Companies 'will be punished' if biofuel analysis shows under-delivery

Companies have been warned that, if biofuel analysis shows they have not delivered their due quantity under the Renewable Transport Fuel Obligations, they will be punished.

The Renewable Fuels Agency has issued the warning, saying that firms which do not meet their obligations under the legislation may derive an unfair competitive advantage over their counterparts.

In order to prevent this, those who fall below the target in biofuel analysis of their annual delivery can expect a punitive response from the organisation.

David Calderbank, head of regulation at the agency, says: "We will always come down hard on those who fail to meet their obligation, as this is at the heart of the Renewable Transport Fuel Obligations as a carbon-reduction measure."

The agency adds that its reporting of the carbon footprint associated with transport fuels - and of biofuels in particular - addresses the production chain of the energy sources in its entirety to produce full "lifecycle analysis".