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EU adopts SAF targets law

  • Market: Biofuels, Hydrogen
  • 13/09/23

The European Parliament today formally adopted a regulation setting out targets for sustainable aviation fuel (SAF) use at EU airports.

The regulation says 70pc of jet fuel use at EU airports will have to be renewable or carbon neutral by 2050 from 1 January 2024, with certain provisions starting a year later.

Agreement with EU states was reached in April, but further procedural approval was held up by a number of countries, including France, that had wanted hydrogen produced from nuclear power to be considered a renewable fuels of non-biological origin (RFNBO).

Once formally approved by EU ministers, the EU law will establish an initial target for 2pc of aviation fuel being sustainable as of 2025. The share increases every five years — to 6pc in 2030, 20pc in 2035, 34pc in 2040, 42pc in 2045 and 70pc in 2050.

The law also requires synthetic aviation fuels, such as e-kerosene and RFNBOs such as renewable hydrogen, to constitute a 1.2pc share of consumption in 2030, 2pc in 2032, 5pc in 2035 and 35pc in 2050.

SAFs are legally defined as including synthetic fuels, non-crop based biofuels produced from agricultural or forestry residues, algae and bio-waste. Used cooking oil (Uco) and certain animal fats are also permitted. The EU will treat recycled jet fuels produced from waste gases and waste plastic as sustainable.

"We hope that by creating demand, we will create supply," said EU transport commissioner Adina-Ioana Valean. The chair of parliament's transport committee Karima Delli said the EU is setting a roadmap to decarbonise aviation by 2050 and exit dependence on kerosene. Delli said further legislation will come.

"We'll have to cut the number of flights, to ensure domestic air connections under four hours are replaced by trains, relaunch night trains," Delli said.


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28/02/25

Energy a priority for Uruguay’s new government

Energy a priority for Uruguay’s new government

Montevideo, 28 February (Argus) — Energy will play a central role as Uruguay's new president Yamandu Orsi begins his five-year term on 1 March. Orsi, of the left-wing Broad Front coalition, takes over one of South America's most economically and politically stable countries. The economy is forecast to expand by 3pc this year, above the regional average, and the government wants to attract investment to maintain growth. The energy sector is a priority. Uruguay already has one of the region's cleanest grids, with 99pc of power coming from renewable sources, and in February reached the goal of 100pc electrification nationwide, according to the state-run electric company, UTE. The Orsi administration is studying options for the second phase of the energy transition, which includes adding capacity to meet increasing demand from electrification of transportation and clean fuel production. New finance minister Gabriel Oddone said the administration would focus on reducing red tape and potentially provide incentives for investment in the energy sector. Uruguay currently has close to 5.3GW of installed capacity, with 78pc in renewable sources, for its population of 3.5mn. The UTE, which had a profit of $315mn in 2024, is adding 100MW in wind power in the next two years. The Orsi administration plans to prioritize solar capacity. The new government is keenly following the development of low-carbon hydrogen and e-fuel projects. The most advanced project is for production of 700,000 tonnes (t) of synthetic fuel by Chile's HIF Global and ALUR, the biofuel arm of the state-owned Ancap. Investment is estimated at $6bn, making it the largest planned single investment in the country's history. The company requested approval in January of environmental permits for the project's solar park that would include 1.84mn bifacial solar panels. It would produce a peak of 1,162MW. Construction would take 18 months from approval. The municipal council in Paysandu, in northwestern Uruguay where the project is planned, on 27 February approved a change in land use to facilitate plant construction. Ancap, which lost an estimated $130mn last year because its only refinery was closed for six months, has proposed offshore production of low-carbon hydrogen. The Orsi administration has not yet committed to the project. Reverse transition? The new government will also have to also have to decide on the future of seven offshore exploration blocks, with seismic testing planned for late this year, and the possible construction of a gas pipeline that would link Argentina and Brazil. A pipeline exists from Argentina to Uruguay, but it could be expanded and extended to supply southern Brazil. It would require an additional 415km (258mi) in Uruguay, and around 500km in Brazil's Rio Grande do Sul state. Orsi has taken a wait-and-see attitude toward exploration, while a gas pipeline would likely have more popular support because it could expand service from only a section of the coast to a wider region. By Lucien Chauvin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Low flood risk expected for upper Mississippi River


28/02/25
News
28/02/25

Low flood risk expected for upper Mississippi River

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Weak demand weighs on Singapore bio-bunker prices


