The Competetive Market of Biofuels

Biofuels are garnering renewed attention as they prove not only to be an alternative to petroleum products, but because they have other environmentally friendly applications as well. Anything from sugar cane, to algae, to willow trees (wood biomass pictured on the left) are being used to create bioproducts, including biochemicals, and biofuels. All of this is being done on a large scale, quickly, cleanly and, incredibly, cheaply. Some of the bioproducts that these facilities are creating are products that would otherwise be harmful to the environment, but that can be created without the same harmful pollutants. One such product is an adhesive that uses lignin, the natural glue in wood molecules, as an alternative to more harmful, synthetic glues. Another derivative of biomass is xylitol, a natural sweetener; certainly not something that can be made from petroleum refinery.





The implications of all of this green technology will likely be substantial. The ability of Pure Power, the company that Forbes focused on in particular, to create such a wide variety of products, and to do so in large quantities and cost effectively is a big breakthrough for business to have greater incentive to join the green movement. Pure Power is positioned to become a greater and greater power in biomass exploitation, as they plan to build one or two bio-refineries per year, first in North America, then Brazil and then Asia. Another sign that business has incentive to join create bioproducts is the fact that Pure Power has formidable competitors. As I mentioned in a previous blog post, and as Forbes cites, Solazyme is a major player in algal biofuel technology and proves a source of competition in this pioneering field. So, not only is there competition for what types of fuels will become major players in the future, but there is also competition as to who will produce them.



Scource: Forbes

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