soybean news, biofuels, Jonathan Gibbs

WSMB picking up pace to support biodiesel industry following SFY visit

Categories: WSMBPublished On: January 28, 20254.4 min read

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With a biodiesel industry hoping to accelerate, a new administration shifting gears and many other states already in the fast lane, the Wisconsin Soybean Marketing Board (WSMB) picked the right time to participate in a See for Yourself (SFY) visit to the Clean Fuels Conference in San Diego and jump-start discussions on how to support agriculture and the local economy through the biofuels industry. The conference, which was hosted by Clean Fuels Alliance America (Clean Fuels), connected players in biodiesel, renewable diesel and sustainable aviation fuel for a week of expert sessions, exhibits, networking and showcases. With all the rapid growth and changes in the biofuels industry, the theme for the conference was, fittingly enough, accelerate. 

“There’s a lot of change going on right now with the new administration so there were a lot of important discussions happening down here in regard to that,” said WSMB Executive Director Adam Kask.  

And while there may be changes from a policy perspective, the biodiesel, renewable diesel and sustainable aviation fuel industries continue to see significant growth. For the first time ever, more than 5 billion gallons of biodiesel were consumed in the United States as demand grows from both the west and east coasts and more industries such as rail and marine seek out biodiesel and renewable diesel to meet their carbon-reduction goals.  

However, of those 5 billion gallons of biodiesel that were consumed in 2024, only 3.3 billion came from domestic feedstocks, such as soybean oil, and the other 1.7 billion were imported from other countries.  

“We obviously want domestic feedstock to be a part of the Clean Fuels growth, but even as crush capacity is expected to expand by another 30% in the coming year, the reality is that imported feedstocks will likely still be part of the equation as we look to hit our next goal of 6 billion gallons of biodiesel,” said Donnell Rehagen, Clean Fuels chief executive director. 

The Clean Fuels Conference provided an opportunity for WSMB’s farmer leaders to get a better grasp on what other states are doing to promote biofuels.  

“Each of the states here have different policies for supporting biofuels, and often we look to our neighbors in Minnesota who have set the bar with a biodiesel mandate, or maybe others who have blending credits available,” said Jonathan Gibbs, WSMB president. “Here at the SFY we can talk with our peers about their state policies or checkoff supported programs and learn about their successes and see how we can learn from that to support biodiesel in Wisconsin.”  

According to 2022 data, Wisconsin consumes about 27 million gallons biodiesel annually and has the capacity to produce 28 million gallons. However, their only biodiesel processing facility has sat idle since March 2024. Wisconsin is also unique in that they currently don’t have any statewide biodiesel blending requirements or tax incentives to incentivize fuel providers for selling homegrown biodiesel.  

“We’re kind of on an island in that we’re the only state amongst our neighbors that doesn’t have a biodiesel mandate or tax incentive on the books,” Kask said. “So those participating in the SFY from Wisconsin had the opportunity to learn from what other states are doing to support the biofuels industry in their state and why it’s important.”  

The SFY visit was organized by MEG Corp, which WSMB partners with to provide technical expertise to troubleshoot filter plugging and diesel issues, perform diesel studies and conduct best practices for diesel storage, handling and use education throughout Wisconsin. Joining WSMB were a handful of representatives from the fuel and energy industry throughout Wisconsin with a goal of learning about the biofuels industry and what lies ahead for the ever-changing industry.  

“Whether it’s research or promotion, we’re always looking for industry partners to help us in accomplishing our goals, and MEG Corp fits that need we have in supporting our biodiesel industry,” said Gibbs. “Whether it’s at our tech colleges, to providing training for our diesel mechanics or with our fuel suppliers in helping educate them about those 20-year-old misconceptions about biodiesel.” 

One of those in the fuel industry who participated in the SFY visit to the Clean Fuels Conference was Chris Yarolimek, general manager for Venture Fuels of La Crosse. 

“There’s a lot of changes in the biofuels industry, especially with policy, so I looked at this trip as an opportunity to reeducate myself and in-turn reeducate my customers,” Yarolimek said. “I really appreciate MEG Corp and WSMB for reaching out to me and providing this opportunity.” 

Looking ahead 

The next step for WSMB is to take what they learned from the SFY trip and educate their partners at the Wisconsin Soybean Association (WSA) to develop and pursue policies that will support Wisconsin farmers through the biofuels industry. 

“We will be working with WSA, which has made it one of their policy priorities this year to work with the Wisconsin Biofuels Coalition and our lobbyists to see if we can get some meaningful changes in Madison and can get some sort of tax incentive on the books moving forward that would support the biodiesel industry here in Wisconsin,” Kask said.  

Follow WSMB’s social media pages and visit wisyobean.org for more information on participating in future SFY missions.