Alco Bio Fuel / Bio-ethanol market

Produced from renewable resources, bio-ethanol is a clean-burning fuel that is also a good octane booster. Bio-ethanol is mostly used in combination with gasoline in low blends, of up to 25% ethanol. High blends, usually at 85% ethanol (E85) are increasingly being used in flexi-fuel vehicles (or FFV’s), which can run with any ethanol and gasoline blend. Energy strategies around the world are increasingly relying on biofuels such as bio-ethanol to enhance the sustainability of energy blends, manage costs and reduce dependence on imports.


86% of renewable ethanol produced in Europe in 2014 was for fuel use; the other 14% are used in traditional markets, such as beverages and industrial applications. Biggest producers worldwide are the United States, followed by Brazil, and in third position by Europe.World fuel ethanol production is 93 Million cubic  meters (93 Billion litres), Europe representing 5,5 to 6 Million Cubic Meters, or 4,7% average blend with gasoline.


Source : Renewable Fuel Association

Source : Renewable Fuel Association


For all usages, European production in 2014 was 6,6 Million Cubic Meters (source: ePure).

The European Energy Directive of April 2009 (Renewable Energy Directive = RED) sets a mandatory target of 20% renewable enrgy in the EU consumption by 2020, including a sub-target of 10% for transport, in each individual member states.


In April 2015 the EU Parliament amended the RED as follows:

  • Conventional biofuels (from food or feed crops) are capped to 7% of energy consumption in transport
  • A non-binding sub-target of 0,5% has been defined for advanced biofuels (from cellulosic material, waste, etc).
  • ILUC (Indirect Land Use Change) factor must be reported, but not integrated in the GHG savings calculations.


Sustainability criteria are very stringent, covering the minimum greenhouse gas savings compared to fossil fuel, the origin of the biomass used (agricultural land), etc.

Alco Bio Fuel was the first plant worldwide to receive an ISCC certification in April 2010.
Our greenhouse gas savings (compared to fossil fuel emissions) have considerably increased over 5 years, from about 35% to well above 60% today.

Take a look at the trailer ISCC filmed recently at our plant.