Platts launches RD spread to ULSD No2 CARB Diesel and calculated RD margin indicators

Platts, part of S&P Global Commodity Insights, has launched six daily Renewable Diesel (RD) assessments: four RD differentials to ULSD No2 California Air Resources Board (CARB) Diesel, and two calculated margin indicators for RD from soybean oil and tallow, effective Aug. 11, 2025.

RD has become a major part of California's diesel consumption, with more than 60% of petroleum diesel replaced by RD in 2024, according to the CARB. Platts has observed growing interest in a published CARB diesel differential for pricing RD, in addition to the existing Platts differential for RD Los Angeles and RD San Francisco versus NYMEX ULSD.

Additionally, the margin indicators for soybean oil and tallow feedstocks enable producers and market participants to assess the economic viability of RD production based on prevailing feedstock costs and credit values. This helps enhance the price transparency of California's renewable fuels sector.

Renewable diesel price differentials to CARB diesel

Platts has launched four renewable diesel price differentials assessments:

• RAUWF00: 99% renewable diesel, or R99, delivered Los Angeles premium to ULSD No2 CARB Diesel LA
• RAUWG00: 100% renewable diesel, or R100, delivered Los Angeles premium to ULSD No2 CARB Diesel LA
• RAUWH00: 99% renewable diesel, or R99, delivered San Francisco premium to ULSD No2 CARB Diesel SF
• RAUWI00: 100% renewable diesel, or R100, delivered San Francisco premium to ULSD No2 CARB Diesel SF

The assessments for R99 and R100 are published in US cents per gallon.

The R99 and R100 assessments reflect a minimum volume of 145,000 US gallons (typically five rail cars) meeting the ASTM D975 specification, delivered at place (DAP) via railcar (UP or BNSF) to the Los Angeles and San Francisco area, respectively. The assessments reflect delivery 15-30 days forward.

The Los Angeles and San Francisco R100 assessments are inclusive of the California Low Carbon Fuel Standard (LCFS) credit, blender's tax credit, and D4 biomass-based diesel Renewable Identification Number; as well as considering cap-and-trade (CCA) costs.

Meanwhile, the blended Los Angeles and San Francisco R99 assessments are exclusive of the LCFS credit, the federal RD tax credit , and D4 RIN; but still consider cap-and-trade (CCA) costs.

The R100 assessment reflects renewable diesel with a reference Carbon Intensity (CI) of 37.01 gCO2e/MJ.

The assessments consider market information reported to Platts and published as heards throughout the day, including firm bids and offers, trades and indicative values, as well as any other data deemed relevant to the assessment process.

Platts publishes the RD price assessments in Platts Connect, the Biofuelscan daily and weekly Biomass-Based Diesel Report and fixed pages PB010, PB012, PB011 and PB310. The assessments reflect Platts US publishing schedule, taking into consideration price information gathered up to the close of the assessment process at 13:30 Central Time.

RD margin indicators

Platts also launched two calculated RD margin indicators from the Hydroprocessed Esters and Fatty Acids production pathway:

• RRDFJ00: RD Soybean Margin Indicator
• RRDFK00: RD Tallow Margin Indicator

The calculations consider Platts ULSD No2 CARB Diesel Los Angeles (POAAK00), deducting the CBOT soybean oil daily settle (CBAAD00) or the Platts tallow delivered USGC (TADUC00) feedstock price, then multiplied by the yield, and adding the Platts California LCFS credit price (AAXYA00) based on a value per point of CI, the federal RD tax credit and D4 biomass-based diesel RIN price (BDRCY02) with RD multiplier.

The RD soybean oil margin indicator reflects renewable diesel with a reference Carbon Intensity (CI) of 40 gCO2e/MJ and the RD tallow margin indicator reflects a reference CI of 20 gCO2e/MJ.

Platts may normalize the soybean oil assessment to account for refining and its freight cost, and the tallow assessment to account for its freight cost delivered in Los Angeles.

Platts publishes the RD price assessments in Platts Connect and fixed pages PB010, PB012 and PB011.

Please submit any feedback, comments, or questions to mrts_biofuelsandfeedstocks@spglobal.com and pricegroup@spglobal.com.

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