Diesel fuel HVO100 priced lower than anticipated
In the recent scene at some fuel stations, a new type of Diesel named HVO100, synthesized from used cooking oil, has made an appearance. The Automobile Club of Germany (ADAC), after investigating, reveals that the additional costs for this alternative fuel are actually lower than anticipated.
The newly introduced HVO100 diesel, manufactured from recycled frying fat and similar oils, is selling at a price that's not as hefty as initially believed. Based on ADAC's preliminary research, the price difference compared to ordinary Diesel is roughly between 6 to 10 cents per liter. This places the extra costs at the lower end of the earlier projected range of 5 to 20 cents. Notably, HVO100 boasts a better carbon footprint compared to traditional diesel oil, and is compatible with most standard Diesel engines.
ADAC interprets these findings as a positive signal, suggesting that manufacturers aim to keep the prices of HVO100 as cheap as they can. For customers, the financial impact is currently estimated by the association to be minimal; with a price hike of 10 cents per liter, the monthly fuel costs for a typical VW Golf driver would escalate by 5.62 Euros, amounting to 97.87 Euros in total.
HVO100 - A Diesel Made from Plant Debris
HVO100 is a Diesel fuel variant, often referred to as a paraffinic Diesel, that can be produced from plant matter, such as used cooking oil. It's claimed to reduce CO2 emissions by up to 90%.
However, skeptics question the availability of raw materials in Germany. For instance, the catering industry's used cooking oil is already fully utilized for fuel production today. Moreover, the environmental benefits of designer Diesel only surface when stringent production standards are maintained.
The ADAC, thus, calls for the oil companies to openly disclose the origin of HVO and present evidence showing compliance with sustainability criteria.
