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IEA Predicts Quadrupling of Sustainable Fuel Use by 2035

 

  • The International Energy Agency (IEA) forecasts that global use of sustainable fuels could quadruple by 2035 , driven by existing policies, investment incentives, and international cooperation. The findings were released ahead of Brazil’s COP30 presidency in the report Delivering Sustainable Fuels: Pathways to 2035 .

Key Highlights:

  • Sustainable fuels include biofuels, biogases, low-emissions hydrogen, and hydrogen-based synthetic fuels , complementing electrification and reducing fossil fuel dependence.

  • Current impact: Sustainable fuels reduce oil demand by 2.5 million barrels per day , with Brazil using nearly 10% of its energy from renewable fuels.

  • Liquid biofuels dominate transport energy (≈4%), while biogases and hydrogen are in early adoption stages.

Economic & Environmental Benefits:

  • Enhance energy security and reduce import dependency.

  • Support rural job creation and industrial growth.

  • Reduce GHG emissions , contributing to global climate targets.

  • Potentially generate USD 1.5 trillion in investments and 2 million jobs globally by 2035.

Sectoral Outlook by 2035:

  • Road transport: 10% of fuel demand met by sustainable fuels.

  • Aviation: 15%

  • Shipping: 35%

  • Post-2030, industry and power generation will increasingly rely on low-emissions hydrogen for chemicals, steel, and refining.

IEA Recommendations:

  1. Develop regional policy roadmaps .

  2. Improve demand predictability to attract investment.

  3. Implement transparent carbon accounting .

  4. Support technology innovation and cost efficiency.

  5. Build infrastructure and supply chains .

  6. Expand financing channels , particularly for developing countries.

The IEA stresses global coordination , with agencies like ICAO and IMO facilitating broader adoption in aviation and maritime sectors.

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