Basics

Biodiesel is a clean-burning alternative fuel produced from domestic, renewable resources. In Minnesota it is made primarily from soybeans, but it can also be made from other materials such as vegetable oils, animal fats and spent cooking oil. Biodiesel contains no petroleum, but it can be blended with petroleum diesel. Pure biodiesel is often referred to as "B100", a blend of 2% biodiesel and 98% diesel is called "B2", 20% biodiesel with 80% diesel is "B20" and so on. Various biodiesel blends (mostly B20 or lower) are already used by hundreds of vehicle fleets, including the U.S. military, Yellowstone National Park, and cities such as Seattle and various counties and cities in Minnesota. Independent tests have shown that biodiesel significantly reduces most harmful vehicle emissions. Biodiesel exhaust has a significantly less harmful impact on human health than petroleum diesel fuel. According the U.S. Department of Energy, biodiesel has the most favorable energy balance of any transportation fuel. For every unit of energy needed to produce a gallon of biodiesel, 3.2 units of energy are gained. In comparison, for every unit of energy needed to produce a gallon of conventional petroleum diesel, 0.8 units of energy are provided.Because it is made from a locally grown, renewable resource, using biodiesel in our vehicles can help boost our farm economy and reduce our dependence on foreign fossil fuels.In the Fall of 2005, with three new production facilities, Minnesota is the largest producer of biodiesel in the U.S. The production capacity of the three Minnesota plants are as follows:

1. FUMPA in Redwood Falls - 3 million gallons,
2. Soy Mor in Albert Lea - 30 million gallons, and
3. Minnesota Soybean Processors in Brewster - 30 million gallons.

It is estimated that the 2% fuels use requirement for Minnesota will replace 16 million gallons of diesel fuel with domestic, renewable biodiesel. Now, many biodiesel plants are being built around the country in anticipation of continued problems with production, processing and distribution of crude oil products like diesel fuel. Governor Pawlenty said, "Once again, Minnesota farmers have cooperated with state policymakers to position our state in a renewable fuels leadership role for the nation." As of September 29, 2005, Minnesota requires nearly all diesel fuel sold in the state to contain at least a 2 percent biodiesel blend. Additional details about Minnesota's 2 percent biodiesel blend requirement can be found in the links listed to the right.