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California Clean Fuels rule reports 100% compliance in 2016

The 2016 Compliance Report for the Low Carbon Fuel Standard (LCFS), released today by the California Air Resources Board (ARB), shows 100% compliance with the regulation.

There are 224 companies reporting in the LCFS. Of those, 54 generated credit deficits for fuels with carbon intensity above the desired baseline and were required to make up for the shortfall. All obligations were fulfilled.

In 2016, the industry continued to over-comply with the regulation, generating 9.1 million credits against 6.8 million deficits.

In 2016, renewable liquid fuels displaced more than 400 million gallons of diesel, and more than 80 million gallons were displaced by renewable natural gas.

The LCFS requires transportation fuel producers to reduce the carbon intensity of their fuels 10% by 2020. Greenhouse gas (GHG) emissions are counted at all stages of production, known as “well-to-wheel” life cycle analysis.

Since the start of the program in 2011 the LCFS has generated credits representing 25.6 million metric tons of greenhouse gas emission reductions. That equals over-compliance of 9.7 million metric tons, and means that GHG emission reductions are occurring ahead of schedule.

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