What is HVO? Production and use
HVO (hydrotreated vegetable oil) is a paraffinic diesel fuel produced from vegetable oils and fats. Ideally, waste and residual materials such as used cooking oils or animal fats are used for this purpose. These are treated with hydrogen under high pressure and at high temperatures.
This removes the oxygen from the molecules. The result is a pure hydrocarbon fuel that is chemically very similar to fossil diesel. In further processing steps, HVO is modified to meet the desired properties of a modern diesel fuel.
HVO is usually marketed as HVO100 (pure fuel according to EN 15940) or as an additive to fossil diesel and differs fundamentally from classic biodiesel (FAME).
Where is HVO used?
HVO is considered a market-ready sustainable substitute for diesel and is already available as HVO100 at gas stations in several European countries, particularly in Scandinavia and the Netherlands.
Thanks to its drop-in capability, HVO can be used in approved vehicles without any technical modifications. The existing diesel infrastructure also remains fully usable.
What are the opportunities and risks of HVO?
Opportunities for HVO:
- Significant CO₂ reduction over the life cycle (often 80–90% for residual materials)
- Very good fuel quality (high cetane number, good cold behavior, high storage stability)
- Ready for immediate use in many existing fleets
- Lower soot and particle emissions
Restrictions on HVO:
- Limited availability of sustainable raw materials
- Not a complete substitute for fossil diesel in terms of quantity
- Generally higher costs than fossil diesel
- Climate footprint heavily dependent on raw material origin and sustainability certification
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What is biodiesel? Production and use
Biodiesel consists of so-called fatty acid methyl esters (FAME). It is produced by chemically converting vegetable oils or fats with methanol. In addition to biodiesel, glycerin is also produced as a by-product. The quality requirements are specified in the standard EN 14214 .
In Europe, biodiesel is mainly produced from rapeseed oil, but also from used cooking oils and animal fats. The properties vary depending on the raw material, for example in terms of behavior in cold conditions or during prolonged storage.
Where is biodiesel used?
Biodiesel has been established for decades and is mainly used as an additive to fossil diesel. The standard fuel B7 contains up to 7% FAME and is approved for almost all diesel vehicles. B100 (pure fuel) is also used in certain fleets, but only with appropriate manufacturer approvals.
What are the opportunities and risks associated with biodiesel?
Opportunities for biodiesel:
- Technologically mature, with a stable production and supply chain
- Short-term CO₂ reduction possible through blending
- Regional value creation, especially in European production
- Meaningful use of waste and residual materials
Limitations of biodiesel:
- Poor cold and storage behavior than fossil diesel or HVO
- Susceptibility to oxidation and hygroscopy (water absorption)
- Technical limitations with high admixtures
- Sustainability debates on agricultural biomass (ILUC issue)
What are e-fuels? Production and use
E-fuels are synthetic fuels produced from water and carbon dioxide using electricity. In a process known as power-to-liquid, water is first split into hydrogen and oxygen. The hydrogen then reacts with CO₂, producing a gas mixture that is further processed into liquid fuels.
The result is synthetic variants of diesel, gasoline, or kerosene that are chemically similar to fossil fuels and can basically be used in existing engines.
Deployment, market readiness, opportunities, and limitations
E-fuels are currently still in the early stages of market development. The underlying technology is well known, but has so far mainly been used in pilot and test plants. As a result, the quantities available are low and production costs are very high.
What are the opportunities and risks of e-fuels?
Opportunities for e-fuels:
- Potentially almost CO₂-neutral when using green electricity
- High energy density and good storage and transportability
- Use of existing infrastructure and existing fleets possible
- Particularly relevant for areas that are difficult to electrify (e.g., aviation, shipping)
Restrictions on e-fuels:
- Very high energy consumption and low overall efficiency
- Significantly higher costs than fossil fuels or biofuels
- Dependence on large amounts of renewable energy
- Limited availability in the medium term, not a mass-market fuel
HVO vs. biodiesel vs. e-fuels
For better classification, the following overview shows the most important differences at a glance and clearly illustrates what these mean in everyday use.
HVO | biodiesel | e-fuels | |
|---|---|---|---|
CO₂ reduction potential | High, when using waste and residual materials | Medium to high, depending on the raw material | Very high, theoretically almost climate neutral |
raw material base | Used cooking oils, animal fats, residues | Vegetable oils (e.g., rapeseed), used fats | Renewable electricity, water, CO₂ |
Engine compatibility | High: immediately usable in approved diesel engines (drop-in) | Limited: Standard only up to B7, B100 only with approval | High potential: technically compatible, currently hardly available |
infrastructure | Existing diesel infrastructure can be used (gas stations, storage facilities, logistics) | Existing diesel infrastructure can be utilized | Existing infrastructure fundamentally usable, currently hardly any supply |
Costs | Higher than fossil diesel | Moderate, close to fossil diesel | Very high due to energy-intensive manufacturing |
scalability | Limited by available sustainable raw materials | Limited by raw material availability and sustainability requirements | Severely limited by power requirements and production capacities |
market readiness | High: commercially available | Very high: established for years | Low: Pilot and demonstration phase |
Which fuel is the best?
There is no single "best" sustainable fuel. The most appropriate solution depends on the time frame, the specific area of application, and the economic conditions.
- HVO is currently the most practical option for making existing vehicle fleets more climate-friendly in the short term and without technical retrofitting.
- Biodiesel remains a proven transitional solution, especially in the form of blends, but reaches its technical and ecological limits at higher proportions.
- E-fuels are primarily a strategic option for the future, especially for applications where direct electrification is hardly possible.
For companies and transport operators, the following therefore applies: sustainable fuels are no substitute for fundamental systemic change, but they are an important building block for reducing emissions in the short term and in a targeted manner.
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In our agt Bus World, we provide information about current developments in our company, as well as the latest topics and events in the bus and mobility industry.
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