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Biofuels Still Face Challenges

Navigant BiofuelNavigant Research forecasts that global biofuels consumption in the road transportation sector will grow from more than 32.4 billion gallons per year (BGPY) in 2013 to more than 51.1 BGPY in 2022.

Navigant Research examines the challenges faced by this fuel source in a new report. In the last 10 years, an increase in ethanol production capacity in the United States and Brazil, and biodiesel in Europe, has resulted in biofuels gaining a foothold in the global market for liquid fuels. The global biofuels industry is now on the verge of entering a new phase of development focused on advanced and drop-in biofuels.

Conventional biofuels – ethanol and biodiesel – are the most near-term solutions to displacing petroleum-based fuels in transportation.

Further advances in biofuels derived from non-food feedstocks and biofuels that are drop-in-capable promise to significantly alter the petroleum industry landscape.

Despite the huge potential, however, biofuels are still challenged by issues such as feedstock access, supply chain infrastructure development, and achieving price parity with the well-established petroleum industry.

The study provides an analysis of the major demand drivers and market challenges related to biofuels technologies. The report also examines the key technologies associated with biofuels, as well as the competitive landscape.

 

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