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CNET'S QUICK GUIDE: Biodiesel fuel: diesel without the dinosaurs

Buying biodiesel
The use of biodiesel fuel has increased significantly over the last five years, and thanks to several factors, it looks like it will continue to rise. It is already easier for individuals to purchase biodiesel at more than 450 retail locations nationwide. Stations are prevalent in the Midwest, the Northeast, the Southwest, and the Northwest. Some biodiesel pumps are located at conventional gas stations, while others are located at marinas and agricultural locations. A list of retail locations can be found at the National Biodiesel Board's Web site.

One of the limiting factors to biodiesel use is its cost.
Blue Sun Biodiesel is focusing on increasing the number of retail locations throughout the United States. It has 17 retail locations currently in Colorado, Idaho, New Mexico, and Utah and plans to open 50 more retail locations in the Southwest in the near future. It primarily sells B20, but some stations sell B100.

One of the limiting factors to biodiesel use is its cost, which is about 1 cent per gallon more expensive than petroleum diesel for every percent added to the blend, meaning, for example, that B5 is on average 5 cents more per gallon than petroleum diesel. Biodiesel demand will continue to rise if the costs decline, which is likely now that a federal tax incentive for manufacturers to produce biodiesel fuel has been passed as part of the massive energy bill that President Bush signed into law in August 2005.




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