Renewable Energy and the RTFO
Given the price of oil these days and a general sense of malaise regarding pollution, renewable energy is obviously a hot topic.
In 2005, the UK committed to the Renewable Transport Fuel Obligation (RTFO) which is a requirement on transport fuel suppliers to ensure that, by 2010, 5% of all road vehicle fuel is supplied is from sustainable renewable sources.
While the RTFO won’t come into force until April 2008, companies and governments have already started to take steps on committing to this obligation. However, there still seems to be a lack of urgency. Even though Oil reserves will supposedly be depleted within a generation or two, many governments are still pretty laid back. I can just hear them say: “We’ll find more. Let’s not rock the boat. Oh thank you Mr Oil Lobby for that subsidy…”
And who’s leading the charge for biologically derived renewable fuel ? According to Ernst & Young, the good ol’ US of A.
In practice, the RTFO would be achieved by mixing bioethanol, biomethanol, biodiesel and biogas with traditional fossil fuels. So, in the future, vehicles would run on a blend of these biofuels.
With all the turmoil in the Middle East, it would make sense that a country diversify beyond oil and fossil fuels into cleaner biofuels.
