BP acquires 30% stake in UK producer of hydrogenated vegetable oil
Fuel giant has invested in Green Biofuels with a view to replacing diesel in certain applications
BP has acquired a 30% stake in the UK's largest producer of hydrogenated vegetable oil (HVO), as part of a drive to replace traditional diesel fuel with more sustainable alternatives.
Green Biofuels (GBF), which has produced more than 55 million litres of HVO products over the last two years, currently produces renewable feedstocks including animal oils, vegetable oil, fat and HVO Gd+, a low-emission biofuel that can be used as a direct replacement for diesel.
Biofuels are created with renewable resources such as plants. There are two main biofuels: bioethanol and biodiesel. Both are man-made and emit less carbon when burned than conventional fossil fuels.
BP says its intention is to support the decarbonisation of construction, freight, off-road and marine industries, rather than everyday automotive applications.
In the UK, all petrol and diesel fuels contain a certain percentage of biofuel. E10 petrol contains 10% ethanol, while pricier E5 petrol contains 5% ethanol. B7 diesel contains 7% biodiesel.
BP’s investment in Green Biofuels comes shortly after it announced that it had taken a stake in Gasrec, the biggest bio liquified natural gas (Bio-LNG) and bio compressed natural gas (Bio-CNG) firm in the UK’s heavy goods vehicle sector.
“BP’s investment will support GBF’s growth as it works with businesses looking to transition away from using traditional diesel fuel in their assets, such as transport vehicles, temporary generators and construction machinery,” the company said.
"HVOs have the potential to play an important part in supporting lifecycle emission reductions in many sectors, providing a commercially viable decarbonisation option for fleet owners, construction companies and vessel operators, as HVOs are a drop-in replacement fuel."
BP claimed that using HVO fuels can reduce lifecycle greenhouse gas emissions by 87%, while HVO Gd+ provides particulate savings of up to 85% and reduces NOx output by 30%.
GBF CEO William Tebbit said: “Our mission is to support the net-zero energy transition by providing an immediate solution that makes a difference to carbon and air pollution emissions today.
“Our fuels provide businesses the time to transition to new technologies when they're proven both economically and operationally.
“We're proud to be partnering with a company like BP, which recognises the urgency of making positive changes now.”
BP previously experimented with biofuels at the London 2012 Olympics, fuelling 100 BMW vehicles with three biofuel blends containing a mix of conventional fossil fuels and plant-derived biofuels.
In 2020, motorsport's governing body, the FIA, comissioned the development of a biofuel that was claimed to be "100% sustainable" yet still conforming to Formula 1's strict regulations.