28/02/25
News
28/02/25

Weak demand weighs on Singapore bio-bunker prices

Singapore, 28 February (Argus) — Bio-bunker prices at the port of Singapore edged down by 1pc on the month in February on the back of weak demand from shipowners and lower fuel oil values. The price of B24 — a blend of 24pc used cooking oil methyl ester (Ucome) and 76pc very low-sulphur fuel oil (VLSFO) — averaged $698.7/t on a delivered on board (dob) basis, down by almost $10/t compared with January. Spot demand in Singapore remained thin throughout February following the lunar new year celebrations, and shipowners continued to mostly purchase through term contracts. B24 dob Singapore prices averaged $703.8/t in January-February, compared with the 2024 average of $729.5/t. The slow trading activity in February was coupled with a 3pc month-on-month slump in very low sulphur fuel oil (VLSFO) cargo prices to an average of $549.1/t fob Singapore. The delivered premium for B24 versus VLSFO cargo prices was 5.7pc higher on the month at $149.6/t. Ucome prices in China bucked the trend, rising by 2.6pc on the month to average $1,084.7/t fob China in February. Ucome prices in China have been rising in recent days and ended the month at about $1,115/t. Singapore continues to be one of the most competitive ports for shipowners as regional sellers compete to offer bio-bunker prices below other ports, but it lost some ground against ports in China and the EU in February. B24 VLSFO blend prices in Guangzhou were $149.6/t above Singapore values on average in February, which was 3.6pc lower than the January premium, while ARA premiums over Singapore slipped by 16.7pc on the month to $99/t. By Mahua Chakravarty Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US seeks to dismiss suit about RFS delay


27/02/25
News
27/02/25

US seeks to dismiss suit about RFS delay

New York, 27 February (Argus) — The US has asked a court to dismiss a case over a missed deadline for updating the Renewable Fuel Standard (RFS), a move that could portend further delays in setting new biofuel blend mandates. Ethanol industry group Growth Energy and biomass-based diesel group Clean Fuels Alliance America sued late last year, asking the US District Court for the District of Columbia to compel the US Environmental Protection Agency (EPA) to set required renewable fuel volumes for 2026. Under the Clean Air Act, the government must set new RFS mandates at least 14 months in advance of a compliance year. Lawyers for EPA and the US Department of Justice in a court filing this week agreed that President Donald Trump's administration is behind the legal schedule for updating the program. But they said that the biofuel groups registered their discontent too early, submitting notices of intent to sue before EPA had missed the deadline, and that the case should be dismissed on those technical grounds. The Clean Air Act allows groups to sue the government 60 days after filing these notices, but the Trump administration is arguing that the law only authorizes suits after notice of an existing — not prospective — harm. "The anticipatory pre-violation letters plaintiffs sent here fail to provide notice of any actual violation," the filing argues. Growth Energy and Clean Fuels' respective notices to the government came in July last year, months before the agency missed its Clean Air Act deadline. But both notices pointed to a plan from President Joe Biden's administration to finalize new RFS volumes more than a year behind schedule in December 2025. The groups must now respond to the government's dismissal request, delaying the case's ultimate resolution. Biofuel groups have long been at loggerheads with EPA over its delays implementing the program, which requires oil refiners and importers to blend biofuels into the conventional fuel supply, but the government's new legal strategy differs from recent cases. In 2022, Growth Energy sued the administration of President Joe Biden first over its delays finalizing 2021-2022 volumes and then again later that year over late 2023 volumes. In both those cases, EPA published a proposed consent decree in the Federal Register within 30 days of the biofuel group's respective complaints to the court. In the first case, EPA finalized new blend mandates within four months of Growth Energy's filing, and in the second case, EPA finalized volumes within 14 months. The timing of notices of intent to sue does not appear to have come up in those cases, even though Growth told EPA in one notice it could sue over 2022 volumes a few weeks before the agency had missed the deadline. The Trump administration's apparent efforts to avoid negotiating an agreement in the new case suggests that final volumes for 2026 and beyond could take longer than market participants have expected, adding to deep uncertainty in the sector about future policy incentives. Multiple biorefineries have idled or shut down in the past year. Trump's efforts to cut much of the federal workforce and slash spending could also impact EPA's timeline for updating the RFS, a highly technical program that has historically proven vulnerable to legal challenges. The longtime director of EPA's fuel programs office left the government late last year. EPA did not immediately comment on its timeline for proposing or finalizing new RFS volumes. By Cole Martin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Upper Mississippi River ice thickens before March


27/02/25
News
27/02/25

Upper Mississippi River ice thickens before March

Houston, 27 February (Argus) — Ice measurements near the upper Mississippi River were thicker than the previous readings, the US Army Corps of Engineers (Corps) reported on 26 February. The Lake Pepin ice depth results traditionally help determine when the upper Mississippi River will reopen for spring transit. The second ice measurements taken this week revealed deeper ice than the week prior . The ice along mile 770 of the lake thickened by 1in to 20in which is also thicker than the same time last year. This measurement is 4in more than the five-year average for the period and slightly above average for overall ice thickness for this time of the year, according to the Corps. Nevertheless, ice did melt at the ends of the Lake because of warmer temperatures this week. If high temperatures and winds continue through the coming weeks, Lake Pepin's ice will begin to dissipate, said Corps civil engineering technician Alan Vanguilder. But should temperatures fail to increase by mid March, the reopening of the upper Mississippi could be delayed. By Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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