Global Algae Biofuel Market is valued at USD 6245.3 Million in 2020 and is expected to reach USD 10193.8 Million by 2027 with a CAGR of 7.25% over the forecast period.
Global Algae Biofuel Market: Global Size, Trends, Competitive, Historical & Forecast Analysis, 2021-2027- Rising use and production of renewable sources and growing concern about carbon emissions to drive the growth of Global Algae Biofuel Market.
Algae fuel, also known as algal biofuel or algal oil, is a liquid fossil fuel substitute that employs algae as a source of energy-rich oils. Algae fuels are a viable alternative to well-known biofuels like corn and sugarcane. Some algae species can produce up to 60% of their dry weight in the form of oil. Microalgae may produce enormous amounts of biomass and useable oil in either high rate algal ponds or photo bioreactors because the cells develop in aqueous suspension, where they have more efficient access to water, CO2, and dissolved nutrients. This oil can then be converted into biodiesel, which may subsequently be marketed for use in automobiles. Rural areas will profit financially from regional microalgae production and biofuel processing. Harder and Von Witsch were the first to propose growing microalgae as a source of lipids for food or fuel in 1942.
Biodiesel, bio-butanol, bio-gasoline, biogas, methane, and ethanol are all types of algae biofuels. One major benefit of using algae for biofuels is that it does not need the use of cropland for food production. The global demand for algaebiofuel is being strengthened by the development of innovative factors such as increased raw material development; increased final production volume of biofuels as well as other factors.
During the Covid-19 outbreak, the condition has impacted transportation and the utilization of algal biofuels. Projects regarding the manufacture of biofuels have been closed. The reduced transportation has negatively impacted the market growth of algae biofuels. However, in the post-covid period, the restart of industries and transportation brought the situation back to normal. As the climate situation worsens, the demand for clean and green energy sources may grow. Rising carbon emissions, the climate problem, and limited nonrenewable resources may drive the demand for algal biofuels in the coming future.
Global Algae Biofuel Market is segmented on the basis of type, application and region &country level. Based upon type, the market of algae biofuel is segmented into bioethanol, biodiesel, methane, bio-butanol, bio-gasoline, jet fuel, green diesel and others. Based on application, the global algae biofuel market is classified into aerospace, transportation and others.
Algae Biofuel companies are
News: Top Biofuel Maker Eyes Garbage in Widening Feedstock Hunt
June 7th, 2021; As demand for low-carbon fuel sources rises, the world's largest renewable-diesel maker is looking to transform everything from tree limbs to landfill waste into fuel for cars and planes. Neste Oyj is part of a group in Quebec province that is looking into the possibilities of developing a refinery that would use forestry debris such as treetops and branches to manufacture renewable diesel. The search for new feedstocks come as demand for traditional biofuel ingredients such as soy oil grows, adding to food inflation and forest degradation for plant commodities. More fossil-fuel companies are joining the market, while renewable diesel production capacity in the United States is predicted to nearly double by the end of 2024.
Neste, which works with low-carbon sources such as leftover cooking oil and animal fats, is also looking into potential raw materials such as crops used to replenish soil and solid landfill debris. In North America, the firm does not employ soy oil or other edible oils to manufacture renewable diesel.
Rising use and production of renewable sources may drive the market growth of global algae biofuel market. Microalgae biofuel production is commercially viable since it is less expensive than fossil fuels, does not require more land, improves air quality by absorbing CO2, and uses very little water. For instance; according to BioMed Research International; biodiesel production rates in Southeast Asian countries like Malaysia, Thailand, and Indonesia currently range from 70 to 250%. According to International Energy Agency; the algae-to-biofuels business has received more than $500 million in government investment from throughout the world. According to Frontiers Journal; Algal biomass production increased globally in 2016, reaching 32.67 Mt [fresh weight (FW)].
In addition, growing concerns about carbon emissions may also drive the growth of algae biofuel market. According to Algae Biomass Organization; when compared to petroleum fuels, algae-derived biofuel can lower CO2 emissions by 50 to 70% over their lifetime and has a similar Energy Return on Investment (EROI) as traditional petroleum. The system under consideration recycles nutrients, can process algal feeds containing up to 90% water, and the final product can be combined with refinery intermediates for refining into finished gasoline or diesel, resulting in significant energy savings throughout the process. Compared to petroleum fuels, algae biofuel can cut carbon emissions by up to 68%.
However, high capital investment in algae biomass and fuel production and technological challenges may hamper the market growth. In spite of that, increasing environmental awareness as well as limited nonrenewable energy sources can offer more opportunities for the further growth of the global algae biofuel market.
The global algae biofuel market is segmented into North America, Europe, Asia-Pacific Latin America and Middle East & Africa. North America is expected to dominate the global algae biofuel market within the forecast period owing to the increasing biomass production and high productivity rates in this region. For instance; according to U. S. Department of Energy, the most optimistic production scenario projected yearly average algal biomass and oil productivities of about 31 g/m2 per day with 50 percent dry weight oil content for the southwestern United States.
Algae ponds with high productivity cost roughly 70% less than activated sludge, which is the most commonly used water treatment technology in the United States. This economic reduction, along with the urgent need for expanded and enhanced wastewater treatment in the United States, has resulted in a deal scenario.
Europe is expected to witness a second high growth rate in global algae biofuel market. Rising production of algae biofuel through various projects of government of Europe may drive the market growth of algae biofuel in this region. For instance; European Technology and Innovation Platform; by 2016, the Direct Ethanol from MicroAlgae initiative aimed to create bioethanol from microalgae using low-cost scalable photobioreactors at a cost of less than 0.40 per liter.
The ALL Gas project (Industrial-scale Demonstration of Sustainable Algae Culture for Biofuels Production) use wastewater and a patented ""Light Enhancement Factor (LEF)"" to boost raceway pond biomass yield. The leftover algae were digested with wastewater sediments to make biogas, which was then cleaned and utilized to power at least 200 vehicles.
Middle East and Africa
|Historical data||2015 - 2020|
|Forecast Period||2021 - 2027|
|Market Size in 2020:||USD 6245.3 Million|
|Base year considered||2020|
|Forecast Period CAGR %:||
|Market Size Expected in 2027:||USD 10193.8 Million|
|Tables, Charts & Figures:||175|
|Key Players/Companies||Solazyme Inc., OriginOil Inc., Algae Production Systems, Proviron Industries nv's, SabrTech Inc., AlgaEnergy, Algenol, Culture BioSystems, Genifuel Corporation, Reliance Industries Limited, Biofuels Digest, Cellana Inc., Blue Marble Production, Sapphire Energy, solix biofuel, and others|
|Segments Covered||By Type, By Applications|
|Regional Analysis||North America, U.S., Canada, , Europe, Germany, France, U.K., Italy, Spain, Sweden, Netherland, Turkey, Switzerland, Belgium, Rest of Europe, Asia-Pacific, South Korea, Japan, China, India, Australia, Philippines, Singapore, Malaysia, Thailand, Indonesia, Rest Of APAC, Latin America, Mexico, Colombia, Brazil, Argentina, Peru, Rest of South America, Middle East and Africa, Saudi Arabia, UAE, Egypt, South Africa, Rest Of MEA|
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