Also known as drop-in fuels, biofuels are organic materials capable of being turned into fuels. They currently account for around 3% of all energy used for transportation in Europe. So far, almost all biofuels used in Europe are “first generation”, meaning they are derived from such food crops as wheat, sugar beet and vegetable oils. The fuel industry is currently engaged in research and development projects aimed at harnessing the potential of a new generation of biofuels, sometimes referred to as “advanced biofuels” or “second generation”, derived from new feedstocks like straw, corn stover, wood waste, algae and other biomass.