Driving the speed limit cuts millions in fuel costs for less than a minute of your time

New study finds an immediate, cost-effective solution by analyzing 120 million real-world trips

University of Minnesota

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MINNEAPOLIS / ST. PAUL (07/16/2026) - A nationwide study by researchers at the University of Minnesota Twin Cities reveals that adherence to posted speed limits could dramatically curb U.S. fuel consumption and greenhouse gas emissions, saving Americans billions of dollars annually while adding less than a minute to the average daily commute.

The paper was recently published in Communications Sustainability, a peer-reviewed journal.

Researchers analyzed over 120 million real-world vehicle trips across the United States, showing that if drivers complied with posted speed limits, it could save an average of $22 million, 6.7 million gallons of fuel and 57,000 metric tonnes of carbon dioxide every single day for light-duty engine-powered vehicles — which account for 14.6% of total energy consumption in the country.

“We already understand the physics of how speed affects fuel consumption, but quantifying the exact magnitude of those savings at a national scale gives us a clearer picture of the actual impact,” said Bharat Jayaprakash, Ph.D. student in the Department of Mechanical Engineering at the University of Minnesota and lead author on the paper.

Previous transportation research relied on localized, small-scale samples or general assumptions about fuel economy based on laboratory tests. This project marks a major milestone in transportation science. With volatile fuel prices and uncertainty about the expansion of electric vehicles in the marketplace, the study shows that changing driver behavior offers an immediate, cost-effective tool for reducing fuel use and emissions.

The researchers were able to review a large amount of data including driving data on U.S. road networks, speed limits and elevation data from the U.S. Geological Survey. They then calibrated multiple, vehicle specific energy-consumption models using advanced vehicle dynamics software developed by the National Laboratory of the Rockies, formerly known as the National Renewable Energy Laboratory.

“While internal combustion engine-powered vehicles have become significantly more efficient in the past decades, they have also become much more powerful. Driving fast is easier than ever,” said William Northrop, University of Minnesota mechanical engineering professor and corresponding author on the paper. “Our study examines an obvious yet difficult-to-implement intervention for major fuel savings that can be achieved without replacing our cars: driving slower.” 

The researchers noted that more work is needed to fully understand the impact of driving on fuel and emissions.

“Key remaining challenges of our research are to expand our framework to more diverse roadways and understand the impacts of aggressive accelerations on fuel use and emissions,” added Northrop. “Exploring both speed and acceleration reductions will give us an even more complete picture of real-world fuel savings potential."

Future phases of the project will utilize an instrumented electric vehicle equipped with multi-sensor perception systems to capture micro-scale driving behavior in real time. Sponsored by the Minnesota Department of Transportation’s Local Road Research Board, current research focuses on collecting high-fidelity, real-world drive cycles to precisely model how micro-scale driving habits impact energy consumption and emissions at the fleet level.

The research was partially supported by the National Science Foundation. 

Read the entire paper, entitled “Speeding incurs substantial environmental and economic costs nationwide for negligible travel time savings, on the Nature website.

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Journal

Communications Sustainability

DOI

10.1038/s44458-026-00100-3 

Article Title

Speeding incurs substantial environmental and economic costs nationwide for negligible travel time savings

Article Publication Date

16-Jul-2026

India Proposes Stricter Vehicle Emission Rules To Cut Oil Consumption

By Alex Kimani - Jul 17, 2026

The Indian government has proposed stricter fuel efficiency regulations for passenger vehicles under the Corporate Average Fuel Efficiency (CAFE)-III norms, with the new fuel standards set to take effect on April 1, 2027. Released by the Ministry of Power for public consultation, these rules aim to lower vehicular emissions, decrease reliance on imported crude oil, and shrink the nation's rising oil import bill. 

To capture real-world emissions accurately, the framework will transition from the Modified Indian Driving Cycle (MIDC) to the more comprehensive World Light Duty Vehicle Testing Procedure (WLTP). Under the new rules, M1 category passenger vehicles (weighing up to 3,500 kg, including hatchbacks, sedans, and SUVs) are expected to cut their fuel consumption from 3.996 liters/100 km in 2027–28 to 3.327 liters/100 km by 2031–32. CAFE-3 emission rules will tighten carbon targets from 113 g/km to 76 g/km by 2032, with non-compliance attracting severe penalties ranging from ?2,500 to ?4,500 per gram of excess CO?/km.

Car manufacturers that outperform their fleet-wide targets will earn compliance credits, which they can sell via a market trading system to manufacturers that fall short of the efficiency baseline, avoiding hefty government penalties. Additionally, for the first time, the policy gives regulatory benefits to cars powered by alternative fuels. Automakers selling flex-fuel, ethanol-powered or biofuel vehicles will get a more favorable emission value calculation, rewarding lower lifecycle carbon emissions. This complements the government's simultaneous push for 100% ethanol (E100) vehicles.

