Environmental Group Opposes Automakers’ Push for Biofuel Exemptions
The European Commission should reject calls from automakers to allow cars to run on biofuels after 2035, environmental campaign group Transport & Environment (T&E) said on Thursday. The group argued that biofuels are scarce, often imported, and far from carbon-neutral, making them unsuitable for the EU’s long-term climate goals.
Under current European Union regulations, all new cars sold from 2035 must produce zero carbon dioxide emissions, effectively ending the sale of vehicles powered by fossil fuels and traditional internal combustion engines. However, automakers are pressing the European Commission to grant exceptions for carbon-neutral fuels, including certain biofuels and e-fuels, to keep hybrid and combustion-based technologies alive.
The Commission is expected to unveil new measures supporting the auto sector on 10 December, which could address the issue.
Biofuels’ Supply and Sustainability Concerns
In its latest report, T&E highlighted the limitations of biofuel production within the EU. It pointed to a 2018 legislative shift that restricted the use of crop-based fuels such as palm oil and soy, which have been linked to deforestation, in favour of waste-based sources like used cooking oil and animal fat. These now make up about half of all bio-based diesel used in the bloc.
However, T&E warned that Europe remains heavily dependent on imports, with 60% of all biofuels and 80% of used cooking oil sourced from outside the EU, mainly from Asia. The report cited increasing fraud cases, including instances of palm oil falsely labelled as waste oil.
The group also found that biofuels made from food crops only cut emissions by around 60% compared with fossil fuels once cultivation, processing, and transport emissions are included.
Limited Supply for Other Sectors
According to T&E, more sustainable advanced fuels made from municipal waste or sewage sludge remain limited in supply and are already prioritised for aviation and shipping, sectors where electrification is more challenging. If road transport were included, EU demand could exceed the sustainable supply by two to nine times by 2050.
The report warned that including biofuels in post-2035 road transport could actually raise CO₂ emissions by up to 23% by mid-century.
T&E concluded that biofuels should play no role in the EU’s post-2035 car strategy. If they are allowed at all, the group said their share should be capped at 5% of vehicles powered by genuinely carbon-neutral e-fuels.
with inputs from Reuters

