Alcohol fuels

Most road vehicles with spark-ignition engines use petrol, a light hydrocarbon fuel refined from crude oil. Alcohol fuels are low carbon liquid substitutes for, or blendstocks into, conventional petrol. Once they meet the relevant fuel quality standard, alcohol fuels are blended with conventional petrol and used in existing vehicles and refuelling infrastructure, subject to blend limits set by each fuel’s specification.

Bioethanol

Also known as

E10 / E85 (blend designations)
Anhydrous fuel ethanol
Ethyl alcohol
Hydrous ethanol (E100)

Bioethanol is an alcohol produced by fermenting sugars from crops such as sugarcane, corn, wheat and sorghum, or from cellulosic residues. It is blended into petrol as an oxygenate and octane booster, most commonly as E10 in Australia.

Key standards and certifications
Technical

Australian fuel quality regulations under the Fuel Quality Standards Act 2000

Australian Government

EN 15376

Automotive fuels – Ethanol as a blending component for petrol – Requirements and test methods

ASTM D4806

Standard Specification for Denatured Fuel Ethanol for Blending with Gasolines for Use as Automotive Spark-Ignition Engine Fuel

ASTM D5798

Standard Specification for Ethanol Fuel Blends for Flexible-Fuel Automotive Spark-Ignition Engines

EN 228

Automotive fuels – Unleaded petrol – Requirements and test methods

Certifications and schemes

International Sustainability and Carbon Certification (ISCC)

ISCC System GmbH

Bonsucro

Bonsucro Production Standard

Roundtable on Sustainable Biomaterials (RSB)

Global certification standard for sustainable biomaterials, biofuels and biomass production.

Guarantee of Origin scheme

Australian Government (Clean Energy Regulator)

Production pathways

Standards and approvals
  • Fuel Quality Standards (Petrol) Determination 2024 (Australia)
  • Fuel Quality Standards (Ethanol E85) Determination 2024 (Australia)
  • ASTM D4806 (anhydrous fuel ethanol)
  • ASTM D5798 (E51-E83 blends for flex-fuel vehicles)
  • EN 15376 (ethanol blending component)
  • EN 228 (unleaded petrol up to E10)
Maximum blend
  • Up to 10% (E10) in standard petrol
  • Up to 85% (E85) in flex-fuel vehicles
  • 100% (E100) in dedicated ethanol vehicles
Main feedstocks
Sugar crops (sugarcane, sugar beet) and starch crops (corn, wheat, sorghum)

Bioethanol from sugar crops

Sugar cropcane, beet
→
Crushing and juice extraction
→
Sugar juice / molasses
→
Fermentationyeast
→
Distillation to fuel ethanol

This pathway also produces bagasse (often combusted on-site for power and heat) and stillage co-products.

Bioethanol from starch crops

Starch cropcorn, wheat
→
Milling + saccharification
→
Fermentable sugars
→
Fermentationyeast
→
Distillation to fuel ethanol

Co-products include distillers’ grains (DDGS), used as livestock feed

Standards and approvals
  • Fuel Quality Standards (Petrol) Determination 2024 (Australia)
  • Fuel Quality Standards (Ethanol E85) Determination 2024 (Australia)
  • ASTM D4806
  • ASTM D5798
  • EN 15376
  • EN 228
Maximum blend
  • Up to 10% (E10) in standard petrol
  • Up to 85% (E85) in flex-fuel vehicles
  • 100% (E100) in dedicated ethanol vehicles
Main feedstocks
Lignocellulosic biomass: agricultural residues (bagasse, straw, stover), forestry residues, energy grasses; municipal solid waste (organic fraction)

Cellulosic ethanol from lignocellulosic biomass

Lignocellulosic biomass
→
Pretreatment
→
Enzymatic hydrolysis
→
C5/C6 sugars
→
Fermentationyeast
→
Distillation to fuel ethanol

Lignin co-product is typically combusted on-site for process heat and power

Chemically identical to first-generation bioethanol once distilled – the difference is the feedstock and the upstream conversion steps

Isobutanol

Also known as

2-methylpropan-1-ol
Biobutanol (when biologically produced)
iBuOH
Isobutyl alcohol

Isobutanol is a four-carbon alcohol that substitutes for or extends conventional petrol. Compared with ethanol, isobutanol has higher energy density, lower water affinity and lower volatility, allowing higher petrol blend ratios without engine or infrastructure modification. Produced by fermentation using engineered organisms, isobutanol can serve the same blending role as ethanol while reducing the technical constraints on blend ratio.

Key standards and certifications
Technical

Australian fuel quality regulations under the Fuel Quality Standards Act 2000

Australian Government

EN 228

Automotive fuels – Unleaded petrol – Requirements and test methods

ASTM D7862

Standard Specification for Butanol for Blending with Gasoline for Use as Automotive Spark-Ignition Engine Fuel

Certifications and schemes

International Sustainability and Carbon Certification (ISCC)

ISCC System GmbH

Guarantee of Origin scheme

Australian Government (Clean Energy Regulator)

Roundtable on Sustainable Biomaterials (RSB)

Global certification standard for sustainable biomaterials, biofuels and biomass production.

