Enzymatic hydrolysis is a biochemical process where enzymes break down complex molecules, such as carbohydrates, proteins, and lipids, into simpler sugars, amino acids, and fatty acids by the addition of water. This process is crucial in converting biomass into usable forms of energy, especially in the production of plant-based biofuels, where polysaccharides in plant materials are hydrolyzed to release fermentable sugars for ethanol production.