Ships Compass

Splash and dash biofuel trading must stop says labour MEP

19.05.08

'Splash and dash' biofuel trading is an environmentally harmful practice whereby biofuels produced in the EU are shipped to the US where a 'splash' of US petroleum is added, allowing traders to claim a US subsidy before they ship the fuel back to EU countries and sell it at reduced prices. Labour MEP Linda McAvan is calling on the EU to outlaw the practice. We think this story is important because it illustrates the types of unintended consequences that can result from the application of some simple rules designed to encourage behaviour beneficial to the environment. It seems that biofuels just won't stop being controversial. We saw this story first in The Guardian. For chapter and verse on splash and dash see Simon Robinson's Big Biofuel's blog.

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