Wow - there is a lot of misinformation here.
Firstly, biodiesel generally has BETTER LUBRICITY than modern low sulphur and ulra low sulphur diesel. In Germany and France (and indeed most of europe) normal petro-diesel is 5% BIODIESEL - to INCREASE LUBRICITY up to acceptable levels, now that the sulphur as been removed.
Properly made, washed biodiesel, to acceptable standards, should produce no detrimental effects on any LR diesel engine, nor any noticeable power loss.
For more information have a look on here: 
http://www.biofuelsforum.com/
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