Attest Engagements Due Soon! 

Are you working on your attest engagement right now according to the recent RFS streamlining rules? 2023 Attest Engagements for all regulated parties and 2022 Attest Engagements for obligated parties are due June 1, 2024.

As part of the EPA’s recent efforts to alleviate regulatory burden, 40 CFR Part 80 (Renewable Fuel Standard) and Part 1090 (gasoline manufacturer) attest engagement requirements were streamlined as well as adding few new requirements. One of the new requirements includes the 3rd party/independent auditor (required to complete the attest engagement) now must associate with the regulated party (all parties registered under RFS) in the EPA Fuels Program as well as change business activities to reflect the requirement to complete an attest engagement. If you transacted RINs in 2023, you most likely need an attest engagement.

In addition, EPA updates the quarterly and annual compliance RFS reports on a periodic basis, be sure you are using the most recent version of EPA reports by checking here:

Contact Ginger at the Alternative Fuels Council if you need help getting back on compliance track!  Our online system creates a system of record that improves efficiency and transparency for auditors.

Fuel Only Sales Record Keeping and Compliance

Are you selling neat fuel without RINs downstream? If so, are you keeping up with RFS compliance requirements? If the company you are selling the neat fuel to is going to blend into transportation, heating oil, or jet fuel (the blender on record), a “fuel only” product transfer document should be sent to that party indicating that only fuel was transferred to the other party, no RINs. After the transaction, your company’s fuel volume inventory has decreased, but the RIN volume remains the same – changing your account’s ratio of RINs to fuel volume. If your company is a blender on record and blends other volumes of fuel, the RINs may be separated up to a 2.5 ratio at the time of each blend. If your company does not blend volumes of renewable fuel to be able to separate these additional RINs, then the RINs can be assigned to another downstream partner at a higher ratio. Example: biodiesel transactions typically are sent at a 1.5 ratio (8000 gal/12,000 RINs), you can send up to 2.5 RINs with one load: 8000 gal/20,000 RINs. 

If the neat fuel you are sending downstream will be “designated” as transportation, heating oil, or jet fuel or used “as is” without RINs, then your company may separate the RINs upon selling the fuel.

The Alternative Fuels Council RIN management system provides fuel only PTD generation and record keeping for these types of scenarios to help keep you organized and in compliance.

$19 Million in Recent Grants Awarded Under the Higher Blends Infrastructure Incentive Program (HBIIP) – Its not too late to apply!

The most recent award recipients from the HBIIP grant program include Casey’s, Piasa Enterprises, Bulk Petroleum, Love’s Travel Stops, and AC&T for biodiesel and ethanol projects, including E15 and E85 dispensers, B20 dispensers, and ethanol and biodiesel storage tanks. Tristar FLC Inc. will use the funding to build a high-efficiency transload facility in Fontana, CA.  

There’s still time to apply for this grant opportunity for any renewable projects you’ve been considering. The upcoming 2024 deadlines are March 31, June 30, and September 30.  

Both transportation fueling facilities and fuel distribution facilities can apply for this grant, though you will need to pick which type of facility you will be applying for grant funding. This funding is also open to various fuel applications, such as heating oil, on-road transportation, and fleet facilities, including rail and marine.  

The grant awards are cost-share for up to 75% of total eligible project costs, not to exceed $5M – whichever is less.  

Let us know if you need to connect with a grant writer! 

Strategies to Maximize Profit When Volumes Drop

Biodiesel blenders can face challenging times when biodiesel volumes drop, whether due to regulation changes, market demand, or other factors. During such times, biodiesel blenders can take several steps to maximize profits and stay competitive.

Here are some strategies that biodiesel blenders can use to maximize profits during times of reduced volumes:

  1. Diversify your product portfolio

One way to increase revenue is to expand the range of products offered to customers. This could include offering other renewable fuels, such as renewable diesel or ethanol, or diversifying into other products. By offering a broader range of products, biodiesel blenders can maintain sales volumes even if biodiesel volumes drop.

  1. Increase efficiency

During times of lower volumes, looking for ways to increase efficiency and reduce costs is important. This could involve improving supply chain management, optimizing production processes, or investing in new technologies to reduce costs and increase efficiency.

  1. Focus on quality

Biodiesel blenders should always aim to produce high-quality biodiesel that meets the required specifications. By ensuring high-quality production, biodiesel blenders can differentiate themselves from competitors and command higher prices for their products.

  1. Build strong relationships with suppliers and customers

During times of reduced volumes, it is important to maintain strong relationships with both suppliers and customers. By building solid relationships, biodiesel blenders can negotiate better pricing and terms with suppliers while also ensuring a reliable customer base for their products.

  1. Consider strategic partnerships

Biodiesel blenders can consider strategic partnerships with other companies in the industry, such as feedstock suppliers or other biodiesel producers. By pooling resources and expertise, these partnerships can help biodiesel blenders to reduce costs, increase efficiency, and maintain profitability during times of reduced volumes.

Biodiesel blenders can take several steps to maximize profits during times of reduced volumes. By diversifying their product portfolio, increasing efficiency, focusing on quality, building strong relationships with suppliers and customers, and considering strategic partnerships, biodiesel blenders can maintain competitiveness and profitability even in challenging times.

2022 NATSO’s Alternative Fuels Council Renewable Fuels Workshop

On February 21, 2022, NATSO’s Alternative Fuels Council held a Renewable Fuels Workshop at the NATSO Connect conference held at Disney in Orlando. Filling the room to code capacity and having to turn some participants away from the workshop only supported the fact that many fuel retailers and fuel partners are very interested in blending renewable fuels and reaping any benefits available. While EV and other alternative fuel technologies are emerging – biodiesel, ethanol and renewable diesel have been and are being used right now to help lower GHG emissions. All-Line Equipment also presented on their Bio-Blender equipment and technology during the workshop. Please contact Ginger Laidlaw with the Alternative Fuels Council for any questions on the slides from the conference.