Biomass refers to all organic material that comes from plants and animals. The sources of it may include plant-derived materials that include forestry residues and urban wood waste. On the contrary, biofuel refers to the energy sources that come from biological materials such as plant material and animal wastes. Both of them are renewable resources. Biomass is burned to produce electricity and biofuels can be converted into liquid fuels which replace petrol from fossil fuel and diesel.