel technology platform jointly with all technology providers

41.
involved in the development, production, processing and final use of energy crops;

Expects the Commission to take appropriate account in its support for research of the aim of
42.
increasing the use of biomass in connection with distance cooling and heating systems — in accordance
with the position adopted by Parliament at first reading on the Seventh Framework Programme for
research (1);

Strongly urges the Member States to indicate as soon as possible their national target for bio-energy,

43.
which should be in line with their national Kyoto target as well as the EU agreed long-term target of 2 °C;

44. Asks the Commission to introduce a mandatory and comprehensive certification scheme allowing the
sustainable production of biofuels at all stages, including standards for the cultivation and processing phases
as well as for the overall life-cycle greenhouse gas balance, applicable to biofuels both produced within, and
imported into, the European Union;

45. Calls on the Commission to support
the Global Monitoring for
Environment and Security (GMES) system to monitor land use in the production of bio-ethanol so as to
prevent the destruction of rainforests and other negative impacts on the environment;

the development and use of

46. Recognises that further increasing palm oil production may affect natural forests and traditional food
production, causing bio-diversity loss, land disputes and significant releases of greenhouse gases; calls there-
fore on the Commission to subject the importation of palm oil-based products into the EU to compliance
with sustainable production criteria, defined within a comprehensive certification scheme;

Expects any Europe-wide biomass target to be set in line with the agreed EU target of 25 % renewables

47.
by 2020;

48. Advocates policies and measures as well as alternative technologies in the transport sector that are
consistent with EU climate-change targets;

49. Calls on the Commission to take action with a view to reaching a compromise on biofuels between
the motor vehicle and petroleum industries at the earliest opportunity, in line with the principle ‘biofuels for
cars, not cars for biofuels’;

50. Calls for the eighth recommendation of the CARS 21 Group, according to which second generation
biofuels are a particularly promising technology for reducing carbon dioxide emissions in the transport
sector, to be translated into action;

51. Recommends that the possible use of biofuels in all modes of transport be considered in the context
of product and technology promotion;

52.
Believes that it makes sense, where biofuels are used in selected sectors such as agriculture and
forestry, shipping and local public transport, to encourage their use by means of longer-term fiscal incen-
tives for pure fuels based on compliance with an appropriate certification scheme;

53. Calls on the Commission to encourage the addition of biofuels to traditional fuels in every Member
State by amending Community provisions on excise duty;

Stresses the importance of the use of fiscal measures, such as tax exemptions, but calls on the

54.
Commission to be on the alert for distortions of the market;

(1) OJ C 300 E, 9.12.2006, p. 401.

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55.
Supports the Commission in its intention to create, in the context of the WTO negotiations, clear
rules allowing the development of a European biofuel sector, in particular by establishing an appropriate and
coherent commercial and customs framework;

56. Calls on the Commission to increase the priority given to the recognition of non-trade concerns as
part of a future WTO agreement; notes that this would enable the EU to ensure that imported biofuels meet
certain sustainability criteria, predominantly in the environmental field;

57. Notes that biofuels are now being traded on the world market and that the EU is not yet self-sufficient
in this area; considers, however, that the promotion of domestic production should be an absolute priority;

58. Considers that an acceptable rate of penetration of bioethanol imports into the EU should be estab-
lished for a given period, to fit in with the gradual development of Community production in conformity
with the European strategy in favour of sustainable development, in particular in the energy sector;

Believes that it is essential for a report to be submitted by the Commission by the end of 2007 on the

59.
production and export conditions for biofuels in the principal producer countries;

60. Calls on the Commission to promote in the biomass action plan further study and research on
biomass-based plastics so as to attain a better understanding of their contribution throughout their life cycle
to savings of fossil fuels, to the reduction of greenhouse gas emissions and to savings of energy in recovery
operations other than composting; calls on the Commission to investigate the possibility of making use of
certain bio-plastics obligatory in the event that they prove to be a good alternative to current plastics;

61. Calls on the Commission to consider, as a pilot project, the establishment of renewable energies parks,
where energy needs would be met by a combination of various renewable energy sources, such as biomass,
wind energy and solar energy;

62.
Is convinced that public support for biofuels is essential and notes the widespread public anxiety
about green genetic engineering; believes that the development of energy-intensive biomass must be environ-
mentally safe and must not create a real or perceived threat to non-GM food production; is convinced that
Marked Assisted Selection (MAS), which allows the improvement of crops, through ‘smart breeding’, i.e. the
crossing of plants of similar families rather than their genetic modification through the integration of alien
genes, must provide a major contribution to the development of energy-intensive and at the same time
environmentally safe biomass;