Other than lower emissions and lower fuel bills, car buyers are likely to benefit from a broader market selection of hybrids, electric vehicles (EVs) and alternative fuel models. Automakers are planning to launch over 15 new EV models, bringing the total market options to well over 35. Meanwhile, brands like MG are introducing innovative plug-in hybrids (PHEVs) built on new multi-energy platforms to give buyers long-range convenience alongside low running costs. On the downside, more stringent technology mandates are expected to increase vehicle manufacturing costs, potentially driving up upfront sticker prices.

By Alex Kimani for Oilprice.com

NH3 AMMONIA

Proving Phase

Published Jul 16, 2026 5:03 PM by Sean M. Holt

(Article originally published in May/June 2026 edition.)

For years, ammonia has held a strange place in shipping's transition – promising, commercially uncertain, operationally uncomfortable. It carries no carbon atoms, can be made from renewable hydrogen and nitrogen, and may eventually serve deep-sea trade routes that batteries cannot reach.

But it's also toxic, corrosive, and unforgiving. "Ammonia slip," where unburned ammonia escapes through combustion or exhaust, is a real concern when injection timing and combustion pressure are poorly controlled.

The question is no longer whether ammonia can work. It's what evidence would prove it is becoming real.

CONFLICTING SIGNS

That question is sharper because the regulatory backdrop has weakened.

The IMO approved its draft Net-Zero Framework at MEPC 83 in April 2025, pairing a marine fuel standard with greenhouse gas pricing for large ships. But the extraordinary MEPC session in October 2025 adjourned for a year, pushing the earliest likely entry into force from 2027 to 2028. Long-lived assets still need ordering, but the compliance signal has moved backward.

The demand signal has not.

DNV estimates that by 2030 alternative-fueled ships could consume over 50 million tons of oil-equivalent, low-GHG fuels annually. The IEA is starker: Oil products still account for over 99 percent of international shipping energy, and biofuels supplied less than 0.5 percent in 2022. Under its net-zero pathway, low-emission fuels would need to reach almost 15 percent by 2030.

Price tells another part of the story. Very low sulfur fuel oil (VLSFO) remains the baseline, listed in Singapore at $781 per metric ton on May 29, 2026, against a global average of $893.50. Methanol looks cheaper by the ton, but on a VLSFO-equivalent energy basis, Singapore grey methanol translates to $1,345.50 per ton.

Biofuel premiums stay volatile with a recent Singapore B30 assessment carrying a $243 premium over VLSFO. LNG belongs here too with infrastructure and momentum that ammonia lacks: The dual-fuel LNG ships orderbook rises from 781 today to more than 1,400 by 2030.

By contrast, DNV reports 39 ammonia-capable ships, mainly carriers and bulkers, on order, with early deliveries expected around now. Ammonia enters a crowded contest where regulation, energy density, infrastructure, price, lifecycle emissions, safety confidence and willingness to pay all matter.

BUILDING THE VALUE CHAIN

ITOCHU Corporation sees ammonia moving from concept into first proof. Takeo Akamatsu, General Manager of the Green Innovation Business Unit in ITOCHU's Plant Project, Marine & Aerospace Division, says the conversation has changed materially.

"It's shifting from R&D to demonstration, especially after the NH3 (ammonia) engine is completed," he says. "Once the first ship with an NH3 engine is delivered, it may shift from demonstration to commercialization for early movers, but on a small scale."

ITOCHU does not frame the transition as a single vessel, fuel or port. Akamatsu describes an integrated project across the chain: downstream, ammonia-fueled ships; midstream, bunkering and supply; and upstream, clean ammonia production.

"As a first mover, our position is limited to a bunkering developer, but we will develop for both down and up," he explains. "ITOCHU's role is to support first movers who secure NH3-fueled ships as bunker suppliers in Singapore from the 2027 fourth quarter, once our bunkering ship is ready."

That vessel is central, and Akamatsu distinguishes it from a conventional carrier: "It's a purpose-built ship as an NH3 bunkering ship, not an NH3 carrier." The point is to demonstrate bunkering itself – a first-generation solution that will evolve through trials and new technology. It's where progress becomes less about engineering and more about permission to operate.

"We need society acceptance," Akamatsu says, which includes port workers and nearby communities. "We need to provide reassurance to those parties who are against ammonia bunkering in their society, which cannot be achieved through a one-time demonstration only."

Using it as fuel pulls bunkering crews, receiving vessels, regulators and responders into the safety case.

ITOCHU also sees adoption as demand-led. Dual-fuel vessels can still burn conventional fuel, so supply alone will not create the market. "Alternative fuel should be initiated by the demand side first," Akamatsu says. "Once the NH3 engine is ready, we believe a commercial decision by the end-user is key."

Ammonia doesn't scale because there's fuel. It scales when owners, charterers and cargo owners decide to use it.

