Decarbonising transport will require a range of bio-based fuels, especially fuels suitable for long-haul transport applications including aviation. A number of technologies to produce such fuels are being developed and commercialised. However so far, their production has only reached a limited scale and the costs of these advanced biofuels are currently higher than those of the fuels they aim to displace. It is therefore important to consider what scope there is to reduce the production costs of a range of advanced biofuels, and to identify under what conditions they could become affordable.
The webinar will summarise a new IEA Bioenergy report - “Advanced Biofuels – Potential for Cost Reduction”. This report updates estimates of the current costs of producing a selection of relevant advanced biofuels, identifies the scope for cost reduction and compares these costs with likely trends in fossil fuel prices, and those of conventional biofuels. It also examines the potential impact of policy measures, including carbon pricing, on the economic competitiveness of advanced biofuels.