Biofuel
Biofuel is a fuel produced over a short time span from biomass, not by the slow natural processes that form fossil fuels like oil. That single difference in timescale sits at the heart of why some people call it the answer to transport emissions and why others call it a problem dressed up as a solution. The carbon a biofuel releases when burned was first pulled from the air by the very crops grown to make it. So in theory the loop closes and nothing new is added to the atmosphere. The reality is far messier. Estimates of the climate impact of biofuels vary widely depending on the methodology and the exact situation examined. In some scenarios biofuel emissions look much like those of fossil fuels. In others, the use of biofuel produces negative emissions. How can one fuel be both? What does it take to grow energy instead of drilling for it? And why does a renewable fuel keep getting tangled up in a fight over food?
Up to 40% of the corn produced in the United States is used to make ethanol, and worldwide 10% of all grain is turned into biofuel. Those numbers explain why the "food vs fuel" debate follows biofuels everywhere. A 50% reduction in the grain used for biofuels in the US and Europe would replace all of Ukraine's grain exports. The competition is not abstract. First-generation biofuels, also called conventional biofuels, are made from food crops grown on arable land. Their sugar, starch, or oil content is converted into ethanol or biodiesel. When fuel demand pulls on the same fields that feed people, the tension is built into the system. To sidestep the dilemma, researchers turned to feedstocks that do not directly compete with food. Second- and third-generation biofuels, also called advanced, sustainable, or drop-in biofuels, draw on waste products and energy crops instead. Rice straw, rice husk, wood chips, and sawdust can all be converted through biochemical and thermochemical processes. Some of these feedstocks are byproducts of a main crop. Others grow on marginal land unsuited to food. The list runs to straw, bagasse, perennial grasses, jatropha, waste vegetable oil, and municipal solid waste, a quiet shift away from the dinner plate.
Ethanol fuel is the most common biofuel worldwide, and nowhere more so than in Brazil. It is an alcohol made by fermentation, mostly from carbohydrates in sugar or starch crops such as maize, sugarcane, or sweet sorghum. The production chain runs through enzyme digestion to release sugars from stored starches, then fermentation, distillation, and drying. The IEA estimates that ethanol production used 20% of sugar supplies and 13% of corn supplies in 2021. Distillation demands significant energy to generate heat, and where that heat comes from shapes the fuel's real footprint. Sometimes it comes from unsustainable natural gas. In Brazil the most common fuel for the job is bagasse, the fibrous residue left after sugarcane is crushed. In Europe, pellets, wood chips, and waste heat are more common. Ethanol can run in a vehicle in its pure form, labelled E100. More often it is blended into gasoline to raise octane ratings and improve emissions. Brazil produces and uses large amounts of bioethanol in vehicles, including some flex-fuel cars sold only there. The United States is the largest producer of bioethanol of all. The push away from corn and other food stocks toward non-food sources gave rise to cellulosic ethanol, drawn from trees and grasses.
Biodiesel is the most common biofuel in Europe, produced from oils or fats through a reaction called transesterification. Chemically it is mostly fatty acid methyl or ethyl esters, and it can run in its pure form, labelled B100, or blended into mineral diesel. The feedstock list is long: animal fats, vegetable oils, soy, rapeseed, jatropha, mahua, mustard, flax, sunflower, palm oil, hemp, field pennycress, Pongamia pinnata, and algae. Pure B100 can reduce emissions by up to 60% compared to diesel. It is non-toxic and biodegradable, with a high flash point of about 300 degrees Fahrenheit, against 125 degrees Fahrenheit for petroleum diesel. Because biodiesel is an effective solvent, it cleans residues left by mineral diesel, which means engine filters may need replacing more often as old deposits dissolve. The EU is the largest producer of biodiesel. In France, biodiesel is incorporated at a rate of 8% in the fuel used by all French diesel vehicles. The Avril Group, the leading European producer, makes a fifth of the 11 million tons of biodiesel the European Union consumes each year, under the brand Diester. A different path produces green diesel, also called renewable diesel or hydrotreated vegetable oil. Made by hydroprocessing biological oils with hydrogen, it has exactly the same chemical properties as petroleum diesel and needs no new engines or pipelines. It is being developed in Louisiana and in Gothenburg, Sweden, where Preem makes what is known as Evolution Diesel.
