Biofuels were once forgotten in the United States, mainly when huge petroleum deposits kept fuel prices low. With the increase in oil prices recently, the biofuel industry in the US is rising significantly. Experts predict that this green energy efficient industry will continue to grow within the next 7 to 10 years.
The Source of Biofuels
Those who are concerned with the prospect of global warming love the potential use of biofuels. Produced either directly or indirectly from used cooking oil, animal waste and plant materials, biofuels are less costly than other types of fuel. Already in the national and global market, the trend for this fuel is rising.
Online Reverse Auction Software
Due to the growth of the biofuel industry, online software for energy brokers and energy suppliers is an available market for entrepreneurs. The software to efficiently sell energy services to purchasers is a must have for suppliers and brokers. The reverse auction process effectively conducts online business for those in the biofuel industry.
Both regulated and deregulated gas and electricity markets are involved in the reverse auction process in which the buyer and seller roles are reversed. The buyer is given the option of testing and evaluating multiple pricing parameters to find a good fit. Commercial, industrial, and manufacturing facilities take advantage of this platform.
Reverse Auction Benefits
Reverse auctions in the biofuel industry have been said to cut costs tremendously. Although the seller pays a fee to the service provider, the bidding process cuts costs all around for both buyer and seller. A situation in which both sides win is seen as a huge benefit by all involved.
As a very lucrative market, the biofuel industry benefits from reverse auctions. Market efficiency is increased, and the process of obtaining the goods and services is enhanced. Proper software and other technical aspects of the process is essential thus the reason that the online reverse auction software market is critical. Quality and professional relationships are enhanced rather than compromised as is often the case in other markets.
Biofuel Market Projections and Uses
According to market research, the biofuel industry is expected to reach approximately 218 billion dollars by 2022. A 4.5% growth is expected by 2022 as well. Investors see these projections as an open door of opportunity. By the year 2025, the increase is predicted to be at approximately 240 billion dollars.
Biofuel is used for other purposes besides first-generation fuel. It is used in vegetable oil and cosmetics, and it is used to treat Vitamin A deficiency and other health issues. Biofuel is predicted to aid the improvement of economic conditions due to its health benefits and appeal to green energy supporters. These factors explain the reasons for the projected growth and profit for this industry.
With the continued growth of the biofuel industry, reverse auctions will be a much-needed process. The efficient software to accompany reverse auctions will keep the market flowing which will further aid the growth of the industry for years to come.