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Add Climate Change: Growing Doubts Over Chip Fat Biofuel

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<br>[Climate](https://www.zoominfo.com/c/mission-newenergy/346542889) change: Growing doubts over chip fat [biofuel](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048)<br>
<br>21 April 2021<br>
<br>comments<br>
<br>354 Comments<br>
<br>New research study concerns the [environmental](https://www.businessnews.com.au/Company/Mission-NewEnergy) impact of rising imports of used cooking oil (UCO) into the UK and Europe.<br>
<br>Chip fat and other oils are considered waste, so when they are used to make [biodiesel](https://www.zoominfo.com/c/mission-newenergy/346542889) it saves carbon emissions by displacing fossil oil.<br>
<br>But such is the need across Europe that imports now [represent majority](https://pitchbook.com/profiles/company/51278-86) of the UCO that's made into fuel.<br>
<br>According to the research study, external, there's no chance to prove these imports are sustainable.<br>
<br>With no testing of what's being available in, experts think it is likewise ripe for fraud.<br>
<br>Used cooking oil imports may enhance deforestation<br>
<br>Consumers posture ['growing](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) threat' to tropical forests<br>
<br>Reducing emissions from is showing to be one of the most difficult challenges for federal governments all over the world.<br>
<br>They've motivated making use of [biofuels](https://www.zonebourse.com/cours/action/MISSION-NEWENERGY-LIMITED-8557641/) as an important means of curbing carbon from cars and trucks and trucks.<br>
<br>[Biofuels](https://www.pinterest.com.au/missionnewenergy/) are normally a mix of [nonrenewable fuel](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm) source and oil made from plants or vegetables.<br>
<br>The truth that these crops can be re-grown and soak up more CO2 means they cancel out the carbon emitted when used in engines.<br>
<br>Soy and palm oil were when widely utilized as elements of [biodiesel](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) however this practice has actually been commonly discredited since it motivates deforestation.<br>
<br>So for the last years or so, using utilized cooking oil has [broadened massively](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) as an alternative feedstock for fuel.<br>
<br>Chip fat and other [waste oils](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) have ended up being a key component of [biodiesel](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) with an effective market emerging across Europe to gather and process the item.<br>
<br>But with the quantity of [biodiesel](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) made from UCO increasing by around 40% every year since 2014, there simply isn't enough [chip fat](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) to go around.<br>
<br>According to a report from the campaign group Transport & Environment, external, majority of the UCO utilized in Europe is imported.<br>
<br>Their research [study suggests](https://www.pinterest.com.au/missionnewenergy/) this is highly troublesome when it concerns influence on the environment.<br>
<br>While UCO is considered a waste material in the UK, in China, Indonesia and Malaysia it has actually long been utilized to feed animals. The report raises the concern of what people in these countries are changing the UCO with, when it is exported.<br>
<br>In 2019, Malaysia exported 90 million litres of UCO to the UK and Ireland. Figures for their exports to other European countries aren't available but the flow of UCO is likely to be [comparable](https://forest500.org/rankings/companies/mission-newenergy-limited).<br>
<br>With a population of around 33 million, that's close to three litres per head of utilized oil that's gathered and exported to the UK and [Ireland](https://www.google.com/search?kgmid=/m/0cqd_rb) alone.<br>
<br>By comparison, Thailand, which has a population of 70 million individuals, [handled](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) to gather around five million litres of UCO in 2019.<br>
<br>"Because we are buying it, they have less utilized cooking oil to utilize on the things that they were formerly utilizing it for," stated Greg Archer with Transport & Environment.<br>
<br>"And they're just purchasing more virgin oil and that virgin oil is mostly palm oil, because that's the most inexpensive oil offered.<br>
<br>"So indirectly, we're just encouraging more deforestation in Southeast Asia."<br>
<br>Another significant problem with UCO is the suspicion of fraud.<br>
<br>Because of need from Europe, the rate of UCO is frequently greater than palm oil. The worry is that some unethical traders are merely watering down deliveries of UCO with palm.<br>
<br>As oils of various types are mixed in bulk for transportation, and no testing of the products is performed, some professionals think fraud is swarming.<br>
<br>The suggestion of fraud anywhere along the chain of supply is declined by the European Waste-to-Advanced Biofuels Association (EWABA), who say there are robust accreditation schemes in place.<br>
<br>"It is commonly understood that the European Commission has taken relevant actions to completely curb unsound market practices in [biofuel](https://www.abnnewswire.net/companies/en/31347/%E0%B8%9A%E0%B8%A3%E0%B8%B4%E0%B8%A9%E0%B8%B1%E0%B8%97-Mission-NewEnergy-%E0%B8%88%E0%B8%B3%E0%B8%81%E0%B8%B1%E0%B8%94.html/4) markets," said Angel Alberdi, EWABA's secretary general.<br>
<br>He says a new database being established by the EU will ensure that trading, accreditation and sustainability data on all bio-liquids will need to be signed up.<br>
<br>"The mix of modified accreditation schemes and the [pan-EU track](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) and trace database will guarantee that no sustainability issues occur in the entire biofuels and bio-liquids supply chain," he informed BBC News.<br>
<br>Others in the field are worried that the database concept, which was very first mooted in 2018, may not be reliable in stemming thought fraud.<br>
<br>The report from Transport & Environment mentions that with shipping and air travel looking to decarbonise by using biofuels, need for UCO might double over the next years.<br>
<br>"Rising the demand beyond sustainable supply levels would increase these issues, and risks of utilizing 'phony' UCO, possibly leading to indirect effects such as logging."<br>
<br>Follow Matt on Twitter @mattmcgrathbbc, external.<br>
<br>Related subjects<br>
<br>COP26<br>
<br>Paris environment agreement<br>
<br>Climate<br>