It is blended with up to 10 percent renewable ethanol and made up of materials such as low-grade grains, sugars and waste wood, making it greener than existing petrol.
It could cut transport CO2 emissions by 750,000 tonnes per year, which is the equivalent of taking 350,000 cars off of UK roads.
Despite the environmental benefits, some on social media have criticised the move to bring in the new fuel, citing a number of issues.
One Twitter user questioned the pricing of the new fuel and the effect it would have on their car.
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