Biofuels and bioliquids

In Finland transport sector plays an important role in achieving carbon emission reduction target, in other words, CO2 emissions. Emission reduction possibilities in transport sector have been investigated thoroughly in recent years in Finland, and several reports have looked at the emission reduction potential, costs and other impacts of various measures. In Finland also forest industry sidestreams, waste and residues are potential feedstocks for producing biofuels and bioliquids.

The targets to reduce carbon emissions from transport are set in National Energy and Climate Strategies. The current strategy was adopted in 2016. The target is to increase the share of transport biofuels to 30 per cent by 2030. 

In Finland all transport fuels distributed contain biocomponents. The amount of these components is based on the limit values set by the national fuel quality regulation and quality criteria standards. Currently, biofuels are some of Finland's top exports.

EU has set targets to increase the use of renewable energy by 2020 and by 2030.  The RED I-directive obliges Member States to achieve a general target of 20% renewables in all energy used by 2020 and a sub-target of 10% renewables in the transport sector. All types of renewable energy used in all transport modes are included in the target setting. In current RED I -directive, some renewable energy sources are counted differently. For example, the contribution of advanced biofuels towards achieving the 10% target is counted twice whereas electricity from renewable energy sources for road transport counts 2.5 times. According to the RED I, biofuels must meet minimum sustainability criteria as well as minimum GHG savings perenergy unit. In Finland the Act on biofuels and bioliquids (393/2013) includes provisions on current EU sustainability criteria and the methods used in verifying compliance with the criteria.

The target for renewables in transport sector by 2030 is set in the new renewable energy directive (RED II). Share of renewables should reach a level of at least 14 per cent of transport by 2030. Conventional biofuels will be capped EU-wide at a maximum of 7 per cent, with additional member state caps if below 7 per cent. The counting of biofuels with a high risk of indirect land use change (ILUC) will be freezed at 2019 levels and gradually phased out from 2023 towards 2030. RED II directive includes also updated sustainability criteria for biofuels and bioliquids.

Related links
Biofuels (Ministry of Economic Affairs and Employment of Finland)
National Energy and Climate strategy for 2030 (2016)
Bioeconomy.fi - articles on energy
Renewable energy directive RED II
ILUC directive
Ministry of Transport and Communications

Further information

Kaisa Pirkola, Ministerial Adviser 
Ministry of Agriculture and Forestry, Luonnonvaraosasto, Metsä- ja bioenergiayksikkö 0295162350