Overview

World demand for energy is projected to more than double by 2050 and to more than triple by the end of the century. 

In the period from 2007 to 2009 world oil demand decreased from 86 million barrels per day to 84.4 million barrels per day.  The U.S and Europe have both seen declining rates in oil demand during this period.  China, Latin America and the Middle East, however, have seen a rise in oil demand, with increases of 400,000 barrels a day during the same period for China and Latin America, and an increase of 700,000 barrels a day in the Middle East.

Biofuels offer the only immediate alternative to fossil fuels. There are three major transport biofuels currently in production: ethanol, biodiesel and biogas.

In 2005, ethanol comprised about 1.2% of the world's petrol supply. Worldwide, 79% of the ethanol produced today is used as transport fuel.

Global ethanol production more than doubled between 2000 and 2005, to more than 34 billion liters.  From 2007 to 2008, production dramatically rose again, increasing from 49 to 65 billion liters.  Global production of biodiesel, starting from a much smaller base, expanded nearly fourfold. In contrast, oil production increased by only 7% from 2007 to 2008.