This report evaluates the principal costs and benefits of the European Union’s biofuels industry, based on an assessment of best available information. Depending on the availability of data, some costs and benefits are quantified, while others have not been due to a lack of systematic or disaggregated information.

The debate on the costs and benefits of governments’ support to biofuels development has gained considerable momentum, especially in light of fiscal austerity measures and the “food versus fuel” debate associated with the impacts of biofuels expansion on agricultural markets.

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