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U.N. aviation agency recommends weaker rules for biofuels: sources

From Reuters - November 10, 2017

MONTREAL (Reuters) - The United Nations aviation agency on Friday recommended scaling back criteria for biofuels used on international flights as part of a compromise with developing countries who felt the rules would be too stringent, two sources familiar with the discussions said.

Aviation biofuels, now produced in small volumes from renewable sources, are expected to play an important role in a landmark 2016 aviation accord brokered by the International Civil Aviation Organization (ICAO) that aims to cap airline pollution at 2020 levels.

Biojet fuels, developed by companies like Honeywell UOP and Neste Oil Corp, are expected to deliver 56 percent of the aviation industrys targeted emissions reductions by 2050, according to a report by Lux Research.

Several developing countries objected to ICAOs initial proposal to ensure biofuel production doesnt harm the environment, arguing that the rules were too complicated and could put them at a disadvantage, said the sources, who spoke on condition of anonymity because the talks are confidential.

Some of them felt that if you set such a high threshold from the onset they wont be able to produce anything, one of the sources said.

Final criteria for the biofuels that airlines can use as part of the accord are expected in June.

An ICAO spokesman could not immediately be reached for comment.

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