Biofuel trends of 2011

2011 has been a "vintage year" for biofuels. With oil giants increasingly looking to invest and governments increasingly aware of the industry, Biofuels Digest have compiled the top trends of 2011 to give us an insider-insight into what to expect in the new year.

Biodiesel was predicted to demise in 2011, however, National Biodiesel Board chief executive officer Joe Jobe told Biodiesel magazine that tax credits and an 800 million gallon volume RFS2 requirement will make 2011 the biggest year yet for biodiesel sales in the US. Ethanol has also made a strong return. Described as being the "champion of biomass-based fuels", they have become pushed to the sidelines in public opinion, as drop-in fuels develop stigma. Many commentators question why ethanol fuels should be considered a superior alternative to drop-in hydrocarbons when refining fuels from biomass, a debate that is likely to continue throughout 2012.

Aviation has finally embraced biofuels, with US Navy secretary Ray Mabus and US Department of Agriculture secretary Tom Vilsack announcing this month that the Defense Logistics Agency  signed a contract to purchase 450,000 gallons of advanced drop-in biofuel. The first plane fuelled only on biofuels made a successful maiden voyage in Asia this year, attracting a great deal of media and government attention.

Other trends that are set to continue are the advancement of gas biofuels, the algae biofuels revolution, increased investment through venture capitalism and exploration into new global markets.