Biofuels

The term biofuels refers to the utilisation of organic materials and converting them into an energy source. All they are is just a way of reducing our dependence on fossil fuels. The biofuels umbrella includes under its aegis ethanol and derivatives of plants such as sugar cane, as well as vegetable and corn oils. However, not all ethanol products are designed to be used as a kind of gasoline. As stated by the International Energy Agency (IEA), although presently, only two percent of the world's usable gasoline is composed of ethanol, by 2025 it would rise up to the figure of 10 percent and even up to 30 percent by 2050.

However, we have a long way to go to refine and make economic and practical these biofuels that we are researching and a study by Oregon State University proves this. We still have to develop an alternative to gasoline (from petroleum) that is equally, if not more efficient and practical. The way energy efficiency is measured comes from how much we derive from the source compared to how much was used to extract it. So far man has not managed to find an energy source that did not require more energy to produce it that it gave back. What has always been important is the conversion: the end product energy is what is useful for our needs, while the input energy is just the effort it takes to produce the end-product. Biodiesel fuel was recorded at 69% energy efficiency. One good piece of information did come from this research and that is that ethanol that has been derived from cellulose has a higher efficiency than that of nuclear energy at 85%.

Stock exchanges everywhere are looking to invest in these areas as the profitability of biofuels starts to be felt. Indeed, it is predicted by a consensus of analysts that these fuels will be supplying seven percent of the entire world's transportation fuels by the year 2030. If governments start to promote the use of these eco-friendly fuels more then some analysts believe the use of diesel and gasoline will reduce accordingly.

Brazil can be pointed out being the world's biggest producer of ethanol developed from sugars. 5 billion gallons of ethanol annually. Despite their love of gasoline, the United States is the second largest producer of biofuels. The European Union's biodiesel production capacity is now in excess of four million (British) tonnes. Now eighty percent of Europe's biodiesel comes from rapeseed oil with the remaining twenty percent from soybean and a little from palm oil.