Spain has set a mandate for a biofuel blending target of 8.5% in its gasoline and diesel by 2020.
The country will start by requiring a 4.3% blend from next year, which will be scaled up by the end of the decade until it reaches the blending target.
Spain aims to produce 20% of its electricity from renewables by 2020, in line with EU regulations, and says that 10% of transport energy should come from clean sources.
The country has set a limit of 7% on the use of biofuels from edible sources due to concerns of them competing with demand for food.
The government plans to establish a target for second-generation biofuels by 2017.