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Transitioning from Sweet to Green: the future of Biofuels

Updated: Mar 15, 2024

By Ivanka Lee - Hong Kong SAR


An Impetus for Biofuels

In 1973, the Saudi Arabian government imposed an oil embargo, bringing an oil-reliant world to its knees. Amidst a global crisis, Brazil, a country that was once 80 percent reliant on foreign fuels, birthed the first generation of biofuels in a fight for energy independence and economic stability.

The ‘Pró-Álcool’ program encouraged the development of domestic ethanol production via sugarcanes, significantly reducing the nation's dependence on foreign fuels. By 1981, 90 percent of the new cars sold in Brazil could run on both ethanol and gasoline, and their prices could successfully compete with the prices of cars run on fossil fuels due to low production costs. This made biofuels accessible and affordable for the public, which played a key role in their popularity in Brazil.

While there is no doubt that sugarcane ethanol biofuels have played a pivotal role in Brazil’s leading development in renewable energy, evolving social and environmental concerns necessitate major innovations within the sugarcane ethanol industry. Microalgae is a promising new biofuel source with compelling advantages over sugarcane ethanol.

Lessons from Brazil’s Sugarcane Experience

The success of Brazil's sugarcane ethanol industry has hinged on the strategic expansion of sugarcane plantations. In addition to providing energy independence, sugarcane ethanol has also increased export revenues and generated employment opportunities. Today, Brazil has reached near complete energy independence with more than 84 percent of its power originating from domestic renewable sources. ‘Pró-Álcool’s inception has since saved US$27 billion on oil imports and has generated 1 million direct jobs.

Yet the taste of success has a human cost.


Throughout the years, plantations have been found to exploit sugarcane workers for manual labour. Since the government started undertaking rescue operations in 1995, about 8,000 individuals have been discovered working in slave-like circumstances on sugarcane farms in Brazil while earning below the minimum wage which violates human rights laws of the UN. Additionally, thousands of acres of land have been cleared for expanding sugarcane plantations, resulting in the destruction of numerous Indigenous communities such as the Guaraní-Kaiowá community. Multitudes of people are displaced and cut off from their food sources, as the increased use of pesticides and chemical fertilizers contaminates the soil and water. Intensified conflicts over Indigenous land have even led to the genocide of the Guaraini-Kaiwa tribe. These disastrous impacts of sugarcane plantations force us to look towards a transition to alternatives such as microalgae, which presents an opportunity to modernize Brazil’s biofuel industry.


Microalgae: The Future of Biofuels

In contrast to Brazil, most of the world does not have vast forests and arable land to grow sugar cane and produce biofuel. Microalgal biofuel provides a universal alternative to sugarcane ethanol.

Microalgae are photosynthetic organisms that have a high oil content, making them ideal for biofuel production. Unlike sugarcanes, microalgae can grow in a vast range of environments, including non-arable land and wastewater. This minimizes issues like deforestation and land use as microalgae does not need massive swaths of land to grow. The ability to grow in wastewater can be used to potentially treat industrial and agricultural waste.

In addition to microalgae’s ability to grow in diverse environments, microalgae can produce a wide diversity of biofuels—from biodiesel to bioethanol to biojet fuel—without necessitating engine modifications. Conversely, engine modifications are needed to produce a diversity of sugarcane biofuels. In theory, microalgae are a tantalizing carbon-neutral biofuel.

In practice, though, the microalgae industry still faces challenges. The development of cost-effective and scalable cultivation systems for microalgae has slowed down the advancement of microalgal biofuel. As a result, the market price for a gallon of microalgal biofuel is nearly double the price of a gallon of diesel. The large-scale production of microalgal biofuels also demands significant financial investments for infrastructure development. Consequently, the production of microalgal biofuels falls short on consumer demand, hindering accessibility and use. While producing approximately 36 billion gallons of microalgae biofuel annually, there remains a significant gap between production and demand given that the United States alone consumes 134.55 billion gallons of fuel a year.

A Synergistic Solution

The solution to biofuels might lie at the intersection of microalgae and sugarcane production. Sugarcane processing factories already possess the necessary infrastructure and expertise for biomass handling, fermentation, and distillation processes. Furthermore, the waste products generated during sugarcane processing, such as vinasse and bagasse, can serve as valuable nutrients and carbon sources for microalgae cultivation. This makes sugarcane processing factories ideal candidates to incorporate microalgal biofuel production. This symbiotic relationship allows for the utilization of resources that would otherwise be discarded, reducing waste and enhancing efficiency.

Furthermore, microalgae can improve the overall sustainability of the sugarcane industry. Microalgae can capture carbon dioxide emissions from the sugarcane processing factories, mitigating greenhouse gas emissions. Additionally, microalgae can be cultivated in factory wastewater, reducing the strain on freshwater resources.

Merging microalgae production with sugarcane processing factories can yield microalgal biomass for purposes beyond just biofuel. Microalgal biomass can be used for animal feed or high-value products like nutraceuticals and cosmetics, generating additional revenue streams for the industries. This product diversification can bolster the economic viability of the microalgae industry and pave the way for new growth opportunities.

Integrating microalgal biofuel production with sugarcane processing facilities presents a synergistic strategy for eco-friendly biofuel production. This approach maximizes resource utilization, reduces waste, curtails greenhouse gas emissions, and yields economic benefits. By leveraging the strengths of both these renewable technologies, we are charting a new course toward a more environmentally conscious and sustainable tomorrow.



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