Morrisons announces closure of biofuels pumps
Wed 10 February 2010
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Supermarket group Morrisons, the UK's biggest supplier of retail biofuels, has announced the closure of its B30 (30% biodiesel, 70% standard diesel) pumps from April 1. The decision follows the removal of the 20p per litre duty differential from that date, announced in the last Pre-Budget Report. Morrisons is also said to be considering the removal of its E85 (85% ethanol, 15% standard petrol).
Morrisons says it will withdraw pumps at 144 filling stations that dispense B30. According to a report in The Times, the fuel is used by about 5,000 vehicles.
According to a separate report in The Guardian, users of PSA Peugot Citroën vehicles are likely to be the most affected as the manufacturer had sold more B30-compatible vehicles than other car makers. All the vehicles will still be able to run on standard diesel, however.
Meanwhile, the United States Government is reported to be planning a revamped strategy to ramp up the nation's use of biofuel. The new strategy seeks to put the US on track to produce 36 billion gallons of biofuels by 2022 -- the amount mandated by Congress in the 2007 energy bill.
The nation currently produces about 12 billion gallons, mostly from corn ethanol, and the federal government projects the country will not meet the 2022 goal.
The administration is reported to be considering the introduction of a "low-carbon fuel standard" that could penalize some forms of ethanol production for resulting in relatively high amounts of greenhouse gas emissions.
In a related development the Agriculture Secretary Tom Vilsack has urged Congress to reinstate the $1 a gallon biodiesel tax credit, calling it "an important credit" and "a support mechanism" for renewable fuels. The credit expired at the end of 2009.
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