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What it is Synthetic fuels are produced through chemical processes that convert renewable energy sources, such as solar or wind power, into liquid fuels that are chemically similar to gasoline or diesel. They are distinct from biofuels, which are derived from biological materials like plants or algae. Synthetic fuels can be used in existing ICE vehicles without requiring modifications, making them a “drop-in” solution for decarbonizing the current fleet.
Impact on climate actionSynthetic fuels for ICE vehicles offer a promising avenue for climate action within the low-carbon ICE vehicle framework. These fuels, produced from renewable sources, reduce greenhouse gas emissions, enabling a smoother transition away from traditional fossil fuels. Their adoption could significantly mitigate the transportation sector’s environmental footprint, advancing global climate goals.
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Commercial ImplementationThe commercial implementation of synthetic fuels is gaining momentum, with several startups and established energy companies building pilot plants and demonstration facilities. Some automotive manufacturers have made commitments to purchase synthetic fuels in the coming years. However, large-scale commercial production is still in development, and widespread adoption of synthetic fuels in ICE vehicles is expected to take several more years, likely in the 2030s.