The replacement of fossil fuels by biofuels is an ongoing effort in many countries. With decreasing oil reserves and increasing fossil fuel prices, bioenergy is a promising alternative. Advantages of biofuels can include a positive energy balance, reduction of greenhouse gas emissions and indirect effects, such as rural development. Studies based on life-cycle analysis conclude that when biofuel from energy crops is used to replace fossil fuels in transportation, a substantial reduction in net greenhouse gas emissions may result (from 80% to greater than 100% savings).

Biomass can also be used to generate electricity, with electric vehicles presenting several advantages over combustion engines. Wood, cellulose and biofuel generation of electricity and stationary generation of energy can be very efficient and are also being implemented as options. In the last 5 years we have seen a 109% increase in global biofuel production.

World projections provided by the Organisation for Economic Co-operation and Development (OECD)/Food and Agriculture Organisation indicate further increases in bioethanol and biodiesel production from the present 140 billion litres to 221 billion litres in 2021/2022, corresponding to an additional 60% increase.

Increased biofuel production, and the associated increase in production of energy feedstocks, raises sustainability concerns over issues such as changes in land use, competition between energy crops and food and feed crops, and impacts on ecosystem services, including soil and water resources. Mandates in a number of countries to substitute diesel/petroleum for biodiesel/bioethanol require a substantial contribution from advanced fuels to guarantee a reduction of greenhouse gas emissions.