BRANCH HEAD, LIQUID FUELS OPERATIONS AND ANALYSIS BRANCH
DEPARTMENT OF CLIMATE CHANGE, ENERGY, THE ENVIRONMENT AND WATER
NOTICE UNDER SECTION 17A OF THE FUEL QUALITY STANDARDS ACT 2000 FOR VARIATION OF THE FUEL QUALITY STANDARDS (AUTOMOTIVE DIESEL) DETERMINATION 2019 – PROGREEN BIOFUELS PTY LTD (EXPIRY 31 DECEMBER 2026)
I, Cris Cano, Branch Head, Liquid Fuels Operations and Analysis Branch, delegate of the Minister for Climate Change and Energy, provide the following information concerning my decision to grant an approval under section 13 of the Fuel Quality Standards Act 2000 (the Act).
Name of approval holder
ProGreen Biofuels Pty Ltd (ABN 84 135 679 257)
Details of the approval
This approval varies the fuel standard for diesel set out in the Fuel Quality Standards (Automotive Diesel) Determination 2019 (Diesel Standard), so that fuel containing:
- a maximum biodiesel content of up to 20%
- a maximum density value of 860 kg/m3
- a minimum derived cetane number of 46
is taken to comply with the relevant parameters specified in the Diesel Standard in respect of the supply of 5.1% to 20% biodiesel and diesel blends (B20).
Pursuant to paragraphs 13A(1) and (2) of the Act, the listed approval comes into force on the date of approval and remains in force for the period specified in the approval (being until 31 December 2026).
Summary of reasons for the approval
Having consulted with the Fuel Standards Consultative Committee as required by section 24A of the Act, I grant the approval with regard to matters specified under section 15 of the Act, in particular:
(a) The protection of the environment
Tailpipe emissions from diesel-biodiesel blend use, compared to mineral diesel, will have both positive and negative impacts on air quality as the level of biodiesel in the blend increases. In general, emissions of oxides of nitrogen increase, but particulate matter, hydrocarbons and carbon monoxide emissions all decrease.
Overall, the B20 blends supplied by ProGreen will have life-cycle greenhouse gas emissions reductions from replacing mineral diesel with biodiesel, and negligible impacts on the environment.
(b) The protection of occupational and public health and safety
Diesel with up to 20% biodiesel has been shown to be similar to mineral diesel. Its impact on occupational health and safety should be no greater than diesel already supplied to the market.
(c) The interests of consumers
The supply of B20 supports the interest of commercial consumers by providing an additional low carbon fuel option for commercial use. Diesel-biodiesel blends are a cheaper alternative to renewable diesel for companies looking to take initial steps to reduce greenhouse gas emissions from fuel use.
The diesel-biodiesel blends may only be supplied under contract to commercial users and not at forecourts. Fuel dispensers must also be clearly labelled to advise consumers that the diesel contains biodiesel to address any potential warranty issues.
(d) The impact on economic and regional development
As the level of biodiesel has been capped at 5% in the Diesel Standard, industry cannot lawfully supply blends containing greater than 5% biodiesel. Granting the variation enables blends of diesel from 5.1% to 20% to be supplied, which can support the growth and sustainability of the biodiesel industry and reduce barriers to biofuel use.
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Cris Cano
Branch Head
Liquid Fuels Operations and Analysis Branch
5 December 2024