The Biodiesel Industry: Impacts on the Economy, Environment and Energy Security

James. “The Biodiesel Industry: Impacts on the Economy, Environment and Energy Security.” Margaret Guerin-Calvert | Senior Managing Director | FTI Consulting, FTI Consulting, Inc, 29 Nov. 2018, www.fticonsulting.com/insights/reports/biodiesel-industry-impacts-economy-environment-energy-security.

FTI consulting analysed 2017 financial and production data to see the impacts the biodiesel industry has on the US economy. The economic output of biodiesel is estimated to be $21.6 billion each year. The industry employs around 61,900 workers. It accounts for around 1.2 billion federal taxes. Biodiesels reduce greenhouse gas emissions by 14.8 million tons every year. This is equivalent to taking 3.2 million cars off the road. Biofuels also help the US become less reliant on the fossil fuel industry.

 

All of these factors shows what good the biodiesel industry does for the US as a whole. This is good for the environment because switching to renewable fuels like biodiesel reduces the amount of ghg emissions humans produce. Not only does biodiesel help save the planet, but it also employs people and adds to the US economy. If continued resources are invested in biodiesels, this fuel could help reduce carbon emissions further and boost the US economy.

Trump’s Dilemma: Appease U.S. Biodiesel or His Argentine Buddy

Bloomberg. “Trump’s Dilemma: Appease U.S. Biodiesel or His Argentine Buddy.” Agweb.com, 22 Jan. 2019, www.agweb.com/article/trumps-dilemma-appease-us-biodiesel-or-his-argentine-buddy/.

 

In April of 2018 president trump put a tariff on Argentine soybean products. This came as a blessing to many biodiesel production plants as they had no soybean competition. In recent months the biodiesel communities were shocked when the trump administration announced a review of the tariffs enacted. Farmer organizations are pressing trump to keep the tariff and put US farmers in front of those in South America. The Argentine government responded to the US’s soy tariffs with taxes of their own on biodiesel imports. It is still uncertain what will happen with the soy tariffs in the future.

 

This relates to environmental science because as the world looks for renewable energy sources there will be lots of debate about how to regulate and subsidize it. The incident with trump putting tariffs on soybeans shows the effect the government can have on the biodiesel industry. There will have to be many treaties signed to inforce global sustainability goals. I think that Trump should keep the Tariff and keep soybean production in the US, supporting the US farmers.

New Brazil Biodiesel Mandate Will Consume More Soybeans Domestically

Tan, Lin. “New Brazil Biodiesel Mandate Will Consume More Soybeans Domestically.” DTN Progressive Farmer, DTN Progressive Farmer, 27 Nov. 2018, www.dtnpf.com/agriculture/web/ag/news/business-inputs/article/2018/11/27/new-brazil-biodiesel-mandate-will.

 

In Brazil trucks will be forced to run on 11% biodiesel because of a mandatory biodiesel policy imposed by the government. The policy will increase biodiesel consumption in Brazil by 188 million gallons a year. This country produces 1.5 billion gallons of biodiesel a year. Brazil is also testing out a B100 fuel which is 100% biodiesel. Brazil crushed 1.4 billion bushels of soybeans in 2017, but crushed upwards of 1.7 billion in 2018. The increase in soybean production for biodiesel will help stimulate the Brazilian economy.

 

This article shows that if Brazil is able to start the switch to renewable energy sources such as biodiesel so can the rest of the world. The development of biodiesels has had many beneficial effects for Brazil. They are now a leader in soybean production and run their trucks on 11% biodiesel blends. The Brazilian government is pushing its country towards energy independence. At the same time helping to fight global climate change.

NBB Appreciates Proposal for Long-Term Extension of the Biodiesel Tax Incentive

Winters, Paul. “NBB Appreciates Proposal for Long-Term Extension of the Biodiesel Tax Incentive.” Biodiesel.org, National Biodiesel, 27 Nov. 2018, www.biodiesel.org/news/news-display/2018/11/27/nbb-appreciates-proposal-for-long-term-extension-of-the-biodiesel-tax-incentive.

 

The chairman of the House of Ways has proposed a correction to a tax cut which would continue expired tax cuts for the biodiesel industry. If this proposal were excepted biofuel prices would continue to be credited at the current rate of $1 per gallon. These tax breaks will help stabilize the biodiesel market. The stabilization will help secure jobs and investments in the biofuel industry. Biofuels are being created from cooking oil, animal fats, and soybean oils to produce a much cleaner burning fuel source.

