In most countries, biofuels remain highly dependent on public support policy. This report estimates support to the US, EU and Canadian biofuel supply and use in 2006 at about USD 11 billion per year, projected to rise to USD 25 billion in the medium term (all medium-term projections in this executive summary refer to the annual average for the 2013-17 period). . .(via Planet Gore)
The sometimes predicted improved economic viability of biofuel production and use associated with higher crude oil prices so far has not materialised in many countries. Most production chains for biofuels have costs per unit of fuel energy significantly above those for the fossil fuels they aim to replace. Despite the rapid and substantial increase in crude oil prices and hence in the costs for gasoline and fossil diesel, the cost disadvantage of biofuels has widened in the past two years as agricultural commodity prices soared and thereby feedstock costs increased.
source: OECD at 20
Saturday, July 26, 2008
Chart of the Day
The Organization for Economic Cooperation and Development (OECD), Economic Assessment of Biofuel Support Policies (July 2008), at 8, 9: