Potential Future Impacts of Increased Biofuels Use
This entry is part of a series of posts written by members of the Environment and Energy team of the World Bank's Research Group on economic and policy issues involving energy and climate change mitigation.
Ongoing controversy has surrounded production of crop-based biofuels, ostensibly for the purposes of increase renewable energy use and reducing carbon dioxide (CO2) emissions that causes global warming. To illustrate, a recent report on price volatility in food and agricultural markets prepared by numerous international organizations, including the World Bank, at the request of G20 Governments recommended elimination of current national policies that subsidize or mandate biofuels production or consumption. Some international non-governmental organizations, such as Action Aid strongly supported the recommendation, while some other organizations, such as Renewable Fuel Association opposed it. The June meeting of G20 agriculture ministers did not make any decision in favor or against biofuels, deciding instead to have further analysis.

To look at the impacts on women, one logical approach is to use a computable general equilibrium model that tracks economic impacts of new crops and how patterns of trade and substitution will change. It’s important to account for the complexities involved, and rely not on a simple, traditional commodity model but one that tracks the impacts on women through changing prices and demands for crops to be sold on local and international markets. Who gains and who loses as prices change, and as the value of specific crops and of land changes?
Higher prices have been making 



Using data from the Food and Agriculture Organization (FAO) and the OECD, BBC News online created some