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Climate change: [Growing doubts](https://www.businessnews.com.au/Company/Mission-NewEnergy) over [chip fat](https://www.zoominfo.com/c/mission-newenergy/346542889) [biofuel](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd)
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21 April 2021
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comments
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354 Comments
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New research study concerns the environmental impact of rising imports of utilized cooking oil (UCO) into the UK and Europe.
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Chip fat and other oils are thought about waste, so when they are utilized to make [biodiesel](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) it saves carbon emissions by displacing fossil oil.
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But such is the need throughout Europe that imports now represent more than half of the UCO that's made into fuel.
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According to the study, external, there's no chance to prove these imports are sustainable.
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With no screening of what's can be found in, professionals believe it is likewise ripe for fraud.
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Used cooking oil imports might improve deforestation
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Consumers pose 'growing threat' to tropical forests
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Reducing emissions from transportation is [proving](https://www.zoominfo.com/c/mission-newenergy/346542889) to be among the most difficult difficulties for federal governments all over the world.
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They've motivated using biofuels as an important ways of curbing carbon from automobiles and trucks.
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[Biofuels](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) are generally a blend of nonrenewable fuel source and oil made from plants or .
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The fact that these crops can be re-grown and take in more CO2 implies they counteract the carbon emitted when used in [engines](https://www.investing.com/equities/mission-newenergy-ltd-company-profile).
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Soy and palm oil were once commonly utilized as [elements](https://www.nasdaq.com/market-activity/ipos/overview?dealId=804419-65608) of [biodiesel](https://www.proactiveinvestors.co.uk/companies/news/159352/mission-newenergy-debt-free-focused-on-biofuel-joint-venture-60797.html) but this practice has actually been [commonly rejected](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) since it motivates deforestation.
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So for the last years approximately, using used cooking oil has actually broadened enormously as an alternative feedstock for fuel.
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[Chip fat](https://www.bloomberg.com/profile/company/MNELF:US) and other waste oils have ended up being a key part of [biodiesel](https://www.crunchbase.com/organization/mission-newenergy) with an [effective industry](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) emerging across Europe to gather and process the product.
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But with the quantity of biodiesel made from [UCO increasing](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) by around 40% every year given that 2014, there merely isn't [sufficient](https://www.proactiveinvestors.co.uk/companies/news/159352/mission-newenergy-debt-free-focused-on-biofuel-joint-venture-60797.html) chip fat to walk around.
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According to a report from the campaign group Transport & Environment, external, majority of the UCO utilized in Europe is imported.
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Their study recommends this is highly [troublesome](https://www.google.com/search?kgmid=/m/0cqd_rb) when it pertains to [impacts](https://www.zoominfo.com/c/mission-newenergy/346542889) on the environment.
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While UCO is considered a waste product in the UK, in China, Indonesia and [Malaysia](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) it has actually long been utilized to feed animals. The report raises the concern of what people in these nations are changing the UCO with, when it is exported.
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In 2019, Malaysia exported 90 million litres of UCO to the UK and Ireland. Figures for their exports to other European nations aren't available however the circulation of UCO is likely to be similar.
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With a population of around 33 million, that's close to 3 litres per head of used oil that's gathered and exported to the UK and Ireland alone.
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By comparison, Thailand, which has a population of 70 million people, managed to collect around five million litres of UCO in 2019.
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"Because we are buying it, they have actually less utilized cooking oil to use on the things that they were formerly utilizing it for," stated Greg Archer with Transport & Environment.
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"And they're simply buying more virgin oil and that virgin oil is mainly palm oil, since that's the least expensive oil available.
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"So indirectly, we're just motivating more deforestation in Southeast Asia."
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Another significant issue with UCO is the suspicion of scams.
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Because of demand from Europe, the rate of UCO is often greater than palm oil. The concern is that some unscrupulous traders are just diluting deliveries of UCO with palm.
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As oils of different types are blended in bulk for transportation, and no screening of the products is brought out, some professionals believe fraud is swarming.
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The idea of scams anywhere along the chain of supply is turned down by the European Waste-to-Advanced Biofuels Association (EWABA), who say there are robust accreditation schemes in location.
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"It is extensively understood that the European Commission has taken pertinent actions to totally suppress [unsound](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) market practices in biofuel markets," stated Angel Alberdi, EWABA's secretary general.
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He states a brand-new database being developed by the EU will ensure that trading, accreditation and sustainability information on all bio-liquids will need to be registered.
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"The combination of modified certification schemes and the pan-EU track and trace database will ensure that no [sustainability concerns](https://www.businessnews.com.au/Company/Mission-NewEnergy) emerge in the entire biofuels and bio-liquids supply chain," he informed BBC News.
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Others in the field are worried that the database concept, which was first mooted in 2018, might not be reliable in stemming suspected fraud.
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The report from Transport & Environment explains that with shipping and aviation seeking to decarbonise by utilizing biofuels, need for UCO could double over the next years.
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"Rising the need beyond sustainable supply levels would increase these issues, and threats of utilizing 'fake' UCO, possibly [causing indirect](https://www.crunchbase.com/organization/mission-newenergy) impacts such as logging."
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Follow Matt on Twitter @mattmcgrathbbc, external.
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Related topics
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COP26
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Paris climate contract
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Climate
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