Brazil increases biodiesel blend in diesel

The ANP (National Agency of Petroleum, Natural Gas, and Biofuels) approved a 10% increase in the proportion of biodiesel blend into all diesel sold in Brazil. As a result, the allowed mixture goes from 10% to 11%.

The measure will be implemented on September 1st. The ANP has even made changes to the volumes that must be negotiated in a biodiesel auction to be held on August 12.

According to the ANP, the measure configures the outcome of measures defined at a meeting held at the end of April this year at the Ministry of Mines and Energy that covered the publication of ANP Resolution No. 798, of 08/01/2019, increasing the value of oxidative stability from 8 to 12 hours. Thus making the use of antioxidant additive mandatory in the production of this biofuel, as well as the MME report edition, giving satisfactory tests and trials to validate the use of B15 biodiesel in engines and vehicles from of results of studies conducted by the National Institute of Technology – INT.

Associations representing biodiesel producers welcomed the decision, saying they are expected to increase domestic processing of oilseeds used to make biofuel, particularly soybeans while reducing imports of petroleum-based diesel.

Currently, about 80% of biodiesel in Brazil is produced from soybean oil. According to the association of the biofuel sector, Ubrabio, the increase of the mixture increases the demand for oilseeds by about 200,000 tons per month.

Ubrabio said the new biodiesel blend rules will lead to record biofuel production in Brazil in 2019, now estimated at 6bn liters.

Sources: ANP, G1, and Reuters

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