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CBA WORKING WITH STATE WATER BOARD TO PREPARE FOR JUNE 1ST IMPLEMENTATION OF NEW UST LAW
On June 1st, the new permanent California UST regulations, which will allow for the storage of all blends, including B100, in double-walled systems will take effect. State Water Board staff has sent a letter to manufacturers of UST equipment, along with a Manufacturer's Affirmative Statement of Compatibility form for biodiesel requesting the information, including the current UL standard listing (for petroleum) required by the new law. The form requests information for the following components: double-walled tanks, double-walled piping, connector fittings, flex connectors, risers, under dispenser containment, tank top sumps, transitions sumps, spill buckets and any other containment components that come into or may come into contact with stored product.
As these compatibility forms are returned to the Water Board, they will be made available to CUPAs and UST owners directly and will be forwarded to CBA for posting on our Regulatory Matters webpage. A new guidance document will be made available in the same way in early May.
UST owners wishing to store, or continue to store biodiesel, must approach their CUPAs with compatibility forms for the above list of components for their systems on or before June 1st and follow the instructions of the CUPA. Those wishing to store blends above B20 will be required to apply for a new permit. Existing variance holders, especially those whose variances were tied to a permit by their local CUPA, may also be required to apply for a new permit.
Leak detection systems are completely separate from the compatibility requirements of the new law and are not included in it. However, because CUPAs may wish to see documentation on leak detection systems during permitting, the State Water Board now has a list of Acceptable Biodiesel Leak Detection Equipment on its website as part of its UST Program LG 113 listings.
The State Water Board manages a Clean Up Fund, which makes several million dollars per year available for USTs and fueling systems purchases as grants to small business owners.
For further information email Celia DuBose at celiadubose@gmail.com.
EMISSIONS REGULATIONS
The California Air Resources Board (ARB), Western States Petroleum Association (WSPA), the Engine Manufacturers Association (EMA), the National Biodiesel Board (NBB) and CBA held a conference call in mid March to discuss next steps for ARB's biodiesel emissions testing program. ARB is conducting further testing of B5 and B20 to gather additional data for its biodiesel/renewable diesel regulatory work. ARB indicated that a biodiesel/renewable diesel workgroup public meeting would be held in the near future. CBA is following this issue closely and will provide updates in the CBA newsletter and on this page.
CALIFORNIA ENERGY COMMISSION FUNDING
On April 19th, CBA members presented public comment in person, via WebEx, and through email to staff during CEC's workshop on the 2012-2013 Investment Plan for the Alternative and Renewable Fuel and Vehicle Technology Program Staff Draft
The comments consistently requested a reconsideration of the intention stated in that draft to not reserve funding for upstream diesel substitutes infrastructure and suggested a few ways to redirect funds toward this often-stated and critical biodiesel industry need.
CBA members will be meeting with CEC staff in early May and look forward to making progress on this issue. The CEC board meets in on May 9th and may consider final adoption of the 2012-2013 plan at that time. CEC website..
LOW CARBON FUEL STANDARD (LCFS)
CBA was pleased to learn that on April 23rd the Ninth Circuit Court of Appeals issued a stay overturning an injunction blocking enforcement of California's Low Carbon Fuel Standard (LCFS). Eric Bowen, CBA Board Chairman, said, " This ruling clears a path for increased biodiesel use by helping to remove uncertainty from the marketplace."
The stay was issued pending resolution of the California Air Resources Board (ARB) appeal of a lower court's December 29th, 2011 rulings in the federal lawsuits challenging the constitutionality of LCFS. At CBA's January conference, Eric Bowen announced his belief that ARB will prevail in the lawsuits and encouraged companies to comply even during the temporary injunction. Richard Corey, Deputy Executive Officer, California Air Resources Board, told conference attendees that in 2011, its first year, the program experienced over-compliance by companies, an accrual of credits for ethanol and CNG, and new pathways proposed.
ARB had not been restricted from implementation of LCFS, and now that the Enforcement Injunction is lifted, the program is free to move forward. ARB immediately notified regulated parties that they must submit all outstanding 2011 fourth quarter and annual compliance reports by April 30, 2012.
LCFS requires that transportation fuels suppliers meet an average declining standard of carbon intensity to produce a 10% reduction in greenhouse-gas emissions for all fuels used in California by 2020. The carbon intensity (CI) of a fuel, measured by adding up all greenhouse gas emissions associated with the production, transportation, processing and consumption of that fuel is called a pathway. Biodiesel currently has 6 pathways under LCFS with some of the best (lowest) CI numbers of any fuel.
Biodiesel is an advanced biofuel made from waste or virgin vegetable oils or animal fats. It is a sustainable, cleaner-burning, diesel fuel
replacement that meets strict quality specifications. Biodiesel derived from waste can reduce greenhouse gas emissions up to 80%.