Government adopts measures to promote use of biofuels, thus ensuring compliance with climate change targets

Last Friday, the Spanish Cabinet passed a Royal Decree to promote the use of biofuels in transportation. The new legislation sets out a number of obligatory targets for the period 2016-2020.

This will ensure compliance with the climate change target of 20% market penetration of renewables by 2020, which must be achieved efficiently and with minimal cost to consumers.

Within this overall target for renewables, 10% of the energy used for transport – which accounts for half of all energy consumption – must come from a renewable source.

This Royal Decree sets out a roadmap of obligations with respect to the use of biofuels in transport, which will gradually increase until the figure of 8.5% is reached in 2020. The mandatory minimum annual targets for the sale or consumption of biofuels in the period 2016-2020 are as follows:

  • 2016:  4.3%
  • 2017: 5%
  • 2018: 6%
  • 2019: 7%
  • 2020: 8.5%