March 5 (Renewables Now) - A law increasing from 8% to 10% the mandatory share of biodiesel in regular diesel sold in Brazil became effective on Thursday, the Ministry of Mines and Energy said.
The National Council for Energy Policies (CNPE) approved the B10 blend increase back in December 2017, anticipating in a year the date for the new blend coming into effect determined by Law nº 13.263/16.
With the 10% share, the country expects to by 1 billion litres this year domestic biodiesel demand. The government estimates that national consumption would hit 5.3 billion litres in 2018.
The adoption of the higher blend in March coincides with the start of the harvest of soybean, the main raw material for the biofuel, hence the best period in terms of abundance of supply. It also reduces the need for imports of diesel, adds value and induces the improvement of agribusiness and the biodisel agro-industry, the ministry noted.