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How to Set Up a Recycled Biodiesel Company: Opportunities and Challenges

The market for recycling saturated cooking oil into biodiesel is a promising opportunity. The growing concern for sustainability and the search for renewable energy alternatives make this practice not only essential for the environment, but also a profitable activity. In this post, we will explore the process of creating a recycled biodiesel company, its challenges and the advantages involved in this business.

Biodiesel reciclado
The image is funny, but it is not so utopian. Read the article to understand how simple the recycling process is.

The Transformation of Saturated Oil into Biodiesel

The possibility of recycling used cooking oil to produce biodiesel is still not widely known. Transforming this waste into a clean, renewable fuel seems like a distant possibility for many, but the reality is that the process is simple and accessible. Biodiesel is an alternative fuel produced from vegetable oils, animal fats or saturated frying oil, and can be used in diesel engines without major adaptations.

For those interested in entering the biodiesel industry, it is important to understand that the production of this fuel begins with the collection and treatment of saturated oil. The process involves several purification and conversion steps, which make the oil suitable for transformation into high-quality biodiesel.

Micro Biodiesel Plants: An Affordable Alternative

One of the most practical ways to start a recycled biodiesel business is with the use of micro-mills. These small machines, which can produce around 400 liters of biodiesel per day, offer an affordable solution for those who want to start in the business with a relatively low investment.

  • Advantages of micro-power plants:
    • Low operating cost.
    • Small-scale production ideal for beginners.
    • Flexibility for own production or marketing.

For personal use, production does not require much bureaucracy. However, if the objective is to commercialize biodiesel, it is necessary to obtain authorizations from the National Petroleum Agency (ANP) and the Federal Revenue Service. These agencies regulate the commercialization of B100, pure biodiesel, and require compliance with several technical specifications.

The Biodiesel Production Process

The biodiesel production process involves several steps, with purification of used oil being one of the most important. The collected oil passes through a filter to remove solid residues, followed by water extraction. Water is removed through decantation and centrifugation, as the presence of moisture can compromise the quality of the final product, turning the oil into soap instead of biodiesel.

  • Main steps of the process:
    • Filtering: removal of solids.
    • Water extraction: essential to prevent soap formation.
    • Decantation: separation of remaining waste.
    • Centrifugation: completion of purification.

Transesterification, the main chemical reaction that converts oil into biodiesel, depends on the purity of the recycled oil. Each liter of saturated oil generates approximately 800 ml of biodiesel, making the process an efficient way to reuse waste.

Commercialization and Uses of Biodiesel

Biodiesel production not only helps reduce pollution and waste of resources, but also offers significant market opportunities. In addition to being a renewable fuel that can be used in vehicles and industrial equipment, recycled oil can be used in other industries, such as chemicals, cosmetics and animal feed.

  • Destinations of recycled oil:
    • Chemical industry: manufacturing of cleaning products and other items.
    • Cosmetics: components for creams and hygiene products.
    • Animal feed: use of waste in feed.

Furthermore, the biodiesel produced can be used in the plants themselves, reducing the costs of energy and fuel needed for production. The surplus can be sold, generating an additional source of income for the company.

Challenges and Legal Considerations for a Recycled Biodiesel Company

Although the biodiesel production process is relatively simple, there are legal and bureaucratic challenges that need to be considered. The commercialization of biodiesel, in particular, requires strict compliance with environmental and technical standards, in addition to specific authorizations to operate in the sector.

  • Legal challenges:
    • Obtaining licenses from ANP and Federal Revenue.
    • Compliance with technical specifications for pure biodiesel (B100).
    • Need for continuous monitoring to ensure product quality.

These requirements are designed to ensure that the biodiesel produced is safe and efficient, as well as protecting the end consumer. Therefore, anyone wishing to set up a recycled biodiesel company should consider hiring a specialized consultancy to guide them on these issues.

How to Start in the Biodiesel Market with Little Investment

For those interested in entering the biodiesel sector with a low investment, a good option is to start by collecting used cooking oil. This oil can be collected from restaurants, cafes and homes, which often discard large volumes of the waste.

