June 16, 2009
Is Biodiesel Dead? Here's What YOU Think…
<< The Ultimate Algae Biodiesel Guide? Uncategorized >>
I always get slightly disappointed when I see folks go backward in their thinking and return to their old ways. Kind of
Reports Of Biodiesel's Death Have Been Greatly Exaggerated...
like we're slipping back into the bog from where we came…
Sorry getting carried away there.
So I figured I'd ask YOU dear reader, what you thought about the current economy and the fact that over a third of biodiesel plants in the US have closed over the past few months.
And you responded in your droves. So good to have so many bright folks reading my insignificant ezine.
Some of your tales and thoughts were optimistic and inspiring, others a harsh reality check.
I thank you all and hope you stay in touch as we get through this economic blip (see, now I'm being optimistic!)
Here are the high (and low) lights…
————————————–
Yes. Things have negatively changed for bio-fuel (Bio-diesel and Ethanol), in general, the world over.
Governments have failed to:
1- Create a market for bio-fuel by mandating "all" vehicles sold be flex fuel capable.
2- Create national standards/laws for converting existing vehicles to flex fuel capability.
3- Create tax advantages for bio-fuel sale and production over patroleum.
I see major spikes in oil and natural gas prices in the next few years as worldwide demand continues to spiral upwards and overall production starts to fall.
I also see countries who import most of their oil being manipulated by countries who export oil and natural gas.
Bio-fuel has to be a major "component" of any nations overall energy policy.
Richard O
————————————–
Hey Matt, All my Bio equipment is packed in my shed, I think its a matter of time before prices go skyhigh again. I have about 100 gallons of feedstock sitting .
The economy is so bad here some people I know are really hurting. I've been buying and selling cars to make ends meet.The towing business is really slow.
I wish the govt. would bail out my business.
Chris M
————————————–
Matt,
Hay, keep your pantyhose on. Damn prices are on the rise and this time its goin to be a larger problem. It will cost much more. I will bet $5 per gal. in two years.
These, what some call low prices will not last. These same people can't even remember a real price of a dollar or so. We all need to use this time to prepair for the worst, and it will happen . . .
We must also remember the oil companies cranking up the prices so damn high that their actions threw the whole world econmy into this rotten tail spin. Now the US govt is giving away billions to the same slobs that caused the problem. Don't ever forget that ! Try to get just one of those dollars and you find yourself in a bit of trouble.
So prepare now. Remember, DO NOT sell your
product as the wondeful govt will impose all sorts of fines, tax, license cost, etc. As an example look at Texas ans New Mexico where Bio is the same price as pump gas is now and will keep pace. Why? Grow up, the govt wants a share, a tax.
On a limited budget and with no diesel car or truck ?
That's the sales question.
Hot water heater, tanks and pumps and the lot.
Then we need to find the used oil.
Then we need something to drive and burn it in.
From a guy that drove a Cadillac working as an insurance broker to driving a diesel ?
Living in an apartment ?
Need to buy a house with a garage to place the stuff in.
Look at all the stuff you have to do first. Is it worth it ? You better know it is.
Joel J
————————————–
It's simple man … the cost of fuel went down! When the gas prices hit
$4+ per gallon … then bio-diesel will come back!
$4+ per gallon … then bio-diesel will come back!
Tim L
————————————–
I agree with your comment about the decline in biodiesel production. The folks that I new of making production levels of biodiesel have pretty much stopped making it.
As for myself I still try to produce a small volume, however to biggest limiting factor is the cost of materials (methanol and sodium hydroxide) which have tripled in price over the past 7 months. Why is this? how are the prices of there in your neck of the woods?
Here methanol is $300 per 55 gallons and NaOH is $60 per bag/55Lbs. This makes my cost per gallon of finished biodiesel around $1.50 and I get my oil for free. It seems to me that there are some greedy bastards in the chemical industry that feel they need a bigger piece of the pie. In fact my chemical supplier that I have been using for 1.5 years refuses to sell me chemicals now and I was a perfect customer due to the fact that I would pick-up all of the chemicals from their facility and pay on the spot. I don't get it!!!! Turning away business?
Jason S
————————————–
Hi Matt,
It is true that the price of crude oil dropped but it has started going up again hitting $71 last week.
No matter how hard we try, biodiesel cannot completely replace diesel even as the production of low sulphur diesel is increasing.
I am of the opinion that biodiesel isn't dead just because the price of crude oil dropped. It will go up again. Let us continue to work and not focus on the price of crude oil but on our environment.
Chris E
————————————–
Matt: Don't give up the goat yet. Diesel prices are inching up again as the Greedy oil people get greeder. I have parked my truck as good ole Arnold has doubled the license fees as the price of diesel goes up. We need more biodiesel plants over here to drive down prices again.
