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Low CO2 Fuel

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The Future of Diesel Fuel
Retail Diesel Dispenser Example
Retail Diesel Pumps with a variety of blends of diesel. Biodiesel, Renewable Diesel, and Fossil Diesel blends shown in Portland, Oregon.

Diesel Fuel In Oregon and Washington

Star Oilco has been getting questions on the changes of diesel in Portland, Oregon.  If you have not noticed, many diesel pumps at retail gas stations and cardlock have seen changing stickers on the face of the fuel pumps.  As of July 1st, 2024 the City of Portland requires a minimum 15% biofuel content of all diesel sold.  This policy is called the Portland Renewable Fuel Standard.

This has caused quite a few changes in what fuel pumps have for fuel.  Diesel fuel buyers are noticing the bright yellow color of B20 biodiesel, the water clear color of Renewable Diesel or a a mix of several fuels tinting the color of their diesel.  This trend is bigger than just Portland.

Today on the west coast there are a variety of product label stickers you will see on diesel pumps.  These show the variety of diesel fuel specifications that are being sold to diesel vehicles today. Blends of petroleum ultra low sulfur diesel, R99 (99%) renewable diesel, and B99 (99%) Biodiesel are combined to meet the market needs of the diesel we all buy.

This change is because of a combination of pure market forces, government rules and local decisions by fuel haulers.  Today’s diesel not only has a commodity market for the fuel it also has a market for CO2 credit value and a cap of total petroleum diesel fuel that can be sold into a west coast state with a “Cap and Invest” program requiring blends of low CO2 biofuels, the liquid fuels sold for vehicles.

Add on top of these market forces, advances in technology used to make the liquid diesel fuel.  The diesel arriving at truck stops, gas stations, cardlock or out of a hose from a bulk truck has been changing and it’s often in good ways.  Knowing how can be helpful in navigating why diesel may cost one price or another and may have a need or maintenance that another fuel does not.

THE RISE OF RENEWABLE DIESEL

Renewable diesel is a synthetic diesel fuel made from the same feedstock as biodiesel, but the finished product is hydrocarbon diesel.  Though it is a biofuel, it is also diesel. For fuel regulation they refer to it (as well as biodiesel) as “Biomass Based Diesel” for labeling at the fuel pump.

There have been billions of plant capacity brought online for renewable diesel.  During the COVID collapse of fuel prices a number of petroleum refineries shut down, then upgraded their technology to make hydrocarbon diesel fuels out of the very biobased fats, oils, and greases biodiesel is made from.  These refineries use hydrotreating technology just like they do with a crude petroleum to make an actual hydrocarbon diesel molecule.   With this technology adoption to make diesel and jet fuels from vegetable oils and animal fats billions of gallons of low CO2 diesel fuels are coming on the market and governments are requiring it’s use, such as Portland’s Renewable Fuel Standard.

Renewable Diesel Consumption it the US Source: Alternative Fuels Data Center

THE AVAILABILITY OF BIODIESEL

The US makes billions of gallons of biodiesel.  A fuel that’s quality and performance continues to improve.  If you are not a fan of biodiesel in your fuel thinking strategically about the fuel will likely benefit your fleet operation.  The big concern with diesel fuel in a ultra low sulfur world is water and dirt suspended in the fuel affecting the performance of diesel emission systems.  With clean and drier quality specifications of B99 blend stocks today versus a decade ago the use of this fuel has grown substantially especially in the truck stop market.

When crude petroleum prices are high and therefore refined diesel prices are equally as high biodiesel is often an extremely competitive fuel.  If a large seller of diesel (including petroleum refiners) can pick up pennies per gallons on millions of gallons sold they will do so.  Therefore Biodiesel is often seen in diesel in small blends even if you do not see a label on retail pump.  For blends above 5% a label is required for retail fuel sales. RTHWEST?

R99 Renewable Diesel fuel dispenser label
Ultra Low Sulfur Retail Diesel Label
Biodiesel Blend Percentage label for retail diesel dispenser

Above are a variety of labels used to denote what fuel blend is coming out of a retail diesel dispenser. Feel free to call Star Oilco at 503-283-1256 if this confuses you and you want it explained.  We would be glad to do so.

These labels can be found together often at one pump.  All state and Federal standards require ultra low sulfur diesel for any on-road diesel sale.  The Federal standards also adopted by the states require a disclosure at the fuel pump if a blend is above 5% biodiesel.  The max allowable blend of biodiesel for diesel truck manufactures is a 20% blend.  If a truck dealership says that you cannot blend biodiesel up to 20% they need to take that up with the Federal Government because they need to support it.  This is why the label shows a blend may contain between 5% and 20% biodiesel content.

Renewable diesel is a hydrocarbon diesel. 

 

It is diesel meeting the ASTM D975 specification for diesel. 

Retailers selling blends of R99 in their fuel do not need to label it given this.  They still do label it given the benefits of the fuel’s performance and that customers are seeking that fuel.

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Many retail places will have stacked labels showing they may be blending 5% to 20% biodiesel as well as may be adding R99 Renewable Diesel to the fuel as market conditions dictate it is the more cost competitive fuel.  When seeing a label like this it can usually be assumed they are blending a R80 (80% Renewable Diesel) and a B20 (20% Biodiesel) blend of fuel.  This blend is actually believed by some to be a higher performing fuel seeing better performance that a R99 or B20 fossil fuel blend.

Fossil fuel diesels are being replaced or blended with biomass based diesels.  Be it Renewable Diesel or Biodiesel.  These blends are driven by more than one industry requirements, government rules, or other market forces. One of these being Portland’s banned on petroleum diesel through the Renewable Fuel Standard (RFS). This is resulting in an increase of low-carbon biofuel blends that will ultimately move to a mix of 99% renewable fuel requirement by 2030.

Renewable Diesel and Biodiesel Blend fuel dispenser label.

The big drivers are industry specification for fuels (both labeling as well as chemical characteristics), state rules on selling these fuels, their quality assurance as well as CO2 content, and of course the market forces.  Market forces being the supply and demand availability of fuel needed to meet customers.  Less fuel available to sell means higher prices for customers.

A decade ago the market for diesel was far simpler. Though you had biofuels and some blend mandates basically you had a diesel specification accepted and the daily price as tracked by a lighted retailers sign, a wholesale market average or spot buying by some customers.   Today this market is far more complicated by government regulation on the west coast.  There are three big programs at state levels impacting this.

