Integration of Renewable Energy on Farms

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Biodiesel

Liquid fuels from low grade crops and farm wastes

The principle liquid fuels that can be produced from agricultural crops and wastes are alcohols (ethanol) and oils (biodiesel). The production and use of ethanol from agricultural crops and wastes is significantly more complex than biodiesel. Background information on ethanol production can be found elsewhere (http://www.greenfuels.org/). The current note is limited to the production of biodiesel.

Technology name

Liquid Fuels (Biodiesel)

Date introduced in the market

Invented in the early 1850's, transesterification of vegetable oils was developed commercially in Europe in the early 1990's.

Maturity of the technology

Commercially available

Type of energy that can be produced

-Transportation fuels
-Heat and power (from stationary applications such as a diesel generator)

Typical example/application

-Automotive fuel, blending stock and fuel additive
-Residential heating fuel
-Stationary power generation

Pay-Back and/or Benefits

Cost of biodiesel is typically 15-20% higher than for diesel fuel. Certain provinces offer tax incentives and the federal government currently implements a 0.04$/liter Federal Excise Tax exemption for on-road biodiesel which help reduce the gap between biodiesel and diesel costs, however do not close it completely.

Environmental Benefits:
Studies have shown that the overall carbon dioxide emissions from the production and use of biodiesel can be 78% lower compared to diesel depending on the feedstock used. Furthermore, the energy contained in biodiesel is up to three times greater than the fossil energy used in its production.

Lower average emissions can also result from the use of biodiesel. Although emission results vary by application, use and test and collection methods, the following partial table taken from the National Biodiesel Board (US) website (http://www.biodiesel.org) demonstrates the potential emission reductions for on-road vehicles when using biodiesel in place of diesel.