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California Biodiesel Alliance News

California's Biodiesel Industry Trade Association  

  

October 2017    

In This Issue
 

This month, CBA joined the NBB in a fierce push-back against the EPA's Notice of Data Availability (NODA), which would have potentially decreased RFS volumes from their already unacceptably low proposed levels. The outcry against the NODA included the State of California, New York City, a bipartisan group of 38 U.S. Senators and received an unusual amount of national coverage due to the blatant outrage that Trump's Plan to Back Oil Companies Would Hurt Rural Jobs and the People Who Voted for Him
 
We participated in this broad-based effort by sending out a special alert to all biodiesel stakeholders in the state and writing to Administrator Pruitt and to President Trump, calling out the inconsistency between proposed further cuts to RFS volumes and his campaign promises. The State of California (represented by ARB, CEC, CalRecycle) followed up its recent strong public comment letter, which we published here last month, asking for higher RFS volumes with another letter specifically on the NODA.
 
Special thanks go out to the NBB for their ongoing relentless work on this central policy for our industry. CBA will participate, as always, in NBB's lobby event on Capitol Hill next month. We include the NBB's release cautioning against calling it a victory that Pruitt backed away from the NODA in a letter to Senator Grassley and others. We also include the NBB's release on this month's important biodiesel dumping case.
 
But, because the fuel tax hike begins tomorrow, November 1st, we begin with a brief article on this issue, which appeared in this newsletter when the law was passed earlier this year. 
 
This month, CBA submitted comments on the 2018 Amendments to the Low Carbon Fuel Standard (LCFS) presented at ARB's September 22nd workshop and joined a coalition letter to ARB Chairwoman Mary Nichols, responding to the state's potential interest in banning internal combustion engines. Both letters are excerpted in this issue. 

The policy section below has updates on the upcoming 2018 ADF compliance requirements, the AB 32 Scoping Plan, the CEC's ARFVTP 2018-2919 Funding Plan, the NBB call for young scientists, and more.

As many of you know, the October Argus California Carbon & LCFS Summit, scheduled to take place in Napa Valley, was cancelled due to fires in the region. Our special thoughts go out to the victims of what did turn out to be devastating and widespread fire damage in Northern California. 

Registration Opens Soon!
 
CBA'S SEVENTH ANNUAL CONFERENCE
MARCH 1, 2018 -- CAPITOL BALLROOM, SACRAMENTO

 
Back Issues of this newsletter are available in the Archives on our Members Only webpage. 
    
SB 1 Raises Fuel Taxes Beginning November 1, 2017
 

SB 1, the Governor's $52-billion tax-and-fee fuel tax bill to repair California's roads and put more dollars toward transit and safety, secured the two-thirds majority votes needed in each house to pass in April of 2017. The new taxes take effect November 1, 2017. At $5 billion-a-year, the 10-year program will increase vehicle registration fees, add an annual fee on electric vehicles, and raise taxes on all fuels. SB 1 increases diesel excise tax by 20 cents a gallon to 36 cents and increases diesel sales tax to 5.75 percent (from its current 1.75%). 

CBA met with the author to request exemptions for biodiesel, without success. Under the new law, the state is prohibited from requiring pollution controls that would compel truckers to upgrade their trucks within the first 13 years on the road or before they reach 800,000 miles travelled. 

(NBB) 
NBB Holds Firm In Its Request for 2.5 Billion Gallons of Biomass-Based Diesel, 4.75 Billion Gallons of Advanced Biofuels
EPA Letter Does Not Include a Commitment to Raise Biomass-Based Diesel Volumes

October 20, 2017

WASHINGTON, D.C. - Yesterday the National Biodiesel Board (NBB) responded to the U.S. Environmental Protection Agency's (EPA) Notice of Data Availability (NODA), focusing on the advanced biofuel standard for 2018 and the 2019 volume for biomass-based diesel under the Renewable Fuel Standard (RFS). Late yesterday, EPA also released a letter providing assurances to a group of U.S. senators on different aspects of the RFS program. The letter did not commit to raising the 2019 biomass-based diesel volume higher than 2.1 billion gallons, as proposed.

