Tesco is meeting with British farmers this week to discuss ways of sourcing an ingredient for petrol in the UK, which makes the fuel more environmentally friendly.

More than 150 Tesco petrol stations now sell unleaded petrol which contains five per cent bio- ethanol, a renewable product which delivers lower emissions of the greenhouse gas, carbon dioxide.

Bio-ethanol is currently produced in Brazil from sugar cane then imported to fuel supplier Greenenergy’s plant on the Thames Estuary, where it is blended and delivered to Tesco forecourts.

But Tesco is keen to see how the fuel - which can also be made from sugar beet and may be able to draw on vegetables - could be produced by British Farmers.

Lucy Neville-Rolfe, Tesco Group Director of Corporate Affairs, “This is an excellent opportunity for Tesco to work with British farmers to encourage the growth of the UK biofuels market.

“Bio-ethanol is a win-win for customers and the environment. It doesn’t have any adverse affects on a vehicle’s performance but it is a renewable product, which gives out less pollution.

“Currently the facilities don’t exist in the UK to produce bio ethanol in the volume required by Tesco, but it could be a big winner for British farmers too.

“We are going to explore British bio-ethanol sources with the farming community to see what opportunities exist.”

The government has stated that biofuels such as bio-ethanol can offer significant environmental benefits, notably by cutting greenhouse gas emissions, and is currently seeking to encourage their uptake in the UK.