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Biodiesel has some clear advantages over SVO: it works in any diesel, without any conversion or modifications to the engine or the fuel system -- just put it in and go. It also has better cold-weather properties than SVO (but not as good as petro-diesel -- see Using biodiesel in winter). Unlike SVO, it's backed by many long-term tests in many countries, including millions of miles on the road.
Biodiesel is a clean, safe, ready-to-use, alternative fuel, whereas it's fair to say that many SVO systems are still experimental and need further development.
On the other hand, biodiesel can be more expensive, depending how much you make, what you make it from and whether you're comparing it with new or used oil (and on where you live). And, unlike SVO, it has to be processed first. But the large and rapidly growing worldwide band of homebrewers don't seem to mind -- they make a supply every week or once a month and soon get used to it. Many have been doing it for years.
Anyway you have to process SVO too, especially WVO (waste vegetable oil, used, cooked), which many people with SVO systems use because it's cheap or free for the taking. WVO has to be filtered and dewatered, and probably should be deacidified.
Biodieselers say, "If I'm going to have to do all that I might as well make biodiesel instead." But SVO types scoff at that -- it's much less processing than making biodiesel, they say. To each his own.
http://journeytoforever.org/biodiesel_svo.html
http://journeytoforever.org/biodiesel_make.html
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