The biofuel industry in North America has expanded significantly in recent years. The nation is acknowledging the potential of the sector and is making efforts to promote biofuels. Of late, new requirements and regulations as part of the Renewable Fuels Standard are in place. As a result, we see a growth-oriented approach that extends to the study, advancements, and production of biofuels.
Geographically, the biofuel industry is dominated by North America. What fuelled this ascend to the top were favorable government initiatives. Furthermore, there is sufficient feedstock available for biofuel production in almost all countries part of North America.
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Biofuels are mainly developed as viable replacements for petroleum. The former is an obvious choice as it is biodegradable, free of sulfur, and non-toxic. Moreover, biofuels are available through renewable sources that make them economically viable.
Also, petroleum is being leveraged extensively across the globe. Incoming data suggest that the use is going to increase in the future. It is possible that towards 2070 to 80, the world will run out of petroleum oil. The authorities are also worried about the potential health hazards to life and the environment.
Towards 2040, the world will have to deal with over 43 billion metric tonnes of greenhouse gas emissions. The severity of the issue naturally shifts the focus toward other options. The interest is toward readily available power options and renewable. Biofuels are the most preferred choice.
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The worldwide biofuel industry is all set for tremendous growth. The U.S. is going to going to be a significant player in these developments.
Canada is also promoting the growth of biofuels. Ethanol is the most prominent biofuel in both these nations. Ethanol with mix ratios in gasoline between 5 to 10% is expected. In some other locations, even higher blends are under exploration in some locales.
Here are some statistics:
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As per the statistics, Canada had used around 480 mn liters of renewable fuel by the end of 2021. Compared to 2020, there is a decrease as the statistics showed a consumption of 500 million liters. Yet, there is an increase as it was 380 million liters towards the end of 2019. In these years, the nation had to rely on imported renewable diesel.
According to the research, biodiesel and renewable diesel made up 2.8 percent of overall diesel fuel use in Canada last year, increasing from 2.7% in 2020 and 2.3% in 2019.
The manufacture of biodiesel production in the United States has grown substantially since the early 2000s. Today, the U.S. is the world’s second-largest producer of biodiesel. Last year, the exports were roughly about 4.3 billion barrels.
Is the Growth Sufficient?
Although the efforts and overall development are significant in the biofuels sector in both these nations, the growth needs to be improved per the requirements. The traditional biodiesel in these nations has plateaued.
However, colossal growth is anticipated. Concerning the location, North America has the most critical biofuel market sector. The industry may expand further by relying on the infrastructure support available for manufacturing biofuels and favorable government regulations.
The U.S. is the world’s leading biofuel-producing nation in the world. Recent statistics confirm that the U.S. biofuel consumption will be around 95 million metric tons by 2030.