NOVELTY - A biofuel composition (C1) comprises an aqueous emulsion having continuous phase comprising 50-95 wt.% liquid vegetable oil and/or liquid animal fat, and 1-20 wt.% renewable and/or fossil fuel derived thinning solvent; and aqueous dispersed phase comprising 1-50 wt.% deionized/purified water; and 0.05-10 wt.% emulsifier.    USE - As biofuel composition (claimed) for use in stationary boiler applications used in heating and processing of local, state and federal government; hospitals; commercial, light industrial facilities; and power generation facilities to generate the heat or steam in the winter and to generate hot water or steam throughout the year.    ADVANTAGE - The composition is based on liquid oil of vegetable or of animal origin; is stable, produces reduced emissions; and can be used as a drop-in replacement for number 2 fuel oil without requiring infrastructure changes. The composition provides an economically competitive alternative to number 2 fuel oil, is produced from renewable sources, and provides reduced emissions and pollutants to the environment.    DETAILED DESCRIPTION - INDEPENDENT CLAIMS are included for the following:    (1) preparing an emulsified fuel composition (C1) involving providing a continuous phase component containing the liquid vegetable oil and/or liquid animal fat, and renewable or fossil fuel derived thinning solvent; providing the aqueous dispersed phase component containing deionized/purified water; and providing emulsifier; mixing the continuous phase component, the aqueous phase component, and the emulsifier to produce a dispersion of water-containing droplets having an average particle size of less than 30 microns;    (2) emulsified fuel mixture prepared from: 650 parts vegetable or animal oil or fat; 150 parts water; 120 parts organic solvent; 70 parts denatured ethanol 90 wt.%; and 10 parts surfactant with a hydrophilic-lipophilic balance of 5;    (3) emulsified fuel mixture prepared from 690 parts vegetable or animal oil or fat; 150 parts water; 110 parts organic solvent; 40 parts n-butyl alcohol; 9 parts surfactant with hydrophilic-lipophilic balance of 5; and 1 part ammonium hydroxide 26 Baume;    (4) emulsified fuel mixture prepared from 720 parts vegetable or animal oil or fat; 118 parts water; 80 parts organic solvent; 70 parts middle distillate petroleum derived fuel; 10 parts surfactant with a hydrophilic-lipophilic balance of 5; and 2 parts ammonium hydroxide 26 Baume.