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SmartFAQ is developed by The SmartFactory (http://www.smartfactory.ca), a division of InBox Solutions (http://www.inboxsolutions.net)

Why is biodiesel more than regular diesel?
Requested and Answered by Junior [Jr] on Aug 27, 2008 19:46 (386 reads)

Biodiesel currently costs more at the pump because it's no longer subsidized by the $0.99/gallon tax credit from the federal government. They require at least some petroleum diesel in the mix for the credit. Since the TCEQ decided that only B100 can be available in Texas, we no longer get the tax credit that allows for biodiesel to be competitively priced with respect to diesel.


Also, the cost isn't that much higher, and it's a start on reducing our dependence on foreign oils and the need to drill in environmentally sensitive areas. It's a start.



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