Abstract
Biodiesel fuel (BDF) is a potentially carbon-neutral fuel that could play a potentially important role in preventing global warming. However, its high production cost poses a challenge for many BDF producers. To establish an efficient method for BDF production and increase its cost competitiveness, the production efficiencies of 35 BDF plants in Japan, which produce BDF from waste cooking oil, were evaluated. Moreover, the cost reduction potential associated with improved efficiency was estimated. The empirical analysis revealed that (1) approximately 92% of the BDF plants have inefficient production; (2) they exhibit two predominant types of inefficiencies, technical and scale inefficiencies, and (3) improvement of production inefficiency can lead to an average production cost reduction of 3.52 yen per liter of BDF. To increase the production efficiency, it is important to improve the quality of the waste cooking oil used and increase the production scale. It is recommended that operators of inefficient BDF plants learn the production activities of the most efficient plants identified in this study. Furthermore, government policies focused on efficient BDF plants are essential to increase BDF production with limited resources.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
