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<br>Climate modification: Growing doubts over chip fat [biofuel](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html)<br>
<br>21 April 2021<br>
<br>comments<br>
<br>354 Comments<br>
<br>New research study concerns the environmental effect of increasing 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 utilized to make [biodiesel](https://www.crunchbase.com/organization/mission-newenergy) it saves carbon [emissions](https://www.bloomberg.com/profile/company/MNELF:US) by displacing fossil oil.<br>
<br>But such is the need across Europe that imports now account for more than half of the UCO that's made into fuel.<br>
<br>According to the study, external, there's no other way to show these imports are sustainable.<br>
<br>Without any testing of what's can be found in, professionals think it is also ripe for fraud.<br>
<br>Used cooking oil imports might boost deforestation<br>
<br>Consumers pose 'growing [threat'](https://www.intelligentinvestor.com.au/shares/asx-mbt/mission-newenergy-limited/share-price) to tropical forests<br>
<br>Reducing emissions from transportation is proving to be among the toughest difficulties for governments all over the world.<br>
<br>They have actually encouraged the use of biofuels as a crucial ways of curbing carbon from cars and trucks and lorries.<br>
<br>Biofuels are usually a blend of fossil fuel and oil made from plants or vegetables.<br>
<br>The truth that these crops can be re-grown and take in more CO2 implies they counteract the carbon discharged when used in engines.<br>
<br>Soy and palm oil were as soon as commonly used as components of [biodiesel](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) but this practice has actually been widely challenged due to the fact that it encourages deforestation.<br>
<br>So for the last years or two, the use of used cooking oil has expanded massively as an alternative feedstock for fuel.<br>
<br>Chip fat and other waste oils have actually become a crucial part of [biodiesel](https://biodieselmagazine.com/articles/felda-global-buys-missions-kuantan-port-plant-for-11-5-million-9053) with an effective market springing up throughout Europe to gather and process the item.<br>
<br>But with the quantity of [biodiesel](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) made from UCO increasing by around 40% every year considering that 2014, there just isn't enough chip fat to go around.<br>
<br>According to a report from the [campaign](https://www.google.com/search?kgmid=/m/0cqd_rb) group [Transport](https://stocktwits.com/symbol/MNEL) & Environment, external, over half of the UCO utilized in Europe is imported.<br>
<br>Their study recommends this is extremely problematic when it [pertains](https://www.zonebourse.com/cours/action/MISSION-NEWENERGY-LIMITED-8557641/) to effect on the [environment](https://www.crunchbase.com/organization/mission-newenergy).<br>
<br>While UCO is considered a waste product in the UK, in China, Indonesia and Malaysia it has long been used to feed animals. The the question of what people in these [countries](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) are [changing](https://pitchbook.com/profiles/company/51278-86) 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 offered however the flow of UCO is most likely to be similar.<br>
<br>With a [population](https://forest500.org/rankings/companies/mission-newenergy-limited) of around 33 million, that's close to three litres per head of utilized oil that's collected and exported to the UK and Ireland alone.<br>
<br>By comparison, Thailand, which has a [population](https://www.google.com/search?kgmid=/m/0cqd_rb) of 70 million people, handled to [collect](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) around five million litres of UCO in 2019.<br>
<br>"Because we are purchasing it, they have less utilized cooking oil to use on the important things that they were previously using it for," stated Greg Archer with Transport & [Environment](https://www.crunchbase.com/organization/mission-newenergy).<br>
<br>"And they're simply buying more virgin oil and that virgin oil is mostly palm oil, because that's the cheapest oil available.<br>
<br>"So indirectly, we're simply motivating more logging in [Southeast Asia](https://www.zoominfo.com/c/mission-newenergy/346542889)."<br>
<br>Another major problem with UCO is the suspicion of fraud.<br>
<br>Because of demand from Europe, the rate of UCO is frequently higher than palm oil. The concern is that some dishonest traders are simply diluting shipments of UCO with palm.<br>
<br>As oils of different types are mixed in bulk for transportation, and no testing of the materials is performed, some specialists believe scams is swarming.<br>
<br>The suggestion of fraud anywhere along the chain of supply is turned down by the European Waste-to-Advanced Biofuels Association (EWABA), who say there are robust certification plans in place.<br>
<br>"It is commonly known that the European Commission has actually taken appropriate steps to entirely suppress unsound market practices in [biofuel](https://www.intelligentinvestor.com.au/shares/asx-mbt/mission-newenergy-limited/share-price) markets," stated Angel Alberdi, EWABA's secretary general.<br>
<br>He says a brand-new database being developed by the EU will guarantee that trading, certification and sustainability information on all bio-liquids will need to be registered.<br>
<br>"The combination of revised certification plans and the pan-EU track and [trace database](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) will guarantee that no sustainability problems develop in the entire biofuels and bio-liquids supply chain," he told BBC News.<br>
<br>Others in the field are concerned that the database concept, which was very first mooted in 2018, might not be effective in stemming presumed fraud.<br>
<br>The report from Transport & Environment explains that with shipping and aviation looking to decarbonise by using biofuels, need for UCO might double over the next decade.<br>
<br>"Rising the need beyond sustainable supply levels would increase these concerns, and threats of utilizing 'fake' UCO, potentially leading to [indirect effects](https://forest500.org/rankings/companies/mission-newenergy-limited) such as deforestation."<br>
<br>Follow Matt on Twitter @mattmcgrathbbc, external.<br>
<br>Related topics<br>
<br>COP26<br>
<br>Paris climate agreement<br>
<br>Climate<br>