Policy & Compliance
The Renewable Transport Fuel Obligation statutory review response
The DFT has committed to looking at a range of fuel options via various consultations, including convening an expert working group to explore increasing ethanol blending in petrol beyond the current E10 (10%) limit in the UK
I n recent months BIFA has developed a collaboration with the Renewable Transport Fuel Association (RTFA), a trade body formed to promote the rapid decarbonisation of transport through substituting high carbon intensity fossil fuels with renewable and sustainable alternatives. The RTFA represents the interests of the UK’s renewable and low carbon fuel producers and promotes the uptake of better road, aviation and maritime fuels. The RTFA provides BIFA with industry information and recently provided an update on the Renewable Transport Fuel Obligation (RTFO), which has been subject to a statutory review by the Department for Transport (DfT). As with any policy, the RTFO must evolve to best meet the challenges of today. Therefore, through a recent call for evidence, the DFT has requested industry Since its introduction in 2008, the RTFO has been a pillar in the UK’s effort to decarbonise the vehicles driving on our roads and since the last major changes to the RTFO in 2018, the low carbon fuel sector has continued to develop. More recently, it has been complemented by the Zero Emission Vehicle Mandate and the Sustainable Aviation Fuel Mandate. Collectively, these schemes are accelerating progress towards net zero. While the accelerating shift to zero emission vehicles is evident on UK roads today, clean technologies for some segments of the freight perspectives on the future development of the scheme. Decarbonisation pillar
transportation sector will take longer to mature. For these heavier applications, low carbon fuels will remain an important interim measure for reducing transport emissions during this period. In particular, aviation and maritime are likely to continue to use combustion engines, making alternatives to fossil fuel essential in supporting pathways to net zero. An important part of UK government policy to reduce greenhouse gas emissions from road transport requires an increasing proportion of road fuels to come from renewable sources. The RTFO is largely met by blending renewables into the petrol and diesel fuel pools, with bioethanol being the main renewable blended into petrol, and biodiesel for diesel. The standards for petrol currently stipulate that ethanol must be higher than 5%, but not more than 10% in ‘E10’ grade fuel; and no higher than 5% in E5 ‘protection grade’ fuel (eg super unleaded) to provide protection for owners of older vehicles. In its statutory review response, the DFT has committed to looking at a range of things via various further consultations, including convening an expert working group to explore increasing ethanol blending in petrol beyond the current E10 (10%) limit in the UK. They will also consult on: • Proposals for the future target trajectory - this will include options for increased targets; • Support for development fuels;
• Broadening the RTFO to include fuels produced from nuclear energy; • Broadening the list of eligible non-road transports to include hydrogen fuel cell mobile generators. What’s in the policy? The policy development process will include: • A call for evidence, to be published later in 2025, on the eligibility of different types of crops in the Sustainable Aviation Fuel (SAF) Mandate. • As set out in the Maritime Decarbonisation Strategy, implementing International Maritime Organization regulations We understand there will also be working groups convened later this year to discuss the results of the call for evidence. BIFA will continue working with the RTFA to ensure Members are informed about the operational impacts of any future fuel obligations, and to highlight how the expansion of low carbon fuels can support Members in providing greener freight transport solutions for their customers. The full statutory review response published by the DFT can be viewed here: RTFO statutory review and the future of the scheme: summary of responses and policy update and, subject to consultation, introducing complementary domestic fuel regulations.
“ BIFA will continue working with the RTFA to ensure Members are operational impacts of any future fuel obligations informed about the
• How low carbon fuels are rewarded under the RTFO;
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