
In Minnesota, diesel fuel is blended with biodiesel, which is made from soybean oil, corn oil, or waste oil. The state was the first to mandate the use of biodiesel, with a blend of at least 2% required since 2005. This mandate has increased over time, and currently, a blend of 20% biodiesel (B20) is required during the summer months, while a minimum of 5% biodiesel is required for the rest of the year. The state offers incentives for the use of alternative fuels and promotes the replacement of petroleum with biofuels.
| Characteristics | Values |
|---|---|
| Definition of Biodiesel Blend | A blend of diesel fuel and biodiesel fuel between 6% and 20% for on-road and off-road diesel-fueled vehicle use |
| Biodiesel Fuel Definition | A renewable, biodegradable, mono-alkyl ester combustible liquid fuel that is derived from agricultural and other plant oils or animal fats |
| Biodiesel Produced from Palm Oil | Not considered biodiesel fuel unless the palm oil is waste oil or grease collected from within the US or Canada |
| Minnesota Biodiesel Blend | B20 during summer months; B5 from April 1 to April 14 |
| Minnesota Biodiesel Standard | B2 in 2005; B5 in 2009; B10 in 2014 |
| Vehicle Purchasing Priority | 1. Electric vehicles; 2. Hybrid electric vehicles; 3. Vehicles that use alternative fuels, including biodiesel blends of B20 or greater |
| Biodiesel Mandate | Must not be adjusted to less than 5% |
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What You'll Learn

Biodiesel blends must be between 6% and 20%
In Minnesota, biodiesel blends must be between 6% and 20% for on-road and off-road diesel-fuelled vehicle use. This biodiesel blend is a combination of diesel fuel and biodiesel fuel, the latter of which is derived from renewable and biodegradable sources like agricultural and plant oils or animal fats.
The state of Minnesota has been a pioneer in the adoption of biodiesel, with a legislative history that reflects an increasing commitment to this alternative fuel source. In 2002, the state legislature passed a law requiring diesel fuel sold in Minnesota to contain at least 2% biodiesel (B2), which came into effect on September 29, 2005. Over time, this mandate has been steadily increased: it rose to 5% (B5) on May 1, 2009, 10% (B10) on July 1, 2014, and currently stands at a 20% biodiesel blend (B20) standard during the summer months. This B20 blend refers to a mix of 20% biodiesel and 80% diesel fuel by volume.
The transition to biodiesel blends has been facilitated by organisations like the Minnesota Department of Agriculture, which offers grants to biofuel producers, and the Minnesota Department of Weights and Measures, which promotes the replacement of petroleum with biofuels. These efforts are supported by legislative requirements, such as the mandate that each state department or agency must prepare a biennial sustainability plan that includes modifying vehicle use practices to incorporate alternative fuels.
It's important to note that the minimum content levels of biodiesel blends in Minnesota vary throughout the year. While the minimum content level is 20% during the summer months, it can be as low as 5% for the remainder of the year. Specifically, from April 1 to April 14 each year, the minimum content level of diesel fuel sold in Minnesota may be less than the usual requirement but must remain at or above 10%. This seasonal reduction ensures that technical issues associated with Minnesota's cold weather are considered.
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Biodiesel fuel is derived from plant oils or animal fats
In Minnesota, diesel fuel must be blended with biodiesel fuel. Biodiesel fuel is a renewable, biodegradable, mono-alkyl ester combustible liquid fuel derived from agricultural and other plant oils or animal fats. It meets the American Society for Testing and Materials (ASTM) specification D6751 and is approved for blending with petroleum diesel/distillate.
Biodiesel is produced by transesterification, a process that converts fats and oils into biodiesel and glycerin (a coproduct). Approximately 100 pounds of oil or fat are reacted with 10 pounds of a short-chain alcohol (usually methanol) in the presence of a catalyst to form 100 pounds of biodiesel and 10 pounds of glycerin. Glycerin is commonly used in the manufacture of pharmaceuticals and cosmetics.
The main feedstock for biodiesel production in the US is vegetable oil, specifically soybean oil. Other major feedstocks include animal fats from meat processing plants, used cooking oil, and yellow grease from restaurants. Rapeseed oil, sunflower oil, and palm oil are major feedstocks for biodiesel production in other countries.
While biodiesel can be produced from plant oils and animal fats, the current worldwide production of these feedstocks is not sufficient to replace liquid fossil fuel use. However, Minnesota has implemented various laws and incentives to promote the use of biodiesel and reduce dependence on fossil fuels. The state was the first to require the use of biodiesel, with a blend of 2% biodiesel (B2) implemented in 2005, increasing to 5% (B5) in 2009, 10% (B10) in 2014, and currently 20% (B20) during the summer months.
Minnesota's efforts to blend diesel fuel with biodiesel contribute to the state's sustainability goals and provide economic benefits to the agricultural sector.
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Biodiesel blend laws don't apply to palm oil
In Minnesota, biodiesel blends are a combination of diesel fuel and biodiesel fuel, with percentages ranging from 6% to 20% for on-road and off-road diesel vehicle use. The state was the first to mandate biodiesel use, currently requiring a 20% biodiesel blend (B20) during the summer months.
