Many vegetable oils have similar fuel properties to diesel fuel, except for higher viscosity and lower oxidative stability. If these differences can be overcome, vegetable oil may substitute for #2 Diesel fuel, most significantly as engine fuel or home heating oil.

For engines designed to burn #2 diesel fuel, the viscosity of vegetable oil must be lowered to allow for proper atomization of fuel, otherwise incomplete combustion and carbon build up will ultimately damage the engine. Many enthusiasts refer to vegetable oil used as fuel as waste vegetable oil (WVO) if it is oil that was discarded from a restaurant or straight vegetable oil (SVO) or pure plant oil (PPO) to distinguish it from biodiesel.