Algae used in biofuel on U.S. jet test flight

Mixture exceeded specs for regular fuel; no changes were needed on 737

HOUSTON – Continental Airlines on Wednesday became the first U.S. commercial carrier to conduct a demonstration flight powered in part by alternative fuels, though large-scale use of such fuel is forecast to be several years away.

Supply bottleneck for now

Jennifer Holmgren, general manager of renewable energy and chemicals at UOP, said one of the big obstacles facing the industry is finding enough affordable feedstock to produce the large quantities of biofuel needed.

Still, as production ramps up in the next few years, she predicts biofuel could amount to 3 percent to 5 percent of the fuel used by big airlines by 2012. By 2020, the level could grow to as much as 20 percent, she said.

MSNBC