Supply is ample for biodiesel which is limiting physical sales, according to Joseph Furando, senior vice president of sales and marketing for CIMA Green Energy Services, Park Ridge, N.J.
"It's not that physical supply is thin," Furando commented. "In certain areas it most certainly is not," and Furando added ports in the Gulf Coast have a glut of supply.
Biodiesel plants are not being restarted or if they are operating, they are at less than full capacity, because the $1 per gallon credit for blending biodiesel into petroleum-based diesel has not "hit the streets yet," Furando explained.
Furando said without this capital, production plants will not be able to start up.
"Lots of folks are sidelined till Q3 when production is expected to pickup," he added.
Myke Feinman can be reached at email@example.com.
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