Biogas is a mixture composed mainly of methane and carbon dioxide, made when micro-organisms break down organic material without oxygen in a process called anaerobic digestion. Its trace components include water vapor, hydrogen sulfide, siloxanes, ammonia, and more. When the impurities are stripped away, it becomes biomethane. In Sweden, waste-to-energy power plants capture methane biogas from garbage and use it to power transport systems, while farmers can produce biogas from cattle manure in anaerobic digesters. Landfill gas, a less clean form, forms naturally in landfills and acts as a greenhouse gas if it escapes. Syngas takes a different route, made by partial combustion of biomass with too little oxygen to burn it fully. It can be burned directly in engines, turbines, or fuel cells, or converted through the Fischer-Tropsch process into a diesel substitute. Gasification normally relies on temperatures above 700 degrees Celsius. Then there are the smaller players. Butanol is formed by ABE fermentation, named for the acetone, butanol, and ethanol it yields, and Escherichia coli strains have been engineered to produce it. Bioethers act as octane enhancers, made by reacting iso-olefins such as iso-butylene with bioethanol. Ethers were introduced in Europe in the 1970s to replace the highly toxic lead in fuel.
By 2017, due to economic considerations, most efforts to produce fuel from algae had been abandoned or shifted to other uses. That outcome is striking, because on paper algae looked ideal. Algal fuels offer high yields and a high ignition point. They can be grown with minimal impact on fresh water resources, can use saline water and wastewater, and are biodegradable and relatively harmless if spilled. Crucially, cultivating algae and cyanobacteria does not require arable land, sidestepping the food competition that haunts earlier generations. These third- and fourth-generation biofuels can be produced by bioengineered organisms that use water, carbon dioxide, and solar energy. The fuels they secrete are expected to have higher photon-to-fuel conversion efficiency than older generations. The catch lies in the costs that do not show up in the chemistry. Production requires large amounts of energy and fertilizer, and the fuel degrades faster than other biofuels and does not flow well in the cold. When the full picture is measured, the environmental cost of building the infrastructure and energy for third-generation production has been shown to exceed the benefits the fuel provides. The method that needs no farmland remains, for now, stuck at the research level.
Biofuels can have greenhouse gas emissions as low as -127.1 grams of CO2 equivalent per megajoule when carbon capture is built into production, or above 95 grams when land-use change is significant. That enormous spread is the real story of biofuel sustainability. Feedstock and its origin, the production technique, system boundaries, and energy sources all push the number around. Many government policies respond by setting a floor: the European Union and the UK require biofuels to deliver at least 65% greenhouse gas emissions savings against fossil fuels, or 70% for renewable fuels of non-biological origin. Land-use change is the variable that does the most damage. Life-cycle assessments of first-generation biofuels show large emissions tied to converting land to grow more feedstock. Without that change, first-generation biofuels can on average emit less than fossil fuels. The trade-offs reach beyond carbon, into acidification, eutrophication, water footprint, and biodiversity loss. Palm oil drew the sharpest response. The European Commission has officially approved a measure to phase out palm oil-based biofuels by 2030, after unsustainable palm oil agriculture drove deforestation and pollution. One assessment from 2017 put the ceiling plainly: biofuels will never be a major transport fuel because there is not enough land in the world to grow plants to fuel all vehicles. They can, it added, be part of an energy mix that carries us into a future of renewable energy. The IEA points to where that part fits best, in applications that are difficult to electrify, such as shipping and aviation, where demand for aviation biofuel is forecast to rise toward 1% of aviation fuel by 2027.
Common questions
What is biofuel and how is it different from fossil fuels?
Biofuel is a fuel produced over a short time span from biomass, rather than by the very slow natural processes that form fossil fuels such as oil. It can be made from plants or from agricultural, domestic, or industrial bio waste, and is regarded as a renewable energy source.
What are the two most common types of biofuel?
The two most common types of biofuel are bioethanol and biodiesel. Bioethanol is an alcohol made by fermentation of sugar or starch crops, while biodiesel is produced from oils or fats using transesterification.
