This project contributes to understanding and enhancing socioeconomic and environmental benefits of biofuels through modeling the effect of prices and policy incentives on fuel markets for “hard-to-decarbonize” transportation sectors. The main analytical tool used in this project is the BioTrans model, originally developed to assess and quantify the economic and energy security benefits of biofuels for light-duty vehicles and bioproducts.
A primary objective of current U.S. biofuel law – the “Energy Independence and Security Act of 2007” (EISA) – is to reduce dependence on imported oil, but the law also requires biofuels to meet carbon emission reduction thresholds relative to petroleum fuels. EISA created a renewable fuel standard with annual targets for U.S. biofuel use that climb gradually from 9 billion gallons per year in 2008 to 36 billion gallons (or about 136 billion liters) of biofuels per year by 2022. The most controversial aspects of U.S.
ABSTRACT: A growing number of countries are implementing greenhouse gas (GHG) emissions trading schemes. As these schemes impose a cost for GHG emissions they should increase the competitiveness of low carbon fuels. Bioenergy from biomass is regarded as carbon neutral in most of the schemes, therefore incurring no emission costs. Emissions trading schemes may therefore encourage increased use of biomass for energy, and under certain conditions may also incentivize the construction of new bioenergy plants.