Transportation consumes 28% of US energy, and 60% of that is consumed by personal transportation. Because liquid fuels have high energy density, they will be the dominant fuel, until batteries have improved enough to support plug‐in cars on an economic basis. Fifty million acres of energy crops plus agricultural wastes can produce roughly half of all of current US consumption of gasoline. Although ethanol from corn has received much attention as a possible substitute for gasoline, other biofuels feedstocks such as perennial grasses and agricultural wastes have greater potential for a much more environmentally friendly substitute for oil. The advantages of grasses over food crops such as corn include higher yield for given water and nutrient inputs; lower soil depletion and fertilizer run‐off pollution. The major challenge in biofuels production from perennials is to improve the efficiency of conversion of the plant material to fuel. This paper describes some of the research that is being done to make biofuels from cellulose.

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