Regulators and fuel marketers commonly propose alternative fuels to reduce emissions across the trucking industry.
For Class 8 trucks, this discussion often includes biodiesel and renewable diesel.
Biodiesel is a blend made by reacting vegetable oils or animal fats with alcohol, sold primarily as blends with petroleum diesel.
Renewable diesel is processed more like regular diesel in a refinery and can be used as a drop-in fuel or blended with regular diesel with no engine modifications.
The OOIDA Foundation examined these fuel types and whether they present a better option for your business.
Performance
Renewable diesel performs better in cold weather and during storage because it can be treated like regular diesel. Biodiesel blends above B20 may run into OEM limits or winter performance issues.
Cost
In late 2024, B20 was slightly cheaper than diesel, while pure biodiesel (B100) averaged 40-80 cents per gallon higher than diesel. Renewable diesel was more than $1 per gallon higher than diesel, according to 2024 data.
Fuel prices are updated daily on this Land Line resources page.
These costs factor in federal and state incentives, RIN credits and low-carbon fuel programs. For owner-operators, B20 can potentially save a few cents, but B100 and R100 fuels present an added cost unless you’re in a heavy-subsidy market or under a green-fuel contract.
Availability
B5 biodiesel is available in many standard diesel fuels, depending on the region. B20 is most commonly available in the Midwest and states with biodiesel mandates or tax breaks. Pilot is among the fuel retailers offering B99 in select locations for fleets that want to blend on-site or run high biodiesel blends.
Renewable diesel is still mostly regionally concentrated on the West Coast, particularly California. Imports and shipments into New Jersey and nearby markets are building capacity on the East Coast.
Renewable diesel remains a corridor fuel, not a national standard. Biodiesel offers better availability, but is not always outwardly advertised.
Owner-operators
The good news for owner-operators is that biodiesel and renewable diesel fit in the same tanks, go through the same injectors and don’t require a new six-figure truck.
However, the value of alternative fuels will depend on your route, consistent supply and price difference after credits/incentives.
Cost and volatility get pushed down to the consumer.
Regarding fuel type, the Foundation reminds drivers to ask, “Does this fuel genuinely help the people who move America, or just help someone else hit their climate targets on your dime?” LL
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