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Bio Diesel

Overview of Biodiesel

Biodiesel is alternative energy to petroleum-based diesel and ismanufactured from renewable resources such as vegetable oil or animal fat.

Biodiesel, an alternative energy that has similar combustion characteristics to diesel, can be transported and sold through the existing facilities; therefore, it is compatible with green growth and green products and is regarded as a compelling alternative to fossil fuels, the most crucial transportation energy resources. As a result, its share as an energy resource is on the rise in accordance with the support of national governments.

Reaction Mechanism

Reaction process of biodiesel
Biodiesel has similar characteristics as ordinary diesel, in that it is a material purified by transesterification of vegetable and animal oils and alcohol (mainly methanol).

Molecular structure of bio diesel
Bio diesel is a methyl ester substance with a C14~C24 hydrocarbon chain similar to light oil (C10~C21), but has a molecular structure containing oxygen.

Features of biodiesel

Environment benefits of biodiesel

Small amount in air-toxics and carcinogen
No possibility of emitting sulfur oxide
Reduction of CO2
Complete combustion by containing oxygen in the fuel

Eco-friendliness of biodiesel

Low emissions of smoke and carbohydrate particles
It does not contain SO2, CO and aromatic hydrocarbon
It contains 11%(Wt%) of oxygen
Environmentally safe biodegradability

Biodiesel Renewable Fuel Standard (RFS)

Biodiesel is used as a transportation fuel, and the usage ratio is determined according to the Renewable Fuel Standard (RFS). RFS is a system that requires a certain ratio of renewable energy fuel to be mixed into transportation diesel. RFS will be gradually increased since 2006 and is scheduled to increase to 5.0% by 2030, and the current RFS ratio as of 2024 is 4%. In October 2022, the government announced a plan to increase the ratio from the existing 5.0% to 8.0% by 2030 to promote eco-friendly biofuels. The plan includes to adopt hydrotreating biodiesel (HBD), which is chemically identical to diesel fuel as hydrogen is added to existing biodiesel.

The status of biodiesel

2024.10~present	Mandatory blending of biodiesel 4.0%
2021.07~2023.12	Mandatory blending of biodiesel 3.5% Announcement of eco-friendly biofuel expansion plan in 2022 • Commercialization of transportation and industrial biofuels by 2030 • Expansion of biodiesel diffusion (blending ratio 5% → 8% in 2030)
2018.01~2021.06	Mandatory blending of biodiesel 3.0%
2015.08~2017.12	Mandate of blending 2.5% biodiesel
2010.01~2015.07	Announcement of the second plan of mid and long-term biodiesel supply ((Ministry of Commerce, Industry and Energy) • Mandate of blending 2.% biodiesel into diesel oil until 2015
2007.09	Announcement of the plan of the mid and long term biodiesel supply (Five government agencies) • Increase in blending rate of biodiesel to diesel oil by 0.5% each year. • Blending 3% of biodiesel in diesel oil, with an aim for 5% in the mid to long term goal.
2006.07	The Commercialization of biodiesel • Preparing for the system of biodiesel commercialization Legislation of related laws: The implementation of full amendment in form of Alternative Fuel Business Act. • Signing a voluntary agreement between the government and refiners to supply biodiesel (March 2006) • Commercialization of internationally widely supplied BD5 instead of BD20 • Supply 0.5% of biodiesel in diesel across the nation
2005.05~2006.06	Started and expanded the biodiesel supply pilot scheme • Reduced dependency on oil and supply of biodiesel to improve the environment • Pilot scheme for supplying BD20 (20% biodiesel) • In Seoul Metropolitan Area and North/South of Chellado setting up 334 gas stations
2002.05	Decision of the pilot scheme of supplying biodiesel • As a preparation for the World Cup 2002, decision to use ultra-low sulfur diesel to improve air quality (Ministry of Commerce, Industry and Energy)

Biodiesel blending ratio

Year	2006	2008	2009	2010.10	2015.08	2018.01	2021.07	2024	2027	2030
Mandatory ratio	0.5%	1.0%	1.5%	2.0%	2.5%	3.0%	3.5%	4.0%	4.5%	5.0%

※ According to the announcement by the Ministry of Trade, Industry and Energy, “It is expected to increase by 8% by 30 years (introducing next-generation biodiesel (HBD))

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