Is HVO actually a greener solution? As HVO becomes an attractive proposition in the data centre industry, there are concerns over just how‘ green’ this alternative fuel is.
A study in 2022 by the International Council on Clean Transportation found that scaling up renewable diesel capacity in the US would quickly exhaust the available supply of waste and residual oils and instead rely on domestic and imported soy oil and could lead to the expansion of palm oil cultivation in Southeast Asia.
Mike Nakrani, CEO of Vev( the e-fleet solutions provider backed by Vitol), says:“ The reality is that sustainable HVO supply is severely limited, despite its marketing as an eco-friendly fuel.
“ The more fleets adopt HVO, the worse the environmental impact becomes as demand outstrips genuine waste oil availability and suppliers turn to environmentally harmful virgin palm oil instead, while still marketing the fuel as sustainable.”
He suggests that, while it might feel sustainable to use HVO, businesses are not actually saving on emissions.
When it comes to data centres, HVO has been touted as a clear solution. However, it’ s clear that operators do need to conduct thorough research into if they can use this alternative fuel to power their data centres in a way that is truly sustainable.
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