Dubai Municipality and Neutral Fuels have penned an agreement concerning the supply of locally produced biodiesel for municipal vehicles.
The deal was signed during festivities for the Emirate’s sixth Car Free Day, and makes way for the provision of biodiesel produced exclusively in Dubai.
The fuel, which is made from used vegetable oil and boasts significant CO2 emissions reductions compared to conventional diesel, will be produced at Neutral Fuel’s bio-refinery in Dubai Investments Park (DIP).
“As part of this agreement, we will provide Dubai Municipality with biofuel for its fleet,” commented Karl Feilder, chairman and CEO of Dubai-headquartered Neutral Fuels.
“This is the first time ever that a municipality has committed to purchasing biofuel that is 100% produced in its own city – with waste from that city – to run its municipal vehicles.
“This shows that Dubai Municipality is obviously in line with His Highness Sheikh Mohammed bin Rashid Al Maktoum’s vision to make Dubai the most sustainable city in the world,” he told PMV.
The biofuel produced by Neutral Fuels is compatible with ultra-low-sulphur diesel (ULSD) engines commonly used in highly-regulated markets like North America, Europe, and parts of Asia Pacific. Feilder is confident that this compatibility, combined with carbon emission reductions of approximately 80% compared to conventional diesel, will expedite the introduction of the latest vehicular technologies to Dubai.
“When you combine the latest engines with biodiesel, you find that they run cleaner, more efficiently, and with fewer emissions coming out of the tailpipe,” he explained.
“Also, as this fuel is produced by recycling used vegetable oil, there is a smaller carbon footprint associated with the overall manufacturing process.
“I think that this is a fantastic opportunity for vehicle and construction equipment manufacturers to start selling their latest technologies into Dubai. It’s important that local fleet owners have access to these models,” said Feilder.
The deal signed between Neutral Fuels and Dubai Municipality is a heads of terms agreement, meaning that the exact details of the contract have yet to be negotiated. Even so, Feilder contends that with the support of industry stakeholders, the final contract will have a significant impact on local emissions.
“I expect the agreement to cover the number – or the percentage – of municipal vehicles that use biodiesel,” he revealed.
“We’re going to put some of the vehicles on trial, and we’re hoping to get vehicle manufacturers directly involved. We’ve been successful in doing this in other countries, and it will represent another first for the Middle East,” Feilder concluded.
