Biodiesel in Idaho
Company awarded $100,000 grant to expand biodiesel project
By Brian Walker, Ag weekly correspondent
POST FALLS, Idaho — Coming to a retail pump near you: Biodiesel.
Bob Coleman, president of Coleman Oil Company, which has outlets in Post Falls, Coeur d'Alene and Sandpoint, said biodiesel is expected to be sold on a retail level here by late summer.
Coleman already offers the diesel alternative product produced from crops such as canola and soybean on a commercial scale.
According to the industry's Web site, www.biodiesel.org, Lewiston-based Coleman is the lone north Idaho distributor of biodiesel. It says the firm would also become the first local retailer.
"It's coming on strong," Coleman said. "Given current price levels for diesel fuel, it makes good sense to aggressively pursue alternatives such as biodiesel. It not only lessens our dependence on foreign crude oil, but will also support the Pacific Northwest's agricultural base.
"With crude oil at $70 per barrel, biodiesel is economically viable now. This trend should continue as new production ramps up."
Biodiesel is biodegradable, nontoxic and free of sulfur and aromatics. It is blended with petroleum diesel to create a fuel for use in diesel engines and heating oil furnaces with little or no modifications.
"We're shooting for wide acceptance, so we're going to lower the concentrations initially," Coleman said.
Coleman said biodiesel prices have typically been comparable to petroleum.
"We anticipate prices to fall over time as production comes on line," he said.
Paving the way for local retail sales is Coleman's distribution and blending facility expansion in Lewiston that will serve all of north Idaho. The $350,000 expansion will bring storage up to 200,000 gallons.
Coleman recently received a $100,000 grant from the Idaho Department of Water Resources to help fund the project.
"We're adding storage for railroad car volumes of biodiesel that will enable us to transport it throughout the marketing area," Coleman said. "One of the objectives of the grant is to make biodiesel more mainstream."
Coleman already supplies gas, diesel, heating fuel, and lubricating oils to retail fueling facilities throughout the region.
Retail biodiesel pumps exist in Spokane. Coleman's area outlets that will have it include sites on Seltice Way near Highway 41 in Post Falls and near Harrison and Government Way in Coeur d'Alene.
Some states have passed legislation encouraging the use of biodiesel and ethanol because they can be more environmentally friendly than traditional diesel.