Renewable liquid fuels – is the UK ready?  

With the UK on the edge of significant change towards a more environmentally-friendly and low-carbon approach to the transport and logistics industry, renewable liquid fuels (RLFs) are being introduced more to the market.

There are several different types of alternative fuels slowly entering the market and growing the level of competition for suppliers. Whether these renewable fuels are currently a viable option for everyone is yet to be seen but as the demand grows, so will the marketplace. However, is the UK ready for RLFs to become commonplace for businesses?  

UK government backing

Recently, there have been further calls from the fuel sector for the UK government to do more in backing the introduction and rollout of renewable liquid fuels to the wider population. Currently, there is no formal guidance on how any alternative fuels will be introduced to the market.

At the recent June OFTEC 2022 Conference, there have been requests from industry leaders for immediate changes to be made that will help to ensure businesses and off-the-grid homes will have affordable renewable energy sources in the future. Since the UK government pledged to reduce carbon emissions, decarbonising the fuel supply is extremely important. However, as it is required by so many people and businesses, there needs to be a realistic alternative fuel to suit their needs. This means the government introducing a policy to achieve the wide-scale rollouts that will be essential in the coming years.   

Are there enough renewable fuels available?

Thankfully, the answer appears to be yes. In a recent report commissioned by The UK and Ireland Fuel Distributors Association (UKIFDA), there will be enough renewable liquid fuels in Europe and North America to cover the potential demand by 2030.

In the report, it states that there will be enough RLFs to heat the UK’s 1.7 million off-the-grid homes using heating oil. Also detailed that the greenhouse gases from these homes would be reduced by 88% compared to the current fossil fuels in place – a great step towards the net zero carbon emissions by 2050 target set by the government.

However, as mentioned previously, although there will be enough renewable fuels to heat properties in the UK, there currently is no strategy for the rollout. Fuel suppliers have not received guidance on how off-the-grid homes will be converted and supplied with the replacement fuels. This is expected to be a long process, with the UKIFDA report estimating that only 50% of homes could be converted by 2030.  

Are fuel suppliers ready?

This is a difficult question to answer, as many businesses that supply heating oil and other liquid fuels are unaware of when they should be ready to start supplying alternative fuels to homes and businesses in the UK.

Schemes such as Future Ready Fuel are currently trialing the supply of renewable liquid fuels to selected off-the-grid homes around the UK. As well as trialing the use of fuels, they are also working with businesses and trade associations within the fuel sector to bring alternative fuels to the market within a reasonable timeframe – ideally before the 2050 UK carbon zero targets. Having a dedicated body that is helping to consolidate information and guidance for consumers and businesses is key to ensuring a smooth transition between fuel types.

It's important to note that fuel suppliers are ready to make changes to renewable liquid fuels as the market demands increase. Within the fuel sector, work is being carried out to ensure a smooth transition for consumers so no one is left without the fuel they need.  

Get in touch

With renewable liquid fuels being introduced in the future, there seems to be a level of uncertainty around the fuel industry and supplies. However, TouchStar will always be here to help and will continue to work with all our partners to manage and optimise their fuel supply and meet their logistical needs. Our team of experts are on hand and are more than happy to discuss how we can help and answer any questions you may have - get in touch today to find out more.