EPA Report Looks at Unretired RINs

Todd Neeley
By  Todd Neeley , DTN Staff Reporter
Connect with Todd:

STREATOR, Ill. (DTN) -- More than 1.5 billion carryover D6 renewable fuel Renewable Identification Numbers were generated in 2012 that were eligible under the Renewable Fuel Standard for compliance years 2012 and 2013, the Environmental Protection Agency reported Tuesday, July 7.

The data was released in a new annual report from the EPA that shows how many RINs obligated parties and non-obligated parties were holding but never retired.

"To further supplement the existing posted information on carryover RINs, this data set provides information on the types of parties that are holding carryover RINs, and the volume of RINs by party type," said EPA.

In the report, the EPA separates holders of RINs into obligated parties, which include oil refiners, blenders and importers, non-obligated parties and information provided by a submitter not identified.

D6 RINs are primarily generated by corn-based ethanol which is later blended into gasoline, and used to show compliance by obligated parties. The RFS includes annual demand mandates that obligated parties must meet known as Renewable Volume Obligations.

RINs may be carried over for one year to comply with the next production year. Year 2012 RINs are still active but will expire after the compliance year 2013 demonstration deadline is finalized and complete, delayed due to 2014 RVO target delays, EPA said.

On May 29, the EPA released its proposed RVO mandates for 2014, 2015, and 2016. None of the 2012 carryover RINs can be used to show compliance for these years.

"The annual compliance reports and attest engagement reports for the 2013 RFS compliance period will not be due until 30 days and 90 days, respectively, following publication of the final rule establishing the 2014 renewable fuel percentage standards for cellulosic biofuel, biomass-based diesel, advanced biofuel and total renewable fuel in the Federal Register," the EPA stated in 2014.

EPA expects to finalize those three years by Nov. 30, putting the deadline for 2013 compliance Dec. 30, and Feb. 28, 2016, for attest engagement reports.

For 2012, D6 unretired RINs totaled 1.508 billion with obligated parties holding 1.486 billion or 98.5% on April 1, 2014. Non-obligated parties held 11.8 million D6 RINs on that date, and unidentified holders held 10.42 million D6 RINs.

There were 184.4 million 2012 D4 biomass-based diesel RINs, primarily satisfied with biodiesel and renewable diesel, carried over. Obligated parties held 179.29 million D4 RINs or 97.2% of the total as of April 1, 2014, while non-obligated parties held 3.325 million D4 RINs and unidentified parties the remaining 1.783 million.

There were 121.2 million D5 RINs, satisfied with biodiesel and sugar-based ethanol, generated in 2012 but still not retired as of April 1, 2014. Obligated parties held 119.286 million or 98.4% of the total, while non-obligated parties held 1.118 million D5 RINs and unidentified parties 754,417.

D3 cellulosic biofuel RINs generated in 2012 but not retired as of April 1, 2014 totaled 20,069, and were all held by unidentified parties.

D7 cellulosic diesel RINs generated in 2012 and not retired as of April 1, 2014 totaled 1,741. All the carryover D7 RINs were held by refiners.

(BM/AG)

Todd Neeley