State Fuel Rules cause a unique need for one state or another. Whereas twenty years ago if Oregon or Washington fuel was selling for more than the Gulf Coast you might see brokers bring fuel into the region then driving down high prices.  With the creation of various complex and unique rules on diesel, imports of fuel to these low CO2 fuel states has dropped.  The amount of people moving product into west coast states has dropped.  The big rules causing this are the Cap and Invest programs of the West Coast states, the Low CO2 Fuel Standards of the states, and the fuel blend mandates of various jurisdictions of these states. For instance California now requires all off-road diesels but 99% renewable diesel.  Portland, Oregon also has a CO2 requirement and minimum 15% blend of biomass based diesel on all fuel sold in the state.

WHAT ARE THE DIESEL FUELS AND THEIR SPECIFICATIONS

Petroleum Diesel:
ASTM D975 Specification.

The ASTM D975 is a series of tests used to maintain consistent industry standard product performance for diesel fuel.  It includes among several tests cloud point, cold filter plug point (CFPP), several masurements of diesel fuel operability performance, intrained water content, sediment, carbon residue, ash, distillation, viscosity, sulfur, copper corrosion, cetane number, cetane index, aromaticity, and conductivity.

Renewable Diesel:
ASTM D975 Specification.

Renewable Diesel is following the same series of tests as petroleum refined diesel fuels.  It is the same ASTM D975 specification. Though Renewable Diesel has some different properties that exceed the ASTM specification of diesel.  Renewable Diesel is highly prized as a fuel because it typically is a cleaner and drier diesel fuel than petroleum diesel. This being seen by the tests on sediment and water content in a parts per million level.  Renewable Diesel content in diesel fuel can also be tested for looking for a C14 molecule (the chain typically created in a Hydrotreated Diesel process from fats, oils and greases.

Biodiesel (Methyl Esther):
ASTM D6751 Specification.

The ASTM for Biodiesel tests a mono-alkyl esters of long chain fatty acids derived from vegetable oils and animal fats. The testing for quality assurance covers an analysis for flash point, methanol, water and sediment, kinematic viscosity, sulfated ash, oxidation stability, sulfur, copper strip corrosion, cetane number, cloud point, acid number, carbon residue, total and free glycerin, phosphorus, reduce pressure distillation temperature, atmospheric equivalent temperature, combined calcium and magnesium, and combined sodium and magnesium.

For more on Biodiesel Use and Handling the National Renewable Energy Laboratory has a great book on the subject.

THE HISTORY OF DIESEL FUEL SPECIFICATIONS IN THE UNITED STATES

In the 1990’s the US EPA passed rules that demanded a phase out of sulfur in diesel fuel.  The presence of sulfur was very good for the fuel’s storage stability as well as fuel lubricity, but was horrible for air quality.   Additionally the big smog contributor was NOx (nitrous oxide) which was one of the EPA’s reason’s for pulling sulfur out of diesel.  For the EPA to get engine manufacturers to treat the NOx emissions at the tailpipe they needed all the sulfur gone (ultra low sulfur diesel) for modern diesel emission systems to be able to eliminate NOx as well as a host of other pollutants including particulates.

The story of changing diesel fuel standards in the US under the EPA is one of removing sulfur from our diesel fuel.  In 1996 the fuel refiners and sellers of diesel had to move the sulfur content of the fuel sold for on-road purposes to below a 500 parts per million standard. Commonly referred to as Low Sulfur Diesel fuel.   In 2006 the standard moved to a maximum of 15 parts per million of sulfur for all on road fuels.

In 2006 while the sulfur content of fuel was dropping the City of Portland released the first mandated blend of biodiesel content.  This being a 5% biodiesel blend.  The next year, the State of Oregon followed with its own Renewable Fuel Standard requiring this throughout the state.  This began the expectation of biodiesel in most diesel fuel in the Portland, Oregon area.  Washington also passed a similar policy for blending biodiesel but the enforcement and need for the fuel is less specific at Washington fuel pumps.

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What Is The Renewable Fuel Standard In Portland? 1024 683 Star Oilco

What Is The Renewable Fuel Standard In Portland?

Did you hear about the time Portland banned fossil fuel diesel?

Portland is making a big move to provide cleaner air and reduce greenhouse gas emissions. Portland has implemented what’s called the Renewable Fuel Standard (RFS) beginning  its first phase on May 15th, 2024. The RFS policy in Portland mandates that there has to be an increase of use of low-carbon biofuels in diesel within city limits of Portland. This is part of the ultimate Climate Emergency plan. This RFS mandate was first implemented in 2006 as a B5 (5%) Biodiesel blend mandate with the goal of mandating a 20% blend. The RFS is the first of its kind not only in Oregon but in the entire United States. Portland’s reputation as a leader in environmental sustainability efforts continues. 

Portland’s Phases To Implement Almost 100% Renewable Diesel

What makes Portland’s mandate unique is the requirement that the biofuels have a CO2 value so low it bars most American made biodiesels. The blending requirement starts at 15% in 2024, and then it will steadily increase to 50% by 2026 and will reach 99% by 2030. This schedule demonstrates how Portland’s low-carbon ambition is present to transition away from fossil fuels and promote alternative energy sources.

This policy is expected to reduce air pollution and carbon emissions. It will also create new markets for biofuels, which will lead to increased economic opportunities. This will ultimately help the city become a more sustainable and environmentally friendly place to live as Portland has taken the lead in striving for sustainability over the years.

The policy will also help create jobs in the biofuel industry and provide opportunities for businesses to switch to renewable energy sources. It will also help reduce the city’s dependence on fossil fuels and protect the environment for future generations.

Want to learn more about meeting Portland’s requirements for the Renewable Fuel Standard mandate?

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Focus on Lower-Emission Biofuels

Uniquely, Portland’s RFS goes beyond just the biofuel blend. It also sets a strict carbon intensity (CI) standard for the biofuels themselves. This ensures the biodiesels used have a significantly lower carbon footprint compared to traditional options. Biodiesels produced domestically often fall short of this CI requirement, prompting many suppliers to look to renewable diesel sources. This focus on biofuels with a lower lifecycle carbon footprint makes Portland’s RFS even more impactful in reducing greenhouse gas emissions.

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Exemptions and Implementation Details

The initial phase of the RFS targets on-road diesel sales. This applies to diesel purchased at gas stations, by mobile fueling companies, and for use in large stationary tanks. However, the long-term goal includes all diesel use within the city. Some temporary exemptions apply to off-road diesel uses such as heating oil, generator fuel, aircraft fuels, watercraft fuels, and other dyed fuel users. One local truck stop, Jubitz Truckstop, was granted a temporary exemption. This is likely due to concerns about disrupting critical transportation operations. Daimler (the manufacturer of Freightliner and Western Star trucks) has a research facility in Portland. Daimler was also granted an exemption to meet their specific fuel needs for testing purposes. 