Once a supply chain is established, the entrepreneur can sell the collected oil to larger companies that already operate in the recycled biodiesel market, or even start their own small-scale production. Over time, the business can expand, and the entrepreneur can invest in micro-plants to increase production capacity.

Mount a recycled biodiesel company can be an excellent business opportunity, especially for those seeking to operate in a sustainable and growing sector. In addition to contributing to the reduction of waste and the promotion of renewable energy, biodiesel offers several profit opportunities, both in the production of biofuel and in the supply of oil to other industries.

Before starting, it is essential to seek specialized knowledge and comply with all regulations required by the competent authorities. With proper planning, it is possible to transform saturated oil into a renewable and profitable source of energy, helping both the environment and the local economy.

Check out other interesting facts about recycling clicking here.
Learn how to make art by recycling, Click here.

Ricardo Ricchini
Ricardo Ricchini
Articles: 198

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65 Comments

  3. Hello,
    I have seen that biodiesel can only be sold through auctions organized by the ANP…
    Is this really true, or is it possible to sell biodiesel to distributors directly, without having to go through auctions?

  4. Is there anyone in Bahia who buys used cooking oil? Can the oil used to make acaraje be a mixture or should it be separate?

  7. What licenses are required for a small collection company? What should the collection vehicle look like? I am interested in starting this business and need all the information I can get. Thank you,

  8. Is the environmental license that authorizes this collection activity only municipal? With this authorization, can the collection be carried out in several municipalities and even in another state? Thank you.

  9. I would like to know the price to set up a biodiesel manufacturing company and if the surplus can be reused in some industry. I live in São Paulo.

  13. Hi guys, I'm joining a group where I'm going to have a general manager position. We're going to manage 578 apartments for residents. I want to implement a project that will be a pioneer among condominiums in the city of Camaçari -Ba. I need information and several innovative ideas.

  14. Good afternoon
    Ecologik Viçosa collects used cooking oil, and is an environmentally friendly company specializing in collection and disposal.
    We are looking for new partners in this endeavor to protect the environment. We buy all types of vegetable and animal oil, and we serve the states of Minas Gerais, the southern region of Rio de Janeiro and the northern region of Espírito Santo.

    • Good afternoon. How much does Ecologik Viçosa pay per liter of used cooking oil? Do you collect from 500 liters or do you have to bring it to you? I live in Itaúna, Minas Gerais. Thank you.

  17. Good evening!!! I would like to enter this cooking oil recycling market, how much would the initial investment be and what is needed to set up a company in this area?

  18. Guys, I'm starting a household waste collection project, and I would like to know where to send it, who to sell it to, and also the prices. If anyone could give me this information, I would be very grateful. We are starting with a total of 5 condominiums, I think the collection will be difficult!

  21. Goodnight!!!!
    Some contact for purchasing in Minas Gerais, initially on a small scale with potential for large scale.

    Att

    WANDERSON MILK

  22. We buy used frying oil in the city of Campinas and also collect it from the location.
    Follow our contact 019991439315
    We have a CNPJ that is all correct.
    Contact with Elias Santos.
    email . [email protected]

  24. Hello, good afternoon. I'm from Palmas and I want to know if there is anyone who is doing this type of collection here, collecting cooking oil, and how I can get into this business, because I'm interested. I want to find out more about the subject.

  25. Good afternoon!

    I have a used vegetable oil recycling company in Recife-PE, We buy and sell used vegetable oil and fat.

    We have 15 thousand liters per month with the possibility of increasing this amount.

    My Contacts: [email protected]
    81 9 9514-6444 Tim
    81 9 8613-9857 Hi whatsapp

  27. I'm from Varginha, south of Minas Gerais, and I'm going to start collecting cooking oil, expecting 500 liters/month, and I still don't know where to sell it? Anyone?

  28. Ecologik Viçosa is a company specialized in recycling used cooking oil. If you want to work in this field, we will give you all the support you need, and we guarantee the purchase of the oil with payment in cash. Contact us 31 995103643 WhatsApp [email protected]

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