The global transport sector accounts for approximately 30 % of total final energy consumption and 15.9 % of worldwide greenhouse gas (GHG) emissions, with road transport alone accounting for the largest share at 11.8 %. Decarbonizing this sector requires energy sources that combine scalable generation from renewable sources with compatibility with various modes of transportation and existing infrastructure.
Methanol and ethanol emerge as promising alternative energy carriers that can leverage existing logistics infrastructure while reducing dependence on fossil fuels. Global methanol production reached 112 million metric tons, and global ethanol production totaled approximately 93.5 million metric tons in 2024, compared to more than 2 billion metric tons of gasoline and diesel produced annually. The review assesses production pathways and cost trajectories for both alcohols, evaluates fuel requirements across multiple transport modes, including passenger vehicles, light- and heavy-duty vehicles, maritime shipping, aviation, and rail, and provides regulatory frameworks governing fuel standards in six major markets, the European Union, the USA, Brazil, China, Japan, and India. From a technical perspective, the internal combustion engine is examined in greater detail as the energy conversion system, synthesizing current combustion research on engine performance, emissions characteristics, and cold-start behavior.
Current standards predominantly accommodate ethanol blending for spark-ignition (SI) engines in passenger vehicle applications, with permitted concentration limits ranging from 3 % in Japan to nearly pure ethanol in Brazil. Methanol applications remain more limited in road applications. In the maritime sector, recent ISO 8217:2024 specifications and International Maritime Organization (IMO) interim guidelines have established frameworks for the use of methanol and ethanol as marine fuels. Aviation remains the most restrictive sector, with alcohol fuels explicitly prohibited in certified aviation fuels due to material compatibility and safety concerns.
To unlock the decarbonization potential of methanol and ethanol in the transport sector, coordinated policy support and continued technological innovation will be essential. As production scales and regulatory frameworks mature, both alcohol fuels may play an increasingly central role in the transition toward sustainable mobility.