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Increasing the renewable transport fuel obligation buy-out price for fuel suppliers: consultation

"Suggests increasing the RTFO buy-out price for fuel suppliers and to ensure the continued greenhouse gas savings through biofuels.

Recent increases in the cost of biofuels relative to petrol and diesel mean that there is a greater risk that suppliers may ‘buy-out’ of their obligations to supply renewable transport fuel.

This would result in lost greenhouse gas savings plus impacts on the UK biofuels industry.

To combat this threat, we propose increasing the RTFO buy-out price to ensure the continued supply of biofuels and other renewable fuels.


28 July 2020 - consultation opened

11 August 2020 - consultation closed

25 September 2020 - outcome published:

"We were encouraged by the number of respondents that took part in the consultation. The majority of respondents agreed with our preferred option to increase the buy-out price from £0.30/litre to £0.50/litre.

In response, we intend to increase the RTFO buy-out price as proposed. Subject to Parliamentary timing and process, the increased buy-out price is expected to be in force for 1 January 2021"

Policy milestone details


Start date: 2020-7-28

End date: 2020-9-25

Countries: UK -

Milestone source: Link to DfT website

Milestone type: Consultation/call for evidence

Sector: Oil and gas - Energy demand and use -

Subjects: Road fuel prices - Liquid biofuels -

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