Navigating the Growing World of Bio-Energy

Written on: August 25, 2025

Renewable propane is part of a larger family of green fuels.

Anyone following the emergence of low-carbon renewable fuels in recent years knows how interconnected they are. We recently discussed how research from an English university is developing a cleaner, affordable process for converting a by-product of biodiesel production into bio-based propane.

The production pipelines of renewable propane, biodiesel, renewable diesel, sustainable aviation fuel, renewable heating oil and other bio-energy products tend to be interlinked and overlapping. In this article, we’ll discuss the various types of bio-energy in the marketplace today and steps the propane industry is taking to help more rPG enter this marketplace.

How Is Bio-Energy Produced?

When we talk about different kinds of renewable bio-based fuels, the feedstock pool is typically comparable. It includes:

• Fats, oils and greases
• Municipal and agricultural waste
• Soybean oil
• Inedible corn oil
• Canola and other oilseeds

There are different methods to convert these feedstocks into fuel for vehicles, home heating and other functions that are similar to fossil-based fuels. Some of the most common methods are:

• Hydrotreating — A process where the feedstock reacts with hydrogen under high temperature and pressure.
• Gasification — Reaction with a controlled amount of steam and oxygen to create a bio-energy product.
• Pyrolysis — Superheating of the feedstock without oxygen.

The combination of these plentiful and often recycled feedstocks with low-carbon processes results in bio-energy products that are currently slashing the carbon impact of our traditional transportation, commercial and residential fuels.

What Are the Most Common Bio-Energy Products?

Using these organic products and production processes, bio-energy producers are making a range of popular bio-energy options:

• Biodiesel: This transportation fuel can be blended with ultra-low-sulfur diesel. Benefits: Reduces CO2 emissions by 74% compared to petroleum, improves fuel lubricity and lowers engine wear.
• Renewable Diesel: Produced from fats and oils using processes like hydrotreating and gasification, this fuel works as a drop-in fuel for existing diesel engines. Benefits: Cuts carbon intensity by 65% on average compared to petroleum diesel.
• Renewable Propane Gas (rPG): Created from organic feedstocks, it has all the efficiency, versatility and low-emissions advantages of conventional propane. Benefits: Has one-quarter the carbon intensity of conventional propane, with further innovations reducing it even more.
• Renewable Heating Oil: A blend of ultra-low-sulfur heating oil and biodiesel from recycled feedstocks. Benefits: Lowers CO2, sulfur oxide, mercury and particulate emissions; compatible with efficient heating equipment.
• Renewable Natural Gas: Derived from organic waste like manure and landfill material, this natural gas alternative can be blended with traditional fuel for heating and utilities. Benefits: Reduces emissions without requiring equipment modifications.
• Sustainable Aviation Fuel (SAF): Produced from non-petroleum feedstocks and blended into jet fuel (10–50%). Benefits: Reduces aviation emissions significantly; used in over 360,000 flights globally.
• Renewable Dimethyl Ether (rDME): Made from captured carbon and organic waste. Compatible with propane for transportation and heating applications. Benefits: Decarbonizes conventional and renewable propane, creating blends approaching and potentially even surpassing net-zero-carbon.

How is rPG’s Role Expanding in the Bio-Energy Space?

One of the challenging aspects of renewable propane production is that — since this renewable liquid gas can be made as co-products of biodiesel, renewable diesel and other liquid bio-energy production — a lot of the rPG being produced was used for industrial operation at the production facilities instead of being sold to businesses and households.

For a while, we’ve known that these producers could boost their profits by selling the rPG they’re using, and now the Propane Educations & Research Council (PERC) is dedicating more funds to increasing the commercialization of this vital energy source. PERC is set to invest nearly $500,000 to advance the development of an innovative renewable propane production pathway, transitioning it from lab-scale research to commercial-scale implementation. With these resources, we can hope that rPG will become more plentiful and affordable in the general marketplace.

The Renewable Propane Alliance consistently updates members on developments in this bio-energy space. We invite you to join the Alliance to stay in the loop!