South America's formaldehied problem could be cured overnight by a massive campaign of auto mechanics. Even relatively cheap ones are beyond the means of most farmers. Keep in mind that it is very inexpensive to cover acres and acres of land with hemp plants. I can see a clear demand for hemp biomass here. Agreed, and it is these industries which will bootstrap the biomass fuel industry by producing enough spare feedstock to develop a technologically advanced pyrolytic fuel reactor.
China is the most advanced.
However, they may have started a pilot project to burn raw hemp feedstock in Australia in the generation of electricity. Formaldehyde is what concerns the South American countries with methanol vehicle fleets. They don't seem too concerned with Nitrogen compounds. There are a whole host of environmental problems with electric cars, mainly in the manufacture of the parts especially the batteries, which you fail to mention. Internal combustion is still a superior technolgy for small passenger vehicles, though hybrid models show some promise of increased efficiency.