European Commission Publishes Consultation Paper on the

UNCLAS SECTION 01 OF 02 BRUSSELS 001722

FAS/OA MICHENER,
FAS/OCRA/SNENON,
FAS/OFSO/DYOUNG
FAS/OGA RSCHWARTZ, ECARTER
USTR/LYANG
GENEVA FOR MIN COUNSELOR DMILLER
BERLIN FOR AG COUNSELOR BRICHEY
PARIS FOR AG COUNSELOR DBREHM
ROME FOR AG COUNSELOR JDEVER
THE HAGUE FOR AG COUNSELOR SHUETE
WARSAW FOR AG ATTACHE EWENBERG
MADRID FOR AG ATTACHE PTHURSLAND
LONDON FOR AG COUNSELOR SMCSHERRY

SIPDIS

E.O. 12958: N/A
TAGS: EAGR ENRG EUN SENV TPHY TRGY

SUBJECT: European Commission Publishes Consultation Paper on the
Definition of Highly Biodiverse Grasslands

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1. Summary. On December 14, 2009 the Commission published a
consultation paper requesting comments for the definition and
criteria for Highly Biodiverse Grasslands in EU legislation
concerning sustainability criteria for biofuels. Biofuel feedstock
that comes from these grasslands will not count towards EU targets.
The definition could impact U.S. exports of biofuels for the EU
market if feedstock comes from land under the Conservation Reserve
Program. The estimated value of U.S. biodiesel exported to the EU
in 2008 is $1.5 billion. Comments from stakeholders should be
submitted to the Commission no later than February 8, 2010. End
summary.


2. On December 14, 2009 the European Commission published a
consultation paper on the definition of highly biodiverse
grasslands, which is part of the sustainability criteria presented
in the Renewable Energy Directive (Directive 2009/28/EC) (RED).
This could be important for U.S. producers of feedstock for the EU
biofuels market since it would define whether or not feedstock from
land put into permanent grasslands in the Conservation Reserve
Program (CRP) would be eligible to count towards the EU target. If
land under the CRP is not eligible under the EU sustainability
criteria, this could hamper U.S. exports for the biofuels market in
the EU. The estimated value for biodiesel exported from the U.S. to
the EU in CY 2008 is $1.5 billion.


3. Biofuels produced from feedstock from certain kinds of land types
are not eligible for important types of public support and do not
count towards the 10 percent EU biofuel target. Lands that can not
be used for the production of biofuels are those with high
biodiversity value or high carbon stocks such as: nature protection
areas including those for the protection of rare threatened or
endangered eco systems or species, primary forests and other wooded
land, continuously forested areas, wetlands and undrained peatlands.
The Commission considers that for all other types of land other than
those of high biodiversity the definition can be made either from
maps or from satellite photographs, but that the identification of
highly biodiverse grasslands will be more problematic.


4. In the work of defining high biodiverse grassland, the RED
distinguishes between natural and non-natural grasslands and has the
following definitions:

- Natural grasslands: Grasslands that have not been sown and are
maintained as grassland by the influence of natural factors such as
natural fires, grazing by wild animals, (periodic) drought or
freezing temperatures.

- Non-natural grasslands: An area the condition of which as
grassland is maintained, for at least five years, as a result of
human intervention such as ploughing, sowing, mowing or livestock
grazing.


5. The consultation paper suggests three possible approaches for
defining the high biodiverse grassland: (1)
to note that a proportion of these grasslands are in areas that are
already protected under sustainability criteria and thus refrain
from adding further requirements; (2)to recognize that natural
grasslands are more likely to be high biodiverse than non-natural
grasslands and propose an on-site assessment on all natural
grasslands; and (3)
on-site assessments of biodiversity for all grasslands.


6. The Commission notes that for a significant share of the world,
comprehensive information for the proposed assessment does not
exist. The Commission therefore suggests that key indicator species
or quantified indices could be used to define no-go areas.


7. The public consultation is open until February 8, 2010, and the
Commission is asking for comments on subjects including the
definition of the two categories of grassland, which of the three
different approaches is preferred, and if there is a better suited
alternative approach or whether one can be developed.


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8. The Consultation paper can be found here: http:// ec.europa.eu/
energy/ renewables/ consultations/
doc/2010_02_08_biodiverse_grassland_consultat ion.pdf The Commission
would like comments to be sent to: TREN-
biodiverse-grasslands-biofuels@ec.europa.eu

KENNARD