Renewable fuels, the best option for transport decarbonisation
The effectiveness of renewable fuels in the decarbonisation of air, land and maritime transport was highlighted at the conference held by the Platform for Renewable Fuels in which David Cuesta, director of NTT Data, presented the report they have carried out in this regard. A study that provides other interesting data such as the immediate effect of these fuels, ‘a 1% increase in renewable fuels used in Spain would mean a reduction in emissions greater than that achieved by the current fleet of vehicles with a zero emissions label’; the use of waste that is currently not used; the possibility of not having to change vehicles; its contribution to the fight against depopulation of rural areas, as it would boost agricultural and agri-food industries; and its contribution to the leadership of our country in this field.
After the words of welcome from the Director General of the Spanish Energy Club, Arcadio Gutiérrez, who also highlighted the new European legislature that we will be experiencing from 9 June, Cuesta gave an exhaustive presentation of the report in which he highlighted the great potential that renewable fuels represent for the decarbonisation of road, air and maritime transport, an option that not only guarantees compliance with the challenge of reaching zero emissions by 2050, but also involves a lower cost.
Cuesta, who did not ignore the great effort and the use of new technologies that decarbonisation requires, also spoke of the need for support at the regulatory level.
‘The reduction of CO₂ emissions in 2030 would be 10% higher than in the scenario defined in the National Integrated Energy and Climate Plan (PNIEC), and would make it possible to reduce an additional 9 million tonnes of CO₂ in the 2024-2030 period,’ he said.
He also analysed the targets for 2030 with regard to the 3.6 million electric vehicles that there should be, a challenge, he said, that is not going to be met, to affirm that with the incorporation of renewable fuels, the emission reduction targets would be met and the reduction would even be extended from 97 to 106 million tonnes of CO₂. ‘Renewable fuels are the most effective way to achieve immediate results,’ he said.
In this sense, Cuesta assured that renewable fuels and electrification are compatible and that they are capable of going further if renewable policies are adequate.
The report also shows what the cost would be for the user when changing their car for an electric one, and he assured that with renewable fuels, the transition would be accessible, so it would not be necessary to change vehicles, ‘the sustainability characteristic of renewables should be more widely recognised’.
Spain, third in Europe
As for Spain's capacity to produce these fuels, he pointed out that it is the third largest country in Europe and that we are facing a very ambitious scenario in which demand can be covered by 2030.
For David Cuesta, ‘combined action would allow us to reach the decarbonisation scenarios more quickly’ and he recalled that Spain has one of the most powerful refining industries in Europe, with 8 of the 80 existing refineries, and with highly qualified human capital. ‘These industries are going to be reformed, we are also leaders in the biorefining industry, but we are operating below the capacity of our plants. However, ‘we are ready to go further,’ he said.
The speaker concluded by reiterating the great advantages of renewable fuels for a just and sustainable energy transition, but not before advocating for higher quotas for renewables, better tax treatment, better measures to contribute to the distribution of raw materials and reconciliation measures because, he said, ‘renewables have been treated worse’.
A just transition
This was followed by the round table discussion ‘A just transition for transport; the potential of renewable fuels’ moderated by Laura Ojea, editor-in-chief of Energy in El Español, and with the participation of Javier Gándara, president of ALA, Ramón Valdivia, executive vice-president of ASTIC, and Javier Garat, secretary general of CEPESCA.
The three speakers, representing the air, land and maritime transport sectors, respectively, coincided in highlighting the importance of renewable fuels, the need for different energies to come together, the need for more fiscal and economic aid from the administration to encourage the energy transition, such as the application of reduced tax rates and exemptions in the special hydrocarbon tax, and respect for the specific roadmaps of each sector. They also pointed out the opportunity Spain has to lead this industry and how renewable fuels can benefit rural Spain.
Javier Gándara stressed that perhaps the aviation sector is the most complicated for decarbonisation, as the production of SAF (Sustainable Aviation Fuels) is 3 and 6 times more expensive than the traditional one, ‘so measures must be articulated’. ‘We must seek decarbonisation, not electrification, and in the case of aviation it is the most logical thing to do’. He also highlighted Spain's opportunity to become ‘the champion of energy production’.
Ramón Valdivia defended the possibility of having different options and choosing the best one at any given moment, and spoke of the great opportunity Spain has with renewable fuels: ‘If we don't do it, others will. We have an opportunity here in the industrial sector’. And he reiterated the idea shared by all on making companies more competitive and boosting fiscal aid.
Finally, Javier Garat, who recalled the commitment to decarbonisation of the maritime sector, although it is the sector that pollutes the least, alluded to the solution that renewable fuels represent for them given the high cost that other alternatives would entail: ‘Other energy sources would entail a high cost, a legislative change and logistical development. Like his colleagues, he stressed that ‘it is difficult to make progress in energy efficiency if certain measures, such as taxation, are not achieved’.
Support from the Administration
José Luis Cabo, Deputy Director General of Hydrocarbons and New Fuels, closed the conference. After recalling Spain's commitment to achieving the 2030 targets, he spoke of the opportunity that renewable fuels represent for the country, mainly in the decarbonisation of the current vehicle fleet, and of the need to combine the use of advanced biofuels with electrification.
He also referred to the responsibility of the Administration to accompany, promote and encourage the production of renewable fuels for fairer energy and to reduce their economic impact. ‘Compliance with the regulation means an increase in the demand for biofuels and the development of hydrogen and derivatives,’ he stressed.
The deputy director general concluded with words of thanks to the sectors involved for their work and willingness to achieve decarbonisation.