Farm Futures logo

5 things farmers need to know about clean fuels5 things farmers need to know about clean fuels

The Clean Fuels Alliance brings farmers face-to-face with stakeholders in the industry.

Elizabeth Hodges, Staff Writer

January 30, 2025

3 Min Read
A group of panelist sitting in chairs on a stage
SOYBEANS RUN THE WORLD: Soybean board members — along with the truck, rail and marine industries — met in San Diego at the Clean Fuels Conference. They learned about how they can work together to create demand for soybeans while decarbonizing large fleets. Elizabeth Hodges

Soybean farmers want to boost demand for their versatile crop, and clean fuels may lead the way.

Biodiesel and renewable diesel are two markets that provide farmers value-added products, while aligning with the nation’s growing decarbonization efforts.

At the 2025 Clean Fuels Conference, hosted by the Clean Fuels Alliance in San Diego, stakeholders in the biodiesel and renewable diesel space met under one roof, which included soybean farmers from across the country.

The quick 5

Here are top five takeaways from the conference:

1. Farmers must be in the room. Often when policy is discussed, the major players — farmers — are forgotten. As a producer, it is important to advocate for soybeans and get a fair price for the lower-carbon-intensity soy.

“Farmers have an incredible sustainability story to tell today, regardless of the policies at the federal or the state level that may require them to implement additional practices,” said Michael Dolch, director of government affairs at AG Processing. “I think they bring a level of common sense to the table.”

2. Oilseeds take over the market. Not too long ago, there was limited use for soybean oil. But through sustainability efforts and advances in technology, oil is becoming more valuable than soybean meal. One way that the industry is looking to fill the demand of plant oils is utilizing an oilseed winter cover crop.

Related:Rocky 2024 soybean markets, plus a challenging 2025 outlook

“We just broke ground on an expansion that can process soybeans as well as any of the winter oilseeds,” said Stacey Orlandi, president of Chevron Renewable Energy Group. “We have multiple investments to help the farmer to the fuel producers to be able to bring those oilseeds to market as well.”

3. Biodiesel is no longer a scapegoat. When biodiesel first entered the market, it was met with skepticism. However, with over a decade of research and utilization, it now has a place on farms and in industrial transportation.

“I had the opportunity to be on the BQ-9000 commission, and it made me realize how devoted this industry is to ensure that they get the high-quality fuel,” said Ryan Pederson, a North Dakota soybean producer. “The folks on that commission spent so much time and effort making sure that the system was in place to ensure that the fuel that came out of those BQ-9000 plants would never have the problems that could allow the service manager from the local dealer to blame it on biodiesel.”

4. Biomass-based diesel makes its mark. In 2024, the U.S. produced an all-time high of 5 billion gallons of biodiesel and renewable diesel.

Related:How does high oleic soy take root in the Midsouth?

“We generated millions of dollars of added value for Americans, farmers and ranchers, supporting over 75,000 jobs,” said Kent Engelbrecht, director of North American Biodiesel Trade Policy for ADM. “We have boosted rural communities, providing cleaner air with every gallon, and we have created our path forward.”

With this substantial economic impact, the clean fuels market is creating a new market for farmers and providing a new energy supply.

5. Clean fuels policy should reward domestic markets. Integrating biodiesel and renewable diesel into the transportation industry in the U.S. is underway. All six major railroads incorporate these clean fuels into their locomotives. Work is being done to have sustainable aviation fuel available for airlines, while the maritime industry is looking to incorporate clean fuel as well.

“In three to five years, there is going to pressure on U.S. agriculture to be independent, not only to create energy for the world, but to have a domestic policy that rewards the entire ecosystem, and I think that is incredibly important,” said Lucas Lentsch, CEO of United Soybean Board. “Farmers get to invest in the future of research that leads us to look out in front of us.”

Read more about:

Renewable Fuels

About the Author

Elizabeth Hodges

Staff Writer, Farm Progress

Growing up on a third-generation purebred Berkshire hog operation, Elizabeth Hodges of Julian, Neb., credits her farm background for showing her what it takes to be involved in the ag industry. She began her journalism career in high school, reporting on producer progress for the Midwest Messenger newspaper.

While a student at the University of Nebraska-Lincoln, she became a Husker Harvest Days intern at Nebraska Farmer in 2022. The next year, she was hired full-time as a staff writer for Farm Progress. Elizabeth graduated from UNL in 2024 with a double major in Agriculture and Environmental Sciences Communication and Animal Science.
Hodges’ father, Michael, raises purebred Berkshire hogs, and her mother, Christy, is an ag education teacher and FFA advisor at Johnson County Central. Hodges is the oldest sibling of four.

Subscribe to receive top agriculture news
Be informed daily with these free e-newsletters

You May Also Like