Revamps 2025 Issue

organisations. It can be assumed that the low- est CI feedstocks, if not already favoured in regu- latory schemes, certainly will be as time goes on. As one technology pro- vider, Honeywell UOP, states on its website: “In renewable fuel markets worldwide, there is a clear difference in pric- ing for biofuels produced from sustainably sourced waste oil and animal fat feedstocks compared to biofuels produced from virgin oil crop feeds such as soybean and rape- seed. In Europe, renewa- ble diesel produced from sustainable feeds eligible

$0.40 $0.80 $0.70 $0.60 $0.50 $0.90 $1.00 $1.10 $1.20 $1.40 $1.30 $1.50

$3.50

D6 D4 D3 D5

$3.30

$3.10

$2.90

$2.70

$2.50

$2.30

$2.10

Figure 1 RIN pricing trends⁵

intensity (CI) of fuels, and credits or deficits are created and traded accordingly, being administered by the California Air Resources Board (CARB). The risk in LCFS credits volatility is demonstrated in Figure 2 , particularly since 2022. Feedstock type and supply chain Feedstock sources play a key role in GHG emissions savings in renewable diesel (RD) and SAF processes. Figure 3 pro- vides a succinct example for the diesel processes discussed here in terms of Life Cycle Assessment (LCA) emissions indicative of CI. 6 Table 1 shows LCA emissions taken from the CORSIA standard methodology as well as indirect land use change (iLUC) additional contributions. For hydrotreated esters and fatty acid (HEFA) processes, UCO is clearly advantageous, as is tallow; both further ben- efit from being waste materials yielding LCA values well below 25. For reference, both US soybean and EU rapeseed feeds yield about 70 g CO₂ e/MJ LCA values. It should also be noted that actual LCA values can span a broad range, and that ‘default’ values have been chosen by various

for double counting capture $400-$600/MT higher value than renewable diesel produced with crop oil feeds. In the California market, renewable diesel produced with used cooking oil captures an additional $0.75-$0.90 per gallon ($250-$300/MT) of incentives compared to using virgin soybean oil.” UCO has become highly desirable as a feedstock for biodiesel, renewable diesel, and SAF because it is a low CI feedstock and therefore is in high demand from producers and end users facing regulatory policies related to carbon emissions. UCO is predominantly collected from restau- rants and food preparation factories, and Asia is, and will continue to be, the largest supplier of UCO. Clean Fuels Alliance America released a report, compiled on its behalf by GlobalData, that explores UCO feedstock availability going forward. 7 Future worldwide supplies are expected to reach between 5 and 10 billion gallons by 2030, which would yield roughly 6 million mt/year and 12 million mt/year of renewable fuels (see Figure 4 ). Animal fats and tallow provide another relatively low CI

source, but are comprised of a significant set of cat - egories, some of which are highly competitive in alternative demands such as animal feeds and pet foods, oleochemicals, and human consump- tion. General categories include: • Greases, which include white, yellow, brown, and ‘other’ greases. Yellow grease is largely synon- ymous with UCO. White grease (also referred to as ‘choice’ white grease)

CORSIA official CI for HEFA‐tJ with different resources

Region Global Global

Feedstock

Core LCA value

iLUC LCA

Total (g/MJ)

Tallow

49.4 23.3

22.5 13.9 20.7

Used cooking oil Palm fatty acid

Global Global

Distillate Corn oil

10.2 40.4 40.4 47.4 37.4

17.2 64.9 67.4 71.5 76.5 99.1

USA

Soybean oil Soybean oil Rapeseed oil

24.5

Brazil

24.1 39.1 39.1

Malaysia and Indonesia Malaysia and Indonesia

Palm oil – closed pond Palm oil – open pond

Table 1

Revamps 2025