Energy: Biofuels Debate

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Department: Department for Transport
Wednesday 27th March 2013

(11 years, 1 month ago)

Lords Chamber
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Earl Attlee Portrait Earl Attlee
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My Lords, my noble friend asks an important question. The obligation system increases the price of fuel at the pump. It is, in effect, a hidden subsidy, and it works in a very similar way to the renewables obligation for electric power.

Lord Berkeley Portrait Lord Berkeley
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Is the noble Earl aware that the addition of biofuels to diesel does quite a lot of damage to engines which stand idle for a long time, such as those of boats and agricultural vehicles? Does he have a solution to this or is the answer to buy non-biofuel diesel for certain uses, such as those I have mentioned?

Earl Attlee Portrait Earl Attlee
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My Lords, the noble Lord and I discussed this during consideration of the renewable transport fuel obligation order in Grand Committee. I admitted that there are some handling problems in keeping biofuels in tanks for a long time, as the fuel needs to be circulated. I am confident that the appropriate publications, magazines and so on will alert users to the need to circulate the fuel, but the noble Lord makes an important point.