Identifier
Created
Classification
Origin
08LISBON2739
2008-11-28 15:22:00
CONFIDENTIAL
Embassy Lisbon
Cable title:
PORTUGAL ON EU BIOFUELS SUSTAINABILITY
how-toVZCZCXRO1773 RR RUEHFL RUEHKW RUEHLA RUEHNP RUEHROV RUEHSR DE RUEHLI #2739 3331522 ZNY CCCCC ZZH R 281522Z NOV 08 FM AMEMBASSY LISBON TO RUEHC/SECSTATE WASHDC 7189 INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
C O N F I D E N T I A L LISBON 002739
SIPDIS
DEPARTMENT FOR EUR/ERA:MBEH, OES/EGC:DNELSON,
OES/EGC:WZAITCHIK
E.O. 12958: DECL: 11/25/2018
TAGS: KGHG EAGR SENV ENRG TRGY EUN EU PO
SUBJECT: PORTUGAL ON EU BIOFUELS SUSTAINABILITY
REF: SECSTATE 123492
Classified By: Gary B. Applegarth, Pol-Econ Officer, Embassy
Lisbon Reasons 1.4 (b) and (d).
C O N F I D E N T I A L LISBON 002739
SIPDIS
DEPARTMENT FOR EUR/ERA:MBEH, OES/EGC:DNELSON,
OES/EGC:WZAITCHIK
E.O. 12958: DECL: 11/25/2018
TAGS: KGHG EAGR SENV ENRG TRGY EUN EU PO
SUBJECT: PORTUGAL ON EU BIOFUELS SUSTAINABILITY
REF: SECSTATE 123492
Classified By: Gary B. Applegarth, Pol-Econ Officer, Embassy
Lisbon Reasons 1.4 (b) and (d).
1. (C) Luis Duarte Silva of Portugal's Directorate General
of Energy and Geology (Ministry of Economy) said Portugal
understands reftel demarche points but must continue to work
within the EU process regarding biofuels sustainability.
Silva acknowledged Portuguese reservations concerning the EU
proposals but said France, Germany, and other major rapeseed
producers are the drivers for EU biofuels policy and in the
end Portugal would go along with the EU consensus.
2. (C) Silva also said Portugal continues to work toward its
stated goal of 10 percent biofuels inclusion in
transportation fuels by 2010 but "I have no idea how we will
achieve it." Knowing the 10 percent goal was problematic,
Silva said experts had tried but failed to moderate GOP
energy policy at the time the goals were being developed.
Biodiesel, the focus of Portuguese biofuels efforts due to
the prevalence of diesel automotive transport, is marginally
profitable with the benefit of 75 percent tax exemption, but
not profitable enough to generate sufficient production to
meet the 2010 goal. Silva opined Portugal would have to
mandate inclusion of biofuels within petrol and diesel, a
step recently taken by Spain, in order to achieve the 10
percent goal by 2010.
3. (C) Comment: The GOP frequently boasts about the
achievements of its ambitious renewable energy programs, and
we expect it to continue to do so. Mandatory biofuels levels
have been discussed by the press in recent weeks, and we
expect legislation will be enacted if that is what it takes
to keep the program on track. However, as biofuels are not a
major pillar of the Portuguese energy program, it is doubtful
the GOP will exert itself regarding sustainability standards.
End comment.
STEPHENSON
SIPDIS
DEPARTMENT FOR EUR/ERA:MBEH, OES/EGC:DNELSON,
OES/EGC:WZAITCHIK
E.O. 12958: DECL: 11/25/2018
TAGS: KGHG EAGR SENV ENRG TRGY EUN EU PO
SUBJECT: PORTUGAL ON EU BIOFUELS SUSTAINABILITY
REF: SECSTATE 123492
Classified By: Gary B. Applegarth, Pol-Econ Officer, Embassy
Lisbon Reasons 1.4 (b) and (d).
1. (C) Luis Duarte Silva of Portugal's Directorate General
of Energy and Geology (Ministry of Economy) said Portugal
understands reftel demarche points but must continue to work
within the EU process regarding biofuels sustainability.
Silva acknowledged Portuguese reservations concerning the EU
proposals but said France, Germany, and other major rapeseed
producers are the drivers for EU biofuels policy and in the
end Portugal would go along with the EU consensus.
2. (C) Silva also said Portugal continues to work toward its
stated goal of 10 percent biofuels inclusion in
transportation fuels by 2010 but "I have no idea how we will
achieve it." Knowing the 10 percent goal was problematic,
Silva said experts had tried but failed to moderate GOP
energy policy at the time the goals were being developed.
Biodiesel, the focus of Portuguese biofuels efforts due to
the prevalence of diesel automotive transport, is marginally
profitable with the benefit of 75 percent tax exemption, but
not profitable enough to generate sufficient production to
meet the 2010 goal. Silva opined Portugal would have to
mandate inclusion of biofuels within petrol and diesel, a
step recently taken by Spain, in order to achieve the 10
percent goal by 2010.
3. (C) Comment: The GOP frequently boasts about the
achievements of its ambitious renewable energy programs, and
we expect it to continue to do so. Mandatory biofuels levels
have been discussed by the press in recent weeks, and we
expect legislation will be enacted if that is what it takes
to keep the program on track. However, as biofuels are not a
major pillar of the Portuguese energy program, it is doubtful
the GOP will exert itself regarding sustainability standards.
End comment.
STEPHENSON