The RFS enforces compliance through fuel sampling and requires documentation proving the fuel meets the minimum biofuel content and CI standards. Businesses that purchase diesel need to be able to show their compliance through bills of lading (BOLs) or similar records from their fuel provider, like Star Oilco. If a business does not comply and provide this documentation, it can result in pretty hefty fines. First offenses can be a fine of $10,000 per day. Repeat offenders will end up facing even bigger penalties of up to $15,000 per day. These fines can really show the impact of how serious Portland is taking this initiative. 

Impact on Businesses and Consumers

While residential consumers who don’t purchase diesel directly are not directly impacted, businesses purchasing diesel, especially in bulk, will need to adapt to the new regulations. This may involve acquiring documentation from fuel suppliers or entering into contracts guaranteeing compliant fuel blends. Wholesale fuel distributors, who sometimes purchase from multiple vendors and blend fuel mid-route, may face additional challenges in tracking the biofuel content and CI of their product. However, as the program matures, the industry is expected to adapt and streamline these compliance procedures.

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A Step Forward for Cleaner Transportation

Portland’s ambitious RFS sets a new expectation for sustainable transportation. Promoting low-carbon biofuels allows Portland to aim to significantly reduce its reliance on fossil fuels and be able to contribute to cleaner air for its residents. The RFS program will be able to serve as a model for other cities that are looking at implementing similar initiatives. Great job Portland for paving the way to a sustainable future for other cities! Although challenges will remain, as businesses adapt to this new norm, Portland’s RFS represents a significant step forward in creating a more sustainable transportation sector.

The RFS program is an important step in the fight towards sustainability and lower carbon fuels. It sends a clear message that cities are willing to take action to reduce emissions and protect the environment. We anticipate that other cities will follow Portland’s lead and create similar initiatives. This will have a significant impact in reducing emissions and helping to protect the environment.

It is a positive step towards a more sustainable future. Alternative fuels have become more and more readily available. Investing in alternative fuels and reducing carbon emissions is essential for protecting the planet for future generations. Governments should prioritize investing in renewable energy sources and incentivize communities to switch to alternative fuel solutions.

Thank you for choosing Star Oilco as your preferred fuel provider in Portland and Vancouver, Washington. Give us a call to discuss how the RFS mandate can affect your business and one of our team members would be happy to discuss this with you.

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Star Oilco Speaks On Decarbonizing Heavy Duty Trucks 1024 768 Star Oilco

Star Oilco Speaks On Decarbonizing Heavy Duty Trucks

Decarbonizing Heavy Duty Fleets By Using B99 Biodiesel.

Mark Fitz joined the Clean Cities Coalition Mindful Mobility Tech Talk series for their High GHG Reductions webinar. Mark spoke on the benefits of B99 and how fleets can begin decarbonizing their emissions today!
On September 28th, 2022, three representatives were invited to speak on how they are not only saving large amounts of energy but are also having a big impact on reducing greenhouse gas emissions.

B99 Biodiesel reduces CO2 footprint of a 105,500 GVW truck and trailer by more than half at a lower cost than petroleum diesel.

How Can I Utilize B99 or B100 for Decarbonizing My Own Fleet?

Star Oilco uses The Vector System developed by Pittsburgh-based Optimus Technologies. The Vector System allows upgrades for any medium or heavy-duty engine to operate on 100% biodiesel. This is the only EPA-compliant biodiesel engine system and can be installed in as little as 12 hours. Contact Optimus Technologies or reach out to Star Oilco locally to learn more about The Vector System.

Star Oilco’s Field Test

Star Oilco fielded the Optimus Technologies system on our 105,500 GVW truck and trailers.  We began with a single Freighliner truck and trailer operating a Cummins ISX as a trial.  This truck’s typical route was approximately 305 miles round trip from Portland, Oregon to Grays Harbor, Washington.

Over the last year and a half this truck has performed amazingly well. The only maintenance concern is swapping the fuel filters more regularly with every oil change.  Neither drivers nor our Elog system noticed differences in mileage and power.  On a few occasions a loss of power was experienced requiring an in between service fuel filter swap.

Follow the links below for more information on B99 Biodiesel and Star Oilco’s field test of the Optimus Technologies System:

B99 Biodiesel As A Heavy Duty Fuel

Biodiesel As A Heavy Duty Low Co2 Solution

This event is part of the Columbia Willamette Clean Cities Coalition’s Mindful Mobility Tech Talk series.  A series designed to educate and expand on the evolving trends in fleet technology relevant to fleets seeking to decarbonize their miles traveled.

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B99 Biodiesel as a Heavy Duty Fuel

Using B99 Biodiesel in a Tier 4 Heavy Duty Diesel

B99 Biodiesel reduces CO2 footprint of a 105,500 GVW truck and trailer by more than half at a lower cost than petroleum diesel.

What is B99 Biodiesel?

B99 Biodiesel is as pure of blend of Biodiesel you can get in the United States and still participate in the incentives associated with this alternative fuel.  B99 is the product received by petroleum refiners, terminals, and truckstops to blend with petroleum diesel.  Biodiesel is a renewable, clean-burning diesel replacement.  B99 Biodiesel is a common blendstock with petroleum diesel (being 99% biodiesel).  It can be presumed that nearly every major truckstops throughout the US  is consistently using either a blend of 5%, 10% or 20% of biodiesel   The reason for this is both due to it’s price advantage against petroleum currently as well as Federal/State laws requiring it’s use.

Why Higher Blends of Biodiesel Matter?

Biodiesel is a low CO2, net energy positive fuel.  Depending on the feedstock Biodiesel is made from a CO2 reduction of 30% to 80%+ can be expected compared to petroleum diesel.  As the West Coast (Oregon, Washington and California) ramps up CO2 regulations that charge an additional cost for carbon emissions associated with petroleum diesel the financial case for Biodiesel becomes obvious.  Early adopters will see direct financial benefit.

Star Oilco has fielded the Optimus Technologies system on our 105,500 GVW truck and trailers.  Star Oilco began with a single Freighliner truck and trailer operating a Cummins ISX as a trial.  This truck’s typical route was approximately 305 miles round trip from Portland, Oregon to Grays Harbor, Washington.  This run is from Star Oilco in Portland, Oregon to the Grays Harbor REG Biodiesel plant and back to the Portland terminals for delivery of this product.    Over the last year and a half this truck has performed amazingly well, the only maintenance concern is swapping the fuel filters more regularly with every oil change.  Mileage and power difference are negligible as noticed by drivers or our Elog system.  On a few occasions a loss of power was experienced requiring an in between service fuel filter swap.