"Flat volumes of biodiesel show that the Trump administration is considering implementing policies that will harm the American biodiesel industry. We are going to continue to work closely with the EPA and the White House to help them understand that a robust biodiesel industry is what the law requires. We cannot settle for the biomass-based diesel volume remaining flat at 2.1 billion gallons," said Doug Whitehead, chief operating officer at the National Biodiesel Board.

Although NBB appreciates that further cuts won't be pursued, volumes higher than 2.1 billion gallons of biomass-based diesel are warranted and must be granted for the industry to continue to grow. 

EPA states in the letter that "preliminary analysis suggests that all of the final RVOs should be set at amounts that are equal to or greater than the proposed amounts, including at least 2.1 billion gallons for biomass-based diesel in 2018 and 2019."

NBB submitted comments on the NODA, tackling head-on the myths being perpetrated about the biodiesel industry's ability to produce. The U.S. biomass-based diesel industry can generate 2.6 billion gallons right now and has the additional registered capacity to ramp up production even higher with sufficient continuing support from the RFS volumes. In other words, it is clear that domestic production alone could generate substantially more than the 2.1 billion-gallon volume in EPA's proposed rule. 

Specifically, NBB noted that neither (1) the expiration of the biodiesel tax credit nor (2) the Department of Commerce's preliminary determination to impose countervailing duties on unfairly traded, imported Argentinian and Indonesian biodiesel warrant reduced or flattened volumes of biomass-based diesel:
  • "The expiration of the tax credit does not affect existing production capacity, which is more than sufficient to meet much higher volumes. Indeed, the advanced biofuel volumes have been met in past years even when the biodiesel tax credit has not been in place before the compliance year began. ... Whether or not the biodiesel tax credit is extended, the RFS itself will provide sufficient and strong incentives for the advanced biofuel and biomass-based diesel volumes to be met, just as in past years when the biodiesel tax credit was not in place."
  • "Likewise, the Department of Commerce's preliminary determination will not reduce biodiesel production or affect the availability of biodiesel for obligated parties. Any reductions in Argentinian or Indonesian imports will be replaced by domestic production or imports from other countries. At most, if the determination is finalized, it will level the playing field by ensuring that imports come in at a fair price."
EPA also in its letter stated that they have "not taken any formal action to propose this idea, nor will EPA pursue regulations" regarding allowing RINs for ethanol exports. The issue was still alive when NBB submitted its comments: "The biomass-based diesel industry and other renewable fuel producers have relied on EPA's regulations for a decade to plan and invest in production capacity, distribution networks and technological innovations. EPA has not presented any justification sufficient to meet its heightened burden for overturning its prior regulation given renewable fuels producers' significant reliance interests." This concept of allowing RINs from exported fuels would have dramatically reduced the energy security benefits of the RFS because the volumes exported would come at the expense of fuel available for domestic consumption.

NBB was pleased to see EPA back off earlier attempts to misuse the waiver authorities. In the comments, NBB argued:
  • First, EPA may not use its general waiver authority because there is neither an "inadequate domestic supply" of advanced biofuels nor a "severe[] harm [to] the economy or environment of a State, a region, or the United States." EPA cannot redefine "domestic supply" as "domestic production" and thus exclude imports. Such a redefinition is foreclosed by the statute, decisions of the D.C. Circuit and EPA's own regulations. And the ordinary compliance costs of obligated parties do not constitute "severe economic harm" to a "state, a region or the United States."
  • Second, EPA may not use its biomass-based diesel waiver authority because there are no emergency circumstances constituting a "severe feedstock shortage or other market disruption" that would warrant a 60-day waiver in the biomass-based diesel volume. The concerns described in the NODA are not the type of major shocks to the biomass-based diesel supply for which the biomass-based diesel waiver provision was designed.   
  • Third, EPA may not further reduce the 2019 biomass-based diesel volume under the statutory factors in the RFS. Those statutory factors, which EPA fails to consider properly in either the proposed rule or the NODA, instead demonstrate that an increase in the biomass-based diesel volumes are warranted.     
"We are thankful for our champions' relentless efforts to present the facts and legal arguments to the EPA. Their dedication to the jobs we represent are why we have begun to make progress with the agency. But we can't stop now, because flatlined biomass-based diesel volumes spell trouble for many of our smaller producers and the larger agricultural economy. Such action is also not in line with the intent of the law to grow the biofuels market in the United States," said Doug Whitehead.

