Germany is increasing its use of vegetable oil for biofuel production
In Ukraine, UkrAgroConsult reported that the consumption of hydrotreated vegetable oil (HVO) as a biofuel in Germany has risen sharply following changes to greenhouse gas emission reduction requirements.
The main driver was an increase in the mandatory CO2 emission reduction quota from 10.6% to 12% from January. Germany also abolished double counting for certain waste-based biofuels and restricted the use of surplus emission reduction credits accumulated in previous years toward 2025–2026 obligations, according to the report.
At the same time, consumption of conventional biodiesel also remains high. In May, consumption was almost 39% higher than a year earlier. The combined share of biodiesel and HVO in diesel fuel increased to 9.3% from around 7.3% a year earlier, while in April it reached 11.3%.
According to Germany’s Union for the Promotion of Oil and Protein Plants (UFOP), HVO consumption could reach around 650,000 tons in 2026, while biodiesel use could total 2.05 million tons. Further growth in bio-component use, however, is constrained by existing technical requirements for diesel fuel, the report added.
Category: Fuels
