Official translation

Official translation Official translation REPUBLIC OF LITHUANIA LAW ON BIOFUEL 18 July 2000 No. VIII-1875 Vilnius Article

1. Purpose of the Law The purpose of the Law - to set legal conditions of biofuel production and use, when implementing the National Energy Strategy of the Republic of Lithuania and the Law of the Republic of Lithuania on Energy. Article
2. Objectives of the Law The objectives of this Law shall be as follows: 1) to regulate biofuel production and use; 2) to promote the use of local, renewable and alternative energy resources instead of imported fuel; 3) to promote biofuel production and use; 4) to promote the growing of agricultural crops from which biomass would be obtained for energy purposes; 5) to implement directives of the European Union (hereinafter referred to as the EU) regarding alternative energy and the commitments under the Kyoto Protocol to reduce emissions of greenhouse gasses; 6) to create legal conditions for obtaining biomass, converting it into biofuel, and using biofuel, as well as legal conditions of investments in biofuel industry; 7) to create new jobs in the field of biomass obtaining and conversion for energy purposes, as well as in the field of manufacturing of the equipment intended for the said purpose. Article
3. Main Definitions of this Law
4. “Biomass” means renewable resources of organic matter, including agricultural products and residues, wood and wood waste, animal manure, municipal solid waste and others.
5. “Biofuel” means flammable gaseous, liquid and solid products converted from biomass: dehydrated and denatured ethyl alcohol, methyl and ethyl esters of oil of biological origin, forestry residues and wood waste, straw, peat, agricultural residues, plants, biogass and other fuel of biological origin used to produce energy.
6. “Biogas” means gas of biological origin produced or converted from biomass or waste.
7. “Rapeseed methyl (ehtyl) ester (RME)” means biofuel produced from rapeseed oil and compound parts necessary in accordance with the technology. It may be used as diesel fuels.
8. “Biodiesel” diesel fuels produced from rapeseed oil or other oily plants, which contain not less than 30 per cent of oils of biological origin or their methyl or ethyl esters.
9. “Bio-oils" means lubricants and oils of biological origin, which contain not less than 70 per cent of materials of biological origin.
10. “Dehydrated and denatured alcohol” means ethyl alcohol, which contains additives established by the standard and not more than 0.5 per cent of water.
11. “Producer” means a natural or legal person as well as enterprises which do not have the rights of a legal person, producing biofuel which meets technical regulations and is suitable to be used in facilities or mobile objects consuming energy.
12. “User” means a natural or legal person as well as enterprises which do not have the rights of a legal person, which use biofuel or energy converted from biofuel. Article
13. Promotion of Biofuel Production and Use
14. Production of biofuel from the raw material originating in the Republic of Lithuania, as well as the use of biofuel shall be a State priority.
15. Tax privileges and guarantees established by tax laws, other laws and legal acts, shall be applied to biofuel producers, users and investors in biofuel production. Article
16. Competence of State Institutions
17. The Government of the Republic of Lithuania shall: 1) set and carry out a policy related to biofuel production and use promotion; 2) appoint an institution authorised by the Government, which is responsible for the enforcement of this Law; 3) draw up and approve programmes on biofuel production and use; while drawing up a draft State budget, provide for special-purpose appropriations from the State budget for such programmes; 4) support investment projects which are financed from the EU funds and other financial institutions; 5) establish the procedure for the use of confiscated alcohol to produce biofuel; 6) set a permitted part of fuel of biological origin in petrol or diesel fuel.
18. The Ministry of Agriculture shall support the growing of plant biomass for energy purposes, when necessary, establish and distribute quotas related to the growing of plant biomass.
19. The Ministry of Agriculture shall: 1) prepare and approve legal acts which establish biofuel production and use, essential requirements for biofuel; 2) establish the procedure of production of biofuel, biodiesel and bio-oils, which are used for internal combustion engines, as well as the use, storage, sale and blending thereof with petroleum products; 3) supervise the implementation of the requirements provided for in this part.
20. The Ministry of Science and Education shall support scientific research programmes related to biofuel production and use.
21. An institution authorised by the Government shall: 1) submit recommendations to the Government, institutions authorised by it, biofuel producers and users regarding the development of biofuel industry, promotion and regulation of biofuel production and use; 2) evaluate programmes of biofuel producers, which are submitted to receive assistance from the Government and institutions authorised by it; 3) carry out other activities provided for in its regualtions. Article
22. Competence of Local Self-government Institutions
23. Municipal councils shall promote biofuel use by fuel users located in their territory, within their competence create favourable economic conditions for biofuel production and investments in biofuel production.
24. When approving plans regarding the development of economy of municipalities, municipal councils shall: 1) establish the need and possibilities to produce and use biofuel; 2) trends of the development of biofuel production and use. Article
25. Technical Requirements and Standards of Biofuel and Bio-oils
26. The Ministry of Economy and the National Standardisation Institution shall, within their competence, prepare and approve in a manner prescribed by legal acts, technical regulations and standards of biofuel and bio-oils.
27. The Ministry of Economy shall, by 1 January 2001, prepare and approve the following technical regulations of biofuel and bio-oils. 1) rapeseed methyl (ethyl) ester (RME); 2) biodiesel; 3) dehydrated and denatured ethanol; 4) petrol containing up to 7 per cent of ethanol; 5) bio-oils containing not less than 70 per cent of fat of biological origin.
28. Biofuel and bio-oils sold in the Republic of Lithuania must be in compliance with technical regulations of the Republic of Lithuania. Article
29. Liability for Violation of the Law on Biofuel Persons who have violated this Law shall be held liable in accordance with the procedure established by the law of the Republic of Lithuania. I promulgate this Law passed by the Seimas of the Republic of Lithuania. PRESIDENT OF THE REPUBLIC VALDAS ADAMKUS