Soybean	Soybean reported increases in consumption over a 12 month period    Jatropha is a non-edible oil seed... promoted as ideal as it does not compete with food or water Jatropha

CURRENTLY THE USA favours soybean oil for biodiesel while Europe prefers rapeseed oil. South Africa favours soybean and canola for biodiesel. The next generation feedstocks will include algae for ethanol. For biodiesel, Jatropha is favoured in Asia and India. Chicken fat is also gaining attention and believe it or not, chocolate! 

Jatropha is promoted as an ideal feedstock that does not compete with food or with water. 

Jatropha is a non-edible oil seed  that grows in tropical and sub-tropical regions especially on non-arable and waste lands. Some say it affects deforestation; however this is not yet clear. Mercedes-Benz and BP are independently engaged in global joint ventures to develop Jatropha as an acceptable feedstock 

A UK group working together with Greenpeace undertook a journey to Timbuktu in an Iveco truck powered by a biodiesel made from coca-butter extracted from waste chocolate. 

Iowa Soybean Association in the US is completing a 2-million mile “test” with the Decker Truck Line, Caterpillar, the National Biodiesel Board and the US Department of Agriculture to test B20 (20% blend) in over-the-road trucks (US transporters use nearly 115-billion litres a year). This real world test has covered all year conditions. 

Data from the first year’s results almost equate with regular diesel. Only a small fuel use penalty was ascribed to drivers rather than to the blended fuel. The tests included cold– flow additives, blended with ultra-low sulphur diesel. The tests look at clouding and filter plugging. Two groups of ten 5-axle articulated rigs running over long distances were the basis of the tests. The difference in fuel efficiency was between 18% and 23% for the two groups most of which was ascribed to differing driving standards and techniques. 

Early on in the tests, filter plugging problems were encountered. After changes were made to the blending procedure, a significant improvement was said to be achieved. The problem has been ascribed to the possibility of waxy particulates in ULSD. Some anecdotal feedback suggests fuel efficiency improved. At the conclusion of the tests, the engines will be torn down to measure wear.

Algae Ethanol Biodiesel

The next generation feedstock will include the use of algae to produce ethanol.

Producers  – Pros & Cons
Availability and the price of feedstock has rapidly become a major consideration for biodiesel producers to achieve consistent quality and a viable margin. In the US, tallow and animal fats are up by 64% in six months. The EU has 3 million hectares of arable land under cultivation and more to come as Bulgaria, Romania and Croatia enter the EU. 

The US aims to produce more than 100-billion litres by 2020 (mainly ethanol). The EU plans to produce 5,8% of its total diesel consumption by 2010. Sasol is set to produce 100 000 tons pa. Strict guidelines regulating the use of biodiesel is needed if target productions are to be achieved. 

Bio Energy of America has filed for Chapter 11 protection after having produced 15% of all biodiesel sold in 2005. The soybean oil price has shot up by 50% hurting the biodiesel price through over-capacity and lack of demand from the transportation industry. 

SA Biofuels Association CEO, Erhard Seiler, says government’s strategy should allow for development of the sector as viable business propositions. SABA wants to raise the profile of biofuels and present it as an alternative and not just an extender. Seiler says the industry needs to attract foreign investment if it is to be effective in SA. The fuel levy on biodiesel has been reduced but it’s not enough to encourage further investment. Long-term success relies on the crude oil price, exchange rate and feedstock price and availability. If too much feedstock becomes available, the price will collapse. A United Nations report calls for careful examination of the actual and ‘claimed for’ benefits associated with biofuels. 

Three big producers – Sasol, CEF and Siyanda Biodiesel (BEE) - are set up to produce 100-million litres a year from soybeans in Newcastle or Secunda. A final decision is awaited pending finalisation of the government’s biofuels industry strategy.

CEF and IDC plan to make ethanol from sugar cane in Hoedspruit (Mpumalanga) and maybe from sugar beet in Cradock (Eastern Cape). The engineering plans are complete, while the environment impact assessment is awaited. Several plans are on hold pending further discussion around the industry strategy. A trial phase that goes on to 2013 includes soybean, canola, sugar cane, sugar beet and sunflower. 

The national biodiesel strategic target has been chopped from 4,5% to 2% of the total fuel pool. Based on 2006 consumption, this means 226-million litres of ethanol and 174-million litres of biodiesel will be produced annually. A major maizebased ethanol plant has been halted by Africa Ethanol and is unlikely to go ahead if government does not relent and allow maize to be used in the production of ethanol. Jatropha is also excluded pending trials and tests over a five year period to assess its suitability under local conditions. 

Prof Nick Venter of the Department of Agriculture at the University of Stellenbosch says that biofuels chased up agricultural prices worldwide in the short term. But he questions if this can continue. “Biofuels will be a small part of the fuel mix for some time. Globally, it has been found that biofuels always need a subsidy from government even when oil prices are high. It is an expensive way of producing fuel”. With high profit margins, it seems everyone wants to be in it.