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OECD Report: Government Biofuel Policies Costly and Ineffective

Posted on July 16, 2008

The estimated impact on ethanol production of the removal of biofuel support policies, 2013-2017 average. Click to enlarge.Government support of biofuel production in OECD countries is costly, has a limited impact on reducing greenhouse gases and improving energy security, and has an impact on world crop prices, according to a new study by the OECD's Directorate of Trade and Agriculture.The report, Economic Assessment of Biofuel Support Policies, estimates that in the US, Canada and the European Union, government support for the supply and use of biofuels will rise to around US$25 billion per ...

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