Biodiesel Price Comparison
Agreeably, biodiesel is the fuel of the future and more and more people are accepting this fact. Many are producing biodiesel even at homes since it is economical and can run diesel engines and generate electricity at homes. But everything comes at a price. Biodiesel is no exception. |
Sponsored Links :
|
Biodiesel can be made from various methods but one key ingredient required in its production is vegetable oil. The cost involved is not very high since biodiesel can be manufactured at low temperature and pressure as well. However, the price of biodiesel is more than diesel fuel. Pure biodiesel is sold at a price of around $1.50 to $2.00 per gallon. After adding fuel tax, this price goes up by $0.50 per gallon. A combination of 20% biodiesel and 80% diesel costs more per gallon compared to pure biodiesel. The prices are likely to go down to make biodiesel feasible to customers. It is likely to be sold 1 or 2 cent more per gallon than diesel.
Today, commercial biodiesel is rated at approximately $1.33/gallon if composed of waste-grease. On the Stock Market Exchange it is in the $2-3/gallon range. The lowest bid price is $2. Comparatively the refined diesel rates are at a lower, ranging between 75-80 per cent per gallon, while crude oil was $25-28/barrel in the beginning of the year. So unless biodiesel prices come down in contrast to diesel, plenty would still have normal diesel as their option. Improving methods to make biodiesel more refined would help bring down its pricing.
More Articles :
|
Biodiesel is non-petroleum diesel fuel. It is produced by the process of transesterfication. This is the exchange of alkoxy group of an ester compound with an alcohol group. It comprises of short chains of alkyl ester. Biodiesel is fast emerging as an alternative to fuel that is normally used in diesel vehicles. 
