The National Energy Administration issued the Development Policy of Biodiesel Industry.

The Biodiesel Industry Development Policy (hereinafter referred to as the Policy) recently released by the Energy Bureau proposes to build a sustainable raw material supply system that is suitable for the characteristics of China’s resources, mainly based on waste oils and supplemented by wood (grass) non-edible oils.

　　In order to achieve the above objectives, the Policy proposes that the provinces that develop the biodiesel industry of waste oil should build a relatively complete recycling system of waste oil and improve the laws and regulations on recycling; Initially establish an oil supply model for energy crops (plants); Explore and optimize microalgae culture and oil extraction technology to achieve a breakthrough in microalgae biodiesel technology.

　　The Policy also requires that biodiesel production enterprises must build a complete and reliable raw material supply system. Biodiesel production enterprises with waste oil as raw materials should formulate a perfect waste oil supply plan, focusing on the connection with the provincial biodiesel industry special plan, and sign a long-term contract or agreement with the waste oil supply unit that has obtained the business license to clarify the source and quantity of waste oil. With oil-bearing energy plants as raw materials, raw material planting bases of corresponding scale should be built.

　　The Policy also requires that the yield of biodiesel products (calculated by convertible substances) should reach more than 90%, the consumption of methanol per ton of biodiesel products should not be higher than 125 kg, the fresh water should not be higher than 0.35 m3, and the comprehensive energy consumption should not be higher than 150 kg of standard coal; By-product glycerol must be recovered, separated and purified; "Three wastes" are discharged up to standard. Biodiesel production facilities that still fail to meet the requirements within two years should be eliminated.

　　The Policy encourages the promotion and use of biodiesel in key areas of air pollution prevention and control such as Beijing-Tianjin-Hebei, Yangtze River Delta and Pearl River Delta. Encourage automobile and ship manufacturers and related research institutions to optimize the design of diesel engine systems and give full play to the power, energy saving and environmental protection characteristics of biodiesel blended fuels.