Farmers See Biodiesel and Bioheat Use in Big Apple

About 20 U.S. soybean farmers are in New York City this week to see the how the Bioheat Industry is gaining momentum. The National Biodiesel Board (NBB) is hosting the group. Bioheat is biodiesel mixed with home heating oil. Starting in October, 2012, all heating oil sold within New York City will contain at least two percent biodiesel.

The group will tour CME Group, the world’s leading and most diverse derivatives marketplace where energy is bought and sold. There they will have an educational session on the Bioheat market and hear from the president of the New York Oil Heating Association and a New York City Councilman.

In addition, the group will see the biodiesel facilities of the New York City Department of Parks & Recreation and the Port Authority of New York and New Jersey. Both use biodiesel blends in their diesel vehicles as does the Department of Sanitation.

Those three agencies use about 11 million gallons of biodiesel blends a year, ranging from 5 to 50 percent biodiesel (B5 – B50), according to Steven Levy of Sprague Energy, a biodiesel supplier in that area. The farmers are also visiting the facilities of Metro Energy, one of the largest petroleum distributors in New York City and the northeast. In 2009 the company sold 10 million gallons of biodiesel to be used as Bioheat in New York City alone. They are building a 110 million gallon biodiesel production facility in Brooklyn.

The biodiesel and Bioheat Industries have been supported by farmer-led groups including NBB, the United Soybean Board and the soybean checkoff.

Biodiesel, NBB