Which countries are the largest producers of biofuel?
The United States is the largest producer of bioethanol, while the EU is the largest producer of biodiesel. Brazil produces and uses large amounts of bioethanol in vehicles, including some flex-fuel cars available only in Brazil.
What is the food versus fuel debate about biofuels?
The food versus fuel debate concerns biofuels made from food crops competing with food production. Up to 40% of corn produced in the United States is used to make ethanol, and worldwide 10% of all grain is turned into biofuel.
Why did efforts to produce biofuel from algae mostly stop?
By 2017, due to economic considerations, most efforts to produce fuel from algae had been abandoned or changed to other applications. Algae production requires large amounts of energy and fertilizer, and the infrastructure and energy costs were shown to exceed the benefits provided.
How much of the world's transport fuel will biofuel supply by 2027?
By 2027, worldwide biofuel production is expected to supply 5.4% of the world's fuels for transport, including 1% of aviation fuel. Global demand for biofuels is predicted to increase by 56% over 2022-2027.
What did the European Commission decide about palm oil biofuel?
The European Commission has officially approved a measure to phase out palm oil-based biofuels by 2030. Unsustainable palm oil agriculture had caused significant environmental and social problems, including deforestation and pollution.
All sources
102 references cited across the entry
- 1BookHandbook of Biofuels ProductionAnshu Priya et al. — Woodhead Publishing — 2023
- 3JournalBiofuels and their sources of production: A review on cleaner sustainable alternative against conventional fuel, in the framework of the food and energy nexusSangita Mahapatra et al. — 2021
- 4JournalRecent advances and viability in biofuel productionShweta J. Malode et al. — 2021
- 5JournalBiofuels an alternative to traditional fossil fuels: A comprehensive reviewLubhan Cherwoo et al. — 2023
- 6JournalBiofuels: Past, Present, and FutureGabriel E. Lade et al. — 2025
- 7JournalSustainable ethanol production: CO2 emission analysis and feedstock strategies through life cycle assessmentVijay Kumar et al. — 2025-10-01
- 8JournalEnvironmental sustainability of biofuels: a reviewHarish K. Jeswani et al. — November 2020
- 13JournalSupplying the ethanol demand for 2030 in Brazil as a land-based climate change mitigation alternative: Implications on greenhouse gases emissionsGuilherme Pessoa Nogueira et al. — 2024-11-15
- 14JournalComparative operational carbon footprints of a vehicle in Brazil: Electric, ethanol, and gasolineJoão Marcelo Fernandes Gualberto Galiza et al. — 2025-12-01
- 15Renewables Report 20226 December 2022
- 16BookFuture energy: improved, sustainable and clean options for our planetElsevier — 2020
- 19JournalEffect of the use of additives in biodiesel blends on the performance and opacity of a diesel engineBayetero CM, Yépez CM, Cevallos IB, Rueda EH — January 2022
- 20JournalThe potential of biofuels from first to fourth generationPhilipp Cavelius et al. — 2023-03-30
- 22Advanced biofuelsEuropean Parliament
- 23BookThe Microbiology of the Drop-in Biofuel ProductionFlores LF, Osorio-Gonzalez CS, Saini R, Brar SK — 2024
- 25JournalBiofuels from Renewable Sources, a Potential Option for Biodiesel ProductionDhurba Neupane — 2022-12-25
- 26Is the biofuel industry approaching a feedstock crunch? – Analysis6 December 2022
- 27ReportBreaking the biological barriers to cellulosic ethanol: a joint research agenda.Houghton J, Weatherwax S, Ferrell J — EERE Publication and Product Library — 7 June 2006
- 28JournalBiofuel generations: New insights into challenges and opportunities in their microbe-derived industrial productionShahid Ahmad Padder et al. — June 2024
