As the primary source of biofuel in North America, many organizations are conducting research in the area of ethanol production. On the Federal level, the USDA conducts a large amount of research regarding ethanol production in the United States. Much of this research is targeted towards the effect of ethanol production on domestic food markets.
The National Renewable Energy Laboratory has conducted various ethanol research projects, mainly in the area of cellulosic ethanol.
Cellulosic ethanol has many benefits over traditional corn based-ethanol. It does not take away or directly conflict with the food supply because it is produced from wood, grasses, or non-edible parts of plants.
Moreover, some studies have shown cellulosic ethanol to be more cost effective and economically sustainable than corn-based ethanol.
Even if we used all the corn crop that we have in the United States and converted it into ethanol it would only produce enough fuel to serve 13 percent of the United States total gasoline consumption.
Sandia National Laboratories conducts in-house cellulosic ethanol research and is also a member of the Joint BioEnergy Institute (JBEI), a research institute founded by the United States Department of Energy with the goal of developing cellulosic biofuels
From 1978 to 1996, the National Renewable Energy Laboratory experimented with producing algae fuel in the "Aquatic Species Program."
A self-published article by Michael Briggs, at the University of New Hampshire Biofuels Group, offers estimates for the realistic replacement of all motor vehicle fuel with biofuels by utilizing algae that have a natural oil content greater than 50%, which Briggs suggests can be grown on algae ponds at wastewater treatment plants.
This oil-rich algae can then be extracted from the system and processed into biofuels, with the dried remainder further reprocessed to create ethanol. The production of algae to harvest oil for biofuels has not yet been undertaken on a commercial scale, but feasibility studies have been conducted to arrive at the above yield estimate. During the biofuel production process algae actually consumes the carbon dioxide in the air and turns it into oxygen through photosynthesis.
In addition to its projected high yield, algaculture— unlike food crop-based biofuels — does not entail a decrease in food production, since it requires neither farmland nor fresh water. Many companies are pursuing algae bio-reactors for various purposes, including scaling up biofuels production to commercial levels.
Several groups in various sectors are conducting research on Jatropha curcas, a poisonous shrub-like tree that produces seeds considered by many to be a viable source of biofuels feedstock oil.
Much of this research focuses on improving the overall per acre oil yield of Jatropha through advancements in genetics, soil science, and horticultural practices. SG Biofuels, a San Diego-based Jatropha developer, has used molecular breeding and biotechnology to produce elite hybrid seeds of Jatropha that show significant yield improvements over first generation varieties.
The Center for Sustainable Energy Farming (CfSEF) is a Los Angeles-based non-profit research organization dedicated to Jatropha research in the areas of plant science, agronomy, and horticulture. Successful exploration of these disciplines is projected to increase Jatropha farm production yields by 200-300% in the next ten years.