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Jul 16 2008

Biofuel policies in OECD countries costly and ineffective, says report

Biofuel Support Policies: An Economic Assessment
Government support of biofuel production in OECD countries is costly, says the report "Economic Assessment of Biofuel Support Policies".

The report, initiated by Sweden and the Netherlands, says that biofuel production has a limited impact on reducing greenhouse gases and improving energy security, and has a significant impact on world crop prices. The report says also biofuels are currently highly dependent on public funding to be viable.

The report calls on governments to refocus policies to encourage lower energy consumption, particularly in the transport sector.  It also calls for more open markets in biofuels and feedstocks in order to improve efficiency and lower costs.

> Read more on the website of the OECD
> Read the report

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