Here's a summary of the state of the art in the U.S. as of about a decade ago, stalled because its cost was about twice that of $20 per barrel oil...
http://www1.eere.energy.gov/biomass/pdfs/biodiesel_from_algae.pdf
I simply meant to try to explain what I think is behind the phrase I bolded: that the EEA is referring to cellulosic ethanol produced from land that is not prime arable, but takes up land surface all the same. Without reading their latest report, I can't be sure whether they considered algae or not. Since they're calculating land surface, it doesn't seem logical that they should. Though I can well understand there might be a contrary logic to that... When locusts move on, they leave nothing behind