FROM OPTIONALITY TO EVIDENCE

Jon Løken, Sales Director at CFARER - A DNV Company, formerly known as DNV Maritime Software, has long been cautious on ammonia. His view has shifted, but not into cheerleading.

The industry, he argues, must separate evidence from optionality. The orderbook still matters, but the better metric may be whether fuel is actually being booked. He points to zero-carbon ammonia booked in China for delivery in 2027. "The moment I heard about that, I felt, okay, now we're talking reality here. It's no longer a theory."

Geopolitics may be accelerating that shift. Disruption around the Red Sea and the Strait of Hormuz has reminded operators and governments that the fuel transition is also a question of supply-chain resilience, and Løken sees China moving hard where energy security, industrial policy and shipping economics overlap.

Still, "ammonia-ready" does not mean ammonia will be used. He compares it to old "HD-ready" televisions, where readiness did not always mean capability. The sharper distinction is "ultra-ready."

"Ultra-ready means that you actually install the dual injection system," he explains. "You install all the parts, the pipes and everything, and also test it so that you can technically go straight into using ammonia."

The conversion burden is not trivial. Activating an ammonia-ready vessel may currently require around 50 days in drydock. "There are ships in the yards who were supposed to be ammonia ready that are being taken out early from the yards because they don't have time to stay and finish the ammonia part of the engine," Løken says.

In a strong charter market, owners choose revenue today. "Converting the ammonia-ready ships is going to be a less likely scenario," he adds. "We're probably going to see more actual ammonia ships being ordered for the future."

EARLY USERS

Early use will be selective. "You're probably looking at something like 10 percent of your annual fuel consumption being ammonia," Løken says, assuming access to near-zero-carbon supply.

Ammonia may first appear on specific routes, compliance windows or cargo ecosystems, not as a full replacement. Stricter emission control areas could become a demand trigger near ports and sensitive coasts with China and parts of Africa worth watching.

The segments may surprise the market. "There are a surprising amount of bulk carriers being prepared for ammonia," Løken says. "Bulk is becoming kind of technological forerunner." That aligns with ITOCHU's view that Capesize bulkers, Aframax tankers and car carriers could make Singapore a natural demonstration port.

Geography matters too. Singapore has scale and policy momentum, but clean ammonia may be easier to implement where renewable energy is near major routes. Løken points to Egypt and the Suez Canal. "You have space, you have sun [solar power], and you have ships going through that canal," he says, calling it "a holy trinity of future fuels in maritime."

He raises a more speculative case: If Indonesia develops reliable clean energy and ammonia production, the Sunda Strait could gain strategic importance for Asia-Europe trade, offering an alternative to routing all traffic through Singapore and the Strait of Malacca.

DECISION TIME

The evidence is no longer only in the orderbook. It's in booked fuel, tested injection systems and the slow work of earning a community's permission to bunker a toxic fuel at the quay. That is where ammonia's future will actually be decided.

The opinions expressed herein are the author's and not necessarily those of The Maritime Executive.

 

Expanding uses for bioengineered bacterial spores

Fused to the outer layer of bacterial spores, things like enzymes, biosensors, and drugs are easily stored under even extreme conditions

Tufts University

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image: 

“Spore engineering is still an emerging technology,” said Nik Nair. “Most products are in the development stage and are not ready for widespread commercial application. We are hopeful that expanding the target list for fusion can speed up this process.”

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Credit: Geoman3

A remarkable quality of bioengineering is the fact that scientists can take biological processes honed by millions of years of evolution and use them to efficiently create drugs, chemicals, and other products to improve our lives. Now Tufts researchers have found new ways to expand the potential for using bacterial spores as catalysts for chemical reactions, biofuel production, or breaking down pollutants.

When some species of bacteria find themselves in an environmentally stressful situation like extreme heat, cold, aridity, loss of nutrients, or even exposure to disinfectants, they can hunker down and form spores—hardened protein-coated spheres protecting a DNA-filled core. The spores remain stable and dormant for years—even centuries—waiting patiently until the right conditions allow them to resurrect into active bacteria once again.

This extraordinary stability has made bacterial spores great candidates for bioengineering. Researchers are designing spores to express drugs, industrial enzymes, and catalysts, and be used as biological sensors, as useful molecules are fused to the spore’s outer coat of proteins. The products fused to the proteins can be stored and distributed without the need for refrigeration, or can be used in applications under extreme conditions, such as high heat or exposure to harsh chemicals.

While promising, the technology has encountered hurdles, including the fact that only 12 of the nearly 50 proteins that coat spores have been explored as potential objects to fuse with new substances. 

Now Nik Nair, associate professor of chemical and biological engineering, and his team have expanded the list of fusion candidates to as many as 33 of the proteins that coat bacterial spores, suggesting an approach that might lead to a much wider range of bioengineered products. They describe the work in a paper in the journal JACS Au.

“Spore engineering is still an emerging technology,” said Nair. “Most products are in the development stage and are not ready for widespread commercial application. We are hopeful that expanding the target list for fusion can speed up this process.”

