Bio-fuels are fuels that are produced using plants that initially transform energy from the Sun into stored chemical energy through the process of photosynthesis. During photosynthesis, plants absorb carbon dioxide and release oxygen.

Bio-fuels such as ethanol and Biodiesel produce thermal energy (heat) when they are burned. They also release carbon dioxide. They are considered to be carbon neutral because the amount of carbon dioxide they release is equal to the amount they absorbed.

For a Case Study on Microalgal biofuels, click here.