Renewable diesel production is expected to overtake biodiesel in the US

The American government expects biofuel producers to be making more renewable diesel than biodiesel.

According to the US. Energy Information Administration, renewable diesel production is expected to overtake biodiesel production in the United States in October.

Renewable diesel capacity was estimated at 1.92 billion gallons per year in May, up from 1.75 billion gallons in January.

Biodiesel capacity was estimated at 2.22 billion gallons, down from 2.26 billion gallons.

Canadian canola is now approved as a feedstock for both types of fuel.

The Canola Council of Canada estimates that the U.S. biofuel market could consume up to 6.5 million tonnes of Canadian canola annually by 2030, up from 1.8 million tonnes today.

Most of that growth in demand is expected to come from renewable diesel. The EIA has already prepared an article for when renewable diesel overtakes biodiesel production. It expects to publish it this October.

Many traditional oil refineries are being converted into renewable diesel plants. The EIA estimates that 440,000 barrels per day were converted to renewable diesel in 2020. It is anticipated that another 660,000 barrels per day will be converted in 2022.