Energy Market Regulatory Authority (EMRA) will make it obligatory to blend diesel oil - a kind of fuel like gas produced from oil - with at least five per thousand biodiesel by the beginning of 2018.
According to the information Anadolu Agency (AA) obtained from EMRA authorities, the energy watchdog decided to introduce a cap for the percentage of biodiesel blended with the diesel oil before it is distributed at the retail sites. Some of the fuel companies in Turkey already use biodiesel in their diesel oil on a voluntary basis.
The new regulation stipulates that at least five per thousand biodiesel which is produced from local agricultural or vegetable waste oil shall be blended with the aggregate amount of diesel oil imported or purchased from refineries. Accordingly, every 200 liters of diesel distributed in the fuel market will include 1 liter of biodiesel.
The consumption of diesel oil, which composes 84 percent of total fuel sales in Turkey increased by 8.5 percent in 2016 compared to previous year and was recorded at 22.3 million tons. After the new regulation which will enter into force at the beginning of 2018, approximately 115,000 tons of biodiesel will be produced in the same year.
Moreover, despite a biodiesel production capacity of 235,000 thousand in Turkey's installed plants in Turkey, last year only 70,000 tons of biodiesel was produced. The regulation is expected to increase this amount by at least 50 percent and ensure biodiesel sales exceed TL 500 million. Also, blending biodiesel with diesel oil brings exemption from excise duty at certain proportions.