Clean Fuels Alliance America Monday released a new study, “The Offsetting Impact of Expanded Biomass Based Diesel Production on Diesel Prices.” 

The study shows that U.S. production of biodiesel and renewable diesel consistently reduces distillate fuel prices by increasing the supply. 

As the production and availability of cleaner, better fuels grew over the last decade, the price impact increased to a four percent benefit in 2020 and 2021. 

Kurt Kovarik, vice president of federal affairs for Clean Fuels, adds, “At today’s national average price for diesel fuel, the savings is equal to about 22 cents per gallon.” 

Biodiesel and renewable diesel meet more than six percent of the nation’s need for diesel fuel, according to the study. 

The study notes that even small changes in the supply of diesel fuel will result in relatively larger changes in the diesel fuel price. 

The study is available on

(Story Courtesy of the NAFB News Service)