The types of bacterial spore products could include oral vaccine delivery, for example, where spores with antigens on their surface pass through the gastrointestinal tract to stimulate a mucosal immune response. This makes them highly attractive for distribution to remote locations without needing refrigeration and for needle-free vaccination.

The spores can also be engineered to glow due to fluorescence in the presence of specific chemical compounds, making them great candidates for detecting toxins in harsh environments. 

Pollution Cleanup Potential

By displaying enzymes on their surface, engineered spores can also function as catalysts for chemical reactions, biofuel production, or breaking down pollutants. 

As a proof of concept, Nair and his research team fused the outer spore proteins with enzymes that can degrade polyethylene terephthalate (PET), a hard plastic used in many products like water bottles and automotive parts.

To do this, they surveyed their expanded list of spore proteins to find the most stable and effective fusion product. For the PET-dissolving enzyme, the small spore coat assembly protein A (SscA) was the best of 33 proteins they tested for fusion. It yielded fourfold higher activity than any other fusion, breaking down the monomers of PET. On actual PET solid plastic, the enzyme fused to the outer coat protein Y (CotY) yielded higher activity, consistent with the fact that it is more accessible on the surface of the spore’s outer coat.

The researchers also suggest that combining fusion products in spores might be a way to create a multi-step process of breaking down solid plastics and then metabolizing the released chemicals further into environmentally safe forms.

As bioengineered spores make their way toward commercial applications, a key question is whether the spores can be prevented from reactivating as bacteria when released in the environment.

“We have a good understanding of what activates spores to become replicating bacteria again,” said Nair. “If we delete five specific genes, they’ll never germinate and always remain spores. Product safety will be a critical part of introducing spores to widespread applications.” 

Nair suggested that SscA, CotY, and other spore proteins could be candidates for more bioengineered products. Continuing development of this technology is being carried out by a new startup company emerging from this research, called Caravel Bio, led by Trevor Nicks, EG23, a former graduate student in Nair’s lab and co-author of the study. Todd Chappell, former postdoctoral researcher in the Nair lab was the first author of this study.

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Journal

Journal of the American Chemical Society

DOI

10.1021/jacsau.6c00594 

Method of Research

Experimental study

Subject of Research

Cells

Article Title

Advancing Protein Display on Bacterial Spores through an Extensive Survey of Coat Components

Canada’s microbial fuel factories: How university researchers are turning microorganisms into the next generation of biofuels

Dr. Tim Sandle
July 11, 2026

DIGITAL JOURNAL

Algae on a canal. Image by Tim Sandle

As governments and industries search for alternatives to fossil fuels, biofuels remain one of the most promising routes toward decarbonising transportation, aviation and industrial processes. Yet traditional biofuels, produced from crops such as corn, wheat and sugarcane, have long attracted criticism due to land-use requirements, competition with food production, and variable environmental performance. Increasingly, scientists are looking elsewhere, to microorganisms.

Across Canada, university researchers are investigating algae, cyanobacteria, bacteria and engineered yeasts capable of converting carbon dioxide, waste streams and renewable biomass into fuels and fuel precursors. While commercial-scale deployment remains some distance away, the science suggests that microorganisms could become the basis of a new generation of sustainable fuel production systems.

Microorganisms offer several advantages over conventional energy crops. Many species grow rapidly, require little land, can be cultivated using wastewater or industrial emissions, and often produce oils, alcohols or hydrocarbons naturally. Microalgae, in particular, have attracted considerable attention because they are photosynthetic and can convert sunlight and carbon dioxide into energy-rich lipids. Researchers at Canada’s National Research Council have described algae as robust microorganisms capable of growth in photobioreactors, open ponds and wastewater systems without relying on agricultural land. The resulting biomass can then be converted into biodiesel, bio-oil, bioethanol and other renewable fuels.


Rather than extracting carbon from geological deposits formed millions of years ago, microbial systems recycle contemporary carbon already circulating in the atmosphere.
Algae remain the leading candidates

One of Canada’s most important academic resources in algal biotechnology is the Canadian Phycological Culture Centre (CPCC) at the University of Waterloo. The collection contains more than 400 strains of algae and cyanobacteria, many originating from Canadian waters, providing researchers with a vast genetic library for biotechnology applications, including biofuel development.

Several species stand out including Chlorella vulgaris. This freshwater microalga is among the most extensively studied organisms for biodiesel production. Under nutrient-limited conditions, Chlorella accumulates large quantities of lipids, which can be extracted and converted into biodiesel through transesterification. Researchers view the species as attractive because of its rapid growth and relatively high oil content.

Another microalga receiving attention is Scenedesmus obliquus. University of Toronto research has examined engineered biofilms containing this species, exploring ways to increase biomass productivity while reducing harvesting costs—one of the major economic barriers to algal fuel production.