 

By reducing the cost of biodiesels it will incentivise people to buy more of the alternative fuels. If more people purchase this renewable fuel the market for biodiesels will expand and the price for the fuel will reduce further. Biodiesels are one way humans can reduce their impact on the world’s warming climates. It starts with the government who has the power to increase or decrease the use of biofuels.

Biodiesel’s Past, Present and Future

Kellens, Marc. “Biodiesel’s Past, Present and Future @BiodieselMag.” Biodiesel Magazine – The Latest News and Data About Biodiesel Production, BBI International, 26 Dec. 2018, www.biodieselmagazine.com/articles/2516547/biodieselundefineds-past-present-and-future.

 

Biofuels are a very promising alternative to oil and will help reduce humans dependency on petroleum. Producing ethanol from corn and sugarcane can produce 30 billion gallons of a fuel a year. People must invest in new renewable energy sources before it is too late. The first generation biofuels involved turning used oils into repurposed fuels. The biodiesel industry dwindled as governments came under pressure as they were subsidizing foods to produce fuel, but not for eating. Some countries are beginning to use waste oil and animals fats to produce biofuels. There is much controversy about producing biodiesel from soy and palm oils. As new advancements in biofuel technologies are be developed the fuels are becoming more cost efficient.

 

This topic relates to environmental science because biodiesels are one way of reducing humanities dependency on fossil fuels. Over the years biofuels have been produced around the wants and needs of people, companies, and the planet. Biodiesels have moved from repurposed vegetable oils to ethanols produced from starches and sugars. Biofuels still have a long way to go as balancing the world’s food supply and energy needs at the same time is a difficult task. As the biofuel industry becomes more technologically advanced, the fuels will continue to become more cost efficient. With the help of biodiesels the effects of warming climate change can be mitigated.

NBB Asks Farm Bill Conferees to Support Biodiesel Programs

Board, National Biodiesel. “NBB Asks Farm Bill Conferees to Support Biodiesel Programs.” Biodiesel Magazine – The Latest News and Data About Biodiesel Production, Bio Mag, 16 Aug. 2018, www.biodieselmagazine.com/articles/2516447/nbb-asks-farm-bill-conferees-to-support-biodiesel-programs.

 

The National Biodiesel Board decided to sent a letter to a group of union farmers to promote a five year plan for biodiesel infrastructure. They asked for continued funds for multiple different biodiesel projects. The vice president of the NBB stated that the farm industry will only benefit from supporting biodiesel, as it is deeply rooted in agriculture. He is pushing to have biodiesel added to the farm bill. The goal for this project is to reinstitute education and research on biodiesel. There are 100 biodiesel production plants all across the US and most of those plants are located in rural areas. The plants support the agribusinesses and the farm owners. Advanced biodiesel is the first renewable fuel that can be used in diesel engines without any modification.

 

It is reassuring to see large organizations putting in efforts to support the biodiesel industry. With more people join the fight to push biodiesel all over the country there will soon be an increase in the fuels production. The agricultural business is a good place to start pushing for more biodiesel policies. This is because the farm industry is responsible for 13% of greenhouse gas emissions. If the agricultural businesses started using advanced biodiesel there would be a huge decrease in ghg emissions across the country. It would also help enlighten other industries on the benefit of using a renewable fuel source.

Senators Again Urge EPA to Abandon Effort to Undermine Biodiesel

Heitkamp, Heidi. “Senators Again Urge EPA to Abandon Effort to Undermine Biodiesel.” Biodiesel Magazine – The Latest News and Data About Biodiesel Production, 16 May 2018, www.biodieselmagazine.com/articles/2516178/senators-again-urge-epa-to-abandon-effort-to-undermine-biodiesel.

 

Seven US senators from a wide range of states having been urging 29 other senators to push the EPA to increase the US’s renewable fuel obligations. The senators are tired of the government lowering biodiesel production. When the biodiesel industry is left stagnant on production it causes instability in the biofuel work force. The EPA’s lack of support for the biodiesel industry has left it unable to expand. The senators are urging the government to invest money in the advancement of biofuels. In 2015 a study conducted by LMC international showed that the biodiesel industry supported around 47,400 jobs.

 

It is clear that all across the US senators see the benefits of using biodiesel and are pushing congress to support this advanced fuel. Year after year the EPA has failed to raise the RVO on biodiesel when the Trump administration promised it would. These senators make it clear they are tired of waiting and are joining together to fight for a push in biodiesel advancements. The biofuel industry helps many parts of society including job opportunities and many economic benefits. Change is on the rise as more government personal push for legislation that supports the biodiesel industry.

