BioDiesel Conversion - Starting a Biodiesel Business

By Scott Daugherty

BioDiesel conversion can be a very profitable business for young entrepreneurs looking to start a new business or for seasoned entrepreneurs looking to add a new resource to their empire. In the U.S., there are over 30,000,000 gallons of waste vegetable oil that restaurants and fast food joints dispose of annually. Most pay to have their oil disposed of!

A few entrepreneurs that I know have made a lot of profit simply by charging the restaurants to collect their waste oil. They in turn, convert the oil to biodiesel after they charge the business to get the oil. Once they successfully convert the oil, they are able to receive both state and federal tax incentives for producing alternate fuel sources. The federal government pays up to $1.50 per gallon and the state incentives vary from one state to the next.

After this is done, they sell their biodiesel to both individuals and businesses generating another $1-$1.85 per gallon profit. They are producing 2.3 million gallons annually so after all of the overhead involved, they are successfully making $4-5 million in profit every year!

How does one get started in the business? The first step is to find a good commercial biodiesel processor. There are many of these on the market, however, you would want one that includes warranties and instructions to make your first batch of biodiesel.

Business startup costs and facts:

You can get a great commercial biodiesel processor that has an annual capacity of 2.3 million gallons for less than $50,000!

If you intend to collect your own oil, you will need a good truck to haul the oil in. You can get one of these for very little as well if you go to an auction or even check ebay.

Your raw materials needed for the conversion can be purchased cheap as well, however, you will need to buy the chemicals in bulk. This is also rather easy, simply contact the manufacturer and if they won't sell the products to you direct, they will refer you to a distributor who will. You will need both methanol and NaOH or KOH.

You will need a building or structure of sorts to setup the equipment in. Keep in mind that the methanol and NaOH mixture (methoxide) releases a very harmful vapor. It is best to have the area well ventilated. A lot of entrepreneurs set their equipment up in a container trailer to start with. This provides a stable shelter without costing a lot of money and gives the owner a lot of flexibility for moving the business in the future. Is this method recommended? For just a little more, you can purchase a metal building that provides more room and durability for your business. It also provides you the extra room if you decide to expand.

What about the tax incentives that biofuel producers get? Though it is commonly known that the government gives large tax incentives to alternative fuel manufacturers, the process to get approved can be strenuous. You must file paperwork with EPA to get approved as a clean producer. It isn't hard to be approved by the EPA if you dry wash the biodiesel. This essentially means that you have no waste water! Whenever you dry wash a batch of biodiesel, you are using a chemical (purolite) to wash the impurities out. This also allows for production of ASTM standard biodiesel.

It is recommended to purchase additional storage tanks. You can purchase a good tank with a 15,000 gallon capacity for your biodiesel for about $15,000. It is probably a good idea to get a storage tank for your fuel.

Who can you sell the biodiesel to? Check with local gas stations to start with. I recently read about this gentleman who started his business in September 2008. He has already exceeded $1,000,000 in sales in less than 4 months, not including the tax incentives! He talked with a few local trucking businesses and was able to offer the fuel to the trucking companies that save the truckers thousands of dollars weekly. The trucking companies were able to offer more competitive rates to their customers which in turn got them more business. The more business they picked up, the more fuel my client was able to sell. He actually just purchased his second commercial processing kit to keep up with his customer's needs!

BioDiesel is the way of the future. It is a natural resource, burns much cleaner than petroleum based fuel, can be produced for much less, and breaks our dependency of the very pricey crude oil.

If you are looking for a commercial biodiesel processor or just home biodiesel conversion kit, visit http://www.greenfuelconversion.com.

Article Source: http://EzineArticles.com/?expert=Scott_Daugherty http://EzineArticles.com/?BioDiesel-Conversion---Starting-a-Biodiesel-Business&id=1902675

All About Biodiesel

Important Facts About Biofuel Production

By: Shelly Wagar

Biomass fuel production in different countries can be a touchy subject, because not all countries agree with the production and use of biofuels. India is very outspoken in their dissent, because of the mistaken belief that biofuel production takes away from the food supply and contributes to global hunger. Biofuels are produced from biomass, which is an organic material such as dead plant particles, manure or municipal solid waste. More than 20 countries so far have biofuel production facilities and programs in place, with others moving forward in this arena as well. Biofuels do not have to be made with corn or soybeans, Germany is using rapeseed, and there are many other sources that do not come from food crops. These fuels are the future of the energy used globally, because soon fossil fuels will be gone. Biofuels are an environmentally friendly alternative that will be used to meet future energy needs.

It is not widely understood by many but biofuel production can help third world economies instead of causing problems. The production of these fuels offers many benefits to these economies. The entire economy of the local area can be improved. Using local employees and materials mean more income and taxes, as well as an improved infrastructure to serve the plant and community. Farmers would be paid regularly for their crops, and the transportation of these materials is much less because they are local. Biofuels and food do not have to compete, and farmers can grow food crops on fertile land and grow biofuel crops on land that is useless for any food farming.

