Advanced biofuels market size expected to top $848.6 billion U.S. by 2030
February 25, 2021
By Precedence Research
The global advanced biofuels market size is expected to surpass about $848.6 billion U.S. by 2030, according to Precedence Research.
Advanced biofuels are fuels derived from different biomass types, including agricultural, municipal, and other waste. They are also termed as biofuels of the second generation. Advanced biofuels are produced from woody/lignocellulosic crops with biomass, non-starch sugars, as well as the residues of the agricultural, making it more difficult to extract the fuel needed. Biofuels of the next generation are engineered to overwhelm the constraints of the maximum temperature freezing and the adverse effects of on the environment of biofuels of first generation, including biogas, vegetable oil, bio alcohols among others are capable of supplying vast amounts of fuel sustainably, with greater environmental benefits.
Advanced biofuels are inexpensive and help increase the energy mix and reduce the petroleum industry’s reliance. These variables lead to fostering greater acceptance by various governments and institutions. One of the most significant reasons for moving to advanced biofuels is that they are made from locally available feedstock that can be easily generated in any environment that supports them. Not only do they reduce dependency on energy sources dependent on petroleum, but they also benefit the agricultural sector by providing a way to make their waste financially beneficial.
Alternative fuels are gaining more interest because of uncertainties in global fuel markets, energy security, and the gradual rise in reducing carbon emission levels. Advanced biofuels are renewable sources of energy that dramatically reduce carbon emissions and provide commercial opportunities, leading to increased interest in their production. Increased research and development activities are gradually paving the way for the commercialization of advanced biofuels on a wide scale.
Biofuel blends are used in standard cars with little or no engine change, which encourages the use of blended fuels in vehicles. Governments across the globe are actively attempting to broaden the use of renewable energy sources, with a positive impact on the advanced biofuels industry. Via grants, tax credits, incentives, special loans, renewable energy adopters are encouraged, thereby boosting the development of the advanced biofuels industry. Some countries have set regional goals for the use of biofuels as a pure mix or as blends.
In countries such as Germany and India, governments are directing the use of biodiesel and bioethanol in their public transport systems. The Renewable Energy Directive (RED) of the European Union (EU) aims to allow 10 per cent of the transport system to use renewable energy by 2020. All above factors will projected to enhance the target market in the coming years.
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