More refineries switch to biofuel production as oil demand slumps

European and US refineries face closure threats due to falling fuel demand – prompting some to produce biofuels instead.

The COVID-19 pandemic has hit global demand and the International Energy Agency (IEA) said that by 2030 around 14% of current refining capacity in advanced economies “faces the risk of lower utilisation or closure”.

Shutting down refineries is a costly process so some owners are switching to cleaner biofuels by processing vegetable oil and waste oils.