EU Investigates Integrity Issues in Biofuel Certification Process

Recently, the conversation around biofuels in Europe has heated up. Reports indicate that the EU is considering halting the recognition of ISCC certification for waste-based biofuels. The International Sustainability and Carbon Certification (ISCC) plays a crucial role in ensuring that biofuels entering the EU meet sustainability standards outlined in the renewable Energy Directive (RED) II.

The EU committee focused on Biofuel Sustainability recently met to address increasing instances of fraud within this sector. While details from these discussions remain under wraps, it seems they are leaning towards recommending a 2.5-year suspension of ISCC certifications for waste-derived biofuels to the European Commission. If approved by all 27 member states, individual countries could choose whether or not to accept these certificates.

A notable influx of imports from Southeast Asia has raised red flags regarding compliance with EU regulations. Critics point fingers at ISCC’s lax verification processes as a contributing factor; it’s currently one of the largest certifiers for feedstocks. Alarmingly, European fuel regulators estimate that around 1.8 million tons of fraudulent Palm Oil Mill Effluent (POME)—a byproduct used in biodiesel production—made its way into Europe this year alone.

“according to data released by the European commission last December, about one-third of used cooking oil (UCO) is likely counterfeit and may be sourced directly from virgin palm oil,” shared James Cogan, Director at ClonBio Group during an interview with S&P Global. this is concerning because using virgin palm oil disqualifies it from renewable energy incentives under RED II due to its links with deforestation issues abroad.

This proposal comes at a pivotal moment when Europe’s shipping industry is beginning its transition toward using ISCC-certified biofuels as part of their green initiatives.

The ISCC association expressed surprise over this proposed suspension while acknowledging ongoing discussions within the EU Biofuels Committee.

This move adds momentum