Although often referred to as blue-green algae, cyanobacteria are actually photosynthetic bacteria. These organisms are particularly interesting because they can be genetically modified to directly produce fuel molecules, including ethanol, hydrogen and hydrocarbon-like compounds. The CPCC maintains numerous cyanobacterial strains specifically for biotechnology research, carbon sequestration studies and environmental applications.

A river with cyanobacteria on the water. Image by Tim Sandle

Beyond naturally occurring algae, Canadian researchers are increasingly applying synthetic biology to microorganisms. At the University of Calgary, biotechnology research includes microbial metabolic engineering aimed at producing renewable energy products through modified biological pathways. Researchers are investigating how microbial systems can be redesigned to manufacture valuable compounds more efficiently, potentially creating industrial-scale microbial production platforms.

Rather than relying solely on lipid accumulation, synthetic biology enables scientists to reprogram microbes to produce specific chemicals that can serve as advanced biofuels. These include isobutanol, ethanol, and sustainable aviation fuel intermediates.
Methane-eating bacteria: Another possibility

An intriguing area of Canadian research involves methanotrophs. These are bacteria that consume methane as their primary energy source. The University of Calgary’s microbial ecology research includes investigations into microorganisms involved in methane cycling. Methanotrophs possess enzymes capable of oxidizing methane into useful carbon compounds that can potentially be transformed into fuels, chemicals and biomaterials.

This approach has dual environmental value in terms of reducing methane emissions, a potent greenhouse gas and producing valuable fuel feedstocks from waste methane streams. This means landfills, wastewater treatment facilities and agricultural operations could eventually become sources of renewable carbon for microbial conversion systems.

Many microbial biofuel systems are attractive because they can utilize materials that would otherwise be discarded. Researchers at the University of Toronto have explored biological conversion processes involving wastewater, biosolids and industrial emissions. Coupling waste treatment with microbial cultivation creates the possibility of simultaneously reducing pollution while generating fuel feedstocks.

This “circular bioeconomy” concept is gaining increasing support among policymakers and researchers because it addresses multiple sustainability challenges simultaneously. Instead of viewing wastewater as a disposal problem, it becomes a nutrient source and instead of treating carbon dioxide as waste, it becomes feedstock.

Perhaps the most significant future market for microbial biofuels lies in aviation. While passenger vehicles are increasingly electrified, aircraft remain dependent on energy-dense liquid fuels. Algal oils are chemically similar to some petroleum-based fuel fractions and can be upgraded into sustainable aviation fuel (SAF). Researchers continue to investigate hydrothermal liquefaction and catalytic conversion technologies capable of transforming algal biomass into jet-fuel-compatible products.
The challenges remain substantial

Despite the scientific promise, microbial fuels have experienced cycles of hype and disappointment. The primary challenge remains economics, since producing fuel from microorganisms still typically costs more than extracting and refining petroleum. Harvesting microalgae, extracting oils, maintaining cultivation systems and scaling photobioreactors all require substantial investment. Numerous studies have concluded that while technically feasible, large-scale algal fuel production remains commercially challenging. There is also a biological trade-off in that many microorganisms grow rapidly but produce relatively little fuel. Others accumulate large amounts of oil but grow slowly.

Researchers have wrestled with this problem for decades, prompting increasing interest in genetic engineering and synthetic biology approaches designed to optimize both productivity and fuel yield. Yet, if Canadian researchers can improve microbial productivity, lower harvesting costs and integrate fuel production with carbon capture and wastewater treatment, microbial biofuels could become one of the country’s most important bioeconomy sectors over the next two decades. But the economics suggest that success will come from combining fuel production with multiple revenue streams rather than relying on fuel sales alone.

 

Asia Bets on Biofuels to Dodge Middle East Oil Shortages

By Felicity Bradstock - Jul 04, 2026

• Biofuel demand is reviving in 2026 as the Iran war and Strait of Hormuz closure sparked a wave of volatility that made buying difficult.
• 
  
• Vietnam is switching fully to ethanol-blended gasoline and Indonesia is raising its biodiesel mandate to 50%, while Europe holds back over food price and deforestation concerns.
• 
  
• Think tank Transport & Environment warns biofuel demand could rise up to 70% by 2030 if oil supply stays constrained, risking a food price crisis.

Interest in developing biofuels has fluctuated and has been strongly driven by global energy trends. In 2024, following the COVID-19 pandemic, the international call for a green transition, and the increased focus on developing cleaner fuels to decarbonise hard-to-abate industries, interest in biofuels grew. Biofuels were expected to play a major role in the global green transition by helping to decarbonise industries that could not simply shift to renewable electricity, such as aviation. However, this interest waned in 2025, as several companies backtracked on their green energy targets.

