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Importing to meet California demand

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By Ron Kotrba

March 25, 2016

FeedstocksPolicyDistributionNorth AmericaLatin AmericaEuropeAsia/Pacific

Increased reductions of greenhouse gas emissions from transportation fuels required by California's low carbon fuel standard (LCFS) are driving up carbon credit prices, demand for advanced biofuels, and imports.

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Although German foreign trade in biodiesel was not quite as brisk in 2015 as a year earlier, export figures recently published verify that interest in biodiesel from Germany continued to be high. Germany exported roughly 430 million gallons in 2015.

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The 2016 California Biodiesel Conference, held Feb. 24 in Sacramento, presented a range of detailed policy and technical information first put into context by Jennifer Case, chair of the California Biodiesel Alliance, in a powerful opening address.

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The European Biodiesel Board recently alerted EU and state authorities on important and increasing trade distortions of the EU internal biodiesel market created by biodiesel products exported from Poland at what EBB calls unfair, low price levels.

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German biodiesel exports from January through November 2015 were down almost a quarter from the same period in 2014. The sharp drop in exports was first and foremost based on a massive decline in deliveries to the Netherlands, France and Poland.

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Tamoil has begun selling arctic diesel containing a minimum of 20 percent Neste renewable diesel to its corporate customers in the northern Italian Alps region. The product is marketed as Gasolio Artico Tamoil - New Generation Diesel fuel.

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The National Biodiesel Board recently filed a legal brief with the U.S. Court of Appeals for the District of Columbia Circuit regarding its petition for review of EPA rules on Argentinian biodiesel imports under the renewable fuel standard (RFS).

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Several U.S. producers, including Genuine Bio-Fuel, Hero BX and the now-defunct Promethean Biofuels, in addition to Miami-based biodiesel exporter and hopeful technology provider Lagosur, sketch out overviews of international developments.

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The U.S. biodiesel industry had to prove its durability in 2015, but the release of finalized RVOs and reinstatement of the blender tax credit offer many a hopeful outlook for 2016.

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Arc Logistics Partners LP announced that it has entered into an agreement to acquire from Gulf Oil Limited Partnership four refined products terminals in Pennsylvania located in Altoona, Mechanicsburg, Dupont and South Williamsport.

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Miami-based Lagosur Corp. has announced a collaboration with Alianza Pacifco to sell biodiesel to the mining and transportation industries in Chili, Peru and Mexico. The company announced its plan to export biodiesel to Latin America last July.

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Cowichan Energy Alternatives, the Cowichan Bio-Diesel Co-op and the Cowichan Valley Regional District are holding a ceremony Nov. 19 to celebrate Vancouver Island's first Green & Go Biofuel Station where users can fill up on biodiesel blends.

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Gov. Jerry Brown signed AB 1032 into law, correcting a tax problem and clearing the way for a significant increase in the volumes of biodiesel blended in the state. The bill adds biodiesel to the law allowing for refunds on nontaxable fuel.

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Propel Fuels is now offering Neste Oil's NExBTL renewable diesel in the San Francisco Bay Area on West A Street in Hayward, California. Marketed as Diesel HPR (High Performance Renewable), the fuel consists of 98.5 percent NExBTL renewable diesel.

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After a year-long investigation, the EU has extended duties on U.S. biodiesel, a move that the U.S. biodiesel trade association says is unfair. The decision comes at a time when U.S. biodiesel imports more than doubled from May to June.

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Written by Jayson Beckman, an economist with USDA ERS, the report, Biofuel Use in International Markets: The Importance of Trade, focuses on the favorable market conditions and policies that have led to remarkable international growth in biofuels.

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Register today for a free Biodiesel Magazine webinar, titled, Biodiesel Distribution: Progress, Obstacles and Opportunities, sponsored by Avalara Inc. and Amerigreen Energy Inc.

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Propel Fuels began offering Neste Oil's NExBTL renewable diesel Aug. 12 at 13 Southern California locations serving Los Angeles, Orange County, San Diego and the Inland Empire. Marketed as Diesel HPR, the fuel consists of 98.5 percent NExBTL.

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Six months after opening its Wallisville Road fuel station in Houston selling B20, Root Fuel is now offering B50 and B100 at the same location. CEO Justin Heller said he is selling B100 for $2.399 a gallon, 20 cents less than his B20 blends.

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Diversification of operations and controlling distribution has helped keep one biodiesel producer's doors open amid tough market conditions

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The Commodity Credit Corporation announced June 12 that all 50 states, the Commonwealth of Puerto Rico and Washington, D.C., may now apply for up to $100 million in grants under the Biofuels Infrastructure Partnership.

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German biodiesel exports for Q1 2015 dropped to about 97 million gallons, down 23 percent from Q1 2014 exports of nearly 127 million gallons, according to an appraisal by AMI based on data from the German Federal Statistical Office.

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Lancaster, Pennsylvania-based Amerigreen Energy Inc., a domestic fuel and biodiesel wholesaler, is celebrating 10 years in business, and as the company has matured, it's had to change with the times. But Amerigreen has never wavered from its roots.

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A new lawsuit in an old Big Oil agenda seeks an end to Minnesota's B10 biodiesel mandate; the latest tactic in a long history of opposition to change and market share erosion

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With the addition of the word custody in a proposed EPA amendment to the sulfur rule, confusion abounds as concerned parties speculate the number of required RFS registrants could double or triple as a result

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In a petition filed March with U.S. EPA, the National Biodiesel Board cited the lack of public comment on the agency's decision and little transparency regarding the plans Argentinian producers can use to demonstrate compliance with the RFS.

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Germany's biodiesel imports increased by more than 2.5 percent in 2014, while exports were up nearly 6 percent

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Propel's Diesel HPR (High Performance Renewable) consists of 98.5 percent Neste Oil's NEXBTL renewable diesel. Diesel HPR will be available at 18 Propel locations in Sacramento, San Jose, East Bay, Redwood City and Fresno.

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Details from the EIA's 2014 U.S. biodiesel production and feedstock survey results, and parsing out the year's import/export data compared to 2013

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A new revision to ASTM D1655, the jet fuel spec, increases the allowance of trace biodiesel from 5 to 50 parts per million. ASTM member David J. Abdallah with Exxon Mobil Research and Engineering says this could be raised to 100 ppm in the future.

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