Platts proposes to launch calculated transport prices for Renewable Natural Gas

Platts, part of S&P Global Commodity Insights, proposes to launch calculated transportation fuel incentives price assessments for Renewable Natural Gas (RNG) in California and outside of California, effective Nov. 15, 2023.

The North America Renewable Natural Gas Transportation Fuel Premiums would capture the value of the environmental attributes of RNG above the price of pipeline natural gas, bringing transparency to the growing RNG market at gas hubs in North America.

The proposed North America Renewable Natural Gas Transportation Fuel Premium (California) price would reflect the calculated premium for RNG consumed in California with a pathway that has a carbon intensity (CI) of 45 and is underpinned by the current year D3 Renewable Identification Number (RIN) price and the front-quarter Low Carbon Fuel Standard (LCFS) credit price. The CI of 45 represents the CI of a landfill.

The proposed North America Renewable Natural Gas Transportation Fuel Premium (excluding California) price would reflect the premium for RNG consumed outside of California and is underpinned by the current-year D3 RIN price.

Platts will publish heards from the transport market where market-based information is available, and invites continued feedback on the most appropriate way to provide transparency into the market, as well as the proposed calculated assessments outlined above.

Please send any comments, feedback, and questions to Platts_Carbon@spglobal.com and pricegroup@spglobal.com by Oct. 18.

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 upon request.