When switching from regular diesel fuel (sulfur free) to paraffinic hydrotreated vegetable oil (HVO), the changes in fuel chemistry and physical properties will affect emission characteristics in a very positive way. The effects also depend on the technology, after-treatment and sophistication of the engine. To determine the real effects in the case of city buses, 17 typical buses, representing emission classes from Euro II to EEV, were measured with HVO, regular diesel and several blended fuels. The average reduction was 10% for nitrogen oxides (NOx) and 30% for particulate matter (PM). Also some engine tests were performed to demonstrate the potential for additional performance benefits when fuel injection timing was optimized for HVO.