Star Tribune: Higher Blend of Biodiesel — 10% — Coming to Minnesota’s Pumps

Posted on June 30th, 2014

From Star Tribune (June 29, 2014):

In a boost for the biofuels industry, Minnesota on Tuesday becomes the first state in the nation to mandate a 10 percent minimum blend of biodiesel in diesel fuel sold at the pump.

While only 2.7 percent of Minnesota’s vehicles operate on diesel fuel, the mandate is still a major gain for the biofuels industry.

Sales of biodiesel, refined from soybean and other oils, are expected to jump in Minnesota from 40 million to 60 million gallons per year. That’s near the total capacity of the state’s three biodiesel production plants.

“It keeps us at the forefront,” said Steven Rupp, vice president of Ever Cat Fuels of Isanti, referring to Minnesota’s position as the first state to impose a biodiesel blending mandate in 2005.

Sixteen other states now have mandates or tax incentives to blend biodiesel with petroleum-based diesel, according to the National Biodiesel Board, a trade group. Illinois offers a tax break to blend biodiesel at 10 percent or more, but only Minnesota mandates that high of a blend.

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