- 29ReportDagens och framtidens hållbara biodrivmedel: underlagsrapport från f3 till utredningen om fossilfri fordonstrafik.Börjesson P, Lundgren J, Ahlgren S, Nyström I — The Swedish Knowledge Centre for Renewable Transportation Fuels — 18 June 2013
- 30ButylFuel, LLC Main PageButanol.com — 15 August 2005
- 31NewsBiofuels aim higherEvans J — 14 January 2008
- 32JournalDirected strain evolution restructures metabolism for 1-butanol production in minimal mediaPontrelli S, Fricke RC, Sakurai SS, Putri SP, Fitz-Gibbon S, Chung M, Wu HY, Chen YJ, Pellegrini M, Fukusaki E, Liao JC — September 2018
- 33JournalBiodiesel fuel production by transesterification of oilsFukuda H, Kondo A, Noda H — January 2001
- 35Safflower oil hailed by scientists as possible recyclable, biodegradable replacement for petroleumLee T — Australian Broadcasting Corporation — 7 June 2020
- 37ReportFuel and Technology Alternatives for Buses. Overall Energy Efficiency and Emission Performance. IEA Bioenergy Task 46Nylund NO, Koponen K — VTT Technical Research Centre of Finland — 2012
- 38Biofuels FactsHempcar.org
- 39ADM Biodiesel: Hamburg, Leer, MainzBiodiesel.de
- 40Welcome to Biodiesel Filling StationsRRI Limited for Biodiesel Filling Stations — Biodieselfillingstations.co.uk
- 41Fast Pyrolysis and Bio-Oil UpgradingBrown R, Holmgren J
- 42Alternative & Advanced FuelsUS Department of Energy
- 44JournalComparative techno-economic and life cycle analyses of synthetic "drop-in" fuel production from UK wet biomassSylvanus Lilonfe et al. — 2024-01-01
- 45JournalA review of techno-economic analyses and life cycle greenhouse gas emissions of biomass-to-hydrocarbon "drop-in" fuelsSylvanus Lilonfe et al. — 2024-04-17
- 46JournalBiodiesel and renewable diesel: A comparisonGerhard Knothe — June 2010
- 48NewsBreakthroughs in Green Gasoline ProductionJessica E
- 49ReportA Brief Literature Overview of Various Routes to Biorenewable Fuels from Lipids for the National Alliance of Advanced Biofuels and Bio-products NAAB ConsortiumAlbrecht KO, Hallen RT — Prepared by the US Department of Energy — March 2011
- 51Wal-Mart To Test Hybrid TrucksSustainable Business — 3 February 2009
- 53ReportLiquid Transport Biofuels – Technology Status ReportEvans G — National Non-Food Crops Centre — 14 April 2008
- 54ReportLiquid Transport Fuels&Lubes - South Korean scientists use E. coli to make gasolineFuels&Lubes Daily — 2013-11-04
- 55Bioethers Impact on the Gasoline PoolRock K, Korpelshoek M — Digital Refining — 2007
- 57Impact Assessment of the Proposal for a Directive of the European Parliament and of the Council modifying Directive 98/70/EC relating to the quality of petrol and diesel fuelsCommission of the European Communities — 2007-01-31
- 58Bio-Ethers as Transportation Fuel: A ReviewSukla MK, Bhaskar T, Jain AK, Singal SK, Garg MO — Indian Institute of Petroleum Dehradun
- 59What are Bio-Ethers?. The European Fuel Oxygenates Association
- 60GasolineEnvironmental Protection Agency
- 62JournalTechniques for transformation of biogas to biomethaneE. Ryckebosch et al. — May 2011
- 63A Detailed Economic Assessment of Anaerobic Digestion Technology and its Suitability to UK Farming and Waste Systems (Andersons)National Non-Food Crops Centre — 2008-10-04
- 64NewsIn Sweden, Trash Heats Homes, Powers Buses and Fuels Taxi FleetsAmy Yee — 2018-09-21
- 65ThesisElectricity from wood through the combination of gasification and solid oxide fuel cellsNagel F — Swiss Federal Institute of Technology Zurich — 2008
- 66Biofuel from Algae: The Pros and Cons of Pond Scum29 January 2020
- 68JournalPlacing microalgae on the biofuels priority list: a review of the technological challengesGreenwell HC, Laurens LM, Shields RJ, Lovitt RW, Flynn KJ — May 2010
