Summing up the results of last year, the experts say that the biofuel market has a little incentive for development. In 2010 the export of biofuel in the EU increased by 63.5% compared to the previous year and in 2011 the export share decreased to 20%.
Usage of mostly home-made equipment, which requires more electric power than the imported equipment, commercial impracticability of the production of biofuel for Ukrainian consumers, lack of proper support from the government in this matter are not contributing to the development of biofuel sector.
However, the difficulties are behind. This year main Ukrainian importers of biofuel are Poland, Denmark and Germany. The demand for alternative fuels, in general, and for Ukrainian products in particular, will continuously increase until 2020 with the adoption of the legislation in the EU.
The demand for energy supplies in the European countries is increasing, and the sources of energy available in these countries are limited.
In Poland, for example, there is the bill under which the share of renewable energy in the energy consumption in 2012 will reach 15.5%. In 2010, for comparison, alternative sources of the country were only used by 10%.
Biogas and solar energy are first-priority and investments in wind power will be reduced.
Poland remains a promising Ukrainian importer of biofuel. Producers of biofuel are willingly working for export, as prices and demand in the European market is higher than in Ukraine.
One thing is clear for sure: the import price of pellets in Poland will rise. The increase in costs for energy on the Polish market contributes to this.
Ukrainian exporters, for whom the Polish market is a priority, meanwhile, are taking advantage of the situation and are raising the price of pellets and husk briquettes.
