Connect with us

Hi, what are you looking for?

CleanTechnica

Biofuels

The Non-Food Biofuel Sector Should Grow Significantly, Lux Reports

Originally Published in the ECOreport.

Lux-Research-Biofuels

The biofuel industry has been enjoying a 19.6% annual growth since 2005. That is about to change. The World’s 53.2 billion gallon biofuel industry could grow to over 60 billion gallons during the next few years. Much of this will come from riskier next generation technologies.

Approximately 65.9% of global biofuel capacity in 2013 was ethanol, and this should increase slightly over the next few years.

Biodiesel shall continue to be the worlds’ second largest biofuel, and capacity should reach around 18.6 billion gallons a year by 2017.

The strongest growth will be in products like non-food diesel, butanol, biojet, and biocrude, which should increase at a rate of about 18.7% a year and control 3.3% of the market by 2017.

“Next-generation feedstocks like waste oils and cellulosic biomass are not tied up in the food supply and could unlock significant economic advantages, assuming novel conversions commercialize,” said Andrew Soare, Lux Research Senior Analyst and the lead author of the report titled, “Emerging Feedstocks and Fuels Spark Biofuel Capacity Expansion through 2017.”

“Meanwhile, next-generation fuels like renewable diesel will break down current barriers and drive long-term biofuel capacity expansion,” he added.

“Of the 782 MGY of announced cellulosic ethanol capacity, we expect 384 MGY to come to fruition, led by companies such as Beta Renewables, POET-DSM, and Abengoa,” the report states. “Renewable diesel from waste will emerge as a key biofuel process, while butanol and biocrude producers have the flexibility to sell into the chemicals market, and their effect on overall biofuel capacity remains minor.”

Close to 80% of the renewable diesel capacity over the next few years is already online, with players like Neste Oil and Diamond Green Diesel leading the market.

Gevo owns the only existent butanol facility and that is expected to come online soon.

AltAir has signed a 15 million gallon biojet contract with United Airlines. While this amount is relatively insignificant, it could signal the beginning of a shift in the industry.

Algal biofuels, such as Sapphire Energy’s much talked about green crude, are still years away from making a significant contribution to the market.

Americas’ biofuel industry enjoys high utilization and significant export, but is still threatened by regulatory instability.

There should be considerable growth in Europe, which has a 10% blending target for 2020, and in China. Non-food biofuels could meet China’s energy needs.

Lux Research analysts compiled a database of over 1,700 biofuel production facilities in 82 countries for this study

The report, “Emerging Feedstocks and Fuels Spark Biofuel Capacity Expansion through 2017,” is part of the Lux Research Alternative Fuels Intelligence service.


Appreciate CleanTechnica’s originality? Consider becoming a CleanTechnica Member, Supporter, Technician, or Ambassador — or a patron on Patreon.

 
 
Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Written By

is the President of Cortes Community Radio , CKTZ 89.5 FM, where he has hosted a half hour program since 2014, and editor of the Cortes Currents (formerly the ECOreport), a website dedicated to exploring how our lifestyle choices and technologies affect the West Coast of British Columbia. He writes for both writes for both Clean Technica and PlanetSave on Important Media. He is a research junkie who has written over 2,000 articles since he was first published in 1982. Roy lives on Cortes Island, BC, Canada.

Comments

#1 most loved electric vehicle, solar energy, and battery news & analysis site in the world.

 

Support our work today!

Advertisement

Power CleanTechnica: $3/Month

Tesla News Solar News EV News Data Reports

Advertisement

EV Sales Charts, Graphs, & Stats

Advertisement

Our Electric Car Driver Report

30 Electric Car Benefits

Tesla Model 3 Video

Renewable Energy 101 In Depth

solar power facts

Tesla News

EV Reviews

Home Efficiency

You May Also Like

Clean Power

Innovation interest in renewable energy tech has been declining in recent years, achieving a peak around 4 years ago, according to a recent analysis...

Clean Power

If you already understand how much of a danger Trump is to cleantech and the future livability of our planet, sign this petition, and...

Batteries

It makes more sense from an economic standpoint to recycle old plug-in electric vehicle batteries than to reuse them directly for home energy storage,...

Market Research

Increases in distributed generation have resulted in challenges to the power sector’s traditional way of doing things, and could result in further disruption, according...

Copyright © 2021 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.