The industry has routinely surpassed the annual biomass-based diesel volumes and currently comprises the vast majority of advanced biofuel production (roughly 93 percent).

Unfortunately, EPA's proposal would halt the progress of the biomass-based diesel industry and thwart Congress's intent to increase advanced biofuel production. For the first time, the proposed rule lowers the advanced biofuel volume from the previous year and does not increase the biomass-based diesel volume. 

Biomass-based diesel has been a great success story of the RFS. The biomass-based diesel industry has grown to support more than 64,000 jobs throughout its supply chain. The industry also provides benefits to American farmers and livestock producers by creating demand for the surplus oils from commodity crops and reducing the price of soybean meal. Lastly, biodiesel keeps wastes out of landfills, as well as the nation's waterways. Stagnant volumes will cost thousands of jobs in rural areas and severely harm America's farmers.

Representing roughly 150 members, NBB will continue to work with EPA to address these concerns and to raise the volumes in the final rule expected next month.

CBA Further Comments on 2018 LCFS Amendments 
Supports NBB on Key Technical Issues
 
    CBA Logo

In response to proposals presented at the California Air Resources Board's (ARB) September 22nd workshop on the ongoing rulemaking to amend  the Low Carbon Fuel Standard (LCFS), CBA submitted a letter of comment on a range of issues of concern to the biodiesel industry in the state. P revious comments focused primarily on the proposed Third Party Verification Program, an issue that will have a major impact on CBA members and the industry at large. Below is an excerpt from this month's comments which  began by stating that these additional comments should be considered supplementary to those of our collaborating partner, the  National Biodiesel Board (NBB):

CI Reduction Schedule 2020 and Beyond
CBA is very concerned with ARB's consideration of a freeze in the CI reduction schedule beginning in 2020.  Our industry has experienced first-hand the harmful effects of a stalled program.  In the past, such freezes have caused reduced liquidity of carbon credit markets, plant closures, and layoffs.  Even if planned, a freeze could have a chilling effect on innovation, investment and creativity.  We urge ARB to continue to push the program forward each and every year until the state's goal is achieved.  
 
"High Risk" Feedstock
CBA remains very concerned with ARB's characterization of UCO as a feedstock with higher risk for mischaracterization that requires chain of custody evidence to the point of origin.  Programs like ISCC are not the answer because they will push smaller, community-sized plants out of the market due to the regulatory burden.  Ultimately, the program will suffer as a result of fewer participants utilizing low carbon feedstocks. 
 
Temporary Fuel Pathways
CBA finds the process of onboarding new producers troubling and believes it will likely deter new market participants.  New producers should be able to use a more reasonable temporary pathway.
 
Conflict of Interest & Recordkeeping
CBA disagrees with the six-year limitation on 3rd party verifiers.  Program participants should be free to use any verifier that is in good standing with ARB.  The burden should be on the 3rd party verification company to demonstrate to the State of California that it is acting appropriately, and not burden the renewable fuel producers to alternate its vendors unnecessarily.  We respectfully submit that ARB should lower the record keeping requirement to 5 years to correspond with industry best practices.
 
Temperature Correction
We urge ARB to carefully consider the comments by the NBB on this very serious issue as it has the potential to significantly disrupt plant operations as written. 

###

Comment letters can be found under the listing for  the date of each workshop as  " Stakeholder
Feedback" here
http://www.arb.ca.gov/fuels/lcfs/lcfs_meetings/lcfs_meetings.htm.
 
CBA Joins R enewable Biofuel Producers in Responding to 
Potential California  Internal Combustion Engine Ban 


Cal/EPa Building
The CalEPA Headquarters Building Houses ARB

This month, CBA joined with renewable biofuel producers in sending a letter to Mary Nichols,  Chairwoman of the  California Air Resources Board (ARB), on an issue that poses an existential threat to our industry. Below is the text of the letter: 
 
The undersigned organizations write to express our concern with comments and reports recently made to the media about the great state of California considering a ban of the internal combustion engine.  Our organizations represent renewable biofuel producers, many of which are located or will soon be locating to California, which are responsible for a significant percentage of the transportation emission reductions that have been achieved in California since the passage of AB 32. 
 
The comments, reported in the press, ignore the benefits biofuels provide in reducing CO2 emissions and the role advanced engines and hybrids will play in the future. Advanced combustion technologies utilizing renewable fuels are delivering major environmental and public health gains to California, as well as supporting the economy.
 
While focusing exclusively on non-combustible technologies, the state would place the public in harm's way by ignoring very real and substantial public health gains that are made through the consumption of biofuels in our transportation sector today.   We agree that zero-emission technologies are important and must be a part of our transportation portfolio going forward.  However, picking winners and losers for the future is counterproductive to our collective long-term goals.  In order to meet the ambitious State targets, we must simultaneously displace petroleum with increasing amounts of biofuels and promote zero-emission technologies. These two strategies are complementary to one another and are not in conflict.
 
Our California low carbon fuels industry is at a pivotal point.  Many investors are interested in our market because of the huge demand that exists.  Those investments will only happen if there is certainty in the marketplace.  The extensions of the Cap and Trade and Low Carbon Fuel Standard programs have helped in this area.  However, such comments in the press are not helpful because it sends the message to our industry that we are not part of the state's long-term strategy. 
 
We have been steadfast partners with the Governor and ARB for quite some time and would like to continue that effort into the future.  We welcome the opportunity to meet with you in person to further discuss these issues.
 
Sincerely,
 
Andy Foster, Aemetis
Russ Teall, Biodico Sustainable Biorefineries
Lyle Schlyer, Calgren Renewable Fuels
Jennifer Case, California Biodiesel Alliance
Thomas Lawson, California Natural Gas Vehicle Coalition
Todd Campbell, Clean Energy Fuels
Johannes D. Escudero, Coalition for Renewable Natural Gas
Tom Koehler, Pacific Ethanol, Inc.
 
cc:        Mr. Richard Corey, ARB 

(NBB) 
NBB Fair Trade Coalition Wins 
on Preliminary Question of Dumping  in Biodiesel Import Case

Commerce Department Finds That Argentina and Indonesia Unfairly Dump Biodiesel into US

October 23, 2017

WASHINGTON, D.C. - The National Biodiesel Board (NBB) Fair Trade Coalition won a preliminary antidumping determination from the Commerce Department regarding dumped biodiesel imports from Argentina and Indonesia. The Commerce Department found that biodiesel imports from Argentina and Indonesia are sold into the United States below fair value, and they imposed preliminary duties on imports from these countries based on the amount of dumping found.

"It is reassuring with each decision that the Commerce Department is reviewing the data and facts at face value. The law is clear, and violations of trade law shouldn't be ignored at the expense of the livelihoods of thousands of Americans employed or affected by biodiesel," said Doug Whitehead, chief operating officer of the National Biodiesel Board.

As a result of Commerce's ruling, importers of Argentinian and Indonesian biodiesel will be required to pay cash deposits on biodiesel imported from those countries. The cash deposit rates range from 54.36 to 70.05 percent for biodiesel from Argentina, and 50.71 percent for biodiesel from Indonesia, depending on the particular foreign producer/exporter involved. Cash deposit requirements will be imposed when this preliminary determination is published in the Federal Register sometime next week. The duty deposit requirements are in addition the deposits required pursuant to Commerce's preliminary countervailing duty determination in August, which confirmed that biodiesel producers in Argentina and Indonesia have received massive subsidies.