- 69JournalSustainability evaluation of biodiesel production using multicriteria decision-makingDinh LT, Guo Y, Mannan MS — 2009
- 70JournalComparative life cycle assessment of biodiesel from algae and jatropha: A case study of IndiaAtta Ajayebi et al. — December 2013
- 71JournalLife-cycle analysis on biodiesel production from microalgae: Water footprint and nutrients balanceJia Yang et al. — January 2011
- 72First Algae Biodiesel Plant Goes Online: 1 April 2008Cornell CB — Gas 2.0 — 29 March 2008
- 73JournalBiodiesel from oilgae, biofixation of carbon dioxide by microalgae: A solution to pollution problemsDemirbas AH — 2011
- 74JournalInexpensive oil and fats feedstocks for production of biodieselDemirbas AH — 2009
- 75JournalBiofuel production: Challenges and opportunitiesM.V. Rodionova et al. — March 2017
- 76Hard Lessons From the Great Algae Biofuel BubbleWesoff E — 19 April 2017
- 77JournalFrom first generation biofuels to advanced solar biofuelsAro EM — January 2016
- 78JournalFourth generation biofuel: A review on risks and mitigation strategiesAbdullah B, Muhammad SA, Shokravi Z, Ismail S, Kassim KA, Mahmood AN, Aziz MM — June 2019
- 79JournalPotential of biofuels from algae: Comparison with fossil fuels, ethanol and biodiesel in Europe and Brazil through life cycle assessment (LCA)Maria Luisa N. M. Carneiro et al. — 2017-06-01
- 80JournalBiofuels versus climate change: Exploring potentials and challenges in the energy transitionRafael Cardoso Rial — May 2024
- 81JournalMetabolic engineering of algae for fourth generation biofuels productionLü J, Sheahan C, Fu P — 2011
- 82JournalAnaerobic digestion of food waste – Challenges and opportunitiesFuqing Xu et al. — 2018-01-01
- 83JournalA comprehensive review of the recent development and challenges of a solar-assisted biodigester systemH.M. Mahmudul et al. — January 2021
- 84JournalBiogas and its opportunities—A reviewPanagiotis G. Kougias et al. — June 2018
- 85JournalReviewing the anaerobic digestion of food waste for biogas productionCunsheng Zhang et al. — October 2014
- 87NewsIndonesia's biodiesel drive is leading to deforestation8 December 2021
- 88JournalEnvironmental sustainability of biofuels: a reviewJeswani HK, Chilvers A, Azapagic A — November 2020
- 89JournalThe greenhouse gas benefits of corn ethanol – assessing recent evidenceLewandrowski J, Rosenfeld J, Pape D, Hendrickson T, Jaglo K, Moffroid K — Informa UK Limited — 2019-03-25
- 92JournalEnvironmental outcomes of the US Renewable Fuel StandardLark TJ, Hendricks NP, Smith A, Pates N, Spawn-Lee SA, Bougie M, Booth EG, Kucharik CJ, Gibbs HK — March 2022
- 93NewsFood vs fuel: Ukraine war sharpens debate on use of crops for energyEmiko Terazono et al. — 12 June 2022
- 94NewsGuest view: Global hunger fight means no biofuel6 June 2022
- 95NewsCutting biofuels can help avoid global food shock from Ukraine war14 March 2022
- 96JournalSecond-generation biofuels and local bioenergy systemsAntizar-Ladislao B, Turrion-Gomez JL — September 2008
- 97JournalSecond generation biofuels and the competition for forest raw materials: A partial equilibrium analysis of SwedenBryngemark E — December 2019
- 98Book3rd generation biofuels: disruptive technologies to enable commercial productionWoodhead Publishing, an imprint of Elsevier — 2022
- 99Biofuel Made from Algae Isn't the Holy Grail We ExpectedHakai Magazine
- 100JournalBiofuel production: Challenges and opportunitiesM. V. Rodionova et al. — 2017
- 101NewsPalm Oil Exporter Indonesia Concerned by EU's Deforestation Law22 May 2022
- 102NewsEU palm oil use and imports seen plummeting by 20328 December 2022
- 103JournalThe Real Path to Green Energy: Hybrid Nuclear-Renewable PowerCharles Forsberg — January 2009