State Report Shows Sales of Biodiesel Surged in Iowa in 2024

This news release has been updated to reflect a corrected report issued by the Iowa Department of Revenue.

(ANKENY, Iowa) –  Blends of 20% biodiesel (B20) and higher more than doubled in Iowa’s on-road diesel sales last year, growing to 35% in 2024, up from 15% in 2023. That’s according to the latest Retailers Fuel Gallons Annual Report from the Iowa Department of Revenue.

The report, which keeps track of annual biofuels sales through a survey of fuel retailers, shows fuel retailers sold 80.5 million gallons for the year - a record number of pure biodiesel gallons. The overall amount of biodiesel-blended gallons sold or dispensed in 2024 equaled 482 million gallons, or 71% of total clear (on-road) diesel. B20 or higher blends made up the lion’s share of sales, at 238 million gallons of blended fuel.

“This report offers encouraging news during a tough time for the biodiesel industry nationwide,” said Grant Kimberley, executive director of the Iowa Biodiesel Board. “Despite market volatility and ongoing uncertainty around key federal policies, proactive state leadership helped boost demand at the pump last year.”

While many of Iowa’s biodiesel plants are operating below capacity or temporarily offline due to federal policy delays—such as the pending biodiesel tax credit and updates to the Renewable Fuel Standard—state-level action has helped maintain momentum and preserve market demand.

Kimberley credited the state’s fuel retailer incentive and fuel tax differential as key drivers of the growth.

The Iowa Renewable Fuel Infrastructure Program has also helped ensure up-to-date infrastructure in the state. The results are showing up at the pump: 905 retail locations—nearly 60% of diesel outlets in the state—now offer some level of biodiesel, the highest number ever reported. That includes major convenience store chains and reflects expanding consumer access to clean fuel options.

Kimberley thanked Governor Kim Reynolds for her leadership on this issue, and the state legislature for recognizing the value biodiesel brings to the economy, soybean farmers and American-made energy.   

“State and federal policies working together will be key to a full recovery,” Kimberley said. “The progress we’re seeing in Iowa reflects the potential that can be unlocked when all levels of government support renewable fuels.”

For more information on biodiesel, visit Iowabiodiesel.org. 
 

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Jenna Rose