Provided herein are controlled methods for producing biofuel and lipids from algae. In certain embodiments, the controlled methods comprise: (i) providing upwelled water in a body of water; (ii) culturing algae in the upwelled water; (iii) feeding the algae to planktivorious organisms; (iv) extracting lipids from the planktivorious organisms; and (v) polishing the lipids to make biofuel or other useful products. In certain embodiments, the upwelled water is provided in the body of water by using an open-cycle OTEC system. Also provided herein are controlled systems for producing biofuel and lipids from algae.