Encouraged by the continued demand for alternative fuels, bioenergy executives are optimistic that their industry will be an increasingly investment-driven enterprise, according to the findings of the Summer 2011 Bioenergy Business Outlook survey. The quarterly survey, co-sponsored by Biofuels Digest and BIO, was discussed at the BIO International Convention today by Jim Lane, editor of Biofuels Digest; Brent Erickson, Executive Vice President, BIO; and Adam Monroe, President, Novozymes North America. The survey reflects expectations for industry growth, including a 10 percent increase in revenues and five percent increase in median job growth over the next 12 months.
“Industrial companies are seeing a growing IPO window,” Lane said. “Of the executives surveyed, 76 percent are more optimistic about the growth of the industry than they were 12 months ago. There is a growing interest in cellulosic biofuels.”
The survey reflected that executives don’t expect the industry to be solely policy-driven going forward. Continued demand for alternative fuels is contributing to the positive outlook, since it could support new financing options.
“The executives surveyed are optimistic about the market and pessimistic about the government policy driving the industry growth,” Erickson said.
Novozymes is one such company that shares in the optimism about the future of the industry. The company plans to build a new facility to produce enzymes for the conversion of traditional and advanced cellulosic feedstocks.
“One of the reasons we feel good is that we and our partners have made great technological advancements,” Monroe said. “We believe the industry is poised to take off.”