The European Landscape for Biofuels in the Transport Sector

Introduction

Biofuels are experiencing strong growth across Europe. As a result the manufacturers and retailers of biodiesel and bioethanol, as well as other industry stakeholders, need to be aware of the varying penetration rates within member states. This brief assesses the fiscal, economic and market based factors that are encouraging the use of biofuels across six major European markets.

Scope

An analysis of the legislation surrounding biofuels, both at the European Union and national level, and how it has affected demand for the product. An assessment of the current production and availability of biofuels at service stations in six key European markets and how this is likely to change. Insight into the roles played by different stakeholders within the biofuels sector in each market including agriculture, fuel producers, fuel suppliers and automotive manufacturers. An understanding of what is driving consumer demand for biofuels, including the main tax rebates as well as other consumer-driven factors.

Highlights

Alongside support from the EU, Germany and Sweden have long been proponents of biofuels at a national level. In order to promote biofuels use, their respective governments offer an array of incentives, many of which are being adopted by other member states. Examples include reductions on fuel duty, free car parking and exemptions on road charges. France and Germany have the largest production capacity for biofuels in Europe, whilst biofuels consumption and the associated supply network is most significant in Germany and Sweden. Unlike Germany, Sweden produces a relatively small amount of biofuels at 123,000 tonnes per annum, making it heavily reliant on imports to satisfy demand. The high level of importance placed on environmental issues by European consumers is likely to be a key driver for biofuels over the next few years; a Datamonitor survey revealed that over half of consumers in all of the major European countries, apart from Italy, agreed that ``it is important to buy socially responsible products``.

Reasons to Purchase

Understand the key legislative drivers of the biofuel industry and assess their impact on production levels and motorist demand. Compare bioethanol and biodiesel capacity, production and consumption levels across six European markets and identify the key manufacturers. Uncover the size of the biofuels service station network in selected markets and identify the key retailers of bioethanol and biodiesel.