Amending the Renewable Transport Fuels Obligation (RTFO) to increase carbon savings on land, air and at sea
Read the full outcome
Detail of outcome
Two-part consultation response outcome.
The targeting net zero response, originally released on 14 July 2021, outlines how new government policies are expected to deliver additional greenhouse gas (GHG) emissions savings by:
- increasing the main Renewable Transport Fuels Obligation (RTFO) target to supply renewable fuels from 9.6% to 14.6% by 2032
- supporting recycled carbon fuels
- expanding RTFO support to new transport modes, such as renewable hydrogen in maritime, rail and non-road transport
- implementing updated sustainability criteria
The second part, the renewable fuels of non-biological origins response, released on 19 July 2022:
- allows fuel producers to use power purchase agreements to receive renewable energy across the grid and qualify for RTFO support on the affected fuels
- shows our intent to balance the benefits and risk of bio hydrogen produced from methane by reclassifying its eligibility
Original consultation
Consultation description
Proposes options to amend the RTFO in order to increase the carbon savings made. Savings would be made by:
- increasing the RTFO main obligation to supply renewable fuel by 2.5%
- expanding the RTFO to:
- reward recycled carbon fuels (RCFs) – RCFs are fuels produced from fossil wastes that cannot be avoided, reused or recycled
- be more flexible in rewarding renewable fuels of non-biological origin (RFNBO)
- updating the sustainability criteria applicable to renewable fuels
The consultation also revises the role RTFO will have in maritime shipping by:
- supporting fuels with the highest potential to deliver greenhouse gas savings in maritime industry
- requiring that eligible maritime fuels be derived from renewable energy
Documents
Updates to this page
Published 25 March 2021Last updated 19 July 2022 + show all updates
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Release of renewable fuels of non-biological origins response.
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The government response and cost-benefit analysis for next steps for the RTFO has been published.
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Response form added.
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First published.