This field trial of the Optimus Technologies system Star Oilco has regularly saved between $15 and $75 a day when running this dedicated route, depending on the cost of B99 Biodiesel versus petroleum ultra low sulfur diesel.  Consistently the price of B99 Biodiesel has been below petroleum diesel in the Portland, Oregon market. This has been due to a combination (or is effected by) RIN values, a Blender’s Tax Credit on biodiesel, and Oregon’s Clean Fuels Program which also prices the CO2 reduction value of B99 Biodiesel.   We see this trend continuing as an assumed market reality for biodiesel.

What is the business case for our deploying B99 Biodiesel Optimus Tech upfit kits?

The systems increase the intelligence of our late model trucks with their very complicated Tier 3 and Tier 4 emissions systems.   The Optimus Kit enables two saddle tanks to operate with the duty cycle of the truck. One tank (which we will be running B5 ULSD or R99 through) is dedicated to fuel the particulate trap and SCR systems.  These systems have extremely tight tolerances and tend to choke on higher blends of biodiesel.  By dedicating a tank with a smart controlling system we reduce the maintenance and concern with these after treatment systems hopefully extending the maintenance cycle on these traps by years while reducing inconvenient efficiency killing regens.

The Optimus Kit also enables a modern diesel engine to run B99 Biodiesel.  It does this by controlling the temperature of the fuel in it’s dedicated saddle tank and routing B99 to the engine when the RPMs and operating temperatures are best for this fuel. Upon start up and shut down the Optimus Technology kit will flush the engine, fuel rail, and injectors with the petroleum/R99 tank ensuring easy start up and no cold weather effects.  The B99 saddle tank is temperature controlled as well to enable performance in extreme weather.  When operating under load the Optimus Kit will move to B99 as the fuel into the engine.  As B99 Biodiesel has a substantial reduction of emissions, particulate, and other compounds when combusted; this further reduces the impact of miles on a truck to the particulate trap and it’s service needs.

Beyond this maintenance experience, the performance and function of the system has been indistinguishable to our other trucks running the same route.

Biodiesel Mandates in the Pacific Northwest

Oregon and Washington have passed legislation which puts a price on the CO2 emissions associated with petroleum diesel.   These laws mean that petroleum fuel costs more than biofuels with a low CO2 footprint.  These laws are also added on top of other mandates and incentives for biofuels.  Biodiesel blends between 5% and 20% are common on the west coast at every gas station, cardlock, and truckstop.

How Can I Utilize B99 or B100 in My Own Fleet? 

Star Oilco uses The Vector System developed by Pittsburgh-based Optimus Technologies. The Vector System is the only EPA-compliant biodiesel engine system and upgrades any medium or heavy-duty engine to operate on 100% biodiesel. It can be installed in as little as 12 hours. Learn more about The Vector System by contacting Optimus Technologies here directly or by reaching out to Star Oilco locally. 

 

 

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For more on Biodiesel, Renewable Diesel or Low CO2 fuels please see these other Star Oilco articles:

Every Question Star Oilco has been asked about Biodiesel

Every Question Star Oilco has been asked about Renewable Diesel 

Do you have questions about Renewable Diesel in Oregon 

Wet Hose Fueling Service in Portland, Oregon

About Diesel Fuel 

Biodiesel Use and Handling Guide 

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Oregon Legislature proposes an end to petroleum diesel 1024 683 Star Oilco

Oregon Legislature proposes an end to petroleum diesel

What are the alternatives to petroleum diesel in Oregon?

If Oregon bans the sale of petroleum diesel, a rapid transition to biofuels such as renewable diesel and biodiesel would happen.

 

Oregon HB3305 explained

 

 

HB 3305 Petroleum Diesel ban

In Oregon, HB3305 is a House Bill proposed by Representative Karin Power to outlaw the sales of petroleum diesel to the public for use in motor vehicles.  HB3305 quoted below:

“Prohibits retail dealer, nonretail dealer or wholesale dealer from selling petroleum diesel for use in motor vehicle on or after specified dates. Requires public improvement contract to require that motor vehicles be powered by fuel other than petroleum diesel. Prohibits public body from using petroleum diesel in motor vehicle under control of public body”

The full text of the current version of HB3305 can be seen here.

HB 3305 mandates non-petroleum diesel be the only legal fuel for sale to diesel powered motor vehicles in Oregon.

Star Oilco has customers ask about this proposal and how real it is?  In Oregon the focus on low CO2 fuels in the legislature is so consistent we can expect this to not go away.  Even if HB 3305 does not move this Legislative session, this will not be the last of biofuel mandates.  For this reason Star Oilco has been working to be ahead of the curve with non-petroleum diesel substitutes. Star Oilco has been selling B99 biodiesel since 2002 and renewable diesel since 2015.  If your fleet has an interest in learning more about low CO2 fuels or try these fuels, Star Oilco is ready to serve you with both R99 renewable diesel and B99 biodiesel.

News coverage of Oregon HB 3305 is below

The Center Square’s Oregon, whose coverage of this has been syndicated to many other online news organizations, lead with the headline: Bill in the Oregon Legislature would ban diesel fuel sales by end of decade.

CDL Life had this to say: The bill would begin to ban the sale of “petroleum” diesel by “non-retail dealers” as soon as 2024 in Clackamas, Washington or Multnomah counties and state-wide by 2027.

Landline as well has following the story: Oregon bill would ban petroleum diesel. Later in the article they add this to the background of HB 3305’s origin: Power said in a statement that her goal is to phase out petroleum-based diesel and replace it with renewable diesel. She says she introduced the bill on behalf of Titan Freight, a local trucking company she says has already transitioned to renewable diesel.

KXL covered this local news quoting Oregon State Representative Shelly Boshart-Davis, a legislator who owns a trucking company and actually buys quite a bit of petroleum diesel.

Lars Larson radio interviews Rep. Shelly Boshart-Davis about HB 3305.

KQEN news radio in Douglas County also covered it with the headline: GOP says supermajority declares war on working class.

The Wildcoast Compass covered the story quoting Rep.Vikki Breese-Iverson (R-Prineville): “There is absolutely no way we can implement this legislation in accordance to these timelines without extreme disruption to Oregonians’ daily lives and the obliteration of our economy as we know it,” 

Oregon Public Broadcasting covered HB 3305 a few days after the bill dropped which might be an indication it’s moving forward. From the story: One bill, House Bill 3305, would set a staggered timeline for ending sales of diesel in the state — first in the Portland area, then throughout Oregon. Its backers hope to spur widespread use of “renewable diesel,” a product with far lower emissions that can be used in any diesel engine. They say the fuel could be an important and near-instant way for the state to cut into greenhouse gas emissions while other technologies emerge.

The Banks Post covered HB 3305 as well with the headline: Diesel fuel under fire in Oregon legislature.

