Domestic Fuel

A market research and advisory firm is predicting that camelina will be the feedstock for a billion gallons of biofuels a year by the year 2025.

In their new report, entitled “Camelina Aviation Biofuels Market Opportunity and Renewable Energy Strategy Report,” researchers at Biomass Advisors say the non-food energy crop will be producing biofuels for the aviation and biodiesel sectors, accounting for 25,000 new jobs, more than $5.5 billion in new revenues and $3.5 billion in new agricultural income for U.S. and Canadian farmers:

The report follows recent announcements by Sustainable Oils and Alt-Air, among others, to provide 100 million gallons of Camelina-based jet fuel to a consortium of 15 airlines starting in 2014. Camelina Aviation Biofuels provides an objective, in-depth assessment of Camelina and the market drivers behind aviation industry activity…

The forecast is based on multiple factors including available land, historical trends in land-use change, and crop yields. It also includes an overview of relevant biofuel market and policy drivers, as well as emerging legislation and regulation creating a market for sustainable energy crops like Camelina. The report provides a detailed analysis of Camelina economics, including biofuel feedstock costs, petroleum parity analysis, and a summary of more than 75 Camelina research projects in over 20 U.S. states.

The researchers credit what looks like the upcoming renewal of the federal $1-a-gallon biodiesel tax incentive and camelina’s ability to defuse the food versus fuel argument for their optimism about the grain.