The Renewable Energy Directive (RED II and RED III): Paving the Way for a Greener Future

The Renewable Energy Directive (RED) is a cornerstone of the European Union’s strategy to combat climate change and accelerate the transition to sustainable energy. While the original directive set the stage for renewable energy adoption, its updates – RED II and the proposed RED III – expand and strengthen the EU’s commitment to renewable energy, with significant implications for the transport sector.

RED II and RED III represent significant steps in Europe’s journey toward a sustainable future. For businesses in the transport sector, these directives are not just regulatory obligations—they are opportunities to lead in sustainability, reduce emissions, and future-proof operations.

By adopting renewable fuels like HVO and leveraging partnerships with experts like Biofuel Express, businesses can meet the ambitious goals set by RED while maintaining operational efficiency.

What is the Renewable Energy Directive?

First introduced in 2009, the Renewable Energy Directive set binding targets for renewable energy use across the EU. Its primary goal was to increase the share of renewables in the energy mix, reducing dependency on fossil fuels and cutting greenhouse gas emissions.

RED II: A Focus on 2030 Goals
RED II, adopted in 2018, outlines ambitious objectives for integrating renewable energy across all sectors, with a significant focus on transport. One of its primary goals is to ensure that at least 32% of the EU’s total energy consumption comes from renewable sources by 2030.

In the transport sector, RED II mandates that renewable energy must account for at least 14% of total transport energy consumption by 2030. To achieve this, the directive promotes the use of advanced biofuels, which are derived from waste and residues rather than food crops.

Additionally, RED II enforces strict sustainability and greenhouse gas (GHG) savings criteria for biofuels, bioliquids, and biomass fuels. These criteria ensure that renewable fuels contribute to genuine carbon reduction and meet stringent environmental standards.

RED III: A More Ambitious Vision
The proposed RED III builds on RED II and aligns with the European Green Deal and the Fit for 55 package, which aims to reduce greenhouse gas emissions by 55% by 2030. The directive places an enhanced focus on transport, not only maintaining the 14% renewable energy target but also introducing sub-targets for advanced biofuels and renewable electricity in the sector. This ensures a broader and more structured approach to decarbonizing transportation.

Another key component of RED III is the promotion of hydrogen and e-fuels, particularly in sectors where electrification is not feasible, such as heavy transport and aviation. This shift aims to diversify renewable energy options and reduce fossil fuel dependency in hard-to-decarbonize industries.

RED III also introduces stricter sustainability criteria, extending environmental regulations to additional sectors while reinforcing more rigorous reporting and verification measures. This ensures greater transparency and accountability in the production and consumption of renewable energy.

How Businesses Can Align with RED II and RED III

To successfully adhere to RED II and RED III, companies – especially those in transport and logistics – should take proactive steps to ensure compliance while leveraging the opportunities these directives present. Here’s how:

Why This Matters?
Adhering to RED II and RED III is not just about compliance – it’s a competitive advantage. Companies that act now will not only reduce their carbon footprint but also enhance brand value, meet customer sustainability expectations, and stay ahead of regulatory changes.

How Biofuel Express Supports RED Compliance

At Biofuel Express, we are committed to helping businesses align with the Renewable Energy Directive and achieve their sustainability goals. Here’s how we can assist: