A millionaire farming entrepreneur is planning his next business venture – “vodka” petrol made from waste potatoes.

William Chase, the creator of the Tyrrells Crisp and Chase Vodka brands, believes waste from his Herefordshire vodka distillery could be used to make a high grade vehicle fuel.

“We have known for a long time that potato starch is an excellent source of bioethanol but this new scheme will tap the resources left behind in distillery waste,” said Mr Chase.

Fluid left behind in the coppers after Chase Vodka’s high grade spirit has been distilled are still fermentable along with the potato waste.

Research at Edinburgh Napier University has demonstrated that fluid left in the coppers after distillation can be fermented into biobutanol.

“I don’t see why we can’t do the same in Herefordshire,” said Mr Chase.

Biobutanol is believed to be the next generation of biofuel, giving internal combustion engines 30% more output power than ethanol. More importantly, it can fuel ordinary cars without the need for expensive adaptations to the engine.

Mr Chase said he we would need local partners to create enough biomass to make the project commercially viable. But he added: “I firmly believe that vegetable matter will provide the world with the next generation of fuels.”

Chase Vodka, distilled by Mr Chase on his Herefordshire potato farm, won the 2010 San Francisco World Spirits Competition.

He set up the company after selling his Tyrrells Crisps brand to a private equity company in 2008 for £40m.