Select Committee on Environment, Food and Rural Affairs Minutes of Evidence


Memorandum submitted by English Nature (Bio 09)

EXECUTIVE SUMMARY

  1.  If Government policy is used to promote production and consumption of biomass or biofuels in the UK without any additional safeguards on where those biofuels come from and how they have been produced, English Nature believes this would risk an increase in agricultural intensification, particularly if combined with high prices, that would contribute to loss of biodiversity both in England and globally, while delivering only small cuts in GHG emissions. We recommend the following measures to prevent this from happening:

Strategic policy

    (a)  Government's top priority in terms of climate change should be to improve energy efficiency and demand management. This is where the greatest reductions in GHG emissions can be achieved in the short and medium term.

    (b)  Government bioenergy policy should prioritise use of existing sources of biomass, to reduce the need for large areas of land to grow energy crops.

    (c)  Government should ensure that policies put in place to deliver climate change targets will not reduce our ability to meet other important environmental targets, such as the UK Biodiversity Action Plan, the Water Framework Directive and the Soils Directive.

Policy initiatives

    (d)  In designing and implementing the RTFO, the government should link allocation of certificates to the amount of GHG emissions saved by the production of biofuels. It is already proposed that the RTFO should include mandatory reporting on the life cycle carbon balance (including all GHG emissions from crop production, harvest, transport and processing of biofuels). This data could be used in the allocation of certificates—for example, the government could choose to withhold RTFO certificates from biofuels that deliver less than, say, 50% GHG savings compared to fossil fuels.

    (e)  Incentives for producing biofuels should be linked to the sustainability of their production system. A certification scheme should be established that will provide assurance that the crops used to grow biofuels have been managed according to good environmental standards. We understand that this may be difficult because of WTO rules but the Government should make every effort to resolve this.

    (f)  Encourage best land management practice in growing energy crops to maximise greenhouse gas savings in terms of kgCO2 eq/£ while protecting and enhancing biodiversity, water quality and soils.

    (g)  Investigate ways of mitigating the possible adverse effects of converting uncropped land into energy crop production. These could include additional Entry Level Scheme prescriptions for biofuel or biomass crops grown on set-aside (not allowed under current set-aside rules), and for maintaining fallow land on the farm.

    (h)  Increase funding for R&D on new crop varieties and management practices that can deliver both reductions in GHG emissions and improve environmental sustainability of agricultural management.

    (i)  Monitor changes in area of uncropped set-aside land, and the total area of land used for growing energy crops, to provide information on trends in crop diversity and aid in development of mitigation measures if necessary.

    (j)  Promote small-scale, local uses of biomass energy, which can connect people more closely with their energy sources and so have additional benefits such as reduced pressure for industrialisation of agricultural landscapes and need for long-distance transportation, improved public acceptability and educational opportunities.

  2.  English Nature is committed to providing support and advice to Government and other stakeholders involved in the bioenergy sector, in order to maximise the contribution of this rapidly developing sector to targets on climate change, biodiversity and agricultural sustainability. Achieving these outcomes is likely to prove a significant challenge so we are pleased that the EFRA Committee is holding this inquiry, which we hope will make an important contribution to continuing policy development in this area.

INTRODUCTION

  3.  A new organisation—Natural England—is being created with responsibility to conserve and enhance the value and beauty of England's natural environment and promote access, recreation and public well-being for the benefit of today's and future generations.

  4.  The creation of the new organisation, Natural England, is well under way, with English Nature (EN), the Landscape, Access and Recreation division of the Countryside Agency (LAR), and the Rural Development Service (RDS) working together as partners. This natural partnership is delivering joint outcomes and paving the way for Natural England, whilst continuing to deliver their separate and respective statutory duties:

    —  English Nature is the independent Government agency that champions the conservation of wildlife and geology throughout England.

    —  The Rural Development Service is the largest deliverer of the England Rural Development Programme and a range of advisory and regulatory rural services.

    —  The aim of Countryside Agency's Landscape, Access and Recreation division is to help everyone respect, protect and enjoy the countryside.

  This consultation response has been produced by English Nature. English Nature is working with the Rural Development Service and the Countryside Agency's Landscape, Access and Recreation division to create Natural England, a new agency for people, places and nature.

BACKGROUND

  5.  English Nature wishes to see an objective assessment of the likely impacts of all major proposed changes in technology deployment in the countryside so that decisions, particularly about public financial support, can be made from a good evidence base. In our view some deployments of bioenergy technology, particularly where they are small-scale and introduce heterogeneity into otherwise homogeneous intensive agricultural landscapes have the potential to be beneficial. Conversely the large-scale industrial production of bioenergy is likely, in many cases, to have a severe environmental downside.