The NBB Fair Trade Coalition filed these petitions to address a flood of subsidized and dumped imports from Argentina and Indonesia that has resulted in market share losses and depressed prices for domestic producers. Biodiesel imports from Argentina and Indonesia surged by 464 percent from 2014 to 2016, taking 18.3 percentage points of market share from U.S.
manufacturers. Imports of biodiesel from Argentina again jumped 144.5 percent following the filing of the petitions. These surging, low-priced imports prevented producers from earning adequate returns on their substantial investments and caused U.S. producers to pull back on further investments to serve a growing market.

Between the preliminary and final antidumping determinations, the Commerce Department will audit the foreign producers to confirm the accuracy of their data submissions. Parties will file briefs on issues arising from the agency's preliminary antidumping duty determinations, and the Commerce Department will hold a hearing, with a final antidumping determination due early next year. A final determination by the Commerce Department in the companion countervailing duty determination is due to be announced in early November, with a final determination by the International Trade Commission connection with the countervailing duty case expected in December.

Download the fact sheet from the Commerce Department here



INDUSTRY NEWS 
French fries  French fries French fries

_____
(WAFB) 
Grease Management Company Launches New Site

Posted October 24, 2017

Sustainable Restaurant Services (SRS), a grease management and disposal company, announces a new website that makes it easier for southern California businesses to handle grease responsibly. SRS is a leader in sustainable methods of grease disposal that preserve the environment and protect public infrastructure.

The new SRS website,  www.sustainablerestaurantservices.com, helps people learn more about proper grease disposal and schedule ongoing maintenance with experienced professionals. This is essential for businesses - especially restaurants - that handle grease, fats and oils. California's cities and counties have strict standards for grease disposal, as does the federal government.

The company maintains an ongoing partnership with Crimson Renewable Energy, which is the largest producer of biodiesel in California. This allows grease to become sustainable energy that benefits local people now and into the future.

SRS serves customers in Los Angeles, San Bernadino, Riverside, and Orange County. It's managed by Jarren Nagy, a leader in the grease management industry. Nagy has worked with more than 2,400 businesses to provide cooking oil collection and grease trap/interceptor cleaning and maintenance.

About Sustainable Restaurant Services:
Sustainable Restaurant Services is located at 10818 Rush St. South in El Monte and serves business customers in the southern California area. The company helps restaurants and other businesses meet strict environmental and regulatory standards for grease, fats, oils, and other greasy byproducts. The substances collected by SRS become California's renewable energy. 

"Sustainable Restaurant Services cares about working collaboratively with our customers to keep kitchens safe, dispose of hazardous waste products the right way, and making a positive impact on the environment by turning used oil into biofuel. We're a one-stop shop for everything from helping clean and maintain equipment through the pickup and disposal of oil!" - Jarren Nagy, General Manager
_____

(BROADWAY WORLD)

Discovery Spotlights Biodiesel Industry in New Series Hot Grease, 11/16


Posted October 25, 2017

The millions of gallons of cooking oil that our country's restaurants use to fry up chicken, fries, and donuts used to end up as waste in landfills and pollutants in our waterways. But today, thanks to a motley crew of innovators, entrepreneurs, and politicians, it's turned into fuel: biodiesel. Traditionally made from soy, biodiesel powers cars, industrial vehicles, and keeps fleets of buses and trucks moving. Most surprisingly, biodiesel reduces carbon emissions up to 85% compared to petroleum fuel, the equivalent of removing over 19 million cars from our highways.

Set in Houston, Texas in the shadow of the nation's oil industry, HOT GREASE tells the surprising story of how the biodiesel industry is turning an ostensibly worthless raw material - spent kitchen grease - into a renewable energy source capable of fueling cars, buses and fleets of trucks throughout the country. But, powerful forces are working to stop that from happening. Featuring innovators, entrepreneurs, grease collectors and supporters like Senator Al Franken (D-MN) and Senator Chuck Grassley (R-IA), HOT GREASE follows the battle for biodiesel's future and its very survival.

