The New England Fuel Institute Expo and conference discussed Bioheat, or biodiesel-blended heating oil this year as well as industry wide customer attrition rates.
The National Oilheat Research Alliance has released a comprehensive report on the benefits of biodiesel blending in heating oil, and the ASTM amendments to its specifications for heating oil (ASTM 396) to include a new B6-B20 biodiesel blend grade have helped to increase biodiesel blending activities as well.
In the Northeast and Mid-Atlantic, only New York City has a 2% biodiesel blending mandate, and the rest is on a voluntary blending basis.
Some heating oil players said they are blending between 10% to 20% of biodiesel, depending on economics and customers’ requirements. source: www.opisnet.com
Also, as federal tax credit programs become more popular in various states, the future of biodiesel is promising. The use of biodiesel, a renewable fuel that can be manufactured from vegetable oils, animal fats, or recycled restaurant grease for use, complements the popularity of the “green” movement which is already prevalent throughout the United States.
Bioheat advocates, including Nazzaro Group and the National Biodiesel Board, have been actively educating the public on biodiesel-blended diesel in the past several years. Unlike ethanol, biodiesel is the only fuel available that is 100% renewable, locally grown and produces zero emissions, according to a Bioheat marketing brochure sent out by the Connecticut Energy Marketers Association (CEMA). It is as environmentally friendly as solar. Even with very low blends of biodiesel, Bioheat has been proven to be cleaner than natural gas, CEMA said. source: www.opisnet.com
New York is paving the way and setting an example that other Mid Atlantic and New England states can follow by creating a state mandate that requires heating oil be 2% biodiesel. However, gaining market share is not a walk in the park since Bioheat is up against natural gas companies. Natural gas companies are working on several gas pipeline projects to expand gas-supply deliveries by 2018. However, when consumers are faced with interruptions in gas supply due to exceeding customer demand, every day consumers realize that natural gas is not always available, contrary to popular belief. This last winter, people experienced gas rationing.
The Northeast and Mid-Atlantic regions faced intermittent gas supply rationing this past winter during peak demand periods as demand overwhelmed supply. This was partly attributed to the ongoing heating-oil-to-gas conversion. During gas rationing, some industrial and residential customers who are interruptible load contracts are forced to rely on heating oil, which in turn, boosted heating oil demand and prices. source: www.opisnet.com
BioHeat is a viable green energy source for many consumers and oil dealers. For those that are interested in using biodiesel as a source of heat as well as reducing their carbon footprint, click here, to find a local fuel oil delivery company in your area.