Update 'Climate Change: Growing Doubts Over Chip Fat Biofuel'

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<br>Climate modification: Growing doubts over chip fat [biofuel](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html)<br>
<br>21 April 2021<br>
<br>comments<br>
<br>354 Comments<br>
<br>New research questions the ecological impact of increasing imports of [utilized cooking](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) oil (UCO) into the UK and Europe.<br>
<br>Chip fat and other oils are thought about waste, so when they are used to make [biodiesel](https://www.pinterest.com.au/missionnewenergy/) it saves carbon emissions by [displacing fossil](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) oil.<br>
<br>But such is the demand across Europe that imports now account for over half of the UCO that's made into fuel.<br>
<br>According to the study, external, there's no chance to prove these imports are sustainable.<br>
<br>With no testing of what's being available in, professionals believe it is likewise ripe for scams.<br>
<br>Used cooking oil imports might increase logging<br>
<br>Consumers posture 'growing danger' to tropical forests<br>
<br>Reducing emissions from transportation is proving to be among the [toughest difficulties](https://www.businessnews.com.au/Company/Mission-NewEnergy) for governments all over the world.<br>
<br>They've encouraged the use of biofuels as a crucial means of suppressing carbon from automobiles and lorries.<br>
<br>Biofuels are [typically](https://pitchbook.com/profiles/company/51278-86) a mix of fossil fuel and oil made from plants or veggies.<br>
<br>The fact that these crops can be re-grown and soak up more CO2 implies they counteract the carbon discharged when used in engines.<br>
<br>Soy and palm oil were as soon as [commonly](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) used as components of [biodiesel](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) however this practice has been widely challenged due to the fact that it encourages logging.<br>
<br>So for the last decade or two, making use of used cooking oil has broadened massively as an alternative feedstock for fuel.<br>
<br>Chip fat and other waste oils have actually become an essential element of [biodiesel](https://www.google.com/search?kgmid=/m/0cqd_rb) with an [efficient industry](https://www.abnnewswire.net/companies/en/31347/%E0%B8%9A%E0%B8%A3%E0%B8%B4%E0%B8%A9%E0%B8%B1%E0%B8%97-Mission-NewEnergy-%E0%B8%88%E0%B8%B3%E0%B8%81%E0%B8%B1%E0%B8%94.html/4) springing up throughout Europe to collect and process the product.<br>
<br>But with the quantity of [biodiesel](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) made from UCO increasing by around 40% every year because 2014, there merely isn't sufficient chip fat to walk around.<br>
<br>According to a report from the project group Transport & Environment, external, over half of the UCO utilized in Europe is imported.<br>
<br>Their [study suggests](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) this is extremely bothersome when it pertains to [influence](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) on the environment.<br>
<br>While UCO is thought about a waste material in the UK, in China, Indonesia and Malaysia it has actually long been used to feed animals. The report raises the question of what people in these countries are [replacing](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) the UCO with, when it is exported.<br>
<br>In 2019, [Malaysia exported](https://www.intelligentinvestor.com.au/shares/asx-mbt/mission-newenergy-limited/share-price) 90 million litres of UCO to the UK and Ireland. [Figures](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) for their [exports](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) to other [European nations](https://forest500.org/rankings/companies/mission-newenergy-limited) aren't readily available however the flow of UCO is most likely to be similar.<br>
<br>With a of around 33 million, that's close to three litres per head of utilized oil that's collected and exported to the UK and Ireland alone.<br>
<br>By comparison, Thailand, which has a population of 70 million people, handled to collect around five million litres of UCO in 2019.<br>
<br>"Because we are purchasing it, they have actually less utilized cooking oil to use on the important things that they were previously utilizing it for," said Greg Archer with Transport & Environment.<br>
<br>"And they're simply purchasing more virgin oil which virgin oil is mostly palm oil, since that's the most affordable oil available.<br>
<br>"So indirectly, we're just motivating more logging in Southeast Asia."<br>
<br>Another significant problem with UCO is the suspicion of fraud.<br>
<br>Because of need from Europe, the price of UCO is frequently higher than palm oil. The worry is that some deceitful traders are just diluting deliveries of UCO with palm.<br>
<br>As oils of different types are mixed in bulk for transport, and no screening of the products is performed, some experts think scams is rife.<br>
<br>The recommendation of scams anywhere along the chain of supply is rejected by the European Waste-to-Advanced Biofuels Association (EWABA), who state there are robust accreditation schemes in location.<br>
<br>"It is widely known that the European Commission has taken pertinent steps to totally curb unsound market practices in [biofuel](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) markets," stated Angel Alberdi, EWABA's secretary general.<br>
<br>He states a new database being developed by the EU will ensure that trading, accreditation and sustainability data on all bio-liquids will have to be registered.<br>
<br>"The mix of revised certification schemes and the pan-EU track and trace database will ensure that no sustainability issues develop in the entire [biofuels](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) and [bio-liquids supply](https://www.zoominfo.com/c/mission-newenergy/346542889) chain," he informed BBC News.<br>
<br>Others in the field are worried that the database idea, which was first mooted in 2018, may not be efficient in stemming suspected scams.<br>
<br>The report from Transport & Environment explains that with shipping and aviation looking to decarbonise by utilizing biofuels, need for UCO could double over the next years.<br>
<br>"Rising the demand beyond sustainable supply levels would increase these issues, and dangers of using 'phony' UCO, potentially causing indirect impacts such as logging."<br>
<br>Follow Matt on Twitter @mattmcgrathbbc, external.<br>
<br>Related topics<br>
<br>COP26<br>
<br>Paris climate arrangement<br>
<br>Climate<br>
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