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Concept · SAF · Ethanol · HVO · Aviation

Biofuels and SAF

Biofuels are liquid fuels derived from biological material — the only near-term solution for decarbonising aviation and shipping. Ethanol from sugarcane (Brazil) and corn (USA), HVO drop-in diesel, Sustainable Aviation Fuel (SAF) for jet engines. Production costs, GPS-located facilities, and the land-use controversy.

Flagship asset
🌱 Drax Power Station, UK →
The world's largest biomass power plant — ~2,600 MW — and home to the world's largest operating BECCS carbon-capture pilot. Includes the contested carbon-neutrality debate.
Why biofuels matter

The fuels you cannot easily electrify — aviation and shipping

Aviation and maritime shipping together produce approximately 5% of global CO₂. Unlike cars, they cannot be straightforwardly electrified — jet fuel has approximately 43 MJ/kg energy density; lithium-ion batteries have approximately 0.9 MJ/kg. An electric long-haul aircraft would need batteries weighing 50× more than its fuel. Biofuels and synthetic fuels are the primary pathway to decarbonise these sectors.

~5%
Global CO₂ from aviation + shipping
0.1%
SAF share of jet fuel today (target: 5% by 2030)
3.3 MT/yr
Neste HVO capacity (60.40°N 25.65°E) — world's largest
80–90%
Lifecycle CO₂ reduction: HVO vs fossil diesel
Biofuel types

Ethanol, HVO, biodiesel, SAF — what each is and how it is made

Ethanol — first-generation, biggest volume:
Ethanol (C₂H₅OH) is made by fermenting sugars (from sugarcane, corn, wheat, or sugar beet) with yeast. Brazil and the USA produce approximately 80% of global fuel ethanol (~160 billion litres/yr combined). Brazil's sugarcane ethanol (Raízen, 23.43°S 47.45°W São Paulo state) is widely considered the world's most sustainable conventional biofuel — 90% lower lifecycle CO₂ than petrol, positive energy balance (~8:1 energy output/input). USA corn ethanol is more controversial: energy balance approximately 1.3–2:1, significant fertiliser use, and the "food vs fuel" debate. India's Ethanol Blending Programme targets 20% blending by (E20) — producing approximately 10 billion litres/yr from sugarcane molasses and grain. Source: IEA Bioenergy 2023 · USDA Biofuels 2024.
HVO and SAF — advanced and drop-in:
HVO (Hydrotreated Vegetable Oil) is made by hydroprocessing vegetable oils, animal fats, or used cooking oil with hydrogen — removing oxygen and saturating double bonds to produce hydrocarbons chemically identical to fossil diesel. Unlike FAME biodiesel, HVO requires no engine modification, no blending limit, and has better cold-weather performance. Neste (Helsinki, Finland) operates the world's largest HVO plant at Porvoo (60.40°N 25.65°E, 3.3 MT/yr) and Rotterdam (51.90°N 4.30°E). SAF is jet fuel produced from waste fats (HEFA-SAF — same process as HVO but to jet spec), agricultural residues (AtJ — alcohol to jet), municipal solid waste (FT — Fischer-Tropsch synthesis), or CO₂+H₂ (e-fuels/power-to-liquid). EU ReFuelEU Aviation mandates: 2% SAF from , rising to 70% by 2050. IATA targets 5% SAF by 2030 — requires a 50× scale-up from today's production. Source: IATA SAF Report 2024 · Neste AR 2023 · IEA Aviation Decarbonisation.
GPS-located facilities

Major biofuel and SAF production sites

FacilityGPSCapacityFuel typeNotes
Neste Porvoo Refinery60.40°N 25.65°E3.3 MT/yrHVO renewable diesel + SAFWorld's largest HVO facility. Neste, Finland. Feedstocks: waste fats, used cooking oil, palm fatty acid distillate. Also produces SAF for aviation. Supplies European airlines and HVO blenders.
Neste Rotterdam Refinery51.90°N 4.30°E1.3 MT/yrHVO + SAFNeste's second major HVO plant, integrated with Rotterdam refinery complex. Schiphol and Amsterdam airport nearby for SAF distribution.
Raízen — Piracicaba complex22.73°S 47.65°W~2 billion litres/yrSugarcane ethanol + CellulosicRaízen (Shell + Cosan JV) is Brazil's largest bioenergy company. Piracicaba region of São Paulo state — sugarcane heartland. Also produces 2G cellulosic ethanol from sugarcane bagasse (agricultural residue) at Raízen Costa Pinto facility — breakthrough in advanced biofuels.
POET LLC — Iowa Biorefinery Network42.00°N 93.62°W~8 billion litres/yrCorn ethanolPOET is the world's largest ethanol producer — 33 biorefineries across Iowa, South Dakota, Ohio. Converts approximately 4 billion bushels of corn into ethanol annually. POET Project LIBERTY (41.44°N 95.88°W, Iowa) is a cellulosic corn stover (agricultural residue) ethanol plant.
World Energy — Paramount California33.77°N 118.19°W~50 million gallons/yr SAFSAF (HEFA)World's largest dedicated SAF producer. Converts used cooking oil and waste fats into SAF. Supplies LAX and other California airports. California's LCFS (Low Carbon Fuel Standard) provides strong incentive for SAF production.
Indian Oil Delhi SAF trial28.56°N 77.10°EPilotSAF blended trialIndian Oil Corporation conducted India's first SAF-blended flight in January 2023 from Delhi IGI Airport — Spicejet flight with 1% SAF blend. India's DPIIT (Department for Promotion of Industry and Internal Trade) developing national SAF policy framework. Significant headroom — India is the world's 3rd largest aviation market.
Questions

Questions about biofuels

Can SAF really decarbonise aviation?
SAF can significantly reduce aviation's carbon footprint but faces severe scale and cost barriers. Today, SAF is approximately 0.1% of global jet fuel. IATA targets 5% by 2030 — which requires a 50× scale-up in 6 years, at a cost of approximately $1,500–3,000/tonne vs $700/tonne for conventional jet fuel. This cost premium means airlines either need blending mandates (EU ReFuelEU) or carbon pricing to make SAF economically competitive. Even at 5%, aviation would still emit 95% of its current CO₂. IATA's net zero 2050 target requires approximately 65% of aviation fuel to be SAF — an enormous challenge given feedstock availability. The HEFA pathway (from waste fats) has limited scalable feedstocks globally (estimated maximum ~75 billion litres/yr against aviation demand of ~300 billion litres/yr). Power-to-liquid (e-SAF from CO₂ + green hydrogen) can be produced at any scale but costs $3,000–5,000+/tonne today. Hydrogen-powered aircraft and battery-electric aircraft can serve short-haul routes by 2035–2040 but cannot serve long-haul. The realistic picture: SAF + hydrogen for short-haul will decarbonise approximately 30–40% of aviation energy by 2050; long-haul decarbonisation remains the hardest challenge in transport. Source: IATA SAF Report 2024 · IEA Aviation Decarbonisation · ReFuelEU Aviation regulation.
Provenance

Attribution and citation

Sources
IEA Bioenergy 2023 · IATA SAF Report 2024 · Neste Annual Report 2023 · USDA Biofuels Annual 2024 · ReFuelEU Aviation regulation
Cite as
"Biofuels and Sustainable Aviation Fuel — The Energy Codex", The Energy Codex, https://thecodex.expert/energy/biofuels/, last updated .