UFOP Supports GHG Quota Amendment for Biofuel Fraud Prevention Measures
The Union for the Promotion of Oil and Protein Plants (UFOP) has backed a draft bill aimed at enhancing fraud prevention in the greenhouse gas (GHG) reduction quota for biofuels, advocating for measures such as the abolition of double counting and mandatory inspections. The initiative, prompted by previous fraud cases in China and Malaysia, seeks to ensure that only verified biofuel quantities contribute to GHG obligations, while UFOP calls for similar regulations at the EU level.
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The Union for the Promotion of Oil and Protein Plants (UFOP) has endorsed measures in the draft bill aimed at tightening fraud prevention in the GHG reduction quota. Key provisions include the abolition of double counting and mandatory on-site inspections by authorities.
Without audit confirmation or if fraud is suspected during inspections, biofuel quantities cannot contribute to GHG obligations, rendering associated sustainability certificates ineffective. UFOP anticipates that these stricter measures will lead mineral oil companies to closely evaluate their supply sources.
This initiative follows issues with Chinese biofuel producers and recent fraud suspicions in Malaysia involving mislabeled palm oil waste. UFOP supports the discontinuation of crediting biofuels from palm oil residues due to high fraud risk. The organization urges the German government to pursue similar regulations at the EU level amid the implementation of RED III.
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