Given time, I think market forces can solve these problems. Academic scientists futz around with hard problems for decades. But when someone focuses professional engineers on a specific probelm, it gets solves pretty fast. I am hoping that energy prices will propel the issue (e.g., "we can make money from solar power now"). Markets have a harder time reacting to negative reinforcement (e.g., "global warming is bad for business").
Solar power seems like the best long-term energy source. 1400 watts/meter of free energy is nothing to sneeze at. It just is expensive to convert and store it now.
Fuels with carbon would be fine if they are made from CO2 in the atmosphere, instead of new carbon. And ultimately, petroleum may be more important for plastics and chemicals than as something to just burn.
This leads me to think that bio-fuels are a good idea, but not the ones currently proposed. Ethanol from corn is a farm-subsidy boondoggle that doesn't work. Where you would make a fortune is by breeding or maniuplating crops to produce energy in a better form. Or, develop a way to utilize the whole corn plant, and not just the little bit of starch in the seeds. Corn is actually very efficient, it can grow six inches a day, but most of the biofuel in it is cellulose, which is hard to chemically break down.