One of the advantages of biofuel production is that biomass fuel can be produced at comparably low cost. Whenever fuel is produced, regardless of the origin of the fuel, cost is always going to be a factor. Just a few years ago biofuels were not widely produced, and this led to a higher cost for these fuels. Ethanol, biodiesel and biogas can all be produced at a low cost financially, and a large benefit ecologically. These fuels offer many benefits and are seeing more widespread use. Ethanol is alcohol based and created through a fermentation process. Biodiesel uses oils and fats from plants and other organic materials in a process called transesterification. Biogas is usually produced from specially designed landfills and waste to energy plants and programs. Using these biofuels can also help to combat a global warming.

In a recent amazing discovery, growing biofuel on trees is also possible. There is a specific tree, called the diesel oil tree, that can be tapped to recover an oil that is remarkably easy to turn into biodiesel. This tree will produce the oil for seventy years, and Australian farmers are growing plantations of them. A fungus, called Gliocladium roseum has been located in trees in the Patagonia rainforest, and it creates carbon chains identical to the ones found in petroleum. Unfortunately, right now these are only produced under very strict and narrow conditions, but the breakthrough has lead to more research. Biodiesel can play a big part in reducing pollution and global warming, and making the earth a better place to live for everyone.

The benefits of bio fuel production to the world are many. Fossil fuels are quickly being depleted and can not be replaced. Alternative sources of energy are numerous, and eco-friendly, but most of these, like solar, wind, and ocean energy, can not be used to power a vehicle. These technologies can be used to provide heat and electricity for homes and buildings though. Biofuels are carbon neutral so they do not speed up global warming, they are an environmentally friendly source of fuel that is renewable, and they are the answer to meeting the fuel needs of the future. Any organic material can be used to make biofuels, and these fuels can make a big difference to the planet. Until recently though, they were not in high demand because of the low cost and availability of fossil fuels.

Article Source: http://EzineArticles.com/?expert=Shelly_Wagar
http://EzineArticles.com/?Important-Facts-About-Biofuel-Production&id=1890486

All About Biodiesel

Is Biodiesel Good Or Bad For the Environment?

By Alan Folkard

The Biofuel Debate - What's all the fuss about?

There has been much talk of biofuels and in particular biodiesel being touted as a more carbon friendly alternative to traditional petroleum based fuel...

• Because biodiesel is made from renewable resources (unlike fossil fuels) and it has lower emissions compared to petroleum diesel
  
  
• Because it is less toxic than table salt and biodegrades as fast as sugar
  
  
• Because it is made entirely from renewable resources such as soybeans, sunflowers, rapeseed and palm oil as well as waste vegetable oil (used cooking oils) it surely follows biodiesel must be better for the environment...or is it?

Over the last few years through the Kyoto Protocol, governments have discussed the global issue of climate change with a view to setting targets to reduce greenhouse gases. Whilst there has been general agreement that something needs to be done and targets have been set, the United States is the only developed country that has not ratified the treaty and yet it is one of the significant greenhouse gas emitters.

The dilemma seems to be that biodiesel is undoubtedly greener than traditional petroleum based fuel. On the other hand however, as there is no stipulation how and where this fuel is produced, could this 'green' fuel actually be doing more harm to our environment than good?

Let's look at some of the contributing factors to this debate...

Biodiesel - The Good

As an alternative fuel, biodiesel would seem to be a very good alternative to fossil based fuels:-

Mitigating the effects of greenhouse gas emissions
Making best use of the remaining limited supplies of fossil fuels
Reducing air pollution along with the associated health risks to the public
Benefiting domestic economies by reducing the dependence on importing foreign petroleum
Relatively easy to produce in small or large volumes

Biodiesel - The Bad

The main problem with bio-fuels today is the source of the raw materials:-

Biodiesel and ethanol are produced from plant oils and from edible crops meaning competition for basic foodstuffs, food or oil?
Rain forests are being converted to palm oil production (palm oil is a key ingredient of food and other consumables...it can also be used to produce biodiesel)
Current crops cannot keep pace with the bio-materials needed for producing biodiesel

Does this mean if we replace traditional petroleum based diesel with biodiesel we'll compromise our supply of foodstuffs?

Biodiesel - The Future

The Biotech Industry has begun to help with the need to find alternative fuel sources for the future by looking at how to get more from less:-

Increased production of more plants
Improving crop yields - corn, a common biofuel crop in the USA, yields under 200 barrels (per square mile per year) whereas Jatropha for instance can yield over 2,000 barrels
Use of marginal land - look at crops (see below) that can be grown on arid land rather than take away arable farmland needed for essential food production. Using arid land in the poorer regions could provide social and economic benefits for that region

New sources that lessen the threat of environmental impact include:-

Algae - grows quickly, renews quickly but to be a viable option cost effective harvesting remains a challenge
Jatropha - can be grown in arid climates, has a high yield compared with traditional biocrops, has the potential to increase fertility of the land
Camalina - Researchers say the Camelina plant is an excellent source of biofuel; it can be grown in arid land, with less water, fertilizer and pesticides

Biodiesel - Many Complex Issues

Diesel engines were in fact originally designed in the early 1900's to run on biodiesel made from oil seed crops and not to run on petroleum-based diesel. Was it a mistake not to encourage the development and take up of biodiesel back then instead of depending almost solely on petroleum?

