| Biodiesel Quick Facts |
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Performance
- When properly handled and treated, up to a 20 percent blend of ASTM-spec biodiesel (B20) will work just like diesel, even in cold temperatures.
- Most auto and truck equipment manufacturers approve of up to B20 in some or all diesel models. For a complete listing of warranty statements, visit www.biodiesel.org/resources/oems.
- Up to 5 percent biodiesel (B5) is legally considered diesel fuel and poses no warranty or operational issues.
- More than 90 percent of the state’s biodiesel production capacity comes from BQ-9000 certified producers. BQ-9000 is the industry’s stringent quality assurance program.
Economy
- A study of 2009 biodiesel production levels shows an increase in economic activity generated by biodiesel production supported the creation of more than 2,900 permanent jobs.
- The Iowa biodiesel industry added more than $470 million dollars to Iowa’s GDP annually.
- Iowa has 15 biodiesel plants with about 325 million gallons of capacity per year. Producers made 85 million gallons of biodiesel in 2009.
Environment
- Biodiesel reduces most regulated emissions, on average about half of what petroleum diesel emits.
- A DOE/USDA life cycle analysis shows biodiesel reduces lifecycle carbon dioxide by 78 percent compared to diesel.
- Biodiesel is ten times less toxic than table salt and biodegrades as fast as sugar.
- Biodiesel yields about 4.5 times more energy than it takes to produce it.
Pricing
- A federal tax incentive for biodiesel in place since 2005 was allowed to lapse this year. This has impacted both the price of and demand for biodiesel. Biodiesel supporters nationwide are working to get this incentive reinstated.
- There is currently a state tax incentive that also makes biodiesel more competitive.
Iowa Energy
- Iowa uses 900 million gallons of diesel fuel per year.
- Iowa biodiesel producers made about 85 million gallons of biodiesel in 2009.
- Iowa spends about $48 million on Persian Gulf oil – just for diesel fuel in the state.
- Increasing biodiesel use allows Iowa to displace foreign oil and contribute to energy security.
