Increased Energy Security
The United States imports more than 60% of its petroleum, two-thirds of which is used to fuel vehicles in the form of gasoline and diesel. The demand for petroleum imports is increasing. With much of the worldwide petroleum reserves located in politically volatile countries, the United States is vulnerable to supply disruptions.

Biodiesel can be produced domestically and used in conventional diesel engines, directly substituting for or extending supplies of traditional petroleum diesel. (Remember to consult with your auto manufacturer and engine warranty statement before using biodiesel in your vehicle.) It also has an excellent energy balance: biodiesel contains 3.2 times the amount of energy it takes to produce it.

Economic Benefit
Increasing our use of renewable biofuels results in significant economic benefits to both the urban and rural sectors, and the balance of trade. A study completed in 2001 by the U.S. Department of Agriculture found that an average annual increase of the equivalent of 200 million gallons of soy-based biodiesel demand would boost total crop cash receipts by $5.2 billion cumulatively by 2010, resulting in an average net farm income increase of $300 million per year. The price for a bushel of soybeans would increase by an average of 17 cents annually during the ten-year period.

In addition to being a domestically produced, renewable alternative fuel for diesel engines, biodiesel has positive performance attributes such as increased cetane, high fuel lubricity, and high oxygen content, which may make it a preferred blending stock with future ultra-clean diesel.

Public Health and the Environment
In 2000, biodiesel became the only alternative fuel in the country to have successfully completed the EPA-required Tier I and Tier II health effects testing under the Clean Air Act. These independent tests conclusively demonstrated biodiesel’s significant reduction of virtually all regulated emissions, and showed biodiesel does not pose a threat to human health.

Biodiesel contains no sulfur or aromatics, and use of biodiesel in a conventional diesel engine results in substantial reduction of unburned hydrocarbons, carbon monoxide and particulate matter. A U.S. Department of Energy study showed that the production and use of biodiesel, compared to petroleum diesel, resulted in a 78.5% reduction in carbon dioxide emissions. Moreover, biodiesel has a positive energy balance. For every unit of energy needed to produce a gallon of biodiesel, 3.24 units of energy are gained.

Using biodiesel also reduces greenhouse gas emissions because carbon dioxide released from biodiesel combustion is offset by the carbon dioxide sequestered while growing the soybeans or other feedstock. B100 use reduces carbon dioxide emissions by more than 75% compared with petroleum diesel. Using B20 reduces carbon dioxide emissions by 15%.

Biodiesel is nontoxic, so it causes far less damage than petroleum diesel if spilled or otherwise released to the environment. It is also safer than petroleum diesel because it is less combustible. The flashpoint for biodiesel is higher than 150°C, compared with about 52°C for petroleum diesel. Biodiesel is safe to handle, store, and transport.