2020 BBD Target Insulates Biodiesel

A sharp increase in the RFS target volume for biomass-based diesel in 2020 is both surprising and good news for biodiesel producers. Even though more was blended in 2017, small refinery waivers and E15 threaten demand for surplus biodiesel to fill volume deficits in other advanced and conventional biofuel categories. A higher 2020 target ensures biodiesel blending for RFS will remain high

More Severe Iranian Disruption

Later this year, California regulators will vote whether to extend the state’s Low Carbon Fuel Standard(LCFS) from its current expiration in 2020 to 2030. If it passes, renewable diesel would be the biggest winner among biofuels. A shortage of renewable diesel in California would create a strong incentive for producers to build new capacity in the next decade, particularly in feedstock-rich Asia.