The definition of "biodiesel fuel" in Minnesota specifically excludes palm oil, which is not considered biodiesel fuel under state law. This exclusion is in place unless the palm oil is waste oil or grease collected within the United States or Canada. As a result, biodiesel blend laws in Minnesota do not apply to palm oil, and it is not factored into the required percentages of biodiesel in diesel fuel blends.
This exclusion of palm oil as a biodiesel feedstock is not unique to Minnesota. Other countries, such as Malaysia and Indonesia, have implemented biodiesel programmes with palm oil as the primary feedstock. However, these countries have faced challenges due to the negative environmental and economic impacts of relying heavily on palm oil.
Indonesia, as the world's biggest palm oil producer, has experienced supply tightness and increased prices due to higher biodiesel mandates. Additionally, there are concerns about the environmental risks of deforestation associated with palm oil production. As a result, Indonesia is exploring alternatives to palm oil in its biofuel programmes to reduce these risks.
Malaysia, another major palm oil producer, has also decided against increasing the palm oil biodiesel blend to 20%, citing a lack of funding for the required infrastructure development.
Therefore, while biodiesel blend laws in Minnesota do not apply to palm oil, other regions implementing biodiesel programmes have encountered challenges due to their reliance on palm oil, leading to a search for alternative feedstocks.
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Minnesota incentivises alternative fuel use
Minnesota has implemented several initiatives to incentivize the use of alternative fuels, particularly biodiesel. In 2002, the state became the first in the nation to mandate the use of biodiesel, with a law requiring diesel fuel sold in Minnesota to contain at least 2% biodiesel (B2) by September 29, 2005. This mandate has since been increased in stages, with the current standard being a 20% biodiesel blend (B20) during the summer months, and a minimum of 5% for the rest of the year.
The state offers various financial incentives to promote the use and production of alternative fuels. The Agricultural Growth, Research, and Innovation Program provides grants, loans, and other incentives to alternative fuel retailers for infrastructure improvements, such as the installation of ethanol blender pumps. The Minnesota Department of Agriculture also offers grants to biofuel producers, encouraging the development of this industry within the state.
Minnesota has also established vehicle purchasing priorities for state agencies, favoring vehicles that use alternative fuels. Electric vehicles are given the highest priority, followed by hybrid electric vehicles, and then vehicles that use alternative fuels such as biodiesel blends, natural gas, ethanol blends, hydrogen, or propane. State agency plans are also required to encourage state employees to fuel vehicles with alternative fuels when available and increase the use of renewable fuels derived from agricultural or waste products.
To ensure compliance with these initiatives, the commissioner of commerce is responsible for periodically determining the wholesale diesel price and biodiesel price in the region. This information is reported to the governor, who may adjust the biodiesel mandate by executive order if the price disparity causes economic hardship for diesel fuel retailers in Minnesota.
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Diesel fuel sold in Minnesota must contain at least 10% biodiesel
Minnesota has been a pioneer in the adoption of biodiesel, with the state legislature passing a law in 2002 that mandated the use of biodiesel in diesel fuel. This law, which came into effect on September 29, 2005, required that diesel fuel sold in Minnesota contain a minimum of 2% biodiesel (known as B2). Over time, this mandate has increased, reflecting the state's commitment to reducing its dependence on fossil fuels and boosting its farm economy.
On May 1, 2009, the biodiesel blend requirement increased to 5% (B5), and on July 1, 2014, it rose again to 10% (B10). This B10 blend is the current minimum requirement for diesel fuel sold in Minnesota, ensuring that all diesel fuel in the state contains at least 10% biodiesel.
The definition of "biodiesel blend" in Minnesota is a combination of diesel fuel and biodiesel fuel, ranging from 6% to 20% biodiesel content for on-road and off-road diesel-powered vehicles. Biodiesel blends must adhere to ASTM Standard D7467-10, ensuring the quality and performance of the fuel. During the summer months, Minnesota even has a higher biodiesel blend standard of 20% (B20).
The state offers various incentives to promote the use of biodiesel and other alternative fuels. The Agricultural Growth, Research, and Innovation Program provides grants, loans, and other financial incentives to retailers and producers adopting alternative fuels. Additionally, the Minnesota Department of Agriculture offers grants to biofuel producers, further encouraging the adoption of biodiesel. These initiatives reflect Minnesota's commitment to reducing petroleum dependence and fostering a more sustainable energy future.
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Frequently asked questions
A biodiesel blend is a combination of diesel fuel and biodiesel fuel, which is made from soybean oil, corn oil, or waste oil. Biodiesel blends can be used for on-road and off-road diesel vehicles.
In Minnesota, diesel fuel must be blended with biodiesel all year round. From April to September, the minimum biodiesel content is 10%. For the remainder of the year, the minimum content is 5%.
The standard biodiesel blend in Minnesota is B20, which means it contains 20% biodiesel. This blend is used during the summer months.
The requirement for biodiesel blending in Minnesota has increased over time. In 2005, a law was passed that required a minimum of 2% biodiesel in diesel fuel. This increased to 5% in 2009, 10% in 2014, and 20% in 2017.









