  6.  Our current energy demand is now so great that providing even a proportion of it from bioenergy is likely to result in significant impacts on biodiversity, either directly (eg crop production) or indirectly (eg opportunity costs of removing farmland, funding etc from other potential end uses). There is a danger that by over-reliance on `renewables' such as biofuels to deliver climate change targets, attention may be distracted from the wider issues of energy efficiency and demand management.

  7.  While Government policy clearly states that the main justification for public support for bioenergy is its potential for climate change mitigation, we recognise that various forms of bioenergy may also have other benefits, such as energy security, rural development, employment in rural areas, biodiversity and reduction of waste going to landfill. However, there are potential dangers in confusing policy objectives—for example, attempting to tackle both climate change and rural development using the same funding stream may result in the inefficient delivery of both objectives.

UK POTENTIAL FOR PRODUCING BIOENERGY

  8.  Most forms of bioenergy are not carbon-neutral because of the energy inputs needed to grow biomass and convert it into useful fuel. For example, producing biodiesel from oilseed rape still results in around 40% of the greenhouse gas (GHG) emissions produced by fossil diesel (Mortimer et al 2003). However, some forms of bioenergy can be carbon-neutral or even carbon-negative—for example anaerobic digestion of organic wastes may approach or even exceed 100% GHG saving due to avoided landfill emissions of methane, a GHG 21 times more potent than CO2 (HM Revenue & Customs/HM Treasury 2005).

  9.  Various assessments have been made of the potential for UK bioenergy production and its contribution to climate change abatement. Agronomically speaking, domestically-grown arable crops (oilseed rape, wheat and sugar beet) could probably produce up to 5% of our current terrestrial transport fuel requirements without impacting significantly on domestic food production, by using existing food crops that would otherwise be exported and by growing biofuel crops on set-aside land. This could represent a total area of around 1 million ha—one-sixth of the UK arable area. To put this into context, we calculate that oilseed rape grown for biodiesel could mitigate around 1.7 tonnes of GHG emissions (measured as CO2 equivalents) per hectare per year, wheat for bioethanol 2.8 tCO2eq/ha/yr and sugar beet for bioethanol 4.0 tCO2eq/ha/yr (based on figures from Elsayed et al 2003). Growing a mixture of these crops over 1 million ha could potentially reduce UK GHG emissions by around 2.5 million tonnes per year. This is equivalent to 0.37% of total UK greenhouse gas emissions for 2004 (672 million tonnes CO2 eq, Defra 2004). In our view this represents a relatively small GHG benefit for a large area of land.

  10.  Perennial energy crops (short rotation coppice (SRC) willow and Miscanthus and short rotation forestry (SRF) using either native or exotic species) could save significantly more GHG emissions per hectare than arable biofuels. SRC willow or Miscanthus grown on set-aside and used in small-scale CHP can potentially save around 10 tCO2eq/ha/year in comparison to leaving the set-aside fallow and using natural gas CHP (Elsayed et al 2003). An area of 0.5 million ha of SRC willow might be agronomically feasible and if used for this purpose could abate around 5 million tonnes of CO2 per year, or 0.75% of total UK emissions.

  11.  Although growing up to 1.5 million ha of bioenergy crops may be agronomically feasible, there may be both direct and indirect environmental impacts. These are addressed later on in the submission.

ALTERNATIVES TO INCREASING CROPPING

  12.  Dedicated biomass crop production is just one route for producing bioenergy. However, there are already significant biomass resources in England that can be used to generate heat, power, gas and liquid fuels, without needing to increase crop production. Turley et al (2003) estimated that 100,000 tonnes of biodiesel could be produced by processing waste oils from the food industry—effectively substituting for 90,000 ha of oilseed rape. Forestry thinnings, arboricultural arisings, woodland coppicing and other waste wood products (sawdust, pallets etc), can provide wood chips or pellets for electricity and/or heat production from domestic to industrial scale. Some biomass sources have additional environmental benefits: woodland coppicing is important in improving conservation status of woodlands, while anaerobic digestion of animal manures and other organic wastes can help prevent emissions of methane into the atmosphere and reduce nutrient pollution and landfill volumes. Other organisations are better placed to estimate availability of these resources, but in our view a high priority should be placed on using existing sources of biomass, to reduce the need to dedicate large areas of land to growing biomass.

RELATIVE COST EFFECTIVENESS

  13.  Mortimer et al (2003) found that installing glass fibre loft insulation in domestic dwellings (506 kg CO2eq saved per £) was over 100 times more cost-effective than biodiesel production from oilseed rape at a fuel duty derogation rate of 20p/l (4.5 kg CO2eq saved per £). Heat or electricity from woodchips could save four times more greenhouse gas emissions per £ than biodiesel (18 kg/£). This reinforces English Nature's view that the Government's top priority for climate change policy should be to reduce energy demand, as this is where the greatest reductions in GHG emissions can be achieved in the short and medium term.

