International Momentum for Biofuels Continues
Top Oil Exporter to US Votes for Renewable Biofuels
Washington, DC – In the face of the well-funded campaign against biofuels worldwide, one of the world’s major oil producers has made a strong commitment to the production and use of biofuels. Canada, the top oil exporter to the United States, has enacted a biofuels standard requiring 5% of its gasoline to contain renewable biofuels by 2010.
“Given the manufactured hysteria about biofuels being propagated today, the action taken by Canada is a resounding affirmation of the vital importance of biofuels to the world’s energy future,” said Renewable Fuels Association president Bob Dinneen. “For the largest exporter of oil to the US to strongly endorse the use of biofuels speaks volumes about the role biofuels must play in meeting growing world demand for liquid fuels.”
The role of biofuels in the world oil market is far too critical to be dismissed out of hand as biofuel opponents often do. According to the International Energy Agency (IEA), biofuels are reducing world oil demand by 1 million barrels per day. In the US, the Energy Information Administration states that ethanol is helping to reduce daily oil consumption by 440,000 barrels, representing a savings to the economy of more than $220 billion dollars annually.
A London-based analyst for Merrill Lynch has noted that biofuels are keeping world oil prices 15% lower than they would otherwise be and shaving $0.50 off the price of a gallon of gas.
“This move by Canada is more than symbolic,” Dinneen noted. “It is another step toward making North America less reliant on unstable and very costly sources of oil.”
More information can be found by visiting the Canadian Renewable Fuels Association at greenfuels.org.