What HB 3305 means in the real world?

HB 3305 means the petroleum diesel used by any commercial vehicles operated on Oregon’s highways will be replaced with biofuels.

Biofuels will replace on-road petroleum diesel at all Oregon:

  • Retail gas stations
  • Trucks stops
  • Commercial cardlocks (Pacific Pride and CFN)
  • Privately owned bulk tanks
  • Mobile on-site fueling (wet hose fueling), and
  • All other bulk deliveries of diesel fuel.

Given the media coverage of this law, which no doubt will grow if this bill progresses to hearings.  Star Oilco wanted to provide more background of what this law would mean for Oregon.  We hope this provides in depth information about what the options are for diesel fuels and a whole host of background information.  The news coverage so far fails to really provide this depth and background for those with concerns.  If you have questions, please do not hesitate to ask. Star Oilco seeks to be a neutral and accurate source of information.

Star Oilco sells renewable diesel in bulk and by our mobile on-site fueling service. It is worth mentioning from our first hand experience that users of it become raving fans.  Renewable diesel is a new fuel that many believe out performs petroleum diesel in every way. Many customers who have used it experienced improvements in horse power, fuel economy, and emission regeneration system performance.

Currently renewable diesel is in extreme high demand, limited production, and commands a high premium over petroleum diesel with few sources of supply.  Renewable diesel has some major backers in the trucking industry as well as OEMs.  As the availability of this next generation fuel grows, the number of plants manufacturing it expands, and it’s price comes down, this type of law may make far more sense.

If petroleum diesel is no longer legal for sale in Oregon, what does that mean diesel vehicles will use?

There are two immediately available diesel rated biofuels that can replace petroleum diesel.  These are two very different fuels. Renewable Diesel and Biodiesel have differences in their properties.  So please don’t confuse biodiesel and renewable diesel as the same fuels.

Biodiesel and Renewable Diesel are very different fuels.

Biodiesel is a proven and longtime available fuel in Oregon.   Biodiesel is not actually a hydrocarbon diesel though, it is a diesel like biofuel made from vegetable oil usually sold in a 5% to 20% blend with petroleum diesel. It is not recommended to run pure biodiesel in late model diesel engines if they have a particulate trap.  This differs from Renewable Diesel which is a next generation synthetic hydrocarbon diesel made from various feedstocks including vegetable oil.  It is actually diesel, it can be used as a pure drop in fuel without any blending with petroleum diesel.

What are non-petroleum diesel fuels?

Oregon HB 3305

Biodiesel or B99 (99% Biodiesel + 1% Petroleum Diesel)

Renewable Diesel or R99 (99% Renewable Diesel + 1% Petroleum Diesel)

Blends of Biodiesel and Renewable Diesel (branded REG UltraClean Diesel)

HB3305 allows for biofuels in replacement for diesel.  We assume that change would be from a current Oregon fuel mandates of B5 or R5 biofuel diesel blend to a B99 or R99 mandated fuel.   Under current Oregon law all diesel fuel must contain a 5% blend of biodiesel or renewable diesel.  Oregon’s biofuel content law can be read at ORS 646.922 and we can assume this would change that to a 99% mandate. Why 99% instead of 100%, that is a good question relating to Federal regulation of the US diesel and gasoline markets.

 

Why does this require a 99% blend (B99/R99) instead of 100% biofuel?

The reason biodiesel and renewable diesel are sold at a 99% blend is because of Federal rules associated with how petroleum companies must handle these fuels.  For this fuel to be used under the US EPA’s Renewable Fuel Standard program biodiesel and renewable diesel must be blended at a minimum 1%.  When fuel is blended at 1% with diesel, the EPA enables it to generate a “Renewable Identification Number” or “RIN” which is regulated to ensure a minimum amount of biofuels is used in the stream of commerce for fuel in the United States.  This Federal program is separate and unrelated to any program in Oregon, though the law recognizes and seeks to align with the framework created by the EPA.

What are the fuels HB 3305 would allow to be used by diesel motor vehicles in Oregon if this bill was passed into law?

The two fuels immediately available if this law was passed into law are B99 Biodiesel and R99 Renewable Diesel.

Both of these fuels exist today but have their own drawbacks.  In a nutshell, B99 is not a drop in substitute for petroleum diesel.  It is recommended to be blended at 20% with petroleum diesel (NOTE: B99 biodiesel can be used in modern diesel with an up-fit kit provided by Optimus Technologies).  On the upside, biodiesel is plentiful and competitive with petroleum diesel in cost.  If HB 3305 passed though this plentiful fuel wouldn’t be a ready substitute beyond a 20% blend with renewable diesel or with mechanical changes to existing trucks.  Contrast this with  R99 renewable diesel as a drop in ready to go substitute for petroleum diesel.  It is ready to use without blending, but has the downside of being in short supply and at a cost premium above petroleum diesel.

If Oregon’s over 2,000,000 gallons of diesel usage a day (or 750+ million gallons a year) was mandated to renewable diesel no doubt that premium would probably exceed $2 a gallon over petroleum diesel given R99’s lack of ready additional supply.  This $5 a gallon presumes that Oregon would have to pay more for the existing renewable diesel supply finding it’s way to California with several dollars a gallon of value paid for it’s lower CO2 baseline value.  California has a Clean Fuel Standard and a CO2 Cap and Trade program which provide a monetary value for renewable diesel’s lower CO2 numbers.  Oregon has a Clean Fuel Program as well, but it’s program does not pay as much for low CO2 fuels as California, making low CO2 fuels such as renewable diesel more expensive in Oregon.

B99 Biodiesel in depth.

Blends of biodiesel below 20% are extremely common in Oregon.  All fuel must contain at least 5% biodiesel content and many retail outlets, cardlocks, and major truck stops commonly sell a 10% to 20% blend of biodiesel around the state.

Biodiesel is a diesel like fuel manufactured by a chemical reaction called transesterfication, typically from vegetable oil or recycled cooking oil.  It is made by a relatively simple process and biodiesel has been a proven fuel in use in Oregon for nearly twenty years.  Star Oilco started handling and selling biodiesel in 2002.  Prior to 2007, B99 was commonly used by many commercial fleets due to it’s huge reductions in tail pipe emissions.  Vehicles manufactured after 2007, are clean diesels.  The US EPA required new clean diesel emissions systems which are impressive in their ability to make modern diesel engines extremely clean, but they can only handle biodiesel blends below B20 or 20% biodiesel unless an upgraded system is added.

Today B99 is a possible fuel for a modern clean diesel fleet with an upgrade to existing vehicle fuel supply system.  Optimus Technologies has an approved technology to enable a modern diesel aftertreatment system to operate without problems on B99.   Star Oilco has purchased five of these systems and is currently fielding them in the Pacific NW.  We expect these systems to be mainstream in coming years, but just like Renewable Diesel the technology is newly available and scaling up.