Despite agreement in principle that biodiesel has a role to play in helping to reduce emissions unless politicians give clear guidelines about the future of renewable fuels there will continue to be a haphazard take up around the world. Most governments have been proceeding with caution and rightly so but mixed messages from governments around the world have only added to the uncertainty around the use biodiesel fuel. What should be the governments role be in promoting the use of biodiesel?

We live in a world today that has largely grown up in a throw away society without due regard to the consequences of waste. This wasteful attitude has been exacerbated by the lack of proper education in the basic skills of survival. It is only relatively recently that modern day governments have begun to encourage large scale recycling.

The challenge we face is to educate the public about the issues surrounding biofuels and what is good or bad. Honest debate not influenced by individual hidden agenda's is the only way to arrive at political choices that embrace all the issues surrounding the use of biofuel.

So, is biodiesel good or bad for the environment?

One thing is for sure, first generation biofuels once thought to be the alternative fuel source of the future, have come under increased scrutiny recently. It is becoming clear that more information is needed about the potentially destructive elements of first-generation biofuels and the impact they have on the environment.

Environmentalists are concerned that the inadvertent consequence of using biodiesel fuel is unrecoverable damage to the environment. Furthermore, developing a dependence on traditional first generation biocrops may result in food competing with fuel over the use of land. We need to determine what the true balance is between good and bad from an environmental perspective.

Clearly governments need to further embrace the concept of reducing greenhouse gas emissions but should they be more proactive in finding a green source for our fuel as well?

Instead of destroying forests maybe we should look to new more "green" raw materials for producing biofuels. We must embrace the promotion of second and third-generation biofuels in an effort to help solve many of the current problems surrounding the use of first generation biodiesel.

Alan Folkard is an avid devotee and follower of all things [http://allabout-biodiesel.com/]Biodiesel and supports the adoption of biodiesel as an alternative fuel provided a way can be found to balance the good and bad from an environmental perspective.

Learn more about what biodiesel is.

Article Source: http://EzineArticles.com/?expert=Alan_Folkard http://EzineArticles.com/?Is-Biodiesel-Good-Or-Bad-For-the-Environment?&id=1542162

All About Biodiesel

All About Biodiesel - Homemade Biodiesel

All About: How to Make Homemade Biodiesel
By Chris John Wright

Biodiesel is the name of a clean burning alternative fuel, created from domestic, renewable resources.It contains no petroleum, but can be mixed at any level with petroleum diesel to produce a Biodiesel blend. This alternative fuel is simple to use, biodegradable, nontoxic, and basically free of sulphur and aromatics.

Biodiesel is made through a chemical process called transesterification whereby the glycerin is separated from the fat or vegetable oil. The process leaves behind two products -- methyl esters and glycerin.

But why Biodiesel I here you cry?

Well, it has numerous advantages that make it the number one choice for the majority of people seeking alternative fuels

Biodiesel comes ready to go with no expensive adjustments to be made to your engine you just pour it straight into your existing diesel engine.

It's completely bio-degradable and non-toxic which makes it more environment friendly it also has far less noxious emissions than regular petrol or diesel engine about 60% less net carbon dioxide emissions than petroleum-based diesel

Your engine will last longer with Biodiesel because as well as being a good lubricant Biodiesel acts as a solvent and cleans out the contaminants and dirt left by fossil diesel in your engine which also provides a lot less engine noise pollution than a regular diesel engine.

Production costs at domestic level work out at approximately 24 cents per litre plus the cost of your oil. If you collect your own from local burger joint, cafes or restaurants (currently they have to pay people to take it away) you could get it for free. If you buy in recycled oil, there are good reputable waste oil dealers throughout the country and your total production costs per litre should not exceed about 70 cents, substantially cheaper than fossil diesel!

Just to sum it up, Biodiesel is cleaner, cheaper and more importantly environment friendly so if you would like to read more info on how to make homemade Biodiesel click on the link below.

Chris Wright is the webmaster of http://www.solar-kits.net a website that specialises in Solar Kits and also gives alternate energy advice to the public.

Did you find those tips on Biodiesel useful? You can learn a lot more about how making homemade biodiesel can help you here. http://www.solar-kits.net/alternative-energy/how-to-make-homemade-biodiesel

Article Source: http://EzineArticles.com/?expert=Chris_John_Wright http://EzineArticles.com/?How-to-Make-Homemade-Biodiesel&id=1843232

All About Biodiesel