The renewable transport fuel obligation has taken effect, which the Renewable Energy Association (REA) has said will require fuel companies to more than double the amount of renewable fuel they supply by 2020.
There will also be a new incentive for producers of novel fuels from wastes.
A government consultation on the changes took place in the winter of 2016-17.
The REA said the obligation supports fuels including bioethanol and biodiesel, as well as gases such as biomethane and renewable hydrogen.
Grant Pearson, chair of the REA’s renewable transport fuels group, said: ”The introduction of these regulations comes as a great relief to domestic manufacturers of bioethanol and biodiesel.
“All of the biodiesel used in the UK is derived from wastes and residues, and this is expected to continue”
REA biogas group chair John Baldwin said: “The prospects are great for increasing the amount of renewable gas used for fuelling heavy goods vehicles. Running these HGVs on green gas reduces carbon emissions by almost 90%, plus it reduces particulates, NOx and noise.”
The Department for Transport said there was no specific target for fuel derived from wastes, but there was a development fuels target, which would increase from a 0.1% share of the total volume of fuel in 2019 to 2.8% in 2032.
Gaynor Hartnell, renewable transport fuel specials tatt the REA said: “It is not a problem that there isn’t a specific target as all fuel derived from waste double count compared to biofuels made from non-waste materials.”
She said development waste fuels were not yet common commercial propositions but any that came to market would be eligible for double renewable transport fuel certificates.