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Biofuels: and 'worse than fossil fuels'
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The UK's "irrational" usage of [biofuels](https://www.zoominfo.com/c/mission-newenergy/346542889) will cost vehicle [drivers](https://www.zoominfo.com/c/mission-newenergy/346542889) around ₤ 460 million over the next 12 months, a think tank states.
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A report by Chatham House, external says the growing reliance on [sustainable](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) liquid fuels will also increase [food costs](https://www.crunchbase.com/organization/mission-newenergy).
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The author says that [biodiesel](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) made from vegetable oil was even worse for the environment than fossil fuels.
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Under EU law, external, biofuels are set to comprise 5% of the UK's transportation fuel from today.
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Since 2008, the UK has actually needed fuel suppliers to include a growing percentage of sustainable materials into the gas and diesel they provide. These biofuels are primarily ethanol distilled from corn and [biodiesel](https://www.crunchbase.com/organization/mission-newenergy) made from rapeseed, used cooking oil and tallow.
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Deep fried fuel
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But research carried out for Chatham House says that reaching the 5% level indicates that [UK motorists](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) will need to pay an extra ₤ 460m a year since of the greater expense of fuel at the pump and from filling more frequently as biofuels have a lower energy content.
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The report state that if the UK is to meet its responsibilities to EU energy targets the [expense](https://www.bloomberg.com/profile/company/MNELF:US) to motorists is likely to increase to ₤ 1.3 bn per annum by 2020.
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"It is hard to find any great news," Rob Bailey, senior research study fellow at Chatham House, informed BBC News.
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"Biofuels increase expenses and they are a very pricey method to lower carbon emissions," he stated.
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The EU [biofuel](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) requireds are also having hugely distorting results in the marketplace. Because used cooking oil is considered as one of the most sustainable types of [biodiesel](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048), the price for it has risen rapidly. Rob Bailey states that towards [completion](https://forest500.org/rankings/companies/mission-newenergy-limited) of 2012 it was more costly than refined palm oil.
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"It produces a financial incentive to purchase refined palm oil, prepare a chip in it to turn it into utilized cooking oil and after that sell it at profit,"
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"It is insane however the rewards exist."
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There are likewise frets that taking EU land out of production to grow rapeseed oil in particular is [producing](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) more climate issues than it solves. The more fuel of this type that is taken into cars the bigger the deficit created in the [edible oils](https://www.zoominfo.com/c/mission-newenergy/346542889) market. This had actually lead to increased imports of palm oil from Indonesia, frequently produced on deforested land.
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"Once you take into account these indirect results, biofuels made from vegetable oils actually result worldwide in more emissions than you would get from utilizing diesel in the very first place," said Rob Bailey.
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"Plus you are asking drivers to pay more for the fuel - it makes no sense, it is a completely illogical technique."
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[Biofuel](https://www.proactiveinvestors.co.uk/companies/news/159352/mission-newenergy-debt-free-focused-on-biofuel-joint-venture-60797.html) advantages
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The European [Biodiesel](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) Board (EBB), which represents the market, external across the EU, stated it knew the issues caused by the mandate. But it thinks that biofuels have lots of positives.
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"Blaming biofuels for all the problems worldwide is a bit too overstated," said Isabelle Maurizi, task manager at the EBB.
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"It has brought lots of advantages. It has enhanced the security of our diesel
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