In my humbled opinion the plastic to oil concept has the most bang for the buck so to speak. If you can efficiently turn plastic into energy, eventually we could get rid of all qualifying plastic waste. For your project however there may be other factors to consider.
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for sure!
Haven said that, I would also say that any "bio fuel" should be used in a natural way first, like composting thru a garden for example, for more food. And then perhaps only excesses can be used to be converted to other fuels. I would think it would be earth-friendliest way. Again just an opinion.