Global biofuels use to triple by 2040

Nov 13, 2014 - The worldwide use of biofuels is expected to more than treble in the period from 2012 to 2040 and reach the point where it represents 8% of road-transport fuel demand, a new report says.

More specifically, biofuels consumption will surge to 4.6 million barrels of oil equivalent per day (mboe/d) in 2040 from 1.3 mboe/d in 2012, according to the World Energy Outlook 2014 (WEO-2014) report published by the International Energy Agency (IEA) yesterday.

In 2040, nearly 20% of the entire biofuels supply will be associated with advanced biofuels, which will start gaining market share after 2020. Biofuel subsidies are seen to rise steadily and make up 20% of combined renewable energy subsidies over the next quarter of a century, due to limited cost reductions and increasing consumption, the agency notes.

The WEO-2014 central scenario shows that in the next couple of years wind, solar and the other green energy technologies combined can overtake gas as the second-largest source of power generation. After 2035 renewables are expected to surpass coal as the number-one electricity source. In 2040, renewables are to account for 33% of total power generation globally under IEA's central scenario.

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