The Role and Relevance of Private Actors in EU Biofuel Governance

• Published date: 01 November 2013
• Date: 01 November 2013
• DOI: http://doi.org/10.1111/reel.12048
• Author: Seita Romppanen

The Role and Relevance of Private Actors in EU

Biofuel Governance

Seita Romppanen

This article examines the role of private actors in

the implementation of the sustainability criteria for

biofuels outlined in the Renewable Energy Directive of

the European Union (EU). The article demonstrates

that private verifiers’ participation is essential for gov-

erning greener biofuels in the EU. The article’s objec-

tive is twofold. First, it analyzes the two methods

for the verification of compliance with the biofuels

sustainability criteria, focusing on the role of private

verifiers. This analysis sheds light on an interface

of public and private action that is also an oppor-

tune platform for exploring theoretical concepts.

Therefore, second, the article examines the relevance

of private verifiers’ participation in the implementa-

tion framework for sustainable biofuels. Drawing on

the concepts of European ‘new governance’ and ‘co-

regulation’, the article shows that involving the private

sector in the implementation of a legally binding

EU Directive adds certain dynamics and constitutes

modern regulatory innovation, but at the same time it

makes the implementation framework more complex.

INTRODUCTION

Governing the European transition toward a low-

carbon economy by 2050 has urged policy makers to

develop new regulatory approaches for integrating

actions to mitigate climate change and to produce

secure but sustainable energy. The European Union

(EU) sustainability scheme for biofuels, established by

the Renewable Energy Directive (RED),1is a practical

example of such an alternative regulatory approach.

The primary objective of the RED is to increase the

overall share of renewable energy to 20% of the EU’s

gross final consumption of energy by 2020. In addition,

the RED sets a fixed objective to increase the use of

renewable energy in transport to 10% for the same

target year.2The strategic targets for 2050 are more

ambitious, ranging from 55–100%.3Although these

targets may sound unfeasible, striving for ambitious

policy goals is a prerequisite for achieving the ultimate

objective of drastically reducing the EU’s greenhouse

gas emissions. Transport biofuels4play a central role in

the attainment of the objectives, and for establishing a

stable renewable energy policy sector in the EU.

Biofuels have been a touchy topic both for the EU’s

climate, energy and environmental policies and for

the European biofuel industry.5Although it has been

proclaimed the ‘most comprehensive and advanced

binding sustainability scheme of its kind anywhere

in the world’,6the current regulatory framework for

biofuels is failing to facilitate the attainment of the

objective of reducing greenhouse gas emissions, and the

scheme is to be revised.7In addition to their technical

challenges – for instance, related to calculating the life

cycle impact of a particular batch of biofuels – biofuels

represent a genuine challenge for sustainable develop-

ment. The questions in the background include the

tricky balancing of the EU’s compelling climate policy

goals, the creation of appropriate incentives for

the crucial involvement of private actors, and regulat-

ing the multiple environmental and social impacts.

The Directive gives private actors centre stage in the

implementation of the legally binding sustainability

1Directive 2009/28/EC of 23 April 2009 on the Promotion of the Use

of Energy from Renewable Sources and Amending and Subsequently

Repealing Directives 2001/77/EC and 2003/30/EC, [2009] OJ L140/

16.

2Ibid., Article 3.

3Communication from the Commission to the European Parliament,

the Council, the European Economic and Social Committee and the

Committee of the Regions, Energy Roadmap 2050, COM(2011) 885,

at 7; Communication from the Commission to the European Parlia-

ment, the Council, the European Economic and Social Committee

and the Committee of the Regions, Roadmap for Moving to a Com-

petitive Low Carbon Economy in 2050, COM(2011) 112, at 6.

4The term ‘biofuel’ refers to liquid or gaseous fuel manufactured from

biomass for transport. ‘Biomass’ is the biodegradable fraction of

products, waste and residues of biological origin from agriculture,

forestry and related industries.

5EurActiv, ‘Ministers Block EU Proposal to Limit Some Biofuels’,

EurActiv (25 March 2013), found at: <http://www.euractiv.com/climate-

environment/ministers-block-eu-proposal-limi-news-518698>.

6Communication from the Commission on Voluntary Schemes and

Default Values in the EU Biofuels and Bioliquids Sustainability

Scheme, [2010] OJ C160/1 (‘Communication on Voluntary

Schemes’), at 1. See also S. Afionis and L. Stringer, ‘European Union

Leadership in Biofuels Regulation: Europe as a Normative Power?’,

32 Journal of Cleaner Production (2012), 114, at 115.

7Proposal for a Directive of the European Parliament and of the

Council Amending Directive 98/70/EC Relating to the Quality of Petrol

and Diesel Fuels and Amending Directive 2009/28/EC on the Promo-

tion of the Use of Energy from Renewable Sources, COM(2012) 595,

at 2.

bs_bs_banner

Review of European Community & International Environmental Law

RECIEL 22 (3) 2013. ISSN 2050-0386

© 2013 John Wiley & Sons Ltd, 9600 Garsington Road, Oxford OX4 2DQ, UK and 350 Main Street, Malden, MA 02148, USA.

340