Fuelling nature

How e-fuels can mitigate biodiversity risk in EU aviation and maritime policy

This report, commissioned by Opportunity Green on behalf of the Skies and Seas Hydrogen-fuels Accelerator Coalition (SASHA), explores the biodiversity risks associated with the EU’s efforts to decarbonise aviation and maritime transport. The ReFuelEU Aviation and FuelEU Maritime regulations aim to engender a rapid transition away from fossil fuels and towards alternative fuels; but this raises concerns for nature protection, potentially undermining the EU’s biodiversity commitments under the Biodiversity Strategy for 2030 and the Nature Restoration Regulation. Cerulogy’s report assesses how different fuel pathways – biofuels from crops, residues and waste oils, and synthetic e-fuels – compare in terms of pressure on land, habitats, species, and ecosystems.

Cerulogy modelled alternative fuel demand in the aviation and maritime segments to 2050. We considered four scenarios representing different dominant fuel production technologies: cellulosic residues, cellulosic crops, lipids, and electrofuels. For each scenario, we estimated feedstock and land requirements, and developed a biodiversity risk framework to evaluate land-use change, habitat degradation, species loss, pollution, and agrochemical use. To assess policy coherence, we examined trade-offs and synergies between the EU’s transport decarbonisation goals and its nature and biodiversity policy framework.

Our findings show that, while all fuel pathways carry some environmental risk, electrofuels may represent the lowest overall risk to biodiversity, largely due to their minimal land footprint and reduced pressure on ecosystems, species, and habitats. Even biofuels derived from residues and wastes may have implications for nature when scaled to meet growing fuel demand. The EU’s current approach risks locking in high-impact fuel systems unless it also addresses total energy use in aviation and shipping. Until policymakers are ready to confront demand growth in these hard-to-decarbonise sectors, support for options like electrofuels may be the clearest path for the EU to aligning its climate and biodiversity goals.

Biofuels and food markets

A period of food price inflation starting in 2020, exacerbated by the invasion of Ukraine, brought the ‘food versus fuel’ issue back into the political spotlight in recent years. This review paper for Oxfam discusses the evidence relating to the impact of biofuel mandates on food prices, updating our previous review on the subject, which is available here. It concludes that it is clear that biofuel policies have increased the prices of food commodities globally, and that these price increases have had a net negative impact on the global poor even though some net food producing farmers will have benefitted.

 

Vertical Take-off? Cost Implications and Industrial Development Scenarios for the UK SAF Mandate

In this paper for the International Council on Clean Transportation we consider the industrial development implications of the targets for alternative aviation fuel supply that are being introduced throught he UK’s SAF Mandate.

 

4th meeting of the EU expert group on carbon removals

Cerulogy is working for the European Commission on certification methodologies permanent carbon removals under the EU carbon removal certification framework (CRCF). Dr Malins chaired sessions focused on the certification of DACCS, BECCS and biochar carbon removal on the third day of the 4th meeting of the European Commission’s Expert Group.

 

ICCT Global Automaker Rating for 2023

The second Global Automaker Rating report, published by the International Council on Clean Transportation (ICCT), assesses how global car manufacturers are placed in their adoption of electric vehicles. The report covers technology, market, and corporate governance dimensions. Having supported the first Global Automaker Rating in 2023, Cerulogy were glad to contribute once again by reviewing the methodology, data collection, and data analysis.

Stakeholder workshop on the Innovation Fund

On the 11th June the European Commission DG Climate Action held the 2024 stakeholder workshop on the Innovation Fund. Cerulogy’s Chris Malins hosted the session on the Energy Intensive Industries.

 

 

‘Low ILUC-Risk’ as a Sustainability Standard for Biofuels in the EU

Indirect land use change (ILUC) can add significantly to biofuels’ carbon footprint, and the EU has implemented measures to limit ILUC arising from its energy policy. The paper argues that ‘low ILUC-risk’ certification could be positioned as a gold standard of biofuel sustainability, as it minimises biofuels’ impacts on food markets and on ILUC, and offers possible co-benefits through the adoption of more sustainable farming practices.

In the paper we develop policy-focussed recommendations for the low ILUC-risk framework — these are intended to boost its attractiveness and applicability to feedstock producers around the EU and beyond, and strengthen its environmental safeguards.

For instance, we discuss how the crediting methodology could manage seasonal variability in on-farm yields; the connection between low ILUC-risk and the EU Renewable Energy Directive’s ‘Annex IX’; provisions to facilitate the certification process; and more…

 

Low ILUC pilots and guidance

The final deliverables from Cerulogy’s work with Guidehouse on low ILUC-risk biofuels for the European Commission has now been published. The published documents include reports from five low ILUC-risk pilot audits, certification guidance and a discursive report.

 

Hydrogen Delivered Lifecycle Analysis Tool

Cerulogy worked with the Clean Air Task Force to develop an online tool to allow users to explore the lifecycle emissions of conventional and renewable hydrogen production. It allows users to review the full lifecycle emissions of hydrogen while changing a number of assumptions, including the methane leakage rate for natural gas supply, the electricity source for electrolysis processes, and the modelled global warming potential of methane and of hydrogen itself.

 

Review paper on permanent carbon removals

Cerulogy is working for the European Commission Directorate General for Climate Action in partnership with ICF and Fraunhofer ISI on the development of EU certification methodologies for permanent carbon removals. The first document published from this ongoing project is a review of existing certification methodologies for carbon dioxide reductions and removals and of relevant EU legislation. You can download the report from the website of the EU Expert Group on Carbon Removals.

The review paper was discussed at a meeting of the Expert Group on Carbon Removals in October 2023. Below is a link to the recording of the first day of the meeting, where Dr Malins presented the review paper and chaired discussions on carbon removals with DACCS and BECCS.