The Cost Of Making Biodiesel

What is the cost of making biodiesel? Not much. Considering the benefits of biodiesel fuel, the cost is far cheaper than fossil fuel. Not only in preparing it but also in purchasing biodiesel fuel.

Lets compare biodiesel prices with other fuel costs, mile for mile.

* 100% biodiesel fuel cost on the average 8.2 cents a mile and you can drive 37 miles to the gallon in the city and on the highway, 45 miles to the gallon.

* Unleaded gas costs on the average 6.9 cents a mile and you get 25 miles to the gallon in the city and on the highway, 31 miles to the gallon.

* 80% petroleum based diesel and 20% biodiesel costs 6.0 cents per mile and you get 37 miles to the gallon in the city and on the highway, 45 miles to the gallon.

* With the conventional, petroleum based diesel, it will cost an average of 5.2 cents a mile and you can drive 38 miles to the gallon in the city and on the highway, 46 miles to the gallon.

When comparing the use of biodiesel fuel with regular, unleaded gas, the slightly higher cost of biodiesel will eventually go down over time and the cost of crude oil will initiate higher gas prices at the pump with no end in sight to these increases.

Biodiesel runs cleaner as well as cleans and lubricates engines which allows longer engine life and lower maintenance costs. A surge in biodiesel use is expected for the next few years which will create additional jobs for approximately 50,000 people.

US farmers can expect to see their bottom line increase by a billion dollars due to the use of biodiesel. Feedstock prices for vegetables oil will rise steadily and soybean prices are expected to increase by 10 cents per year. Governmental incentives are offered in the form of tax credits. The increased use of biodiesel will become even more profitable and will result in declining biodiesel prices as well as a decrease in the production cost of biodiesel.

It is a winning situation. Biodiesel fuel is user friendly to any diesel vehicle and the cost of using this fuel is decreasing steadily.