The search for alternatives to fossil fuels is spurring biodiesel demand. Federal tax incentives, state legislation and a shortage of diesel undoubtedly are contributing factors as well, states the National Biodiesel Board (NBB), which anticipates a tripling of production in 2005 over the previous year.
The national trade association for the biodiesel industry anticipates 75 million gallons of biodiesel production in 2005, up from 25 million gallons produced in the previous year.
Biodiesel fuel is made from any fat or vegetable oil, with soybean oil as the most common source.
Forty-five plants produce biodiesel, with 54 more in the works, according to the NBB, based in Jefferson City, Mo. The average size is about 6.5 million gallons per year.