ARRIVA last night dismissed rival Virgin's claims to have launched the first environmentally-friendly biodiesel train in Europe.

The North-East train and bus company told The Northern Echo that it had been running trains in Germany on biodiesel for the past three years.

It also said it was investigating the possibility of using the blended oil in its trains in the UK.

The Sunderland firm spoke out after Virgin boss Sir Richard Branson recently launched the Class 220 Virgin Voyager train, which has been modified to run on biodiesel.

The train was branded as "the first in Europe" to use a blended fuel, which can significantly reduce carbon dioxide emissions.

However, Arriva said it first introduced biodiesel made from rape seed oil to its Regio Shuttle 1 train, in Brandenburg, Germany, in 2004.

Arriva said the fuel it uses is B100 - or RME (Rape Methyl Estera) - a 100 per cent pure biodiesel, which reduces CO2 emissions by up to 80 per cent. Virgin's new trains run on B20, a 20 per cent blend, which cuts emissions by only 14 to 16 per cent.

In Germany, Arriva's Bils bus business has also been using B100 on more than 100 of its vehicles since last August.

Joanne Kerrigan, Arriva's corporate communications manager, said using biofuels had a number of benefits.

"The use of biofuels is more environmentally friendly than regular diesel. RME is biodegradable and it produces less of the harmful CO2 emissions that contribute to global warming.

"Biofuels also have a favourable tax regime in Germany. By using biofuels we can make tax saving for future reinvestment in the franchise."

She said Arriva, which is bidding for the East Coast Main Line contract, is committed to exploring alternative fuel options for the future, and is considering introducing biodiesel to its trains in Wales.

"Arriva Trains Wales has a mixed fleet of trains and is exploring with engineers and fuel suppliers the implications and opportunities to use a biofuel blend in the future," she said.

"It is too early to give any timescales for a specific project in Wales, however, as a European operator we will of course be sharing best practise from where we have already used biofuels."