I hear this question a lot, why should someone make an investment in the [U.S.] biodiesel industry today, especially when there is no long-term policy goal in place to create stability in the market? Here are a few reasons I’ve come up with, just off the top of my head. I’m sure I can think of many more reasons if I allow myself more time to think of them.

- In the U.S., there is a long-term policy in place called the federal biomass-based diesel mandate, part of RFS2, which, by all accounts, is expected to increase 

- Biodiesel is a globally produced, globally traded fuel, and there are some international regions that are better than others to invest in today

- Biodiesel is the only advanced biofuel commercially produced at great enough volumes to meet both the U.S. biomass-based diesel and the advanced biofuel carve-outs

- Canada's mandate to go into effect July 1 and the country’s domestic capacity is seriously deficient to meet its own mandate in the short-term

- In the case of Spain, the government is increasing allowable blend levels of biodiesel to help curb the economic impact of rising oil prices

- Rising oil prices will only make biodiesel investment more attractive, particularly in the U.S. in 2011 with both the tax credit in place and high RIN prices (March 1 did not bring a collapse in RIN prices, as many speculated)

- In the U.S., there are some states that attract investment more than others, particularly in states where either mandates or where excise and producer incentives exist—case in point, Illinois

- Low carbon fuel standards are coming in the U.S.' two most populated regions: California and the Northeast. Waste-derived biodiesel achieves the best score (based on lifecycle GHG emissions reductions) than any fuel ever scored by the tough CARB model. For LCFS-obligated parties, the higher the GHG reduction, the less volume they need to blend to comply

- Compared to other advanced biofuel production facilities, biodiesel plant capital costs are low

- Biodiesel works very well in the local model: Good opportunities exist in regions where particular virgin or waste feedstock streams are available, and where local fuel demand is

- In the U.S. there is approximately a 7 billion gallon a year heating oil market and the oilheat industry is ever increasing its dependence on biodiesel in order to rebrand itself to compete on an environmental basis with natural gas. There is ongoing work to create B6 to B20 blend specs for biodiesel-blended heating oil, and to determine the legacy-safe blend level between B21 and B99.

- Infrastructure-ready: Nearly every major automaker has spent millions studying biodiesel in order to offer biodiesel-compatible vehicles to consumers. Pipeline companies are working on incorporating biodiesel in the nation’s pipelines.

- Continued feedstock research intends to broaden the already-broad realm of feedstock that can be used on a commercial level, including work to produce methyl ester biodiesel from biomass sources, not just conventional fats, oils and greases, all with the intent to increase supply and lower price (feedstock costs can contribute up to 85 percent of the cost of biodiesel)

There has got to be plenty of more reasons why one should invest in the biodiesel industry today, and I want to hear them from you. Please post your ideas on this below. I will be very interested in hearing from everybody on this very important topic.