Biofuel from algae

Biofuel derived from algae has huge potential. It grows quickly and continuously in the right environment, especially when ‘fed’ by waste CO2 from a power station or factory. It doesn’t even need clean water.

A 2008 Government-funded investment scheme worth up to £26million predicted that algae could produce 70 billion litres of standard petrol and diesel globally every year by 2030. However, funding was cut in 2011 as part of wider cost savings, amid concerns that algae farming was just too pricey.

However, as with all expensive alternatives, algae becomes more attractive as traditional fossil fuels become more expensive themselves.

AA’s view...“Better suited to warm climates like Australia, but likely to be more developed by 2020. Very useful, as it can be used to produce both biodiesel and ethanol”

Chance of success: 30%

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