China Classification Society’s Singapore branch signed a four-party research-cooperation agreement in October to test B100 biodiesel on a ship for 1,000 continuous hours in Singapore port waters.

CCS signed the agreement with Weichai Singapore Pte. Ltd., Marine Energy and Sustainability Research Department of Nanyang Technological University, and Pinnacle Marine in Singapore. 

B100 biodiesel is one of the solutions for the shipping industry to move towards net-zero emissions. 

According to CCS, this joint project is the first long-term ship test of B100 in Singapore.

Farm Credit Canada says changes to U.S. tax credits for biofuel production starting Jan. 1, 2025, could hamper the growth of biodiesel production in Canada.

Currently, the U.S. provides a tax credit ($1 per gallon) to blenders of biodiesel or renewable diesel with conventional diesel. Given that biodiesel and renewable diesel are significantly more expensive than conventional diesel, this tax credit is critical to support profitability. Other government policies, such as the federally-administered Renewable Fuel Standard or California’s Low Carbon Fuel Standard, also provide tax credits that can help improve the profitability of biofuel plants. Historically, almost all Canadian biodiesel has been exported to the United States to take advantage of some or all of these tax credits.

However, under the Inflation Reduction Act, this tax credit has shifted from a blender’s credit to a producer’s credit, and starting next year, only U.S.-produced biodiesel or renewable diesel will qualify for the credit – but inputs can still come from abroad. That puts Canadian refiners at a disadvantage. Canadian biofuel experts argue that new domestic biofuel facilities will face construction difficulties if Canada doesn’t have similar credits.

In 2024, the GDP of the soybean and biodiesel chain could fall by 5.77%, totaling R$521.3 billion. After 22 years of strong growth of 2,023%, this drop is related to the poor soybean harvest and its negative impact on agribusiness services.

This was emphasized in a survey conducted by Esalq/USP’s Cepea (Center of Excellence in Applied Economics) in collaboration with the Brazilian Association of Vegetable Oil Industries (Abiove), based on data through the second quarter of the year.

The data also shows that the expected good performance of the industry should mitigate the decline in GDP of the production chain, especially in the biodiesel sector, which is set to grow by 26.92%.

Despite the decline, the GDP of the soy and biodiesel chains in 2024 should still be significantly higher than pre-epidemic levels and should account for 20.8% of the country’s agribusiness GDP and 4.5% of the Brazilian economy as a whole.

USDA Under Secretary Xochitl Torres Small announced on 29 October that the department will provide $39 million in grants to US business owners to increase domestic biofuel supplies in 18 states and provide Americans with cleaner, more affordable fuel options.

Torres-Small also announced that the U.S. Department of Agriculture will provide $200 million in funding through the New Bio-based Market Access and Development Grant Programme funded by the Commodity Credit Corporation.

The awards and funding announced on 29 October were made possible by the High Mix Infrastructure Incentive Program and the Bio-Based Market Access and Development Program funded through the CCC and the Inflation Reduction Act.

Indonesia is stepping up oil palm cultivation to boost crude palm oil (CPO) production as a feedstock for the production of 50 per cent biodiesel (B50), the Agriculture Ministry said on Monday.

According to the Indonesian Palm Oil Producers Association (IPOPA), crude palm oil production is set to reach 50.07 million tonnes in 2023, with domestic consumption set to rise as a result of the B35 biodiesel policy. Plans are underway to raise biodiesel blends to B40 by January 2025, while preparing for the implementation of B50.