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Bioethanol- Ethanol produced by microorganisms, e.g., Saccharomyces cerevisiae, from biomass is called bioethanol. Bioethanol is the most widely used biofuel for transport purposes, especially in Brazil and U.S.A.

The interest in use of bioethanol as petrol replacement began in Brazil and USA during 1980s. At present, bioethanol is not cost competitive as compared to petrol, but is being used for transport due to government subsidies.

Any biofull proposed to be used for transport purposes should have the following features:

(i) it should be portable in sufficient quantities in the vehicle,

(ii) it should burn in the internal combustion engines, and

(iii) it should be roughly equivalent to petrol in energy content. Ethanol possesses certain features, which make it more desirable than petrol, but it also has some undesirable features.