As petroleum becomes increasingly costly, alternatives will be needed to meet increasing energy demands. Biofuels, and biodiesel in particular, could be a near term solution for providing a transitional fuel to meet the energy demands of the transportation sector. The use of waste cooking oil (WCO) as a feedstock can reduce the cost of producing biodiesel. By collecting and using biodiesel locally its cost can be further reduced. This study describes the development of a simulation model to analyze the costs and emissions associated with waste cooking oil collection for the local production and use of biodiesel.