Variation of the Fuel Quality Standards (Automotive Diesel) Determination 2019 – Decision under Section 13 of the Fuel Quality Standards Act 2000 (The Act ) – Supply of Diesel Biodiesel Blends until 31 December 2022 or until a B20 Diesel Biodiesel Standard has been made, whichever occurs first (Notice under Section 17D of the Act)

Administered by Department of Industry, Science and Resources

Legislation au C2021G00976 In force Gazette

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HEAD OF DIVISION, LIQUID FUELS AND NORTHERN ENDEAVOUR DIVISION

DEPARTMENT OF INDUSTRY, SCIENCE, ENERGY AND RESOURCES

VARIATION OF THE FUEL QUALITY STANDARDS (AUTOMOTIVE DIESEL) DETERMINATION 2019 – DECISION UNDER SECTION 13 OF THE FUEL QUALITY STANDARDS ACT 2000 (THE ACT ) – SUPPLY OF DIESEL BIODIESEL BLENDS UNTIL 31 DECEMBER 2022 OR UNTIL A B20 DIESEL BIODIESEL STANDARD HAS BEEN MADE, WHICHEVER OCCURS FIRST (NOTICE UNDER SECTION 17D OF THE ACT)

I, Shane Gaddes, Head of Division, Liquid Fuels and Northern Endeavour Division, Department of Industry, Science, Energy and Resources, delegate of the Minister for Industry, Energy and Emissions Reduction, provide the following information concerning my decision to vary a set of approvals under section 13 of the Fuel Quality Standards Act 2000 (the Act).

Name of approval holders

  • Ampol Australia Petroleum Pty Ltd, granted on 24 May 2012
  • Ashoil Pty Ltd, granted on 26 November 2013
  • Bioworks Australia Pty Ltd, granted on 19 December 2012
  • BP Australia Pty Ltd, granted on 9 September 2014
  • Consolidated Biodiesel Pty Ltd acting as trustee for Eco Tech Biodiesel Unit Trust, granted on 27 June 2012
  • Green Power Solutions Pty Ltd, granted on 20 April 2010
  • Mobil Oil Australia Pty Ltd, granted on 24 May 2012
  • Mogas Regional Pty Ltd, granted on 21 August 2009
  • The Biodiesel Station Pty Ltd, granted on 26 February 2009
  • Viva Energy Australia Pty Ltd, granted on 11 October 2011

Details of the variation

The listed approvals were granted to vary the Fuel Standard (Automotive Diesel) Determination 2001 to permit the supply of diesel biodiesel blends as specified in the original grants of approval or subsequent variations. This Determination was superseded by the Fuel Quality Standards (Automotive Diesel) Determination 2019 (2019 Determination). Original approvals and subsequent variations continued to apply under the 2019 Determination.

Pursuant to section 17D of the Act, the period of operation of each approval listed has been extended until 31 December 2022, or until a B20 diesel biodiesel standard has been made, whichever occurs first.

Period of operation

This variation comes into force on the date of signing and remains in force for each approval listed until 31 December 2022, or until a B20 diesel biodiesel standard has been made, whichever occurs first.

 

Summary of reasons for the approval

Having consulted with the Fuel Standards Consultative Committee as required by section 17D(3) of the Act, I grant the variation to each listed approval holder for the following reasons as provided for in section 15(1) of the Act:

(a)               The protection of the environment

Tailpipe emissions from diesel-biodiesel blend use, compared to 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.

(b) The protection of occupational and public health and safety

In terms of safety data, diesel with up to 20 per cent 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

As required under the original conditions of approval, 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 five per cent in the diesel standard, and in the absence of a B20 diesel-biodiesel standard, industry cannot lawfully supply blends containing greater than five per cent biodiesel. This results in a barrier to the development of an Australian alternative fuels market. If the extensions are not granted, the restriction of blend levels could have a negative effect on the development of the Australian biodiesel industry. 

This variation is granted subject to the conditions specified in section 17 of the Act.

 

 

………………………………………………………………………….

Shane Gaddes

Head of Division

Liquid Fuels and Northern Endeavour Division

Department of Industry, Science, Energy and Resources

21 December 2021

Overview

The Fuel Quality Standards Act 2000, enacted by the Australian Parliament, was introduced to regulate the quality of fuel sold in Australia, ensuring that it meets certain standards to protect the environment, public health, and consumer interests. The Act allows for the variation of fuel quality standards through determinations, and under section 13, specific entities can be approved to supply fuel that does not conform to the set standards under certain conditions. The policy objective of the Act is to balance the need for fuel quality with economic and regional development interests, particularly in the context of alternative fuels such as biodiesel. This variation of the Fuel Quality Standards (Automotive Diesel) Determination 2019, as decided by the Head of Division, Liquid Fuels and Northern Endeavour Division, Department of Industry, Science, Energy and Resources, extends the period for which certain entities can supply diesel-biodiesel blends, addressing both environmental and economic considerations. The decision was made after consultation with the Fuel Standards Consultative Committee and aims to facilitate the development of the Australian biodiesel industry while ensuring that the supply of such blends does not adversely affect public health or the environment.

Scope and Application

The Fuel Quality Standards Act 2000 applies to various entities and their operations in the Australian fuel industry, specifically those involved in the supply and production of automotive diesel, including diesel biodiesel blends. This Act is applicable on a national level, governing the quality standards for fuel supplied within Australia. The Act applies to companies that have been granted specific approvals to supply diesel biodiesel blends, as seen in the case of the listed approval holders such as Ampol Australia Petroleum Pty Ltd and BP Australia Pty Ltd. The variation under section 13 of the Act, concerning the supply of diesel biodiesel blends, has been extended until 31 December 2022 or until a B20 diesel biodiesel standard has been made, whichever occurs first. This extension aims to balance environmental considerations, occupational and public health and safety, consumer interests, and economic development. The Act allows for further regulation through subordinate instruments, ensuring flexibility in adapting to new standards and technological advancements in fuel quality.

Key Provisions

The key provisions of this variation, as outlined in sections 13 and 17D of the Fuel Quality Standards Act 2000, allow for the extension of approvals granted to certain entities to supply diesel biodiesel blends. The approvals, initially granted under the Fuel Standard (Automotive Diesel) Determination 2001 and now operating under the Fuel Quality Standards (Automotive Diesel) Determination 2019, have been extended until 31 December 2022 or until a B20 diesel biodiesel standard has been made, whichever occurs first. This decision was made to ensure continued supply of these blends until a higher biodiesel content standard is established or the end of 2022, whichever is sooner. Entities such as Ampol Australia Petroleum Pty Ltd, Ashoil Pty Ltd, Bioworks Australia Pty Ltd, and others listed, are required to adhere to the extended conditions of their approvals. They must continue to supply diesel biodiesel blends in accordance with the original terms of their approvals, including the stipulation that the blends may only be supplied under contract to commercial users and not at forecourts. Additionally, fuel dispensers must be clearly labelled to inform consumers of the biodiesel content in the diesel. Breaching the terms of the approvals could lead to civil and criminal consequences as outlined in the Act. While specific penalties are not detailed in the document, the Act typically includes provisions for fines, enforcement actions, and potentially criminal charges for non-compliance. The exact penalties would depend on the nature and severity of the breach, as well as any relevant state or territory laws.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.