Biodiesel Challenges

1. Feedstock and Sustainability

  • Agricultural based feedstocks are expensive and availability is limited.
  • Less expensive feedstocks (animal fat, yellow grease, etc.) are limited, and require additional processing steps.
  • Inexpensive non-food feedstock with up to 100% FFA content (tall oil fatty acids, palm fatty acid distillate, acidulated soapstock, recycled grease, etc.) can not be processed by first generation caustic technology.

2. Quality and Consistency

  • Many small production facilities have not focused on the proper process engineering practices necessary to offer consistent product quality.
  • Lack of uniform quality standards increases the likelihood of contamination along the supply chain.
  • First generation technology has multiple steps that leads to inconsistent product quality.

3. Technology

  • High production costs of first generation caustic technology.
  • High capital cost of synthetic and renewable diesel technologies.
  • Limited availability of economically feasible next generation technologies.

Feedstock cost and availability are the most significant challenges facing producers utilizing first generation caustic based biodiesel technology. Next generation non-caustic based technologies (like the HS Reactor System™) allow the biodiesel producers to tap an estimated 3.2 BGY of non-food feedstock not previously available. The table below shows the feedstock space.

HS Reactor System™ Processability Table 

Feedstock %  FFA Feedstock Cost Volume MMGPY First Generation HS Reactor System™
Food Feedstock
          Vegetable oil 0% high 20,000
               Palm oil 0% high 11,000
               Animal fat 0-10% med-high 1,500
 Non-Food Feedstock
               Jathropa  0-4% med
               Camelina, Salicornia, etc. 0-4% med
               Algae Oil   4-18% med
               Inedible DDG oil  17% med 600
               Recycled grease  5-100% low to med 1,000
               PFAD  100% low to med 1,200
                TOFA 100% low to med 300
               Acid oils  100% low to med 100