ROLE OF AGRICULTURE IN REDUCING GREENHOUSE GAS EMISSIONS

  14.  Agriculture was responsible for 7% of total UK greenhouse gas emissions in 2003 (National Statistics 2005). On the other hand, agricultural land management can also contribute to carbon sequestration in soils and vegetation. The Government's Climate Change Programme Review (not yet published) has included an assessment of how GHG emissions from agriculture can be reduced. Methods include reducing use of artificial fertilisers and use of no-till systems, organic farming, clover or other legumes to fix atmospheric nitrogen, crops with lower nutrient requirements, woodland regeneration, anaerobic digestion of animal manures and use of biomass energy/biofuels on farms.

  15.  To maximise abatement of GHG emissions these practices should be used on all farms, not just those growing energy crops. However, we should be particularly conscious of the GHG balance of energy crop production, because emissions savings are the main justification for Government support. By encouraging best practice in growing energy crops Government can therefore maximise GHG savings in terms of kgCO2eq/£.

  16.  However, some farming practices that cut GHG emissions could result in other kinds of environmental harm. For example, one study suggested that growing genetically modified herbicide tolerant sugar beet could result in reduced GHG emissions because it needed fewer machinery passes (Bennett et al 2004). But evidence from the Farm Scale Evaluations programme shows clearly that growing these crops with the associated herbicide regime would result in a significant loss of biodiversity (Firbank et al 2003). Government should be very careful to avoid putting in place policies to deliver climate change targets that are likely to harm our ability to meet other important environmental targets.

ENVIRONMENTAL IMPACTS OF EXPANDING UK AND EU AREAS OF ENERGY CROPS

  17.  There have been a number of studies assessing likely impacts of expanding areas of energy crops in the UK. Turley et al (2003) concluded that arable biofuels (wheat, sugar beet and oilseed rape) are unlikely to expand outside of existing production areas but could be grown more intensively within these areas. Some farmers are already growing rotations of wheat/rape/wheat/rape, although this can prove an agronomic challenge due to increased pest and disease pressure in the rape. Agronomists advise increasing the range of seed treatments and fungicide sprays on oilseed rape in these rotations (Monsanto 2004). This suggests that biofuels could accelerate a trend towards less diverse rotations with a greater reliance on chemical inputs to tackle pests and diseases—a trend that is unlikely to offer benefits for the environment.

  18.  There is evidence that uncropped set-aside generally supports more biodiversity than land under intensively-grown arable crops (e.g. Buckingham et al 1999). Compulsory set-aside in England is currently 8% of the arable area, although this varies from year to year. A switch to growing biofuels on set-aside land could cause the loss of around 400,000 ha of uncropped land to winter wheat and winter oilseed rape, which would result in loss of biodiversity, especially seed-eating farmland birds. This could lead to slippage on targets for the Farmland Birds PSA and UK Biodiversity Action Plan. The newly-launched Environmental Stewardship scheme aims to help deliver these targets but was not designed to cope with the impacts of an increasing area of arable crops or widespread loss of set-aside in England. This means that additional measures may be required to mitigate impacts on biodiversity, water resources and soils.

  19.  However, perennial crops such as SRC willow and Miscanthus could add structural diversity to some landscapes. A recent study apparently showed higher levels of biodiversity in SRC willow compared to intensive arable and grassland crops (Sage et al unpublished). These benefits seem to depend on a number of factors such as maintaining a mixed age structure, leaving areas of bare ground and breaking up plantations into smaller segments, as these are all important in increasing habitat diversity. Willow and Miscanthus are generally grown with a relatively low input regime, with likely benefits for biodiversity, soils and water quality, but this could change if pest problems start to build up and/or there is economic pressure to increase productivity.

  20.  The Forestry Commission recently funded a study on the potential impacts of short rotation forestry (Forestry Commission, unpublished), which suggested that SRF could be compatible with protection of biodiversity, soils and hydrology provided that care was taken to select the right species and design the plantations to fit in with existing habitats and features. However, it cautioned that the highest-yielding, most profitable species (eg Eucalyptus spp) were associated with negative environmental impacts, emphasising the need for public funds to support species choice and management practices that deliver wider public goods.

  21.  Low-intensity, high-biodiversity land uses need to be protected from replacement with energy crops. Currently this is achieved through the Forestry EIA Regulations and the Uncultivated Land EIA Regulations, and it is vital that this system continues to be effective in the face of rising numbers of applications to ensure protection of biodiversity, soils and water resources.

