As the global population increases and becomes more affluent, biomass demands for food and biomaterials will increase. Demand growth is further accelerated by the implementation of climate policies and strategies to replace fossil resources with biomass. There are, however, concerns about the size of the prospective biomass demand and the environmental and social consequences of the corresponding resource mobilization, especially concerning impacts from the associated land‐use change. Strategically integrating perennials into landscapes dominated by intensive agriculture can, for example, improve biodiversity, reduce soil erosion and nutrient emissions to water, increase soil carbon, enhance pollination, and avoid or mitigate flooding events. Such “multifunctional perennial production systems” can thus contribute to improving overall land‐use sustainability, while maintaining or increasing overall biomass productivity in the landscape. Seven different cases in different world regions are here reviewed to exemplify and evaluate (a) multifunctional production systems that have been established to meet emerging bioenergy demands, and (b) efforts to identify locations where the establishment of perennial crops will be particularly beneficial. An important barrier towards wider implementation of multifunctional systems is the lack of markets, or policies, compensating producers for enhanced ecosystem services and other environmental benefits. This deficiency is particularly important since prices for fossil‐based fuels are low relative to bioenergy production costs. Without such compensation, multifunctional perennial production systems will be unlikely to contribute to the development of a sustainable bioeconomy.This article is categorized under: Bioenergy > Systems and Infrastructure Bioenergy > Climate and Environment Energy Policy and Planning > Climate and Environment

Within the scope of the new Common Agricultural Policy of the European Union, in coherence with other EU policies, new incentives are developed for farmers to deploy practices that are beneficial for climate, water, soil, air, and biodiversity. Such practices include establishment of multifunctional biomass production systems, designed to reduce environmental impacts while providing biomass for food, feed, bioenergy, and other biobased products. Here, we model three scenarios of large-scale deployment for two such systems, riparian buffers and windbreaks, across over 81,000 landscapes in Europe, and quantify the corresponding areas, biomass output, and environmental benefits. The results show that these systems can effectively reduce nitrogen emissions to water and soil loss by wind erosion, while simultaneously providing substantial environmental co-benefits, having limited negative effects on current agricultural production. This kind of beneficial land-use change using strategic perennialization is important for meeting environmental objectives while advancing towards a sustainable bioeconomy.