Los Angeles Times article here talks about a company, Sapphire Energy, proposing to make fuels from algae.
With houses being foreclosed at a record rate in the United States, there may be an upside. Many of these houses have swimming pools in their back yards. The abandoned pools are filling with algae, which can be turned into fuel, perhaps at a rate that would pay off the mortgage (as long as the houses remain abandoned and the pools neglected). All it would take is water enough to keep the pools producing.
Oh yeah—the drought.
Thanks to reader Marguerite for the tip.