Source: The Petroleum Marketers Association of America (PMAA) Weekly Review

MONDAY, September 24, 2012 – The EPA posted a pre-publication direct final rule on its website last week that accomplishes three things of interest to petroleum marketers:

  • Amends the definition of “heating oil” under the federal Renewable Fuel Standard (RFS) to expand the types of non-petroleum renewable heating oil that qualifies for RIN credits. Specifically, the EPA will no longer require non-petroleum renewable heating oil to contain a minimum 80% mono-alkyl esters of long chain fatty acids derived from animal or vegetable fats in order to qualify for RINs. Under the amended rule, all nonpetroleum fuels derived from qualified renewable biomass and used to heat homes and businesses will be considered “heating oil” and qualify for RINS without having to meet the 80% animal or vegetable fat requirement.
  • Reinstates a provision under the ULSD regulations that allows locomotive and marine vessels to use 500ppm sulfur trans-mix distillate product. The reinstatement was necessary because the transition to ULSD heavy duty marine engines and locomotives will take considerably longer than the EPA originally predicted.
  • Clarifies that the yellow marker requirement for heating oil sold in the non-NEMA area will no longer be required after June 1, 2014.

The final rule may be viewed at