| No company and/or industry today are immune from | | | | blends of biodiesel (B2, B5, and B10) can cost less |
| the escalating cost of crude oil. In an effort to | | | | than petroleum diesel. B20 is sold at almost a similar |
| address this growing concern, companies are seeking | | | | price to petroleum diesel, but prices are expected to |
| alternative, cost-effective ways to make every drop | | | | decrease as petroleum prices increase in the world |
| of fuel count. Although biodiesel is not a new type of | | | | market while local producers and supply of biodiesel |
| fuel, its use has not been widely considered up until | | | | increase. |
| now. Today, its popularity is rapidly growing as an | | | | The Cons - Opponents stress that biodiesel has |
| alternative to petroleum-based fuel that can be used | | | | different solvent properties that can break down |
| in various blends in unmodified diesel engines. | | | | deposits in the fuel lines where petrodiesel has been |
| Biodiesel comes from vegetable oils that undergo | | | | used. If and when gas stations start offering |
| transesterification, a chemical process that extracts | | | | biodiesel, opponents say they will need to replace fuel |
| methyl or ethyl esters from the oil. This extraction | | | | lines. Opponents expand their argument by stating |
| can be used as fuel, either in a pure or blended form. | | | | that biodiesel can also degrade rubber components, |
| The oils come from renewable, organic sources, such | | | | which means that rubber fuel pumps and seals will |
| as coconut, soybean, grape seed, jatropha, or from | | | | also need to be replaced with a synthetic rubber. This |
| waste vegetable oil. | | | | is not great for consumers whose warranty may not |
| In an effort to promote the development and use of | | | | apply if they convert to biodiesel. |
| alternative fuels, the United States government | | | | One of the problem advocates gloss over, however, |
| provides incentives and tax credits to producers and | | | | is that although there are good number of biodiesel |
| users of renewable and alternative fuel, such as | | | | suppliers in some states, other states still do not |
| biodiesel. For example, the U.S. Department of Energy | | | | have enough suppliers and producers of biodiesel to |
| (DOE) has been drafting policies that will mandate | | | | justify the switch to biodiesel vehicles. Currently, |
| private fleets and government vehicles to replace | | | | northern central states like Minnesota, Michigan, North |
| their vehicles with those that are ready for | | | | and South Dakota, Nebraska, Iowa, Illinois, Kansas, |
| alternative fuel (read: diesel vehicles must be biodiesel | | | | and Missouri have several suppliers of biodiesel. In |
| ready). | | | | other states, only selected suppliers provide biodiesel |
| The Pros - Biodiesel is commercially available at many | | | | to local pumps, suggesting that the proposed |
| pumps throughout the United States as a blend with | | | | government mandates do not realistically consider the |
| petroleum diesel. Proponents say blends of up to 20 | | | | impact and consequences of this mandate on states |
| percent (B20) may be used in most conventional | | | | where suppliers and producers are low. |
| diesel engines, before costly modifications are | | | | Investors are quick to point out that there must be |
| needed. Advocates assert that there is no significant | | | | a growing demand in other states in order for |
| difference between biodiesel and petroleum diesel | | | | businesses to justify investing in distribution facilities in |
| when it is blended properly. In fact they argue that | | | | other locations. That said, with petroleum prices |
| biodiesel provides the same mileage, torque, and | | | | expected to continue to rise, proponents believe that |
| horsepower that petroleum diesel provides. | | | | consumers will consider switching to biodiesel and |
| Proponents stress the many advantages of using | | | | other alternative fuel, thus creating a demand. With |
| biodiesel in vehicles. For starters, it is a cleaner fuel | | | | rising demand, gas stations are expected to install |
| that reduces carbon dioxide emissions up to 80%. | | | | more pumps that carry biodiesel. |
| With new regulations, biodiesel has almost zero sulfur | | | | While the conversion to using more biofuels appears |
| dioxide content. Studies also suggest that lower | | | | to be inevitable, some question how the conversion |
| blends of biodiesel are more fuel efficient, which | | | | will be executed. Timing and associated costs of the |
| makes car engines last longer. In addition, biodiesel is | | | | changes are still not clear. There is also the issue |
| less of a noise pollutant in diesel engines because of | | | | about the direct and indirect costs of converting |
| its high octane ignition rating. This means biodiesel can | | | | compounded by the question of which groups will |
| make cold starting easier since it heats up more | | | | benefit and which groups will suffer. With |
| easily than petroleum diesel. | | | | congressional leadership favoring the acceleration of |
| The beneficiaries of biodiesel will be fleet vehicles and | | | | greener energy that clearly benefits their |
| the public transportation sector. As oil prices have | | | | constituents and lobbyists, there will definitely be |
| increased dramatically over the past year, biodiesel is | | | | winners and losers. |
| becoming a more appealing alternative because it is | | | | In the final analysis, the biodiesel debate points to the |
| cheaper to produce and is more environmentally | | | | urgency for businesses to begin planning NOW for |
| sound. In addition, the price of biodiesel may be more | | | | the inevitability of a greener world, with its intended |
| stable than petroleum diesel. For example, lower | | | | and unintended consequences. Will you be prepared? |