Biodiesel is liquid fuel derived from regenerative biological sources like palm, coconut, sunflower, soybean, rapeseed, canola, linseed, cottonseed, or waste vegetable oils and animal fats such as lard and suet. Through transesterification using methanol or ethanol, these oils and fats are transformed into fatty acid methyl ester (FAME), which is the chemical essence of biodiesel (B100).

When biodiesel is blended with conventional diesel oil, the result is an excellent substitute for petroleum diesel for vehicles with an array of environmental advantages as well as better usage features. It can be used in all “compression-ignition” engines that operate on diesel fuel, such as cars, trucks, tractors, boats, shipping equipment, irrigation systems, mining equipment, and electrical generators.

Blends of biodiesel are designated with the letter “B,” followed by the volumetric percentage of biodiesel in the blend: B20 contains 20 percent biodiesel and 80 percent petroleum diesel. To use this alternative fuel, vehicle engines do not need to be adjusted. Only when used in its pure form (B100), engine modifications may be required to avoid maintenance and performance problems.