Corporate Partnerships in Drop-in Biofuels
Two weeks ago, we posted a blog post that looked at investments in electric vehicles vs. drop-in fuels which showed a comparable amount of dollars having been invested into these two technology areas. As evidenced by the current market, investment into electric vehicles has led to significant progress as Tesla Model S, Nissan Leaf, and other electric vehicles continue to flood the showroom. Similarly, we are also seeing major partnerships from key corporate stakeholders with the goal of a wider adoption of drop-in biofuels.
- Global Bioenergies, the France-based developer of renewable drop-in fuels, has partnered with German-based manufacturer Audi for a two-year collaboration on the development of high performance biofuels for gasoline engines.
- Boeing, the U.S.-based aerospace and defense corporation, partnered with Etihad Airways to create an aviation biofuel industry; Etihad Airways also conducted a demonstration flight using renewable aviation biofuel.
Although much debate has been raised on the disadvantages of alcohol-based biofuels, the industry continues to evolve with new technologies and products that address these concerns. As an example, Global Bioenergies is developing a renewable drop-in fuel that is 100% compatible with existing gasoline engines. As a result, automobile manufacturers such as Audi can benefit from this potential fuel source for its gasoline engine fleet while expanding its product portfolio with electric vehicles. In the case of Boeing and Etihad Airways, aviation biofuel still remains as a relevant area for commercial airliners since long-haul operating range is a key issue for the airlines industry. As electric-based power system cannot yet sustain 10+ hours of continuous operation, liquid fuel remains as the only viable option for the foreseeable future.