This just sounds like a real good idea with a lot of potential bad. Scientists have engineered algae to absorb more light thus making it grow better. In turn, more algae means more biofuel potential. Scientists have looked at algae for a while as a way to reduce fossil fuel dependence as it can be turned into biodiesel and this mutant algae even produces some hydrogen thus giving way to hydrogen powered cars.
The biggest advantage is that we don’t touch our food supply. The current push is for ethanol which mainly comes from corn (and occasionally bad beer). Algae also sucks up a lot of CO2.
The bad? Yeah, there’s always bad. What happens when this algae gets out? What does it do the natural system? GMO is always dangerous because we don’t know what we’re ultimately changing in the world.
But its still a cool idea. See what they’re doing at Technology Review.