Biofuel industry on the rise

New state and federal carbon and fuel-efficiency standards could give the nation’s biofuel industry a boost in the near future.

Measures like California’s Low Carbon Fuel Standard and the federal Renewable Fuel Standard could create incentive for nationwide innovation and increased biofuel production, which grew from 437 million gallons to 685 million gallons over last year, according to an Environmental Entrepreneurs report. That figure could jump to between 1.6 and 2.6 billion gallons by 2015.

The report also cites California’s landmark AB 32 climate-change legislation—which requires a 10-percent reduction in carbon intensity of transportation fuels by 2020—as a measure with potential to drive the industry’s growth.