Understanding bio-economics

Abstract

New plants for production of bio-based fuels, chemicals or plastics are being set up at an accelerating pace. However, this transition towards bio-based fuels, feedstocks and chemicals has not come without consequences. Increased demand has pushed up prices of key agricultural products such as maize and corn with the result that consumers - especially those in low income areas - have reacted with concern and protest. At the same time, environmental research institutes and lobby groups - and now some policy makers - have expressed concern about the effectiveness of this path in reducing fossil fuel use and greenhouse gas (GHG) emissions, about the availability of biomass (and the land required to produce it), and the consequences for biodiversity, deforestation and social relations.