{"id":1657,"date":"2014-01-24T04:18:31","date_gmt":"2014-01-24T12:18:31","guid":{"rendered":"http:\/\/test.subjectmedia.com\/stillwater\/?p=1657"},"modified":"2019-08-22T11:02:18","modified_gmt":"2019-08-22T18:02:18","slug":"what-is-the-latest-on-californias-low-carbon-fuel-standard","status":"publish","type":"post","link":"https:\/\/stillwaterassociates.com\/what-is-the-latest-on-californias-low-carbon-fuel-standard\/","title":{"rendered":"What is the latest on California\u2019s Low Carbon Fuel Standard?"},"content":{"rendered":"<p>January 3, 2011<\/p>\n<p>By<a href=\"index.php?option=com_content&amp;view=article&amp;id=76&amp;Itemid=151\" target=\"_blank\" rel=\"noopener noreferrer\"> David Hackett<\/a><\/p>\n<p>Stillwater has been following the LCFS issues from the start and we have concerns about the feasibility of the biofuels program to meet the carbon intensity goals at an affordable price. Our calculations indicate that the regulation will increase motorists\u2019 costs by billions of dollars per year as the transportation fuel industry is forced to import sugar cane ethanol from Brazil and send Midwest corn ethanol to replace the Brazilian volume. The upcoming January edition of our <a href=\"https:\/\/app.greenrope.com\/j1.pl?1b6751adb5704f95d56d58142b45cd1285589e41af48a4ef18ce02ced9e633d8\" target=\"_blank\" rel=\"noopener noreferrer\">newsletter<\/a> will have a more detailed analysis.<\/p>\n<p>In mid-December, the California Air Resources Board decided that the biofuels portion of the Low Carbon Fuel Standard was in good shape but that the High Carbon Intensity Crude Oil regulation needed some refinement.<\/p>\n<hr id=\"system-readmore\" \/>\n<p>Then, right at the end of the year, Judge Lawrence J. O\u2019Neill of the US District Court for the Eastern District of California declared the regulation <a href=\"http:\/\/www.bloomberg.com\/news\/2011-12-30\/california-low-carbon-fuel-standard-is-blocked-by-u-s-judge-1-.html\" target=\"_blank\" rel=\"noopener noreferrer\">unconstitutional<\/a>. The regulation violates the commerce clause by discriminating against out-of-state ethanol suppliers and crude oil producers. \u201c\u2026this Court concludes that the LCFS discriminates against out-of-state corn-derived ethanol on its face.\u201d<\/p>\n<p>This ruling stayed the ARB from enforcing the LCFS during the course of the on-going litigation. ARB put out a <a href=\"http:\/\/www.arb.ca.gov\/lispub\/rss\/displaypost.php?pno=5579\" target=\"_blank\" rel=\"noopener noreferrer\">notice<\/a> on December 30, that they will \u201cappeal the rulings and \u2026seek an order staying the preliminary injunction, as long as the injunction remains in effect, ARB will respect the Court\u2019s ruling and withhold enforcement of the LCFS requirements, including enforcement of the requirements described in this supplemental regulatory advisory.\u201d<\/p>\n<p>An unusual coalition made up the plaintiffs in this case. The <a href=\"http:\/\/www.ethanolrfa.org\/\" target=\"_blank\" rel=\"noopener noreferrer\">Renewable Fuels Association<\/a> and <a href=\"http:\/\/www.growthenergy.org\/\" target=\"_blank\" rel=\"noopener noreferrer\">Growth Energy<\/a>, two ethanol associations, plus other agricultural entities, had their case consolidated with that of the <a href=\"http:\/\/www.npra.org\/\" target=\"_blank\" rel=\"noopener noreferrer\">National Petrochemical &amp; Refiners Association<\/a>, the <a href=\"http:\/\/www.truckline.com\/Pages\/Home.aspx\" target=\"_blank\" rel=\"noopener noreferrer\">American Trucking Association<\/a>, and other consumer groups. It isn\u2019t often that RFA and NPRA are on the same side of an issue.<\/p>\n<p>So what\u2019s next? The Air Board will appeal the decision and will request an order that all the requirements of the LCFS in 2011 and 2012 be enforceable for the entire period. This will leave obligated parties with a choice: comply with the LCFS or wait to see what the courts decide.<\/p>\n<p>Stayed tuned for more analysis of biofuels issues.<\/p>\n","protected":false},"excerpt":{"rendered":"January 3, 2011 By David Hackett Stillwater has been following the LCFS issues from the start and we have concerns about the feasibility of the biofuels program to meet the carbon intensity goals at an affordable price. Our calculations indicate that the regulation will increase motorists\u2019 costs by billions of dollars per year as the&#8230;<br> <a class=\"read-more\" href=\"https:\/\/stillwaterassociates.com\/what-is-the-latest-on-californias-low-carbon-fuel-standard\/\">Read More<\/a>","protected":false},"author":9,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[55,46],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What is the latest on California\u2019s Low Carbon Fuel Standard? - Stillwater Associates<\/title>\n<meta name=\"description\" content=\"What is the latest on California\u2019s Low Carbon Fuel Standard?\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/stillwaterassociates.com\/what-is-the-latest-on-californias-low-carbon-fuel-standard\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What is the latest on California\u2019s Low Carbon Fuel Standard? 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