Definition (extracted from ^1):

Biodiesel is a form of diesel fuel derived from plants or animals and consisting of long-chain fatty acid esters. It is typically made by chemically reacting lipids such as animal fat (tallow), soybean oil, or some other vegetable oil with an alcohol, producing a methyl, ethyl or propyl ester by the process of transesterification.

Unlike the vegetable and waste oils used to fuel converted diesel engines, biodiesel is a drop-in biofuel, meaning it is compatible with existing diesel engines and distribution infrastructure. However, it is usually blended with petrodiesel (typically to less than 10%) since most engines cannot run on pure Biodiesel without modification. Biodiesel blends can also be used as heating oil.

Blends of biodiesel and conventional hydrocarbon-based diesel are most commonly distributed for use in the retail diesel fuel marketplace. Much of the world uses a system known as the "B" factor to state the amount of biodiesel in any fuel mix:

A study performed by the Chonbuk National University concluded that a B30 (30%) biodiesel blend reduced carbon monoxide emissions by approximately 83% and particulate matter emissions by roughly 33%.

The production process we consider uses the chemical reactions of transesterification.

World Production:

World bio fuel production was estimated around 1 100 TWh in 2019, including bioethanol and hydrotreated vegetable oil. Production in liter for 2019 and forecast to 2025:

(Image credit: IEA, taken from [^2])

Price:

Price for FAME (Fatty Acid Methyl Ester) and SME (Soy Methyl Ester) is highly versatile, since end of 2020 it became more expensive (> 1000 USD/ton). With a calorific value of 37.27 MJ/kg, it appears to be superior to 100 USD/MWh.

(Image credit: NESTE, taken from [^3])

^1: Biodiesel, Wikipedia, https://en.wikipedia.org/wiki/Biodiesel [^2]: IEA 2022; Global Biofuel production, https://www.iea.org/data-and-statistics/charts/global-biofuel-production-in-2019-and-forecast-to-2025, License: CC BY 4.0. [^3]: Biodiesel price, neste.com, https://www.neste.com/investors/market-data/biodiesel-prices-sme-fame