Senate Passes Statewide Biodiesel Standard

FOR IMMEDIATE RELEASE: March 11, 2008
Contact: Adam Buckallew (573) 635-3819

(JEFFERSON CITY, Mo.)— Missouri’s elected officials are making a historic push to significantly increase the amount of biodiesel sold at fueling stations across Missouri. The Missouri Senate passed SB 759, the statewide biodiesel standard, on March, 10. The bill would require all diesel fuel sold in Missouri to be blended with at least 5 percent biodiesel (B5) by June 1, 2010. Functioning similarly to the state’s ethanol requirement which began in 2008, fuel stations would not be required to sell biodiesel unless the price is equal to or less than conventional diesel fuel.

"A B5 Standard is the next step in advancing Missouri’s growing biofuels industry and we are grateful for the leadership that Senator Bill Stouffer has provided on this important issue," said Dale R. Ludwig, Missouri Soybean Association (MSA) Executive Director/CEO. "It is refreshing to have people who realize the important role biodiesel can play in reducing our dependency on foreign oil. Missourians can take pride in knowing that homegrown, renewable fuels, such as biodiesel, keep more dollars in the state when we spend less on petroleum-based fuels.”

The bill will now be referred to the House for action. Missouri could become the sixth state in the nation to pass a statewide biodiesel standard. Minnesota passed and enacted nation’s first biodiesel standard at a 2 percent blend. Louisiana, New Mexico, Oregon, and Washington have also passed biodiesel standards, but these policies have not yet taken effect. Statewide biodiesel standards complement the new federal energy bill that mandates the United States reach 36 billion gallons of biofuel use by 2022.

The MSA expects the state’s biodiesel production capacity to reach at least 125 million gallons in 2008, easily surpassing the 60 million gallon market that would be created by the biodiesel mandate. There are currently 10 biodiesel plants in production throughtout the state and additional facilities are underway.

“The opportunity to enact a B5 standard holds great promise not only for soybean farmers, but Missouri consumers as well,” said MSA President Greg Sharpe, a farmer from Ewing, Mo. “We believe this is a very consumer-friendly bill. The addition of 60 million gallons of biodiesel to the market should put downward pressure on fuel prices and benefit consumers with savings at the pump.”

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