HVO Price

One of the disadvantages of HVO for larger consumption is its feedstock and production costs. As a result, it has a higher price than biodiesel, which makes it harder to compete when there are no tax benefits.

A literature review published by CONCAWE in March 2019 provides estimated production costs of advanced HVO. The current production costs for advanced HVO were estimated to range from 0.5 to 0.9 €/liter diesel equivalent, and the production costs in 2050 are given an estimate in the range 0.9 to 1 €/liter diesel equivalent. By comparison, the production cost of fatty acid methyl ester (FAME) is estimated at 0.9 €/liter diesel equivalent, and the production cost of diesel is given a range from 0.28 €/liter diesel equivalent (for an oil price of US$40/bbl) to 1.05 €/liter diese