  22.  Elsewhere in the EU, it has been suggested that the Central and Eastern European countries have greatest potential for expansion of the biomass sector and these could produce enough excess biomass to export to Western Europe (preliminary report of the VIEWLS project, unpublished). In our view this could cause massive biodiversity loss through the intensification of agriculture in these areas, where small-scale low intensity farming currently dominates. It would be a dangerous strategy for the UK to rely on imports from these countries to make up any biomass shortfall.

SUSTAINABILITY ISSUES RELATED TO GLOBAL TRADE IN BIOMASS AND BIOFUELS

  23.  The UK is a net importer of food and there is relatively little spare capacity within our agricultural land to produce biofuels or biomass crops without displacing some production abroad. In fact, importing processed biofuels such as bioethanol from Brazil could potentially deliver substantially greater GHG savings than producing ethanol domestically from wheat and sugar beet, because sugar cane requires far lower energy inputs to grow and process.

  24.  However, climate change is only one consideration. Much potential for expanding production of liquid biofuels is assumed to exist in tropical regions which still contain significant areas of important natural habitat. Experience from past and current trends in expansion of soyabeans, sugar cane and oil palm indicates that there is a real danger that increasing production in these areas will lead directly to further losses of natural habitats like tropical rainforests and savannas. In addition to the potential massive impacts on biodiversity and ecosystem services, clearing rainforests for cultivation leads to immediate and massive losses of carbon dioxide and other GHG into the atmosphere: several decades of continuous energy crop production would be needed to recover the GHG released by cutting down tropical forests.

  25.  In our view, a crucial instrument to help avoid damage to biodiversity both in the UK and abroad will be a robust carbon and environmental sustainability certification scheme. Some work is currently being carried out by the Low Carbon Vehicle Partnership (LowCVP) to develop an industry certification scheme, aiming to create a standard that all companies producing biofuels could sign up to. There is currently pressure for a certification to be only a voluntary measure, but English Nature has a strong preference for linking certification to receiving certificates through the Renewable Transport Fuel Obligation (RTFO). Government should send a strong message that imports of unsustainably produced biofuels are unacceptable and should not receive public funding.

English Nature

February 2006

REFERENCES

  Bennett R, Phipps R, Strange A and Grey P (2004). Environmental and human health impacts of growing genetically modified herbicide-tolerant sugar beet: a life-cycle assessment. Plant Biotechnology Journal 2 (4), 273.

  Buckingham, DL, Evans, AD, Morris, AJ, Orsman, CJ & Yaxley, R (1999) Use of set-aside land in winter by declining farmland bird species in the UK. Bird Study 46: 157-169.

  Elsayed MA, Matthews R, and Mortimer ND (2003). Carbon and energy balances for a range of biofuels options. Resources Research Unit, School of Environment, Sheffield Hallam University.

  Firbank, LG, Perry, JN, Squire, GR, Bohan, DA, Brooks, DR, Champion, GT, Clark, SJ, Daniels, RE, Dewar, AM, Haughton, AJ, Hawes, C, Heard, MS, Hill, MO, May, MJ, Osborne, JL, Rothery, P, Scott, RJ & Woiwod, IP (2003) The implications of spring-sown genetically modified herbicide-tolerant crops for farmland biodiversity: A commentary on the Farm Scale Evaluations of Spring Sown Crops. ISBN 0-85521-036-2. Published on the Defra website:

  http://www.defra.gov.uk/environment/gm/fse/index.htm

  Revenue & Customs/HM Treasury (2005). Partial regulatory impact assessment on an enhanced capital allowance for biofuels production.

  Monsanto (2004). Tightening rape rotations demand new management approach. http://www.monsanto-ag.co.uk/layout/resources/news/oilseed/2004/08-04.asp

  Mortimer ND, Cormack P, Elsayed MA and Horne RE (2003). Evaluation of the comparative energy, global warming and socio-economic costs and benefits of biodiesel. Report No 20/1 for the Department for Environment, Food and Rural Affairs, Resources Research Unit, Sheffield Hallam University, Sheffield, United Kingdom, January 2003.

  National Statistics (2005).

  http://www.statistics.gov.uk/downloads/theme—environment/EANov05.pdf

  Turley, DB, Boatman, ND, Ceddia, G, Barker, D, and Watola, G (2003). Liquid biofuels—prospects and potential impacts on UK agriculture, the farmed environment, landscape and rural economy. Defra report.

  Sage R et al (unpublished).

  See press release at http://www.gct.org.uk/article.asp?PageId=78&ArticleId=160



 
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