Slide2:
10 Steps to Make Biodiesel Distribution Seamless
6. Remember Uncle Sam. If you are selling biodiesel, pure or blended into on-road diesel, the biodiesel percentage must be assessed all necessary federal and state taxes that apply to diesel fuel.
7. Dye Your Biodiesel. Off-road sales of biodiesel require the industry standard red dye to distinguish it as off-road fuel and not subject to road diesel tax. Blends of 20% can dilute the color of red-dyed fuel and push it out of color specification, which could lead to tax authorities issues. Treat B100 with the same amount of red dye as petroleum diesel for off-road fuel.
8. Know Your Diesel. It’s important to start with the absolute best generic diesel fuel in terms of cold weather characteristics when blending with biodiesel. If you don’t know what your cold flow specs are for the base diesel you sell, you won’t know what your B20 blend would be once combined with the generic portion of that blend. B20 can be successfully used in the harshest winter climates when proper attention is given to the storing and blending of the two fuels.
9. Use Common Sense When Upgrading Infrastructure. The best way to utilize your current assets is to select a storage and blending option that will meet your needs while being supported by your existing equipment. Depending on the percentage of biodiesel you plan to offer, different issues need attention, including pump capacity, loading arm demands, meters, automation and mechanical engineering and electrical values to bring it all together. A handling kit for petroleum distributors is available from the VA soybean office.
10. Be Prepared. Know what you buy, keep your supply sources accountable for upholding quality, becoming knowledgeable on biodiesel basics and educate your team. Ask Virginia Clean Cities to help! Created by Virginia Clean Cities in partnership with DMME. Visit us on the web: www.hrccc.org