From the June 01, 2006 issue of Futures Magazine • Subscribe!

Bio-Willie

Yes folks that is a legendary country singer Willie Nelson strumming away at the pumps. The Father of Farm Aid is now trying to get us to use his Biodiesel fuel. Willie is managing to extend his support for the American farmer while reducing our dependence on foreign oil to make the United States stronger.

When the time comes and you’re filling the tank and you smell popcorn in the air and hear “On the Road Again,” just smile and tip your hat to Willie for stepping up to a big problem and taking a swing at it. Here are a few benefits of biodiesel:

• Biodiesel reduces carbon dioxide exhaust emissions by up to 80%.

• Biodiesel produces 100% less sulfur dioxide than petroleum based diesel, and sulfur dioxide is the major component of acid rain.

• Biodiesel reduces exhaust smoke (particulates) emissions by up to 75% so the usual black cloud associated with a diesel engine can be eliminated.

• The smell of the biodiesel exhaust is far more pleasant than petroleum based diesel, sometimes smelling like pop corn or doughnuts if the fuel is made from a waste vegetable oil feedstock.

• Biodiesel smells better than diesel fuel so it is a pleasant experience refilling the vehicle's tank.

• Biodiesel is much easier to handle and does not require mechanics to use barrier cream on their hands to protect the skin from cracking or redness.

• Biodiesel is much less dangerous to put in a vehicle’s fuel tank as the flash point of biodiesel is ± 150°C (300°F) compared with petroleum diesel, which is at ± 70°C (150°F).

• Biodiesel degrades about four times faster than petroleum diesel after spillage, with most of a spill broken down after just 28 days.

• Biodiesel provides significantly improved lubricity compared with petroleum diesel fuel, so engines last longer. And with the right additives, engine performance can also be enhanced.

• Low sulfur and ultra low sulfur diesel (ULSD) require additives to add the lubricity back into the fuel; biodiesel is a totally renewable additive for this role and complements the use of ULSD.

• Biodiesel reduces diesel engine “knocking” noise.

• Biodiesel does not require any changes to the existing storage infrastructure so it can be used in any tank or storage facility right away.

• Biodiesel can be mixed in with existing diesel to create various mixtures like a B5 or B20 blend.

• A diesel engine vehicle does not need to be modified in anyway to use biodiesel.

Pete Thomas is a senior broker and market analyst for RJOFutures, the retail division of

R.J. O’Brien, and has been actively involved in the markets for more than 30 years.

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