Carl S
————————————–
I have been watching the price of diesel at the pumps. Last week I saw a small increase and today it is still up in that range. I reside and work in Michigan so being at the very bottom of the tanked economy, I feel the only way is up and that is where we are going. I do know that our biodiesel plant is the last one standing and operating in Michigan. Our output is not that great, but we are still selling it. We have a 20-million gallon capacity plant and we are nowhere near that production level.
Lance S
————————————–
And there were many more passionate, witty comments. Want to add anything? Feel free and use your voice below…
Leave a Comment
Comments on Is Biodiesel Dead? Here's What YOU Think… »
Its a great life , me still making biodiesel here in sunny england .
Reply
We just recently completed building out new plant. We are geared up for 20-25000 gallons of biodiesl per month and luckily prices are now starting to go back up. I'm looking forward to diesel prices in the $4.00+ range again.
Reply
Great to hear you guys!
Reply
Hey, What's up with you guy's?;
With Diesel on the rise or not, I'm still only forking out about .60 a gallon for all my energy needs. Vehicles, hot water, electricity,. But more important, i'm not giving my money to the middle east! and the Government say's I'm 95% cleaner than the Petro users. Not to mention My catapillar Mechanic says my equipment will just about triple in lifespan.
So come on people, the less we give to them the more they'll have to conform to us.
Jim.
Reply
Hi Matt,
I totally agree with the decrease in the usage of the bio-diesel. But the fuel charges are rising and larger countries are trying to acquire fuel wells in other, which have limited sources of fuel supply with adequate quantity of fuel therein. This wont be enough to meet the future demand of fuel. India is still lacking focus on the natural resources to meet there fuel demand Even after importing large volume of crude oil to meet there present demand. It’s basically the government policies, which are inadequate to promote usage of bio-diesel. What ever may be the scenario, bio-diesel has a good future ahead.
I really feel good to know that few people in the world are really looking towards the future.
Thanks
Reply
The feds should be taxing crude oil and using the money to help bio industry
Reply
It may be slow on the grand scale, but like many, I too believe it is only temporary. It amazes me how fast the public becomes complacent with the "relatively" low prices. I say relatively, as it was only a couple years ago we couldn't imagine paying $2 for fuel, and now that seems "low". It's a shame it takes high oil prices to make people do the right thing. Regardless, I've not lost site of the goal for the environment or my fuel costs. It cost's me about $1.10 to process a gallon of high quality fuel (resin washed, filtered, stabilized, winterized), and about 15 seconds of my time per gallon. All in all, has never stopped being financially worth doing, even with $1.99 diesel at the pump. The environmental benefits are always worth it.
However, I've taken a different approach. With a hopefully temporary decline in local interest, less interest in waste oil has allowed me to secure a much larger source of free (other than collection) waste oil feed stock, with contracts to the future.
Keep up the good work, everyone.
Reply
THE feds should be taxing crude oil and using the money to help biodiesel producers.
Reply
Because today's biodiesel is made from food, food will always come first unless the government changes the market with subsidies. However, we need to end fossil fuel use now. Non-food based biodiesel (algae) has the potential to replace all diesel, heading oil, and jet fuel in the US using less than 6500 sq. mi. of land. Making an investment in production like this is the fastest way to move away from fossil fuels because the equipment that uses the fuel does not have to be modified.
As things are going now, we are killing our planet and ourselves. We will no longer be able to breathe the air because of 2000ppm CO2 concentration before the year 2800.
Reply
Politics
The legislative architecture issue, with regards to alternative energy and biofuel, is "the" neglected aspect all nations must deal with. People who support alternative energy and biofuel need to get some really smart people to get the political side of this issue moving forward.
We have the technoligy to produce billions of gallons of Biofuel, using many types of feed stock.
But, a wide spread market has to be available which will buy the biofuel.
Serious people should get politicaly serious about Bio-fuel policy, get organized and place political pressure on thier political leaders.
Richard O
Reply
Dears,
It is not correct that biodiesel is dead. Although that there are some concerns on biodiesel policy yet there are alot of people who are serious on the biodiesel policy. We have a lot of options for biodiesel production on commercial scale, yet the biodiesel policy makers should be intersted seriouslyWe can produce biodiesel without using
Reply
my wife and i are buying a diesel van and would like to start producing biodiesel at home but can't afford a 3000 + dollar kit what is the best put it together yourself kit out there today? i have been doing some research on the computer but not yet satisfied. can you help us ? Jeff
Reply
Good work mate i did try and it cost me a new starter motor.
Reply
what did you do wrong george
Reply
i have fryer oil saved and im waiting to learn how
Reply
Been running on biodiesel now 2years saved loads of dosh and been driving every where ,This year put about £30.00 Of fossil fuel in,BEST THING SINCE SLICE BREAD,LOVE MAKING BIODIESEL
Reply