Draft Law of Ukraine

"On Developing Production and Consumption of Biological Types of Fuel"

The draft determines biological types of fuel as fuel, fully produced from reproducible biological raw materials through biochemical methods.

The draft provides an exhaustive list of biological types of fuel, to which the law shall apply. They include:

• bio-ethanol;
• bio-diesel;
• bio-gas;
• bio-hydrogen.

Producers of bio-fuel are enterprises directly producing bio-fuel from reproducible biological raw materials. Consumers of bio-fuel shall include particularly enterprises using bio-fuel for obtaining mixed types of fuel.

Producers of motor gasoline shall produce gasoline using some bio-ethanol.

From January 1, 2005, Ukraine shall introduce a special state duty at 0.5% of the funds from volumes of selling petroleum products and bio-fuel by their producers and importers. The funds obtained thereby shall be used for stimulating production of bio-fuel and developing activity on growing plants optimally suitable for production thereof.