The Statewide Biodiesel Buy Down created a fund to compensate the Virginia Port Authority‚Äôs (VPA) cargo handling operations and fleets operating in the Commonwealth of Virginia for the cost differential between biodiesel and petroleum diesel and associated fuel change costs such as the cost of the initial fuel filter change.  This project promoted the use of biodiesel by providing up to $1.00/gallon differential cost depending on the blend of biodiesel used.  Blends from 2% to 99% biodiesel were eligible under the program.

 

  biodiesel photo

 

In response to a Request for Proposals (RFP) issued to state government fleets operating in the Commonwealth of Virginia, MARAMA approved proposals from the Virginia Port Authority (VPA) and James Madison University (JMU) to reimburse the cost differential between B5 biodiesel and petroleum diesel at the Port of Virginia and between B5 and B20 biodiesel and diesel at JMU.

This project encouraged the use of cleaner and domestically produced alternative fuels by subsidizing the incremental cost over the cost of petroleum diesel.  An important lesson of the project was that all parties involved should discuss and agree on fuel use and cost documentation requirements before beginning the fuel switch.

 

Total Cost:  $11,110 (100% grant funded)