Biofuels are produced by heating biomass feedstocks (plant materials) rapidly at high temperatures (500°C-700°C) in an oxygen-free environment or by using gasification, hydrothermal liquefaction, or low-temperature deconstruction. Ethanol and biodiesel are the two most widely used biofuels, although other feedstocks can be used to produce alternative biofuels. Typical feedstocks include sugar cane, corn, and soybeans, most of which produce low-carbon fuels that can be used in existing engines.

In 2024, the International Energy Agency (IEA) said it expected the use of biofuels to increase significantly by 2030, with a much larger proportion of these fuels produced from waste, residues, and non-food crops, thereby making them more sustainable. The demand for biofuel rose to 4.3 exajoules (EJ) in 2022, thereby surpassing pre-pandemic levels. The IEA suggested that to meet net-zero emissions targets by 2050, global biofuel production would need to increase to 10 EJ by 2030.

By the end of 2024, there were 43 projects expected to be operational by 2030, according to Rystad Energy, with oil and gas firms such as ExxonMobil, Chevron, BP, Shell, TotalEnergies, and Shell all committing to biofuel production. Many of these projects focused on sustainable aviation fuel (SAF) production, as governments worldwide put increasing pressure on the aviation industry to decarbonise. However, by 2025, interest in biofuels had begun to wane.

In late 2025, the OECD said it expected global biofuel use to increase by 0.9 per cent per year over the coming decade, which was much lower than the 3.3 per cent annual growth seen in previous years. The OECD anticipated that biofuel growth would slow in high-income countries due to stagnating fuel demand resulting from electric vehicle adoption and weaker policy support, although continued demand growth in middle-income countries was expected to offset the slowdown.

In 2026, interest in biofuels is reviving, driven by the significant price volatility of fossil fuels. The U.S.-Israeli war on Iran and the resulting closure of the Strait of Hormuz, a key energy trade corridor, have led to energy shortages and driven oil prices sharply higher in recent months, prompting many governments and energy companies to consider investing in alternative fuel production to counter the shortages.

Between February and April, crude prices rose by around 30 per cent. Meanwhile, the price of corn increased by just 5 per cent over that period. Biofuels are typically blended into gasoline or used to replace diesel, making fuel more economical when crude prices are high. Several countries have addressed shortages and high prices by introducing measures such as fuel rationing and shorter workweeks, as well as by increasing their biofuel use.

Countries across Asia, which are heavily reliant on oil imports from the Middle East, have invested in increasing biofuel production since the beginning of the war. In late March, Vietnam announced plans to switch fully to ethanol-blended gasoline, produced using sugarcane, from April due to high crude prices. Meanwhile, Indonesia said it would increase the mandatory blending rate for biodiesel made from palm oil to 50 per cent from 40 per cent. Brazil and Thailand have also increased their biofuel use in recent months.

A biofuels analyst from data and analytics company Kpler, Beata Wojtkowska, explained, “In Asia, countries do look at biofuels that can be produced from locally sourced feedstocks, as they can reach two goals at once - limit energy imports and increase profitability for farmers.” However, while biofuel use has increased in Asia, Europe has been more reluctant to increase its biofuel production, citing concerns that excessive use could raise both food prices and deforestation rates.

The energy and climate director at the think tank Transport & Environment (T&E), Kädi Ristkok, warned that increasing reliance on biofuels could exacerbate geopolitical challenges. “Governments are playing a dangerous game by promoting food for fuel. Leaders are understandably trying to find solutions to the current oil crisis, but biofuels can never play more than a marginal role in our energy system without devastating consequences. The unintended impacts on food prices and the environment are enormous,” explained Ristkok. T&E estimates that the demand for biofuels could increase by up to 70 per cent by 2030 if the global oil supply remains constrained.

Investment in the expansion of the biofuel industry has fluctuated in line with global energy and environmental trends in recent years. However, limits to the world’s crude supply and higher fossil fuel prices have once again driven interest in alternative fuels. While this could help reduce reliance on the constrained oil supply, it could also lead to food shortages if not properly managed.

By Haley Zaremba for Oilprice.com

 

Canada Qualifies First Companies to Bid for Offshore Wind Energy Licenses

Prequalification of companies for Canada's first offshore wind energy license auction were completed (Nova Scotia Government)

Published Jun 28, 2026 6:59 PM by The Maritime Executive

Canada and the province of Nova Scotia took a key step forward in their ambitions to develop offshore wind energy by designating the firms prequalified to enter the bidding. Government officials highlighted a strong field of international participants, saying it further confirms the opportunities to become a world-class site for offshore wind energy.

The Canada-Nova Scotia Offshore Energy Regulator (CNSOER), an independent joint agency created by the government of Canada and Nova Scotia, conducted the pre-qualification. It established criteria for the financial status of the bidder as well as technical, legal, and social elements that were considered during the review process. 

“By attracting companies with the experience and know-how to deliver large energy projects, we are setting the stage for a successful offshore wind industry here at home,” said Nova Scotia Premier Tim Houston.