The Discovery Impact documentary HOT GREASE debuts Thursday November 16 at 9pm ET/PT on Discovery following its premiere at the prestigious DOC NYC festival. The film will be available on Discovery Go on November 17.

In 2007, under President George W. Bush, the U.S. Federal Government passed the Renewable Fuel Standard (RFS) to become "less addicted to foreign sources of energy for the purposes of running the American economy." The RFS requires oil refiners to blend biodiesel into their petroleum-based diesel, offsetting 
BILLIONS  of gallons of crude oil and creating a marketplace for biodiesel.

HOT GREASE travels the streets of Houston and the halls of Washington, DC, highlighting the people who are hustling to make an honest living in this industry. Nothing exemplifies this entrepreneurial spirit more than 32-year-old Justin Heller of Root Fuel. A native of New York, Heller has a deep passion for protecting the environment and successfully switched the municipal truck fleet of San Francisco over to biodiesel. "We are unbelievably under utilizing our ability to produce and distribute biodiesel into our fuel stream," states Heller. "There has to be a fuel revolution." Donnie Tipton, of Going Green Grease Recycling, who travels the back streets and alley ways after hours to restaurants collecting his clients' used grease, describes how he hopes to grow the business where he can pay his bills and "help other people pay their bills." However, the success of his business along with others is slowed down because of grease theft. Being a raw material for biodiesel production, used cooking oil is now a commodity. Because the "Biodiesel is a great green business," explains Jim Eberle of Eberle Biodiesel. "... But there is the dirty side of this business... ..We had nine boxes stolen last year alone."

Eberle, who has no college degree, started a career in biodiesel 10 years ago. Now he has a full-pledged business that is making a difference "one gallon at a time." He explains how, "When you see that (difference), you understand how that touches your soul." Forever a business person, Eberle is a realist and states "there is such an untapped market for biodiesel. We have to constantly be thinking outside the box, can we do something better?"

It is this entrepreneurial spirit that brings upon new jobs. As Gene Gebolys, founder and CEO of World Energy states, "Clearly, where job growth in energy is coming from, it's from the newer forms of energy." And while new jobs are a driving factor for many looking to expand the biodiesel industry, a healthy environment for people and their children is another reason many have dedicated their lives to this renewable energy. "For me, I want to leave it (our world) better," explains Jessica Robinson, of the National Biodiesel Board. I want to teach my kids to leave it better. That's a value that I hold. I hope it's a value that Americans hold."

Over the past decade, the volumes of biodiesel and ethanol in the fuel supply have risen or at least been steady, creating jobs for this new industry. In late November 2017, the EPA will issue the first RFS volumes under the current administration. The current leadership of the EPA had initially signaled they would drastically reduce the biodiesel volumes. However, in October 2017, after much back and forth, they pledged to maintain current biodiesel numbers. While that sounds promising, in recent years the levels have remained stagnant, stunting growth and leaving many wondering what will become of this industry.

Renewable fuel is one of a handful of issues Congress members on opposite sides of the aisle can agree. Franken describes this "American made" product as a "fight that we have been fighting. It's bipartisan." Likewise, Congresswoman Kristi Noem (R-SD) explains how, "Sometimes, in Washington D.C., it's hard to find something that Republicans and Democrats can come together and agree on." Biodiesel seems to be that issue.

HOT GREASE is directed and produced by Sam Wainwright Douglas, Paul Lovelace, and Jessica Wolfson; executive producer, Krysanne Katsoolis; cinematographer, Andrew Alden Miller; editors, Sam Wainwright Douglas and Paul Lovelace; sound, Curtis Henderson; music by, Alex Maas and Brett Orrison. For Discovery: supervising producer, Jon Bardin; executive producer, John Hoffman.
 