For more information about biodiesel please see our biodiesel FAQ titled Every question Star Oilco has been asked about biodiesel.

If you are interested in using biodiesel in your fleet, you can contact Star Oilco with questions or if you want to start researching we highly recommend starting with this US Department of Energy handbook titled Biodiesel Use and Handling.

 

R99 Renewable Diesel in depth.

Renewable Diesel is a next generation biofuel made from fats, oils, and greases. It is not an alternative diesel, renewable diesel is a petroleum free hydrocarbon diesel fuel. It is diesel! Renewable diesel not only less than half the CO2 of diesel refined from petroleum fuel, but it is cleaner burning and has shown evidence of reducing the cost of maintenance in fleets using it. Renewable diesel is a profound technology which has the potential to use the lowest grade trap greases, sewer materials, rendering wastes, municipal garbage, and a host of other refuse products making them into this high performance, sustainable, low CO2 diesel.

There are two categories of technology that renewable diesel is made from.  Hydrogenation and Fischer Tropsch process.

Renewable Diesel from Hydrogenation or Hydrotreating

Hydrogenation derived renewable diesel is very similar in manufacture to modern petroleum diesel in that the molecules of a the feedstock is cracked and reformed in the presence of a catalyst to form a very specific series of hydrocarbon molecules.  These being diesel and propane range fuels. The feedstocks used by renewable diesel plants are vegetable oils and animal fats.

The hydrotreating plants providing renewable diesel to Oregon currently are Neste from a plant in Indonesia, Diamond Green (in a joint venture with Valero), Sinclair, and Renewable Energy Group. All of these plants are over subscribed and 100% of their production is being taken at a premium primarily by the California low CO2 fuels market.   There are several new renewable diesel plants under way though.  Holly Frontier, Marathon, CVR Energy, and Phillips 66 are converting existing petroleum refineries into renewable diesel plants.  This process costs billions of dollars, will take years to complete, and also will be likely destined for California’s low CO2 fuel market with smaller markets like Oregon being an afterthought.

Renewable Diesel from Fischer Tropsch process.

Currently there are a number of smaller demonstration facilities making renewable diesel from wood waste and other feedstocks.  The largest proposed project currently on the books is Illinois Clean Fuels which will be collocated with major CO2 capture facility making their product negative CO2.  Fischer Tropsch renewable diesel is expected to be the future of refining given it’s flexibility of feedstock.  It’s process enables the use of municipal garbage, agricultural waste, woody biomass, and other low value plentiful materials as feedstock.  Given that the United States is called by some the “Saudi Arabia of garbage” we have plenty of supply waiting for a higher and better use as low CO2 transportation fuel.  Illinois Clean Fuels has a great explanation of how Fischer Tropsch makes renewable diesel and jet fuels.

Where can you get Renewable Diesel in Oregon?

Star Oilco currently is selling R99 Renewable Diesel for commercial use.  We can deliver to fleets seeking it in bulk or mobile onsite delivery (wet hose R99 diesel service begins Spring 2021).  If you fleet wants to trial renewable diesel, Star Oilco can work with you on a loaner tank for a 90 day demonstration of the fuel.  Call Star Oilco if you have an interest in Renewable Diesel for your fleet 503-283-1256.

If you have questions about renewable diesel, Star Oilco wants to provide answers.  Feel free to reach out if we do not have the answer we will research it.

For more information about renewable diesel please see our renewable diesel FAQ titled Every question Star Oilco has been asked about Renewable Diesel.

 

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Do you have questions about Renewable Diesel in Oregon? 1024 768 Star Oilco

Do you have questions about Renewable Diesel in Oregon?

Renewable Diesel delivered in Oregon

Renewable Diesel direct to your fleet.

Imagine a superior next generation renewable diesel direct to your fleet.

 

Star Oilco is delivering R99 Renewable Diesel to fleets now.

Renewable Diesel delivered to your fleet by mobile onsite fueling or in bulk.

Imagine a fuel that is cleaner and drier than your typical diesel fuel bought in Oregon.  Now imagine that this dry and clean characteristic means a better performing fleet.  A fuel that causes less maintenance and increased performance benefits as it relates to your modern Tier 3 Diesel Emission systems.  Fewer DPF (particulate trap) regens and other post engine maintenance issues in your fleet while more power and up time reported by the drivers behind the wheel.  Now add to that a more than half reduction in CO2 emissions and Oregon has incentives for the adoption of this fuel because it is a biofuel.  A biofuel that outperforms traditional diesel in performance, emissions, and in lifecycle analysis.

That next generation biofuel is here. Renewable Diesel!

Star Oilco can deliver Renewable Diesel to your tank in Oregon and Washington.  If you are looking at this fuel we will work hard to make it easy for you regardless of how small or large your fleet. It is immediately available for bulk customers.   If you are interested in mobile on-site refueling, wet-hosing, construction job site fueling, or a retail option for the fuel we can work with you as well to make that happen.

Renewable Diesel: A Next Generation low CO2 Diesel Fuel.

This product is available in Oregon and we are excited to make getting this fuel simple.  Star Oilco is a proud seller Renewable Diesel product. If decarbonizing your fleet is your goal  while reducing the total cost of maintenance on your fleet, Star Oilco is ready to serve your needs.

Renewable Diesel is available from several manufacturers of Renewable Diesel shipped to Oregon, Washington and California.  This product being made available given it’s lower than petroleum CO2 emissions meeting the Low Carbon Fuel standards created by California, Oregon, and expected in Washington state.

Renewable Diesel clean burning

For more on Renewable Hydrocarbons, please check out the US Department of Energy’s Alternative Fuels Data Center page on the subject. 

Call Star Oilco with any questions you may have about Renewable Diesel, Biodiesel, Ethanol or other emerging alternative fuels.  We have a track record of making alternative fuels easy for those wanting to use them. Call 503-283-1256 or email OrderDesk@Star Oilco.net and we can get you in conversation with our team about a future fuel available today.

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Star Oilco is delivering R99 Renewable Diesel to fleets in bulk and by mobile onsite fueling.

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For more on Renewable Diesel please also see the following:

Renewable Diesel as a major Transportation Fuel in California

Every Question Star Oilco has been asked about Renewable Diesel

Renewable Energy Group’s Ultra Clean Diesel (Renewable Diesel fuel blends)

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Diesel Fuel in Portland, Oregon 1024 683 Star Oilco

Diesel Fuel in Portland, Oregon

What is the difference between diesel fuel in Portland, Oregon and the rest of the Pacific Northwest?

