Biofuels are emerging as a potentially important fuel source in a world increasingly concerned by the converging global problems of rising energy demands, accelerating climate change, high priced fossil fuels, soil degradation, water scarcity, and loss of biodiversity.  Biomass is a renewable resource and, if properly produced and converted, can yield biofuels that have lower greenhouse-gas emissions than do petroleum-based gasoline and diesel.  Its abundance in U.S. makes it an attractive candidate to provide non-oil-based liquid fuels for the U.S. transportation system.

However, there are important questions about its economic viability, environmental impacts including carbon emissions and water use, infrastructure requirements, socio-economic ramifications on food, feed, and fiber production, and technology status. To be a viable alternative, a biofuel should provide a net energy gain, have environmental benefits, be economically competitive, and be producible in large quantities without reducing food and water supplies.