Among the five companies that were announced as having been pre-qualified were well-known names of developers, including DEME from Belgium, Jan De Nul based in Luxembourg, and Ming Yang from China. Two groups were also among those pre-qualified, and included in one of the groups is Hanwha Ocean, which would be working with Q Energy France. The regulator noted, however, that companies also had the option of not revealing their status in this phase of the program.

Canada plans to open the formal bidding for the first offshore wind sites in the country later this year. Bids will be reviewed both at the federal and provincial levels before the designees for the licenses are announced.

 

The first areas designated for the leases were announced in July 2025 (Province of Nova Scotia)

 

The first wind lease areas that will be put up for auction were designated in July 2025. A total of four areas were announced, including three to the east of Nova Scotia and one to the north. Three (Middle Bank, Sable Island Bank, and Sydney Bight) would each be at least 25 kilometers (15 miles) from shore and are at depth for fixed-bottom turbines. The fourth, French Bank, would be closer at 20 kilometers (12.5 miles), with significantly deeper waters, which could require floating turbines. The province has additional areas under consideration.

The government said the first call for bids would be for a modest 2.5 GW and would be followed by additional rounds. The goal is to license 5 GW by 2030.

Nova Scotia’s Premier, Tim Houston, is advocating a bold vision for the industry. He looks to make Nova Scotia an energy exporter. While Nova Scotia currently has peak electrical usage of approximately 2.4 GW of power, Houston predicts the industry could grow to a generation capacity of 40 to 50 GW by 2050, making it an energy exporter. 

Massachusetts is reported to be one of the potential markets for Canadian wind power. The state is looking to develop new sources of renewable energy after the Trump administration stalled New England’s efforts to develop more offshore energy capacity.

California to Sue Trump Administration for Canceled Offshore Wind Lease

Golden State Wind was to be one of the first floating wind farms in the United States (rendering from Ocean Winds)

Published Jun 23, 2026 4:53 PM by The Maritime Executive

California Attorney General Rob Bonta and the California Energy Commission filed a notice of intent on Tuesday, June 23, to challenge the Trump administration’s deal to cancel a California offshore wind lease in exchange for investments in fossil fuel energy projects. The state contends the effort puts at risk its energy policy and more than $100 million in investments in an unlawful agreement that violates the Outer Continental Shelf Lands Act.

The Trump administration’s latest step to end offshore wind energy has focused on a series of deals that it says reimburse the bidders for the money spent on leases in exchange for reinvestment in other energy projects. The first deal was struck for nearly $1 billion with TotalEnergies, followed by a second that canceled California’s Golden State Wind (GWS) and another project in the New York Bight, and a third deal which cancels projects in the New York Bight, the central coast of California, and the Gulf of Maine. All told, the administration has promised nearly $2.6 billion of reimbursements.

“At a time when the country needs more reliable and sustainable power supply, the Trump administration is busy using taxpayer money to strike backroom buyouts that make clean-energy projects disappear. California won’t stand idly by as the Trump administration illegally strikes deals to kill offshore wind projects and replace them with more windfalls for his fossil fuel friends; we’re putting the administration on notice that we intend to sue,” said Attorney General Rob Bonta.

The California Energy Commission in May served an administrative investigative subpoena to GSW seeking documents and information related to the company’s buyout deal with the Department of the Interior. Under the law, the state filed its notice of intent today, and the federal government and GSW have 60 days to correct the alleged violations, or the state can then proceed to file the lawsuit.

The lease for Golden State Wind was acquired in 2022 as a 50/50 joint venture between Ocean Winds (a 50/50 joint venture of EDP Renewables and ENGIE) and Reventus Power, a portfolio company of the Canada Pension Plan (CPP). They paid $120 million for the lease in the Morro Bay Wind Area. The proposal called for a 2 GW floating wind farm located 53 miles northwest of Morro Bay and 22 miles from the closest point to shore. The project was in the early stages, having started in 2024 with its geophysical survey after receiving its permits. It had not filed environmental or construction and operations plans with the Bureau of Ocean Energy Management.

The Department of the Interior announced on April 27 that Golden State Wind had committed to voluntarily end its offshore wind lease. It is the project would be eligible to recover approximately $120 million in lease fees after an investment has been made of an equal amount in the development of U.S. oil and gas assets, energy infrastructure, and/or LNG projects along the Gulf Coast.

California, in its notice, alleges this violates the Outer Continental Shelf Lands Act, which requires that California have a say in the offshore wind leasing program. Bonita said in a statement that the Department of the Interior alleges the agreement settles purported litigation. However, Bonita asserts that Golden State Wind never brought litigation, and it was not challenging actions that the Department of the Interior had never taken. He said DOI claimed unspecified national security concerns justified the cancellation, although the federal government had already reviewed and approved the lease area after years of analysis and consultation with the U.S. Department of Defense.

The Trump administration made similar claims to challenge the first under-construction offshore wind farms on the East Coast. Five separate courts found for the wind farm developers and issued injunctions to prevent stop-work orders on the construction.

