This article from the San Diego Union Tribune says alternative energy company Pearson Fuels picked up the money from the California Energy Commission:
“We are going into a diesel terminal where diesel is sold,” said Pearson General Manager Mike Lewis. “We are going to put biodiesel in there and tie it all together.”
Right now, a trucker will take a tanker truck to a biodiesel facility and get some biodiesel, then go to a fuel terminal and fill up the tanker with regular diesel.
It’s called “splash blending.”
“It’s not a very efficient way of doing it,” he said.
“These are the day to day infrastructure issues that hinder widespread biofuel use.”
Lewis wants to bring the biodiesel directly into terminals from two companies, InterState Oil Co. in Sacramento and SoCo Group in El Cajon to make it available just like any other fuel available there.
“It would come out of the spigot already blended,” said SoCo president Angus McDonald.
The money is expected to pay for about 60 percent of the project’s costs.