Skip to Content

The High Costs of Biofuels

A new report warns of the dangers of relying on biofuels to reduce carbon emissions and oil consumption.
September 13, 2007

Although biofuels continue to have strong political support, they may not be a smart way to address global warming or wean countries off of oil. A new report from the Organisation for Economic Co-operation and Development (OECD), a respected international group with 30 member countries, including the United States, warns that increased use of biofuels will cause high food prices, won’t do much to offset petroleum consumption, and is an extremely expensive way to reduce carbon-dioxide emissions.

The idea that as farmers grow more crops destined to become fuel, rather than food, food prices will increase, isn’t new. The report adds that biofuels aren’t worth the cost. For various reasons, biofuels will only account for 13 percent of liquid fuels by 2050, doing little to offset petroleum consumption. What’s more, there are cheaper ways to reduce carbon-dioxide emissions. To achieve one ton of carbon-dioxide reductions costs more than $500 in subsidies in the Unites States. In contrast, a businessperson wishing to offset carbon emissions from airline flights can do so for less than $15 a ton. (Such offsets use efficiency measures, reforestation, and various renewable sources of energy to reduce carbon emissions.)

What, then, should be done about carbon-dioxide emissions from vehicles? Private offset programs will probably only take us so far. More-efficient gasoline and diesel cars, as well as electric vehicles and plug-in hybrids, can help. (See “Electric Vehicles 2.0.”) Biofuels can still play a role, but government investment should focus on research on second-generation biofuels (for example, ethanol from grass and agricultural waste), since these could have a far greater impact on carbon emissions than, say, the ethanol from corn grain produced today. Ultimately, instead of mandating the use of biofuels–or any particular technology, for that matter–the government should instead put a price on carbon-dioxide emissions, and let the market sort out the best strategy.

Keep Reading

Most Popular

transplant surgery
transplant surgery

The gene-edited pig heart given to a dying patient was infected with a pig virus

The first transplant of a genetically-modified pig heart into a human may have ended prematurely because of a well-known—and avoidable—risk.

Muhammad bin Salman funds anti-aging research
Muhammad bin Salman funds anti-aging research

Saudi Arabia plans to spend $1 billion a year discovering treatments to slow aging

The oil kingdom fears that its population is aging at an accelerated rate and hopes to test drugs to reverse the problem. First up might be the diabetes drug metformin.

Yann LeCun
Yann LeCun

Yann LeCun has a bold new vision for the future of AI

One of the godfathers of deep learning pulls together old ideas to sketch out a fresh path for AI, but raises as many questions as he answers.

images created by Google Imagen
images created by Google Imagen

The dark secret behind those cute AI-generated animal images

Google Brain has revealed its own image-making AI, called Imagen. But don't expect to see anything that isn't wholesome.

Stay connected

Illustration by Rose WongIllustration by Rose Wong

Get the latest updates from
MIT Technology Review

Discover special offers, top stories, upcoming events, and more.

Thank you for submitting your email!

Explore more newsletters

It looks like something went wrong.

We’re having trouble saving your preferences. Try refreshing this page and updating them one more time. If you continue to get this message, reach out to us at customer-service@technologyreview.com with a list of newsletters you’d like to receive.