Biodiesel is effectively a fatty ester based fuel, and it is generally manufactured from vegetable oils such as canola, hemp or soybean amongst others. It may also be created from animal fats in a special simple process and the history of biodiesel tells us that this renewable source of energy which is as efficient as petroleum diesel has been around for a great deal longer than oil commodity brokers care for us to know.

This history started with Rudolph Diesel when he designed a compression engine. He made use of peanut oil for this purpose, and he wanted to prove that this was the only fuel source which would ever be required. Way back then he knew that using renewable oil resources were a better option than using fossil fuels.

In actual fact biodiesel was used in diesel engines until the 1920’s it was only then that manufacturers decided to make use of petroleum fuel. Both methanol and ethanol are able to be produced from these fatty acids. Even Henry Ford believed in the concept propounded by Rudolph Diesel and he build a factory which was equipped to mass produce biofuels. He believed that this was the oil of the future and wanted to manufacture all his automobiles to run on this fuel.

When he commenced with this, he was in the top of his market and embarked on partnerships with natural oil companies. However in the 1940’s petroleum based companies started advertising and as petroleum fuel was cheaper at the time, this fossil based fuel soon became the number one best seller.

Hemp has been grown for its many properties and it was grown in the US to provide a source for oil to create biofuels. It was found that substances such as peanut and soyabean oil were only able to create small amounts of biofuel, whereas hemp manufactured bigger quantities. Henry Ford realized this substance could be used to revitalize his oil manufacturing plant.

At this stage in the proceedings many entrepreneurs located fossil oil wells and became rich from them, they discredited the manufacturing process for hemp oil products. They referred to it as Marijuana! The newspaper mogul William Randolph Herst launched a tirade against the production of this oil, and helped to get a Marijuana Tax Act out in place.

This caused panic in people who used this fuel, as possession of it required Government certification and the Government was not handing out these certificates to anyone. Petroleum oil won this war and cornered the market, and that in a nutshell is the history of biodiesel.