Five Places Biodiesel Works for You

school bus and fuel tank

The U.S. biodiesel industry set records in 2011, producing more than 1 billion gallons of fuel.  Projections show production could reach or exceed these records in 2012. But do you ever wonder who is using all of that biodiesel and if there will continue to be a market for it in the future? Even if you don’t see it, U.S. demand remains strong. Consider these five major biodiesel users:

  • Illinois’ sales tax incentive for the use of biodiesel blends runs through 2018. This incentive allows for a 20 percent sales tax exemption on biodiesel blends between 1 and 10 percent, and a full tax exemption on blends of 11 percent or more.

 

  • In October, New York City began requiring every gallon of heating oil used in the city to contain at least 2 percent biodiesel. These blends – called Bioheat — provide a cleaner-burning alternative heating source that works in all standard heating equipment.

 

  • Beginning next year, Minnesota will increase its biodiesel requirement to 10 percent during the summer months, while a 5 percent blend must be used during the remainder of the year. The state plans to increase the requirement to 20 percent in 2015.

 

  • The Environmental Protection Agency recently approved a 28 percent increase in the amount of biodiesel to be used in trucks on the nation’s highways in 2013.

 

  • The U.S. Army Corps of Engineers have explored using B100 fuel in working vessels in St. Louis, Cleveland, San Francisco and Washington D.C.  Future plans include continuing to convert more vessels in their fleet in the coming years.