Over at the University of Texas, they're breeding bugs. Buuuugs.
Well, actually cyanobacteria, but "bugs" sounds better.
Anyway, what they're breeding for is bacteria that excrete sugars and easily processed forms of cellulose. Ones that can be readily converted to fuels.
What this means is more fuel created per acre, fuel created without using either land or fresh water that would otherwise be used for growing crops, and, let's not forget, a fuel creation means that can be done, at least on a small scale, in any frackin' wet place that can take the load and gets any sun. Not a lot of sun. Any sun. After all, Fresnel lenses and mirrors really are pretty cheap. So concentrating a whole bunch of sun on, say, squares of a Louisiana parking lot that is kept flooded with brackish water should work just fine. And, in some cases, it may even make sense to provide artificial or piped in supplementary light to areas that get lots of waste heat and will "feed" the microorganisms partially on that. Say, the area on top of a bakery.
It will take some expertise and effort and there will be lots of trial and error involved, but you get the idea.