The foundation of a bio based economy written by: Andre Faaij © May 2008, Copernicus Institute - Utrecht University Essay prepared for the National Sciences Foundation (Nederlandse Organisatie voor Wetenschappelijk Onderzoek) NWO This essay addresses the potential and problems of the large-scale use of biomass as an energy source and as a renewable precursor for various materials. The global context of the current bio fuel debate is discussed, as are the major incentives for furthering the development of biomass as an option. The most recent insights into the potential of biomass in relation to world food supply, water, biodiversity and energy demand are dealt with. The essay goes on to examine the crucial role of agriculture and the interlink age of the sustainable development of biomass with the modernization of agriculture. Consideration is also given to the need to guarantee sustainable biomass production and land use, and to construct a working international biomass market (including recent developments in this area), followed by strategic recommendations. It is proposed that, throughout the course of this century, biomass will play a major part in delivering sustainable energy (and materials), reducing greenhouse gas emissions and providing a major economic boost to the world’s rural regions. It will enable us to avoid conflicts associated with water use and the protection of biodiversity. If this is to be achieved, however, numerous (sustainable) preconditions must be met, and appropriate biomass options must be developed (specifically with regard to multiannual crops). These measures will have to be combined with substantial investments in improvements to existing agricultural practices and animal husbandry, especially in developing countries. This is a complex message and a challenge for policymakers and for the stakeholders involved. At the same time, however, it is vitally important to achieve results in the areas of reducing greenhouse gas emissions, developing alternatives to fossil fuels (especially oil), combating poverty, and boosting rural development, modernizing agriculture, and improving soil management. Biomass is at the crossroads of all these problems. If tackled correctly, the production and use of biomass can achieve significant synergies. This is a complex but challenging issue, and ultimately an essential option for sustainable development.