Look beyond just automotive. Biofuel is a good start point as it utilises the existing technology of engines that have already been made. Too much emphasis is given to electric vehicles when the electricity they run on is as bad as fossil fuel. The European requirements are currently that 10% of fuel is from vegetable origin, so gas and diesel at the pump is 10% biofuel. This has not been successful (ecologically) as a lot of the biodiesel is derived from palm oil which is responsible for cutting down forests in Brazil. Meantime European farmers are paid a subsidy. Moving that payment to oil crops (canola, linseed etc) would improve the situation and cut down on the imports, improving the economy. You will have to ask the politicians why they don't do the obvious.
As to practicality there are a number of engines that run on vegetable oil without modification. Mercedes is a leader in this technology. (See this discussion on the Merc forum
SVO, which car which engine.) So if you can run a luxury automobile like an E class on vegetable oil I don't think there is an excuse... This leaves the availability of vegetable oil and the cost. In the UK vegetable oil is cheaper than automotive diesel, about the same price as agricultural diesel (agric has lower tax burden). It is "illegal" to run your car on veg oil because of the tax (you can pay the tax in theory but it is difficult).
So really the practicality has more to do with legislation and tax than whether the vehicle will cope with the actual fuel. Even if only the "suitable" vehicles switched over the fossil CO2 saving would be considerable. Without this switch over why would engine manufacturers make vegetable oil compliant engines (like the Merc)? So there are not "enough" compliant so the fossil addicts claim that we are not "ready". Classic stalling techniques.
Even this misses the easy target though. Consumer resistance on private cars being what it is the easy target is trucks. Just imagine all the fuel for trucks were to be moved to renewable sources. Why not electric based trucks as well? The new self driving technologies are ideal for convoys of trucks on the freeways. At key distribution points the trailer can be allocated a driver and a conventional tractor for the last part of the delivery. Big diesels are a source of soot (PM pollution) and poor air quality. Its a win-win. here in Europe there is a shortage of truck drivers too so not even an issue for employment.
You have to conclude that there is political pressure not to do what is obvious, profitable and sensible. Kinda like some big lobby group is funding some sort of contrarian argument maybe?