Oregon Diesel Fuel

Star Oilco delivers and sells diesel fuel in Portland, Oregon.

We are ready for your diesel needs be they off-road, on-road, biodiesel, renewable diesel, or anything else you want.

Star Oilco has simple fuel solutions to keep your business moving.

On the West Coast, expect biodiesel blends to be in all diesel fuel. B5 biodiesel being the most commonly found fuel. Be aware though, in Oregon,  B20 biodiesel (a 20% blend of biodiesel mixed with petroleum diesel) is extremely common at retail throughout the state. B5 through B20 blends of biodiesel are becoming more common as Oregon’s legal framework regulates CO2 emissions requiring diesel sellers to blend biodiesel or charge substantially more for every gallon they sell.

On top of that, Oregon has a 5% biofuel blend mandate that can include a number of fuels, most commonly biodiesel and renewable diesel. Washington state also has a mandate for 5% biodiesel though it isn’t as specific as the Oregon mandate.

That’s Oregon Diesel. What about Portland?

The city of Portland has a stand-along city fuel tax due to its policy goals (which cause it to codify rules for low CO2 fuels and the sources of diesel in particular), as well as its own budget needs.

Portland, Oregon Diesel Fuel Mandates

A little known fact is that Portland, Oregon has its own biofuels mandate and fuel tax structure on diesel. This mandate affects all diesel equipment both on and off-road use. It does not affect boilers or HVAC systems though most people selling heating oil and boiler fuel are still handling a 5% biodiesel product to ensure they don’t cross fuel in violation of the law.

Functionally, the city of Portland’s mandate and Oregon’s specific mandate do not make a huge difference. Your biggest noticeable difference is the higher price due to the diesel fuel tax, given that Portland’s biofuel mandate now overlaps with Oregon state’s fuel mandates.

For more on the actual code for biofuel mandates in Portland, see the Portland City Code.

Until 2019, Portland had a 5% biodiesel “methylester” mandate. This meant that Portland mandated that all diesel fuel sold inside the city must contain 5% of biodiesel or sellers of fuel inside city limits would face a fine. For years, Portland actually checked every seller of diesel for a 5% biodiesel blend in person annually. This mandate also included feedstocks and did not allow for palm oil sourced biodiesel, as palm oil is responsible for a large amount of deforestation in Indonesia and other places. The Portland mandate required that half of all biodiesel blended to meet the 5% mandate must be derived from canola and waste vegetable oil sources, as Oregon can produce them.

In 2019, the city of Portland suddenly lined up their mandate to match the state of Oregon’s, which allows for renewable diesel to be used as a feedstock. Anything derived from palm is still a barred feedstock for the fuel to meet Portland mandate requirements (which is distinctly different than Oregon’s biofuel mandate).

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Portland, Oregon Diesel Fuel Taxes

(NOTE: Read this article by Star Oilco for more on Oregon Fuel Taxes Explained.

In 2016, the city of Portland, Oregon created its own diesel tax of $.10 a gallon. This tax is on both gasoline and diesel fuels sold at retail or commercially.  If you are operating vehicles over 26,000 GVW that are exempt from Oregon road tax, Portland also has a weight mile for those tax exempt vehicles.

If you are fueling inside the Portland city limits, that diesel tax will be charged at the pump when you fill up unless you are a P.U.C. tax exempted vehicle in Oregon.

Find a list of every diesel and gasoline tax by city and municipalities in Oregon see the Oregon Fuel Tax Group.

If you have any questions about Portland, Oregon diesel fuel standards please feel free to call or message Star Oilco for more information.

Star Oilco is here to be your Bulk Fuel Supplier in Portland, Oregon.

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For more on the subject of Diesel fuel please read these other posts by Star Oilco on the subject:

Every Question Star Oilco has been asked about Biodiesel

Every Question Star Oilco has been asked about Off Road Diesel

About Diesel Fuel – Star Oilco’s Diesel Fuel FAQ

Oregon Biodiesel Tax Breaks for Retail Stations

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Biodiesel Handling and Use Guide (5th Edition 2016) 1024 683 Star Oilco

Biodiesel Handling and Use Guide (5th Edition 2016)

Where to start when fueling your fleet with biodiesel.

 

The U.S. Department of Energy’s Biodiesel Handling and Use Guide (Fifth Edition)

If you are a fleet seeking to reduce your CO2 footprint and biodiesel is your drop in solution, this book is your guide.  The Biodiesel Handling and Use Guide is the definitive user’s manual for fleets seeking to field biodiesel and blends as a substitute for petroleum diesel (available from the US Department of Energy’s Alternative Fuel Data Center).

Biodiesel is diesel-rated fuel manufactured from animal fats and vegetable oils by way of a chemical reaction. It is not diesel fuel but it has extremely similar properties, allowing it to be blended with petroleum diesel.

As a drop in fuel, it substantially reduces tailpipe emissions and cuts CO2 emission by more than half when used as a substitute for petroleum diesel. Many states and the federal government have financial incentives to encourage its use. Several states also have mandates for the use of biodiesel as a blend component with diesel fuel.

In the last twenty years biodiesel has come a long way and it is now a mainstream fuel around the United States. In just the last ten years, a great deal has changed with the complexity of diesel engines, the sources of crude oil refined into ultra-low sulfur on road diesel, and the complexity diesel fleets will encounter in operating day-to-day. This book is a scientific and easy-to-read manual to help you navigate success with modern diesel.

The Biodiesel Handling and Use Guide covers the technical aspects of biodiesel and how it differs from petroleum diesel. It also provides advice on higher blends and storing fuel onsite. This guide goes in-depth about equipment compatibility for your refueling infrastructure as well as maintenance concerns you want to get ahead of. There are also checklists included for fleets seeking to move from petroleum diesel to higher blends of biodiesel.

If you have questions or want help in using higher blends of biodiesel in your fleet, don’t hesitate to contact Star Oilco. Even if you are not in our service area, we will be here to help. Star Oilco has been helping fleets succeed with biodiesel blends since 2003.

B20 Biodiesel A PROVEN FUEL

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For further reading on Biodiesel please see the following Star Oilco pages:

Every Question Star Oilco has been asked about Biodiesel

B20 Biodiesel; a Proven Fuel

Oregon Biodiesel Tax Breaks for Retail Stations

In-Depth look at Biodiesel as a Heating Fuel

 

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B20 Biodiesel, a Proven Fuel

Using Biodiesel in the Pacific Northwest.

(NOTE: B20 refers to 20% biodiesel blended with an 80% petroleum diesel percentage. B5 refers to 5% biodiesel blended with petroleum diesel which is the legally required blend percentage in Oregon state. For more on biodiesel basics, visit the US DOE.)

