• Condensed by Lynda Kiernan-Stone

Iowa Biodiesel Output Breaks Record

Biodiesel production in the state of Iowa this year was a record breaking 297 million gallons. Total output for 2016 surpassed 2015’s production of 242 million gallons by 55 million gallons representing a year on year increase of 23 percent.

Soybean oil remained the top feedstock at 66 percent, corn accounted for 10 percent, used cooking oil and canola oil accounted for 10 percent, and animal fats dropped to 14 percent.

The industry is attributing the significantly higher production to a combination of factors – a reassurance of policy at the federal level that included the biodiesel tax incentive and the official adoption of the Renewable Fuel Standard, and state level programs such as Iowa’s B11 excise tax differential that support higher biodiesel output.

Production at this level may not be sustained through 2017 however, as the federal biodiesel tax credit expired on December 31.

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