63. Urges all Member States to create appropriate incentives for the sustainable cultivation of energy crops
without jeopardising food production, facilitating sustainable access and mobilising additional biomass
deriving from agriculture and forests;

64. Calls on the Commission to devote extra attention to small-scale biofuel projects within the primary
agricultural sector, such as mobile distillation and fermentation, which could have a major impact on the
future processing of primary by-products;

65.
Believes that funding from the budget allocated under Heading 2, Pillar 1 of the Common Agricultural
Policy (§60) and from the European Agricultural Fund for Rural Development should also be earmarked for
the energy use of biomass;

66. Considers that the promotion of biomass in rural areas should be achieved through prioritising
research, development and demonstration relating to those biomass applications which have been shown to
deliver the greatest and most cost-effective greenhouse gas reduction and energy savings performance and
through the creation of a dedicated market in order to improve profitability by means of information
campaigns; suggests that particular attention be given to the development and promotion of win-win
solutions where biomass production can be combined with habitat restoration, low input agriculture and
environmentally-friendly land management;

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67. Urges a substantial increase in the guaranteed maximum area fixed at 1,5 million hectares under the
subsidy scheme for energy crops and that no crop be excluded from the subsidy scheme for energy crops,
although particular emphasis should be given to those offering high energy efficiency;

68. Urges the Commission to abolish the set-aside scheme and devise new incentives for energy crops;

69. Notes that the cultivation of renewable raw materials must also be carried out in accordance with best
practices and that the cross-compliance rules apply to such cultivation;

70. Urges the Commission to extend the list of crops eligible for cultivation for the production of biofuels
in the support systems, to ensure that the most suitable energy crops are selected at local and regional level
and to encourage the fermentation of manure;

71. Calls upon the Commission to remove the barriers to the development of energy crops in the new
Member States, which apply a simplified single area payment scheme;

72. Urges the adoption of a standard framework at European level ensuring that priority is given to the
provision of biomass for energy purposes even in those countries where bioenergy does not yet play a part;

73.
Is convinced that the sustainable production and use of biomass, which should extend to small scale
cultivation and be integrated into rural development policies, offer considerable advantages for developing
countries and that technology transfer with these third countries and the export of bioenergy technologies
should be supported by the European Union; takes the view, nevertheless, that this policy should be
balanced and that these efforts should focus on countries meeting their own energy needs rather than solely
developing their export capacity;

74. Calls on the Commission to devise a specific initiative designed to inform, train and increase aware-
ness of the use of biomass and biofuels aimed at the farming world, citizens and local administrators;

75. Considers that the production of biomass and biofuels could contribute significantly to the attainment
of Europe's climate control objectives;

76. Calls on the Commission to present a proposal for a directive on heating and cooling from renewable
energy sources as part of the energy package in 2007 and recalls its resolution of 14 February 2006 with
recommendations to the Commission on heating and cooling from renewable sources of energy;

77.

Stresses the need for an EU-wide information policy on biomass and biofuels;

78. Calls on the Commission to include peat, with regard to the life-cycle aspect, as a longterm renewable
energy source for biomass and bioenergy production;

79. Calls for reliable general conditions to be laid down for investors and manufacturers in the interests of
a long-term strategy to promote a competitive market for biofuels in the European Union, particularly in
terms of tax incentives;

80. Calls for greater political and economic attention to be paid to cooperation and integration among the
biofuels markets in the EU and its neighbouring European states, particularly in the framework of the
specific partnership agreements;

Believes that the Intelligent Energy for Europe programme will help to support local projects relating

81.
to energy saving and the appropriate use of natural resources;

82. Calls on the Commission not to offer in biregional or bilateral negotiations more than will have been
conceded at the WTO in terms of requests for preferential access to the Community market in bioethanol,
and when applying the Generalised System of Preferences (GSP) and GSP+ to implement the provisions
enabling reduction or withdrawal of the preferences granted to some countries for bioethanol where these
are no longer justified;

83.
Encourages the Commission and the Member States to watch for attempted fraud and avoidance of
customs duties in respect of bioethanol, while also ensuring, in particular, compliance with the rules of
origin and tariff classification and preventing abuses of some suspensive customs procedures;

84.

Instructs its President to forward this resolution to the Council and Commission.