I guess that more realistic valuations of biofuel companies and a shake out of some of the more highly leveraged and more recent entrants into the market will help the long-term viability of the industry.
One thing that I think would help the industry to become more robust would be integration along the chain from source to fuel. Two things the oil business do well, but the biofuels business doesn't. Give value to shareholders irrespective of where the profit is between the ground and the wheels of the vehicle. 2 Distribute fuel efficiently over great distances.
New technology is a great story but unless it is used by firms that can do these things, it won't make a meaningful contribution to gasoline replacement.