Platts changes specification of GHG savings for first generation biodiesel assessments

Following a formal public consultation, proposal and review, S&P Global Platts is changing the specification of greenhouse gas (GHG) savings for Platts first generation biodiesel assessments in line with a trend towards lower carbon emissions in the European biofuels market, effective Jan. 4, 2022.

GHG savings in the EU are measured as an absolute level of carbon intensity (CI), or as a percentage GHG saving compared with the fossil fuel comparator.

From Jan. 4, the Platts RME, FAME 0, PME, SME and FAME-10 FOB ARA assessments will reflect biodiesel meeting a maximum CI of 33.52g of carbon dioxide equivalent per megajoule (CO2e/MJ), aligned with Platts Ethanol T2 FOB Rotterdam assessment. This is equivalent to a minimum GHG saving of 64.3% based on a fossil fuel comparator of 94g CO2e/MJ outlined in the European Commission's new Renewable Energy Directive (RED) II framework, or 60% based on the RED I fossil fuel comparator of 83.8g CO2e/MJ. Platts first generation biodiesel assessments previously reflected a minimum GHG saving of 50% under RED I, equivalent to a maximum CI of 41.90g CO2e/MJ. The UCOME premium will remain at a maximum CI of 10.89 CO2e/MJ, equivalent to a minimum GHG saving of 88.4% under RED II, or 87% under RED I. The Platts public consultation subscriber note on European biodiesel methodology can be found here: Platts extends feedback period on European biodiesel methodology | S&P Global Platts (spglobal.com)

The Platts public proposal subscriber note on European biodiesel methodology can be found here: Platts proposes increase in minimum GHG savings in Biodiesel RME, FAME 0, PME, SME and FAME -10 FOB ARA assessments | S&P Global Platts (spglobal.com) Platts biodiesel specifications can be found in pages 7-8 of the methodology document: https://www.spglobal.com/platts/PlattsContent/_assets/_files/en/our-methodology/methodology-specifications/global_biofuels.pdf

Please send any further feedback, comments or questions to europe_ags@spglobal.com and pricegroup@spglobal.com. For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available to the public upon request.