Transport fuels such as petrol and diesel must comprise 5.75 per cent biofuel by 2009, Minister for Energy Noel Dempsey announced today.
The Biofuels Obligation would mean Ireland would reach the EU target of 5 per cent a year ahead of schedule and by 2020, 10 per cent biofuel content would be achieved.
"This move to introduce a biofuels obligation will allow us to achieve carbon savings of over 700,000 tonnes per year by 2009. This is the equivalent of taking almost 200,000 cars off the road annually," Mr Demspey said.
The lead-in time for 2020 would offer certainty about the market "and facilitate industry in developing appropriate financing, planting, refining, storage, distribution and supply chain logistics".
A consultation process with the public and industry will begin this year before the final details are established and necessary legislation is introduced.
The announcement follows a major United Nations study published two weeks ago which said the effects of carbon emissions would be present for 1,000 years leading to higher temperatures and sea levels.
Moreover, The Irish Timesrecently reported that an Environmental Protection Agency report due to be published this month will say that Ireland will suffer from summer droughts and winter floods within 15 years due to global warming.
Mr Demspey claimed renewable electricity and heating targets introduced last year will lead to a two million tonne reduction in carbon dioxide emissions by 2009.
He also noted the Department of Agriculture had increased subsidies for the growing of bioenergy crops.
The Green Party energy spokesman Eamon Ryan said there were no guarantees that the biofuels will be produced by Irish farmers as there was no impediments to international biofuel trade.
"There are major concerns that such imported crops could have a negative environmental effect, as native forestry may be cut down in order for the energy crop to be grown.
Labour's Tommy Broughan welcomed the move but warned it be a public relations exercise not backed up by action. He noted that implementation of the plan would fall to the next government..