Barriers to advanced biofuels: Addressing policy and finance barriers
report
The Netherlands aims to become climate-neutral by 2050, with advanced biofuels playing a key role in reducing greenhouse gas (GHG) emissions from hard-to-abate sectors such as aviation and maritime transport. These biofuels, produced from lignocellulosic waste and residues, hold significant potential in Europe but remain scarcely utilised. Beyond the transport sector, advanced biofuels can also support the development of bio-based chemicals, e-fuels, and contribute to negative emissions, all of which are critical for long-term climate goals. However, despite ambitious European and national targets, the market share of advanced biofuels remains very low. Most projects are still at the demonstration stage, and only a few initiatives are progressing towards Final Investment Decisions (FID). This gap between policy ambition and market reality is due to a series of technical, financial, and regulatory barriers. This study addresses the main obstacles hindering the large -scale deployment of advanced biofuels projects , focusing specifically on policy and finance barriers, and proposing practical solutions tailored to Dutch conditions. This research was financed with subsidy from the Ministry of Climate and Green Growth in the context of the Knowledge for Energy Policy Research Program.
TNO Identifier
1020150
Publisher
TNO
Collation
115 p.
Place of publication
Amsterdam