Once a shining star a few years ago the biodiesel alternative fuel industry is on the verge of collapse. Biodiesel fits under the alternative fuels definition of being a fuel source other than traditional petroleum based fuel, but don't expect to see it on the mass market anytime soon.
The biodiesel industry has run into several snags such as a lagging economy, soaring prices, internal strife, lack of government support, and lost support of even the most ardent environmentalists. There are also many other automotive alternative fuels that have lessened demand of biodiesel alternative fuel and increased competition.
As other automotive alternative fuels are becoming more cost effective biodiesel prices have recently soared because the price of canola and soy recently skyrocketed which meant biodiesel just didn't make economic sense for consumers. Another issue is that some environmentalists think that wide spread biodiesel usage could be harmful to the environment because of the potential large deforestation that could occur to make room for crops used to produce biodiesel.
Biodiesel has also fallen out of favor with the government as they have chosen to subsidize other forms of automotive alternative fuels such as ethanol. The United States government initially promised to pumped millions of dollars into various biodiesel companies but have yet to deliver leaving several companies bankrupt or on the verge. With such an uncertain future an alternative fuels definition may soon exclude biodiesel. Consumers should not expect to see it as an alternative fuel option readily available anytime in the near future if ever.
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