Decarbonization is supposed to be hard—but the European Union’s approach risks making it more difficult by sidelining one of the most scalable, scientifically grounded tools in the decarbonization toolbox: crop-based ethanol.
A fractured approach: the EU’s biofuel labyrinth
The EU’s Renewable Energy Directive (RED III) sets ambitious targets: a 14.5 percent reduction in transport fuel carbon intensity by 2030, part of an overarching goal to reach 32 percent share of renewables in final energy. To promote sustainable fuels, it defines feedstocks in Annex IX: Part A for “advanced” raw materials like algae, waste, and cellulosic biomass, and Part B for less advanced sources including used cooking oil and animal fats. In theory, Part A feedstocks qualify for multiplier credits and are uncapped, while Part B is limited to 1.7 percent of the total transport energy mix.
The problem is glaring: sugarcane, corn, and other high-efficiency crop-based biofuels are lumped into the restrictive Part B, while nearly identical waste and residue sources thrive under uncapped regimes. This regulatory bias squanders real-world climate solutions on trumped-up “technology neutrality” grounds—and locks Europe out of affordable, proven decarbonisation pathways.
A tipping point for Europe
Europe stands at a decisive moment. As Commission President Ursula von der Leyen underscores the need for competitiveness in a rapidly shifting global economy, the continent cannot afford to delay practical climate action. The transport sector, a major contributor to emissions, already has viable decarbonisation solutions on hand. Technologies like ethanol—especially Brazilian ethanol with its robust sustainability profile—are proven, scalable, and ready now. Waiting for speculative innovations to mature will cost Europe precious time and resources. If we are serious about hitting 2030 and 2050 targets, and maintaining Europe’s industrial edge, then we must act now with tools we already possess.
Transport sectors begging for ethanol
FuelEU Maritime and ReFuelEU Aviation chart mandatory reductions in transport emissions. The former requires ships to reduce CO2 intensity by 40 percent by 2030 and 80 percent by 2040, and the latter mandates 2 percent sustainable aviation fuels (SAFs) by 2025, climbing to 70 percent by 2050. But without crop-based biofuels, Europe lacks scalable feedstocks to meet these volumes.
Brazilian ethanol, especially via Alcohol-to-Jet (ATJ) pathways, delivers lifecycle greenhouse-gas reductions compared to fossil fuels. Some studies place this route as one of the most viable to reach aviation’s target of net-zero carbon emissions by 2050. For road transport, Brazil’s E100 and E27 blends prove reliable and clean, with engine compatibility validated by official tests. Maritime fleets can also retrofit engines to run ethanol blends, immediately improving carbon intensity.
The data are in: brazilian ethanol is affordable, abundant, measurable, and compliant with decarbonisation targets. The EU’s refusal to treat it equitably is political, not technical—and makes climate policy harder than it needs to be.
Brazil’s template: no food‑vs‑fuel conflict
One argument often used against crop-based biofuels is the supposed food‑vs‑fuel dilemma. Yet Brazil——offers a clear rebuttal. Over the past 20 years, sugarcane and corn ethanol production nearly tripled, yet domestic food output grew too, disproving any competition over arable land. Instead, expansion occurred largely on degraded pastureland, aided by intensive crop rotation that includes grains like soy or corn once fields have lain fallow.
Despite covering just about 1 percent of Brazil’s arable land, sugarcane ethanol fuels 44 percent of national gasoline demand and still supports record sugar exports—over 35 million tons in 2024. Moreover, independent reviews by the World Bank and OECD confirmed that this expansion did not push up global food prices. The myth of food rivalries flounders under real-world scrutiny.
What makes Brazil work?
Several elements explain Brazil’s success—and offer a roadmap for Europe.
First, strong regulation:
Brazil has one of the most stringent environmental laws in the world, known as the Forest Code. Under this law, every rural property is required to preserve between 20% and 80% of its land with native vegetation, depending on the biome. In addition, riparian zones and other environmentally sensitive areas must also be protected
Second, RenovaBio—the national biofuel policy launched in 2017—establishes lifecycle carbon-intensity scoring, decarbonisation credit trading, and mandatory targets for fuel distributors. This market-driven structure incentivises efficiency, innovation, and GHG reductions at scale.
Third, integrated industrial strategy: sugarcane mills self-generate electricity from bagasse, powering their operations and feeding some to the national grid. In 2024, the electricity contributed by these mills was equivalent to 42% of Portugal’s, 60% of Denmark’s, and 38% of Switzerland’s total electricity consumption.
Finally, it champions innovation and productivity. With public‑private research via EMBRAPA and universities, sugarcane yields climbed from ~2,000 L/ha in 1975 to nearly 7,000 L/ha by 2024—delivering climate gains on every hectare.
Europe’s missed opportunity—and how to fix it
Europe’s RED should embrace this integrated, science-first model. Replace arbitrary feedstock caps with performance-based thresholds that reward carbon savings, not punish them. Annex IX should drop technology hierarchies in favor of lifecycle CO2 intensity metrics. Zoning must be paired with certification schemes mirrored on Brazil’s model—ensuring feedstocks don’t encroach on forests or high-value ecosystems. And biofuel policy needs market mechanisms like RenovaBio’s carbon crediting to channel investment into decarbonisation.
By studying Brazil’s public-private alignment, research networks, and regulatory coherence, Europe can adopt—and adapt—its success to regional conditions. No tropical yields? Fine. But zones of degraded land could yield intensification gains in Eastern Europe, the Balkans, or Iberian Peninsula. Bagasse power plants could become biogas hubs. Ethanol-rich blends can be rolled out in heavy-duty fleets, shipping, and backyards. Innovation can drive homegrown bio-refineries. The scaffolding is universal ; adaption is key.
Politicised regulation makes the task needlessly hard
Let’s be clear: crop-based ethanol is no silver bullet. Indirect land-use change matters; fuels must be sustainably sourced and certified. Yet when rigorously managed, crop biofuels are among the most effective decarbonisation instruments available—and they scale fast.
The EU’s current path—capping smart, sustainable solutions, promoting others with marginal gains, and erecting administrative barriers—makes achieving climate goals harder than it should be. The question is whether Brussels wants to hit net zero or to create showpiece gestures. The answer is visible in the gaps between targets and deliverable solutions.
Europe needs less symbolism, more system
Decarbonisation isn’t easy. But with coherent policy, regulated feedstock use, incentivised innovation, and open-mindedness to crop-based biofuels, Europe could slash emissions across road, sea, and air transport. Brazilian ethanol offers a validated, low-carbon, land-efficient pathway that improves food security and energy resilience.
If Europe continues to make regulatory barriers more important than carbon savings, it will indeed make decarbonisation harder than necessary. If instead it studies Brazil’s system—rigorous zoning, lifecycle carbon markets, industry‑scale efficiency—then it can make the task just difficult enough to be meaningful. The clock is ticking.
Raquel Lages is an international affairs and public policy expert with over 15 years of experience in lobbying and political campaigning across Europe—including extensive work within EU institutions—as well as in Africa, Brazil and the Middle East. Raquel’s areas of specialization include sustainable biofuels, agriculture, bioenergy, cybersecurity, strategy, geostrategy, geopolitics, public affairs, and civil crisis management. Her career spans influential roles with international organizations such as the United Nations and European Institutions, as well as significant collaborations with NGOs, national governments, heads of state, and private enterprises.