GLOBAL BIOFUEL POLICIES: A REVIEW

Global biofuel production has risen substantially in recent years, principally driven by government support for these industries. The stated motivations for these initiatives are numerous and have varied over time. This article presents a review of some important economic aspects of the most widely used biofuel and related policies around the world, and provides some theoretical and empirical evidence of these initiatives. The South African government's current biofuel policy stance is also evaluated, with concerns expressed over the fact that the commitment to the White Paper on Renewable Energy (DME, 2003) is not binding. Continued technological advancements, infrastructure development, and government interventions will be central to the future developments of biofuel industries, both locally and globally.