Minnesota becomes first state with 10 percent biodiesel mandate

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Minnesota is ready to up the ante as it prepares to increase its commitment to biodiesel.

The Associated Press reports, that starting next July, Minnesota will become the first state in the nation to require most diesel fuels in the state to be a blend containing 10 percent biodiesel. The requirement would cover warm weather months only in Minnesota.

Minnesota was the first state to mandate the use of biodiesel in 2005. The 10 percent requirement was supposed to take effect last year, but it took longer than expected to ensure adequate supplies statewide.

The state agriculture, commerce and pollution control commissioners said earlier this week the way is clear for the B10 mandate to take effect.

Biodiesel largely comes from soybeans grown in the midwest. It is expected to help increase the prices that farmers get for their soybean crop. As a result, Minnesota soybean growers have announced their support of the mandate.

Citing a state study, Minnesota Soybean Growers Association President, George Goblish, says the current biodiesel mandate adds about 73 cents to the price per bushel of soybeans.

The Minnesota Trucking Association though is not in favor of the mandate, officials say they are concerned about the cost.

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