The California Energy Commission, last week, after the DOI announced another deal, this time with Invenergy, to cancel offshore wind leases in California, New York, and Maine, also moved to challenge the strategy. It served an administrative investigative subpoena to Invenergy regarding the planned cancellation of another lease in Morro Bay for a further 2 GW of capacity. The subpoena demands a copy of the settlement agreement and information concerning its basis, negotiations, and impact.

California says it has invested more than $100 million to ready its ports, transmission systems, and industries to support offshore wind energy. Further, it says the actions threaten to set back California’s wind strategy, which calls for 25 GW of offshore wind power by 2045, which is critical to the state’s energy transition and increased energy demands. It highlights that the agreements also redirect the investments to other states.

A coalition of eastern states filed a similar challenge against the administration’s agreement to cancel the wind farms planned by TotalEnergies. They also contended it jeopardizes their economies, efforts to meet growing energy demands, and significant investments made to support the projects.

First U.S.-Built Rock Installation Vessel Delivered into a Changed Market

Arcadia was delivered and will pivot to the international market after completing two U.S. offshore wind contracts (Hanwha Philly Shipyard)

Published Jun 25, 2026 7:12 PM by The Maritime Executive

A first-of-its-kind vessel, a rock installation vessel designed originally to focus on the emerging U.S. offshore wind energy industry, was delivered today, June 25, to Great Lakes Dredge & Dock Company by the Hanwha Philly Shipyard. The vessel, however, faces a different market, which has caused its owners to pivot to a new strategy.

Ordered in November 2021, it was hailed for the opportunities as the first Jones-Act compliant vessel of its kind. Great Lakes Dredge & Dock ordered the ship as part of a growth strategy to expand its well-established dredging business with new opportunities in the offshore market, but during the construction, the outlook for the industry changed dramatically.

The ship is state-of-the-art and, as such, will be able to pursue broader opportunities. Today, they highlighted that it is equipped to safely and efficiently transport and precisely place rock material on the seabed to protect subsea infrastructure, including cables and foundations for offshore wind. They also highlighted the opportunities with pipelines and the expansion of its deployment internationally.

Named Arcadia, the ship is 140 meters (460 feet) with a capacity to transport 20,000 metric tons of rocks. It is equipped with a DP-2 dynamic positioning system, which the company reports makes it accurate to a 65-meter (nearly 215-foot) depth. It has an advanced design, is biofuel-ready, and has battery and shore power capabilities for when it is docked. It can accommodate up to 45 people.

“This highly specialized vessel positions us at the forefront of subsea rock installation in the U.S. and international markets," said Lasse Petterson, President and Chief Executive Officer of Great Lakes Dredge & Dock Company. He highlighted that the vessel also marks a significant milestone for the company’s strategic expansion into the offshore energy sector, both in the U.S. and internationally.

 

Arcadia is the only vessel of her kind built in the U.S. (Great Lakes Dredge & Dock Co.)

 

Following delivery, Acadia will mobilize to begin work on Equinor’s Empire Wind 1 project offshore New York. Upon completion, the vessel is expected to proceed directly to Ørsted’s Sunrise Wind project, also located offshore New York. Other U.S. contracts, including Empire Wind II, did not materialize as the Trump administration has sought to shut down the offshore wind sector. As such, Great Lakes reports that upon completion of the two U.S. projects, the Acadia will mobilize to Europe to begin rock installation for a major offshore wind developer, keeping the vessel utilized for the majority of 2027. 

"This delivery of Acadia represents far more than the completion of a vessel," said David Kim, CEO of Hanwha Philly Shipyard. He points out that the project demonstrates the yard’s capability to deliver highly specialized vessels that support critical infrastructure.

The project was one of the legacy contracts that Hanwha took over after acquiring the yard. The project, however, was fraught with delays and disputes between the companies, including a lawsuit in late 2024 by Great Lakes. The company had originally said the vessel was expected to be sea-ready by Q4 2024. In the suit, it was reported that the yard had communicated  an “estimated delivery date of September 30, 2026.” 

Hanwha Philly Shipyard highlights the project as one of the legacy contracts that it is completing. It still has two training vessels to deliver for MARAD. The Lone Star State recently completed sea trials and is expected to be delivered before the end of the summer, while work is progressing on the training ship for California. The shipyard also has assembly now underway on two of the three Matson-ordered containerships. Matson expects to receive the first new vessel in the first quarter of 2027, with subsequent deliveries in the third quarter of 2027 and the second quarter of 2028. 

The yard continues to look to position itself with the anticipated revival of American shipbuilding with Korean investments. It has already been linked to projects for its sister company Hanwha Shipping, which ordered 10 medium range (MR) oil and chemical tankers last year and ordered the outfitting of an LNG-carrier, which would be the first ordered in the U.S. in many years. The vessel would be for the U.S. export market, as it will be using a Korean-built ship.