Public Policy Center
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Biodiesel Overview
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Audio/Video Script:
Lorrie Barr - Public Policy Program Associate
Tom Riley - Public Policy Director
Dr. Bobby Coats - Extension Agricultural Policy Analyst
Lorrie Barr
Biodiesel is a transportation fuel made from renewable Biomass. That can mean
anything from soybeans to woodchips to forest residue.
Dr. Bobby Coats
Biodiesel can be made
from vegetable oils, animal fats, used cooking oils or greases.
Tom Riley
Biodiesel, for us, generally is going to be found in the plant oils or the
animal fats. The byproducts of livestock production, poultry or swine or beef
production. Or is going to be found in the oil products of our commodity crops.
Lorrie Barr
The primary products used for biofuel is: for ethanol - corn, and for
biodiesel - soybeans.
Tom Riley
I think it has the potential to affect Arkansas because of the fact that we
grow so many acres of soybeans. Soybeans as a crop are seen as a major potential
crop for producing bio-based fuels.
Lorrie Barr
We also have lots of poultry and livestock
areas that we can render animal fat, that can be also used for biodiesel.
Tom Riley
The biggest percentage of biodiesel that is being produced in the state of
Arkansas today is being produced using animal fats.
Lorrie Barr
Arkansas currently has 2 biodiesel facilities producing approximately 27
million gallons annually of biodiesel. We have 4 production facilities slated to
be up and running within the next year or two.
Tom Riley
There are some specific challenges associated with the production of
biodiesel. One of them is finding the least cost fuel source. The least cost
source of raw material for production.
Lorrie Barr
The price of crude oil has affected the
emergence and the acceleration of the biodiesel industry. However, the biodiesel
industry is going to move forward simply because it’s a mandate federally and
statewide.
Dr. Bobby Coats
The president has challenged our country to reduce gasoline consumption by
20% in the next ten years.
Lorrie Barr
The Arkansas General Assembly just passed Act 87, which will provide a
biodiesel incentive. It’s a tax credit for biodiesel. There are also several
other pieces of legislation pending which would include a mandate for
production. It would also include a mandate for using Arkansas crops for the
production of biodiesel and ethanol.
Dr. Bobby Coats
This is a huge development for the American consumer, for the Arkansas
farmer. This is a huge development for rural Arkansas.
Announcer
To learn more contact your local county Cooperative
Extension Service Agent, and follow the links in this section.
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