High momentum backed by clear policy
The new International Energy Agency study projects that worldwide consumption of sustainable liquid and gaseous fuels could rise fourfold by 2035 if governments convert announced strategies into firm legislation. Transport alone may account for half of that volume, serving road fleets, ships, and aircraft with greener blends.
The procurement catalyst
Stable demand signals accelerate supply
Big buyers can turbocharge this outlook. By placing forward looking contracts for biofuels, biogas and hydrogen derivatives, public purchasing departments create bankable demand signals producers can take to investors. Because infrastructure lifecycles stretch over decades, certainty on offtake volumes matters more than headline subsidies.
· Clear multiyear tenders
· Transparent carbon accounting standards
· Performance based payment clauses
Together these elements unlock private capital faster than traditional grants.
Costs are already manageable
The report notes that fuel price premiums translate into modest consumer impacts. For example a 15 percent blend of sustainable aviation fuel would lift average airfares only five to seven percent. That figure sits inside normal seasonal price swings. For steel, swapping to clean hydrogen raises the cost of an electric car by less than one percent. In other words decarbonising inputs is fiscally gentler than many assume.
Employment and regional opportunity
IEA foresees cumulative investment of 1.5 trillion US dollars through 2035, tripling direct employment to almost two million positions. Biofuel supply chains will benefit farming communities
while hydrogen derivatives open new export prospects for renewable rich regions in Latin America, Africa, and Oceania.
A non-obvious advantage
Widespread public procurement will normalise digital carbon bookkeeping across suppliers. Once emission data pipelines are embedded for fuel contracts, the same datasets can inform logistics routing, asset maintenance and even corporate finance. Early movers therefore gain an information edge that compounds beyond energy savings.
Conclusion
Proactive procurement turns sustainable fuel potential into predictable markets, enabling developers to scale, investors to commit and citizens to enjoy cleaner transport with minimal cost difference. By marrying clear policy with savvy purchasing, governments and companies can accelerate the energy transition and capture new economic value.