The home of biofuel firms? California

According to a new study, California is the preferred home for companies focusing on biofuel production.

According to a new study, California is the preferred home for companies focusing on biofuel production.

Environmental Entrepreneurs (E2), a community of business leaders who attempt to promote clean energy policies, have released an analysis which shows where the highest concentrations of biofuel firms, refineries and operations are based in the United States.

The study says that California is the most popular home of biofuel corporations, with over 30 currently in residence. In addition, there are over 80 firms and operations now located in at least 27 states.

California is the most popular, but Illinois lays claim to eight biofuel operations, Colorado hosts six, Texas currently has three and Iowa has four biofuel firms and refineries.

Their Web site, Fueling Growth, hosts an interactive map which details where energy firms in the United States are based. Places of operation can also be chosen based on different industries including aviation, biodiesel, ethanol, crude oil and renewable gasoline.

According to E2, U.S. and Canadian biofuel production capacity increased from 427 million gallons in 2011 to over 685 million gallons in 2012. The organization also says that capacity is expected to reach 2.6 billion gallons by 2015 -- although the impact on the environment is yet to be seen.

However, the group remains optimistic over the concept of biofuel, and believes that tax incentives -- such as California's Low Carbon Fuel Standard (LCFS) -- will help keep the young industry afloat.

"States that will benefit the most from this promising and important industry are those that support sound clean fuel policies," said Mary Solecki, clean fuels analyst at E2. "States that ignore this growing economic development opportunity risk missing out in the future."

Photo Credit: robstephaustralia


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