Soy-ving Money On Home Heating Oil

(CBS)  With heating costs expected to soar almost 50 percent this winter compared to last year, homeowners are scurrying to find ways to soften the blow.

And,

reports (video)

Mika Brzezinski, one source of relief may be soybeans.

That's right, the same stuff tofu is made from. The "appetizing" solution is called "bioheat."

The soy-based fuel not only costs less than conventional heating oil, Brzezinski says, it can work in any oil furnace without modifications, plus it burns more cleanly.

Oil distributor Mike Devine of Devine Brothers in Norwalk, Conn., tells Brzezinski that, "When a soybean is mashed, there's an oil that's left behind. That oil is treated and it burns identical to heating oil or diesel fuel."

The treatment, he says, is known as "transestification," and involves adding a little alcohol to the soybean oil, balancing the glycerin and creating biodiesel.

Add the treated soybean oil to regular heating oil and you have bioheat.

Soybean oil alone in a flask looks almost like beer. When it's made into bioheat, it looks more like red wine.

Devine says bioheat pollutes less than regular heating oil, and cleans heating systems as it burns. Plus, it saves homeowners 3 to 5 percent on their heating bills.

Devine Brothers is one of 25 bioheat suppliers. Bioheat is mostly available in the Northeast, but demand is growing so companies across the country are catching on.

Bioheat sales have quintupled at Devine this year and, says Brzezinski, it's already become the heating oil of choice for many new housing developments.

The Early Show co-anchor Harry Smith asks Brzezinski if it made sense to convert homes with heating systems that runs on gas or electricity to an oil system.

Experts at the Department of Energy say it doesn't, Brzezinski says. Conversions are very expensive — they can cost upwards of $10,000. If your heating system is worn out and you're planning to get a new one anyway, compare gas with oil. An oil-burning system may make financial sense in your area.

To find a Bioheat distributor near you, click here.