Midwest Trump Voters Losing Faith in His Commitment to Biofuels

Board, National Biodiesel. “Midwest Trump Voters Losing Faith in His Commitment to Biofuels.” Biodiesel Magazine – The Latest News and Data About Biodiesel Production, 4 June 2018, www.biodieselmagazine.com/articles/2516380/midwest-trump-voters-losing-faith-in-his-commitment-to-biofuels.

 

Polls all across the US have showed that voters are disappointed with the trump administration and its lack of support for local biodiesel industries. The poll stated that 73% of voters felt the US needed to further support the expansion of the biodiesel industry. Scott Pruitt the EPA administrator has been lowering the demand for biodiesel which goes against what the Trump administration had promised. The trump administration has given the oil refineries many exemptions and has lacked enforcement on making oil companies splice their fuel with biodiesel. People all over the country are pushing congress and trump to enforce the legislation that supports the biodiesel industry.

 

Trump has not followed through on promises he made in his campaign about supporting the biodiesel industry. This is not alarming as most everything Trump says is a lie. Biodiesel is the future of fuels, but it is being pushed back by people in the government supporting the fossil fuel industry. Change will not arise until the government is not swayed by big oil industries. It is obvious based on polls that the US people are ready to support biodiesel and renewable fuels. Pushing people into the government with sustainable goals would allow the biodiesel industry to thrive in the US economy.

US Government Report Strengthens Consensus on Biodiesel Benefits

Little, Kaleb. “US Government Report Strengthens Consensus on Biodiesel Benefits.” Fuel Quality Guide – Biodiesel.org, 22 Aug. 2018, biodiesel.org/news/news-display/2018/01/22/us-government-report-strengthens-consensus-on-biodiesel-benefits.

 

Yet another study has surfaced showing the unquestionable benefits of biodiesels ability to decrease greenhouse gas emissions. The study confirms that biodiesel reduces greenhouse gases emissions by up to 72 percent. This shows that biodiesel reduces more ghg emissions than any other transport fuel. Biodiesel also helps make farms much more productive. Even with the most conservative models of biodiesels effects, it is still the cleanest fuel used in transport machinery. Biodiesel is made from soy bean extract, cooking oil, animal fats, and many other renewable sources. This fuel is more renewable than any other fuel of its type. A speaker at the National Biodiesel Conference stated that biodiesel makes food more affordable and preserves the land our food is grown on.

 

With more studies being done on the benefits of biodiesel it is clear that this new fuel is a clear solutions for many ghg emission problems faced today. Other fuels such as fossil fuels are not nearly as clean as biodiesel. While making food products more affordable it also saves the land food is produced on in the process. This fuel is made from renewable ingredients that have less degrading effects on the environment. This new fuel is what most transport vehicles should use. By using biodiesel ghg emissions would began to see a decrease. If a new fuel source is not implemented soon the planet could see catastrophic effects of carbon emissions.

Despite Challenges, 2017 Was a Solid Year for US Biodiesel

Kotrba, Ron. “Despite Challenges, 2017 Was a Solid Year for US Biodiesel.” Biodiesel Magazine – The Latest News and Data About Biodiesel Production, Biodiesel Magazine, 1 July 2018, www.biodieselmagazine.com/articles/2516272/despite-challenges-2017-was-a-solid-year-for-us-biodiesel.

 

Over the years biodiesel has seen a steady increase in the US. 2016 saw a large increase in the fuels production and 2017 saw another steady increase. The biodiesel market has faced many challenges in the past years. Proponents who deny climate change and support the fossil fuel industry are pushing for rules that will minimize the amount of biofuel sold on the market. A pacific biodiesel company has even put a factory on the island of Hawaii. With little government subsidies biofuel companies are struggling to make even. Randy Howard the CEO of the biggest biodiesel producer in North America stated that last year more than 120 records were broken last year by biofuel plants.

 

Biodiesel is soon to be the future for what combustion machines use on a daily basis. With the increase of biofuels over the years it is clear that some people are moving in the right direction in terms of a renewable fuel source. While other people who are stuck to a climate changing, carbon burning fuel that pollutes our atmosphere. The fossil fuel industry and advocates whos deny climate change are making it very hard for biodiesel companies to expand. Even with many challenges, biofuel is spreading all over the US and has even popped up in Hawaii. The future is now and one thing that will help push our country to use more sustainable practices is the use of biodiesel and other renewable fuels.