Starting this July in Massachusetts, the first-in-the nation biofuel mandate for both heating oil and diesel fuel will begin and MOC has been staying on top of all the elements regarding the implementation of the law. Compliance for the biofuel mandate will be at the wholesale supplier level and last year MOC established a wholesale task force to review the biofuel law, join MOC at key meetings with state energy officials and review and comment on pending regulations. The task force members include CITGO, Global, Gulf, Irving, LE Belcher, Noonan Terminals, Sprague, Total Energy Solutions and the National Biodiesel Board.
MOC has been pressing the state for the latest information on when the draft regulations will be released for comment, and for details on how Massachusetts officials will track and seek compliance on the flow of biofuel across state borders at the wholesale level. MOC President Michael Ferrante reached out last week to Phil Giudice, Commissioner, Massachusetts Department of Energy Resources. Phil's response is as follows:
"Thanks for you email and your continued diligence and preparedness to engage in the Biofuels Mandate. DOER, with the EEA and DEP, continue to work on the design and logistics of starting the program on time. Staff has had numerous meeting with a range of state agencies that may offer appropriate data and regulatory oversight of the petroleum industry to facilitate the program compliance and tracking needs. We have also been in discussions with the EPA and California on the largest progress (and delays) on protocols for GHG accounting for biofuels. Additionally, DOER had prepared and will shortly post an RFR for a consultant to assist DOER staff over the coming months to prepare the final design elements of fuel tracking and compliance. Once this consultant is on board, we will be reaching out again to targeted stakeholders to seek additional information.
The writing and public review of the draft regulations will likely not take place until March or April after we have fully considered the details necessary. This will still allow for regulations to be in force for July 1st, to begin an Early Action Year. We are cognizant of the uncertainty out work has created and the narrowing timeframe, which is one reason why we have chosen to implement the Early Action Year for the first year. Thanks again for your leadership."
MOC will continue to stay on top of this vitally important transition to a biofuel blend for the industry.