Fianna Fáil has opposed plans which aims to end EU production of all crop based fuels.
Senator Jennifer Murnane O'Connor voiced her opposition to new proposals recently circulated by the European Commission which seeks to revise the Renewable Energy Directive.
She said it could have the unintended consequence of preventing the return of agriculture manufacturing to Carlow.
Senator O'Connor said: "If enacted, these proposals will have a disastrous impact on rural communities and farmers in particular. It will ban farmers from producing crop based biofuels and will effectively shut down the entire industry. The commission has done a complete u-turn on this issue considering it was encouraging farmers to grow such crops just a few short years ago.
"The European Committee of Professional Agricultural Organisations (COPA) has raised serious concerns about the Commission's proposals, particularly in relation to the negative impact it will have on the sugar beet industry and other crops which are being used to provide environmentally-friendly transport fuel. These concerns simply have not been addressed to date.
"Efforts have been underway for many years now to secure the return of sugar beet manufacturing to Carlow. It will be impossible for this industry to return to Carlow should these proposals be pushed through by the Commission."
(CD/LM)
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