Annual biofuel demand forecast at 51 billion gallons by 2022
A new report from Navigant Research suggests global demand for biofuels for road transportation will grow from 32.4 billion gallons in 2013 to 51.1 billion by 2022.
“Developed nations in Europe and North America are beginning to see declines in liquid fuels consumption from the road transportation sector, due to increased vehicle fuel efficiency and growing interest in alternative fuel vehicles,” says Scott Shepard, research analyst with Navigant Research.
Petroleum consumption by the road transportation sector in the U.S. is expected to peak in 2016, according to the report, as biofuels grow to account for 8.7 percent of demand. Major stakeholders, including the airline industry and the U.S. Department of Defense, stand to benefit greatly from advances in drop-in biofuels and will continue to spur development of the technology, driving the price per gallon down to competitive levels.