Introduction

The conversation around energy, sustainability, and the future of heating and transport in the UK has never been more urgent. As government policies tighten around carbon reduction, individuals and businesses are exploring cleaner, greener alternatives to fossil fuels. One option gaining significant attention is HVO fuel. But what exactly is it, why does it matter, and how can it fit into the UK’s journey to net zero? Let’s break it down clearly, without jargon, and give you everything you need to know.

What is HVO Fuel?

HVO stands for Hydrotreated Vegetable Oil, a renewable diesel alternative made from 100% sustainable raw materials such as used cooking oil, animal fats, and vegetable oils. Unlike traditional biodiesel (FAME – Fatty Acid Methyl Ester), which can present storage and stability issues, HVO is treated with hydrogen during the refining process.

This hydrogenation process results in a fuel that is:

• Chemically almost identical to regular diesel.
• Far more stable, with a long shelf life.
• Suitable for use in modern diesel engines and heating systems with minimal or no modifications.

In simple terms, HVO is a renewable, drop-in replacement for diesel that performs just as well — if not better — without the environmental baggage of fossil fuels.

Why is HVO Important for the UK?

The UK government has set a legally binding target of achieving net zero carbon emissions by 2050. Traditional fossil fuels, from petrol to heating oil, are major contributors to greenhouse gases. While electrification is a long-term solution for cars and heating, it’s not always practical in the short term, especially in rural areas where infrastructure lags.

Here’s why HVO matters in the UK context:

• Rural heating solutions: Many off-grid homes still rely on kerosene or heating oil. Switching to HVO allows them to decarbonise immediately.
• Transport and logistics: Fleet operators, especially in haulage and construction, can cut emissions drastically by switching to HVO without expensive engine conversions.
• Policy support: HVO aligns with the Renewable Transport Fuel Obligation (RTFO) and other UK renewable energy initiatives.

In short, HVO offers a “here and now” solution while broader electrification projects scale up.

How is HVO Fuel Made?

HVO production is both innovative and sustainable. Unlike fossil diesel that comes from crude oil extraction and refining, HVO follows a renewable pathway:

• Feedstock collection: Waste oils and fats are collected from restaurants, food production, and agriculture.
• Hydrotreatment process: These raw materials are refined with hydrogen at high temperatures and pressure, producing a paraffinic fuel.
• Quality testing: The end product meets EN 15940 standards, ensuring reliability for engines and heating systems.

Because HVO is created from waste materials rather than virgin crops, it avoids the “food versus fuel” criticism often aimed at first-generation biofuels.

Key Benefits of HVO Fuel

1. Lower Carbon Emissions

HVO can reduce lifecycle greenhouse gas emissions by up to 90% compared with fossil diesel. For businesses tracking their carbon footprint, this is a major advantage.

2. Improved Air Quality

It produces fewer nitrogen oxides (NOx) and particulate matter, contributing to cleaner air — a particularly pressing issue in UK urban centres.

3. Drop-In Compatibility

Most modern diesel engines and heating oil systems can run on HVO without modifications. That means no expensive retrofits.

4. Cold Weather Performance

HVO maintains excellent flow properties even at low temperatures. Unlike biodiesel, it resists waxing and gelling in winter, making it ideal for the UK’s unpredictable climate.

5. Storage Stability

It has a long shelf life (up to 10 years), compared with traditional biodiesel that can degrade in months. This makes it practical for backup generators and seasonal equipment.

6. Sustainability Credentials

Using waste-derived feedstocks supports the circular economy — turning used cooking oil from UK restaurants into clean fuel, for example.

Is HVO Available in the UK?

Yes, though availability is currently limited compared with conventional fuels. Several UK suppliers, including specialist distributors of heating oil and commercial fuels, now stock HVO. Large organisations like Network Rail and construction firms have already trialled or adopted it to cut emissions.

However, one of the biggest hurdles is cost and scale. HVO is typically more expensive per litre than standard diesel or kerosene because of limited production and distribution. As demand grows and UK supply chains expand, prices are expected to become more competitive.

HVO Fuel vs Diesel vs Biodiesel

This comparison makes clear why HVO is emerging as the preferred renewable alternative.

Who Can Use HVO Fuel?

HVO is highly versatile and is already being used across multiple sectors in the UK:

• Domestic heating: Off-grid households can replace heating oil with HVO. Some trials even show boilers running smoothly without modification.
• Transport fleets: Haulage, logistics, and delivery companies can cut emissions across entire fleets.
• Construction and agriculture: Plant machinery and tractors benefit from cleaner combustion and long shelf life.
• Backup power: Hospitals, data centres, and businesses using standby generators gain reliable, low-carbon energy.

Challenges and Considerations

While HVO presents clear advantages, there are still some challenges to keep in mind:

• Cost: Currently, HVO can cost 10–20 pence more per litre than standard diesel or heating oil.
• Availability: Distribution networks are expanding but not yet nationwide.
• Policy incentives: Wider adoption may depend on stronger UK government subsidies or mandates, similar to electric vehicle grants.

These challenges are real, but they’re not insurmountable. With growing pressure on organisations to report carbon reductions, demand for HVO is rising fast.

The Future of HVO in the UK

HVO fuel is unlikely to replace electricity or hydrogen as the UK’s long-term energy solution, but it is perfectly positioned as a transition fuel. It enables businesses and households to slash emissions immediately while waiting for infrastructure like EV charging and heat pumps to catch up.

Industry experts predict a surge in UK adoption across the next decade, particularly in transport, agriculture, and off-grid heating. As more production facilities open in Europe and beyond, supply constraints should ease and prices should fall.

In fact, many see HVO as a crucial part of the UK’s energy mix not the final answer, but a practical step towards net zero.

Conclusion

For UK households, businesses, and fleet operators, HVO fuel represents a genuine opportunity to act now on climate goals without expensive new infrastructure. Cleaner than diesel, more stable than biodiesel, and compatible with existing equipment, it ticks many of the right boxes.

Yes, challenges remain around cost and supply, but momentum is building. With every litre of HVO used, carbon footprints shrink, local air improves, and the UK edges closer to its climate commitments.

So, whether you’re heating an off-grid home in Cornwall, running a logistics fleet in Manchester, or managing a construction site in Birmingham, HVO could be the cleaner, greener drop-in fuel solution you’ve been looking for.