BiodieselJeep.com wrote:
I definitely know that the Biodiesel I burn isn't necesarily over-all better for the environment than Dino-diesel. There are trade offs (less polutants vs less farmland) but on one issue there is a clear advantage:
My biodiesel is made here in AMERICA, by Americans and sold (mostly) to Americans.
Money trails are like Karma...think about it.
Sorry to burst your bubble, but most biodiesel is being exported to Europe... at least most of what is produced in Iowa, Minnesota, and Illinois. I have a biodiesel production facility 8 miles from my front door, and over 90% of their production goes on a train and heads to the East Coast.
There may gradually be some change in this practice, as Illinois is ramping up it's tax credits for stations to sell biodiesel blends of 11% or more (however, no mandate to do so). Minnesota is currently mandating 2%, but that will increase to 5% in 2010 and then 10% in 2015. Iowa isn't doing anything to encourage local use of locally produced biodiesel, so it is a hit and miss situation as to where you can get the product.
Regarding "money trails", where most of the public should vent about all of this is the "spash and dash" process that is costing Americans hundreds of millions of dollars a year. A tanker loaded with foreign produced biodiesel pulls into a U.S. harbor. A limited amount of dino diesel is "splashed" or mixed into the tanker load. Now the entire tanker qualifies for the biodeisel blenders tax credit of $1 per gallon. They pocket the money and "dash" to Europe, which is now threatening a trade war with the U.S. over these practices. U.S. producers can get the blenders tax credit, then ship the product to Europe and sell it at an increased profit over the U.S. market, due to our weakening dollar value.
I personally am against Government subsidies, but if they are going to be a fact of life, then they need to be limited to only U.S. production used in the U.S. Of course, engine manufacturers are not really helping the process. Most large diesel engine manufacturers are against blends greater than 5%. Only a limited number of engine manufacturers are approving higher blends, with New Holland being the leader in allowing biodiesel at up to 100% be used in its currently manufactured engines. John Deere can't seem to get past 20%, and the truck engine manufacturers are digging in at the 5% level for the near future. They are considering higher blends, but no real progress so far. And since these class of engines use the lion's share of diesel fuel in this country, they are, by default, limiting the amount of biodiesel available at retail level. Heck, I can't get my local farmer's coop to blend more than 5%.