STATE AND FEDERAL
REGULATORY AND POLICY ISSUE UPDATES  
 
  
CALIFORNIA AIR RESOURCES BOARD (ARB)
AB 32 SCOPING PLAN 
 
CBA has been coordinating with NBB to monitor and address issues of concern to our industry in the Scoping Plan. According to the ARB, the  Revised 2017 Climate Change Scoping Plan  (Revised Plan) describes the actions the State will take to achieve the SB 32 climate goal of reducing greenhouse gases (GHGs) at least 40 percent below 1990 levels by 2030.    It outlines an approach that cuts across economic sectors to combine GHG reductions with reductions of smog-causing pollutants, while also safeguarding public health and economic goals.    The Revised Plan also reflects direction in AB 398.    A Final Plan, with all supporting materials, will be released prior to the  December 14, 2017  Board Hearing. 

The main Scoping Plan page is here: https://arb.ca.gov/cc/scopingplan/scopingplan.htm. 

  
 
    
CALIFORNIA AIR RESOURCES BOARD (ARB)
 CAP & TRADE PROCEEDS ALLOCATED THROUGH THE STATE'S GGRF BUDGET
   
 
CBA's legislative focus going forward includes a push to address the specific roadblocks to B20 in the state. See UST section below also. We are working with Assembly Member Quirk to advance our biodiesel agenda. We continue our work with the Biofuels Coalition, which will begin efforts to devise a new strategy that includes stressing the value of biofuels under the LCFS and updating the Bioenergy Action Plan.

 
CALIFORNIA AIR RESOURCES BOARD (ARB) 
ALTERNATIVE DIESEL FUEL REGULATION (ADF)

ARB's reporting forms and FAQ to answer questions that have been submitted regarding the new January 1, 2018 ADF requirements are expected soon. Click here to see a table of ADF reporting in 2016 that shows the volumes of B100/B99 blendstock imported and produced as well as the percentages of B100/B99 blendstock blended to produce final blends of B20 and below.

Recently, a webinar was held to discuss the new ARB-approved NOx mitigation additive, VESTAâ„¢ 1000, which will enable the use of biodiesel blends up to 20 percent under the ADF's January 1, 2018 requirements. For information, visit: http://www.californiafueling.com.

The ADF regulation, which became effective January 1, 2016, currently includes reporting and recordkeeping requirements applicable to entities in the biodiesel industry. Biodiesel producers, importers and blenders must submit quarterly reports.  Biodiesel producers, importers and blenders are required to report and keep records concerning biodiesel production, sales, and blending. Biodiesel distributors and retailers are only required to keep records. 
 
Find the current FAQ and reporting forms at: http://www.arb.ca.gov/fuels/adf/adfdocs.htm. 

ARB's May 23rd, 2016 workshop presentation, which has detailed and very helpful diagrams, is posted here: http://www.arb.ca.gov/fuels/diesel/altdiesel/meetings/meetings.htm. 

NOTE: Most in-state biodiesel fuel businesses are required to register under the Air Resources Board's Motor Vehicle Fuel Distributor program (MVDP). See the article on our Members Only page.


CALIFORNIA AIR RESOURCES BOARD ( ARB)
LOW CARBON FUEL STANDARD (LCFS)

See lead article above. Also, o November 6th,  ARB will hold a public workshop to  discuss the development of program amendments on (1) protocol for carbon capture and sequestration projects (2) crediting provisions for refineries (3) renewable electricity and hydrogen crediting provisions (4) update to life cycle analysis modeling tool and (5) credit trading provisions. NBB staff will cover this Sacramento meeting for our industry. For more information and workshop  materials: 


T he final LCFS 2018 amendments rulemaking is scheduled for a vote of the board in the first quarter of 2018. 

CBA's comments are available here under the listing for September 22nd as " Stakeholder Feedback")http://www.arb.ca.gov/fuels/lcfs/lcfs_meetings/lcfs_meetings.htm.

 
Credit Activity
ARB publishes monthly LCFS credit transfer activity reports on the second Tuesday of every month:  https://www.arb.ca.gov/fuels/lcfs/credit/lrtmonthlycreditreports.htm .