Biodiesel is the “Drop In Solution” used in the Pacific Northwest to reduce CO2 emissions in diesel equipment.

If you are looking to use Biodiesel in a fleet or a personal vehicle it is as easy as just asking for it.  In Oregon the fuel is everywhere.  From an Oregon and Washington state requirement for a minimum 5% of biodiesel blended with every gallon to large financial incentives this low carbon diesel fuel is ready for you if you want it.

It’s not just the Pacific Northwest.  For years B20 has been a defacto blend at some of the biggest names in fuel. When you pull up to the pump on the west coast you are likely getting B5 or B20 as a blend. In Oregon, B5 biodiesel is the required fuel by law. Oregon also has a B20 incentive for a waiver of state on road taxes.  Washington as well has requirements that biodiesel finds its way into retail and commercial diesel throughout the state.   Additionally, Oregon and California have “Clean Fuel Standard” programs which heavily incentivize low CO2 fuels like biodiesel.  Washington state is expected to pass their own Clean Fuel Standard as well this year.  Biodiesel has been a fact of life in fuel for over a decade in the United States and Pacific NW and it is not going away.

Due to a mix of federal and state incentives to use biodiesel, there can also be financial advantages for a fleet dedicated to making B20 biodiesel its fuel of choice. You can see evidence of this at truck stops and other retailers making B20 available in Oregon and Washington, as well as in the trucking lanes of the United States. America’s largest fleets are choosing B20 biodiesel in order to reduce their cost per mile. So can you.

In an effort to deliver the best value to truckers, many U.S. truck stops are blending biodiesel up to 20% when the market enables them to pass along a lower cost yet high quality ASTM specified diesel fuel to their customers. Most prominent is Pilot/Flying J, who lists where and when their sites are serving up B20 or lower blends. Pilot/Flying J buys biodiesel directly and blends on site in order to give their customers the best value possible. Loves Travel Centers also sell biodiesel blends around the U.S.

In Oregon, due to a diesel road tax waiver on B20 sales, gas station retailers Safeway, Leathers Fuel, Spaceage, and others are offering B20 biodiesel as their retail diesel offering. Oregon’s system requires the biodiesel be sourced from used vegetable oil refined biodiesel products. Biodiesel has been in Oregon’s fuel supply since 2006 when the city of Portland mandated B5 biodiesel blends within its city limits. The state of Oregon followed Portland with its own statewide mandate not long after.

(NOTE: If you operate a retail gas station and are curious about Oregon’s fuel tax breaks for biodiesel blends here is a more in depth article Oregon Biodiesel Tax Breaks for Retail Fuel Stations that explains these rules for retailers of fuel).

Biodiesel has been in our fuel system since 2006 and the technology that goes into making it has vastly improved. It is proven in diesel engine performance while also creating a diversified supply for energy and significantly reducing emissions from the working fleets of the world. Biodiesel substantially reduces emission coming out of your stack without a major impact on price because it helps to offset high diesel prices.

B20 Biodiesel A PROVEN FUEL

If you want to look at using B20 blends in your fleet, we are here to help. Star Oilco carries B20 blends for mobile onsite refueling every day of the week. We also have dyed/off-road/heating oil blends of B20. If you are an over the road fleet we can provide B20 at our cardlocks as well as help you procure it with a fleetcard over the road. Let us know if we can be of help.

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Oregon Biodiesel and Ethanol Fuel Mandates

Oregon Biofuel Blending Requirements for Gasoline and Diesel.

Oregon law has a 5% Biodiesel and 10% Ethanol fuel blend mandate.

In Oregon, you can expect to buy a biofuel with every gallon of gas or diesel, whether you are buying at a retail pump or commercially delivered bulk fuel. Unless you are expressly seeking out a ethanol-free premium unleaded or off road heating oil expressly free of biodiesel, you can expect the fuel will have a low carbon blend of biofuel in it.

Why does Oregon have biofuel blended in every gallon of fuel?

There are several layers of rules, requirements, and incentives placing a minimum of 5% biodiesel blend in diesel and a 10% ethanol blend in gasoline. The City of Portland’s Bureau of Development Services provides information and resources on the background of both Portland and Oregon’s requirements.

Oregon state has a 5% blend mandate for all diesel fuels sold statewide. Portland has its own standard of for 5% biofule in diesel, which is slightly different but functionally the same as the states. Oregon’s standard requires B5/R5 if it’s sold into  machinery (dyed off road or clear on road diesel), which requires a 5% biofuel component. In the  formation of this Oregon statewide mandate, renewable diesel was considered acceptable.

Oregon also has a 10% ethanol blend mandate for all gasoline fuels with a few exceptions. Portland has this same rule as it mandated ethanol blends prior to Oregon state. Oregon has exceptions for ethanol-free premium unleaded.  (Warning: the City of Portland has no exemption for non-oxygenated premium fuels) though there are some sellers of it. Oregon state’s exceptions being premium gasoline for aviation and non-ethanol premium gasoline sold at retail gas stations. This was adopted later after the initial Renewable Fuel Standard mandates. Portland did not follow Oregon with this flexibility for small engine or classic car enthusiasts seeking non-ethanol fuel.

The rules that drive biofuel use in Oregon’s fuel:

The City of Portland has its own Renewable Fuel Standard (RFS) which is seen in Portland City Code Chapter 16.60 Motor Vehicle Fuels. This RFS requires all diesel sold (either commercial or retail fuel) to contain a minimum 5% biodiesel (specifically methyl-ester molecule). The RFS also requires all gasoline sold (either commercial or retail gas stations) to contain a 10% blend of ethanol. In addition to this fuel blend requirement, Portland also has requirements for the original feedstock biodiesel is made from. Portland requires that 50% of the biodiesel feedstock be sourced from recycled vegetable oil, canola oil, and a few other types available in the Pacific NW.

The State of Oregon has its own Renewable Fuel Standard. It is less restrictive than Portland’s, allowing renewable diesel or biodiesel to meet its 5% blend requirement. You can find the law in Oregon Revised Statute 646.922. The Oregon RFS also requires a 10% ethanol to be blended with gasoline. There is an exception for premium gasoline to be ethanol-free.  This fuel is commonly called “Non-Oxy Premium” or “Clear Premium” by those seeking to order it.

If you want more information on successfully using Biodiesel and Ethanol in your fleet.

If your fleet is seeking to succeed with biofuels, here are some great resources to learn more about biodiesel, ethanol,  and renewable diesel fuels.

If you have questions about biofuels, Star Oilco can help. Do not hesitate to reach out if you have questions, even if you are not in our market. We want you to be successful in your fleet.  We are here to help.

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