Production pathways

Standards and approvals
  • Fuel Quality Standards (Petrol) Determination 2024 (Australia)
  • ASTM D7862
  • EN 228 (subject to oxygen content limits)
Maximum blend
  • Up to 12.5% under ASTM D7862
  • Up to 15% under EN 228 oxygen content limits
Main feedstocks
Sugar and starch crops (sugarcane, sugar beet, corn, wheat); biomass-derived sugars

Isobutanol via fermentation of sugars

Sugar/starch feedstock
→
Pretreatment to fermentable sugars
→
Fermentationengineered organisms
→
Crude isobutanol
→
Separation + purification

Isobutanol’s higher energy density and lower water affinity than ethanol allow higher petrol blend ratios without infrastructure modification.

Renewable ethyl tert-butyl ether (ETBE)

Also known as

Bio-ETBE
Ethyl tertiary-butyl ether

Renewable ETBE is an oxygenated ether produced by reacting bioethanol with isobutylene. It serves as a high-octane oxygenate blendstock in petrol with better fuel-handling properties than ethanol, lower volatility, lower water affinity and easier storage. ETBE inherits its renewable carbon content from the bioethanol portion. Renewable ETBE is most widely used in European markets where it competes with bioethanol as a petrol oxygenate.

Key standards and certifications
Technical

Australian fuel quality regulations under the Fuel Quality Standards Act 2000

Australian Government

EN 228

Automotive fuels – Unleaded petrol – Requirements and test methods

Certifications and schemes

International Sustainability and Carbon Certification (ISCC)

ISCC System GmbH

Guarantee of Origin scheme

Australian Government (Clean Energy Regulator)

Roundtable on Sustainable Biomaterials (RSB)

Global certification standard for sustainable biomaterials, biofuels and biomass production.

Production pathways

Standards and approvals
  • Fuel Quality Standards (Petrol) Determination 2024 (Australia)
  • EN 228
Maximum blend
  • Up to 22% by volume in petrol under EN 228
  • Typical commercial blends 10-15%
Main feedstocks
Bioethanol (renewable component) reacted with isobutylene (typically fossil-derived; bio-isobutylene routes emerging)

Renewable ETBE from bioethanol and isobutylene

Bioethanol + isobutylene
→
Catalytic etherification
→
Distillation to ETBE

ETBE has higher energy density and lower volatility than ethanol, allowing easier blending into petrol.

Other drop-in renewable petrol pathways

These pathways are small-volume products globally, and none are currently produced at commercial scale in Australia.

The main drop-in renewable petrol pathways are:

  • Bio-naphtha from hydroprocessed esters and fatty acids (HEFA) refining. A petrol-range hydrocarbon co-produced when fats, oils and greases are processed into renewable diesel and sustainable aviation fuel (SAF).
  • Methanol-to-petrol (also called methanol-to-gasoline, MTG). A catalytic process that converts methanol into petrol-range hydrocarbons. The methanol input can be made from biomass, from natural gas, or from hydrogen combined with captured carbon dioxide (COâ‚‚).
  • Fischer-Tropsch (FT) synthesis. A chemical process that converts synthesis gas – a mixture of carbon monoxide and hydrogen (Hâ‚‚) – into liquid hydrocarbons. Petrol-range cuts are produced alongside diesel and jet fractions.
  • Power-to-liquid (PtL) petrol, or e-petrol. A liquid fuel made by combining hydrogen produced using renewable electricity with a carbon source such as captured carbon dioxide.

Resources

A selection from the library related to this page.

    • Report
    • 2025

    Opportunities and Priorities for a Low Carbon Liquid Fuel Industry in Australia

    Commonwealth Scientific and Industrial Research Organisation (CSIRO), prepared in partnership with the Australian Government
    CSIRO report, prepared in partnership with the Australian Government, outlining opportunities for a low carbon liquid fuel industry in Australia and identifying priorities to progress projects from development through to commercial scale.
    Read more
    • Guidance
    • 2025

    Learn about sugarcane

    CANEGROWERS
    Canegrowers introductory resource on the Australian sugarcane industry, including the role of bagasse and molasses as potential feedstocks for ethanol and bioenergy.
    Read more
    • Data & statistics
    • 2024

    National Waste and Resource Recovery Report 2024

    Australian Government, Department of Climate Change, Energy, the Environment and Water (DCCEEW), prepared by Blue Environment
    Australian Government report, prepared by Blue Environment, covering waste generation, recovery and disposal, with data current to financial year 2022-23. Relevant to waste-derived feedstock availability, including the organic fraction of municipal solid waste, organics collection coverage and landfill gas capture.
    Read more
    • Report
    • 2021

    Australian Biomass for Bioenergy Assessment 2015-2021

    Australian Renewable Energy Agency (ARENA), prepared by AgriFutures Australia
    ARENA-supported report assessing Australian biomass resources and their relevance to bioenergy and renewable fuels, prepared by AgriFutures Australia.
    Read more