Staff also publishes weekly LCFS credit transfer activity reports on the Tuesday of every week:  https://www.arb.ca.gov/fuels/lcfs/credit/lrtweeklycreditreports.htm .
 

CALIFORNIA ENERGY COMMISSION (CEC)
ALTERNATIVE AND RENEWABLE FUEL AND VEHICLE TECHNOLOGY PROGRAM (ARFVTP) 


CEC staff will present an overview of proposed allocations to be included in the staff report of the 2018-2019 Investment Plan Update at a public meeting of the Advisory Committee for the ARFVTP. CBA's rep on that committee, Joe Gershen, will attend. Tuesday, November 7, 2017, 10:00 a.m. PST, in Sacramento. For info: http://energy.ca.gov/altfuels/2017-ALT-01/.


STATE WATER RESOURCES CONTROL BOARD (SWRCB)
UNDERGROUND STORAGE TANK (UST) RULEMAKING


NBB's technical team is in discussions with the Water Board to investigate modifying their current proposal to update the UST regulations to be more closely aligned with that put out by EPA in 2015. EPA now treats biodiesel blends up to B20 the same as petroleum based diesel fuel for UST approvals and installations, with additional approvals needed for storing blends over B20. California's original proposal was to place the cut-off line for additional requirements on tanks containing over B5 vs. B20, and NBB will be coordinating with CBA and other stakeholders to work with the California Water Board to encourage treating B20 as conventional diesel similar to the way it is treated by EPA.   
 
___________


FEDERAL POLICY UPDATES 
 
For questions on federal policy issue, please contact the Washington office of the National Biodiesel Board (NBB) at  202-737-8801 .

NBB Fueling Action Logo
 
 

Extend and Modify the Federal Biodiesel Tax Credit through 2020
Previously, we included an article on S. 944, led by U.S. Senators Chuck Grassley (R-Iowa), Maria Cantwell (D-Wash.) and 14 other sponsors, which would extend and modify the biodiesel tax incentive through 2020. Now,  House bill (H.R. 2383 ) has been introduced. It is led by U.S. Representatives Kristi Noem (R-S.D.) and Bill Pascrell (D-N.J.), with Dave Loebsack (D-Iowa), Brett Guthrie (R-Ky.), Alcee Hastings (D-Fla.) and Sam Graves (R-Mo.) cosponsoring.
 
Please help grow the list of cosponsors  for H.R. 2383!  Click  here   to send a letter to your member of Congress  urging support for the biodiesel producers tax incentive bill.

Renewable Fuel Standard (RFS)
See article above.

Foreign Imports Update
See article above.

Student Scientists Invited to Apply for Scholarship to National Biodiesel Conference

The National Biodiesel Board is offering scholarships for students interested in attending the  National Biodiesel Conference & Expo, Jan. 22 - 25 in Fort Worth, Texas. The application process for no-cost registration, travel scholarships, mentoring session, biodiesel poster presentations and even a shot at the podium is open for members of the  Next Generation Scientists for Biodiesel. The program is intended to foster professional relationships between budding and established scientists, share accurate information and increase collaboration with academia and the biodiesel industry.

Last year, about 30 students attended the event from schools including Missouri University of Science and Technology, Clemson University, University of Iowa, and New Castle University in the United Kingdom.  "Having individual scientists take time to talk to me about my research was so rewarding," said Christopher Carrie, a student at Rowan University in New York who attended in 2017. "It was a humbling experience to listen to the impact each scientist had on the biodiesel industry and to hear their closing words of wisdom. My passion for renewable energy has started; it is time to get to work."

The National Biodiesel Board, U.S. Department of Agriculture Biodiesel Education Program, United Soybean Board and the National Biodiesel Foundation sponsor the scholarships, which amount to a $1,200 conference registration and a $600 travel reimbursement. Join the free NGSB program and apply by Nov. 19 at  biodiesel.org/ngsb/.


Thank you for your engagement and support of CBA and for your time and effort on behalf of our industry. I look forward to continuing to work with you.
 

Best,
Celia DuBose
Executive Director
California Biodiesel Alliance (CBA)