Biodiesel Conversion Cost and Biodiesel Fuel Cost

Biodiesel conversion cost is quite small compared to the amount of the car. Biodiesel is an alternative source of energy. Biodiesel cars use vegetable oils and animal fats for their fuel. Biodiesel cars emit no smoke and produce no noise. Biodiesel conversion is relatively easy. A Los Angeles company is offering do-it-yourself kits to this effect.

An old car like the Mercedes Benz 300SD model 1981 to 1985, for instance. The blue book value of this car is around $3,200. The conversion cost needed in this car is only around $700. Take the case of Volkswagen Jetta TDI model 1996 to 2006. The book value of the car is around $3,800to $8,950. It takes only a portion of the vehicle’s price to convert it to biodiesel. The biodiesel conversion kit cost is $950. The kit plus the installation will cost around $1000++.

Biodiesel prices are higher than prices of petrodiesel fuel. There are 7 major producers of biodiesel in the US today. B100 or the purest form of biodiesel can be bought at a high price of $1.50 to $2.00 per gallon, exclusive of taxes. B100 are the vegetable oils that can be used by diesel engines upon biodiesel conversion. Fuel taxes amount to 50 cents per gallon. B20 or a blend that contains 20% biodiesel and 80% petrodiesel catch a price of 15 cents to 20 cents more on a per gallon basis compared to B100. The ideal blend is B20 because B100 could change into gel during cold weather.

Some retailers sell B2 biodiesel blend at a price like diesel, but this price scheme is temporary. The real price of B2 biodiesel is 1 or 2 cents higher than petrodiesel. The government of the United States though the Department of Energy is meeting with the biodiesel producers to come up with a lower biodiesel fuel cost. The average cost of petrodiesel is $3.31 per gallon while the biodiesel cost per gallon is $4.64.

The use of the biodiesel or other forms of biofuel, for that matter, is continuing to increase, thanks to the federal policy and the environmental groups that are promoting the use of it. In this regard, Safeway, a major grocery chain declared that it will convert their 1000 trucks to B20. This is their way to decrease the carbon dioxide emissions from their fleet by 75 million pounds. Safeway acknowledged that biodiesel conversion cost is a high price to pay, considering that the price of biodiesel is steep. According to Safeway the difference in cost is ‘manageable’ and getting rid of toxic gases is more important. Safeway is an effective initiator. Many companies are planning to follow suit.

Biodiesel conversion cost is just a tip of the iceberg, so to speak. The entire nation is continuing to look for alternative sources of energy that are credible. Biodiesel may purify the air we breathe but it requires a steep price. The ills we got from petrodiesel will be erased by the positive traits of biodiesel. Summing it up biodiesel conversion is the first step to a cleaner air.