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(continued)
(D) Within 10 days after project completion, any refinery addition or modification which would affect the qualification of the refiner as a small refiner pursuant to subsection (b)(19); and
(E) Any change of ownership of the small refiner or small refiner's refinery, within 10 days after such change of ownership.
(4) Whenever a small refiner fails to provide records identified in subsection (e)(3)(A) or (B) in accordance with the requirements of those subsections, the vehicular diesel fuel supplied by the small refiner from the small refiner's refinery in the time period of the required records shall be presumed to have been sold or supplied by the small refiner in violation of section (a)(1)(A).
(5) Offsetting Excess Emissions From Gasoline Subject to the Small Refiner CaRFG Phase 3 Standards.
(A) Annual elections. No later than December 22 of each calendar year starting with 2002, a small refiner who is also a qualifying small refiner as defined in the CaRFG regulations (section 2260(a)(28.5)) may by notification to the executive officer make the following elections:
1. Whether the small refiner elects to produce gasoline subject to the small refiner CaRFG Phase 3 standards in section 2272(a) in the coming year;
2. If electing to produce small refiner CaRFG Phase 3, whether the refiner elects the option of accepting a reduced exempt volume in the coming year to offset the excess emissions;
3. If electing to produce small refiner CaRFG Phase 3 but not to accept a reduced exempt volume, the refiner must elect for the coming year either (i) to produce offset small refiner diesel fuel with an exempt volume determined in accordance with section (b)(4), or (ii) to produce cleaner offset small refiner diesel fuel with an exempt volume expanded by 25 percent and restrictions on sales of high-aromatics California nonvehicular diesel fuel.
(B) Effect of election.
1. Election not to produce small refiner CaRFG Phase 3. If a small refiner does not elect to produce gasoline subject to the small refiner CaRFG Phase 3 standards for a particular year, no gasoline sold or supplied from the small refiner's refinery in that year will qualify for the small refiner CaRFG Phase 3 standards in section 2272(a).
2. Election to accept a reduced exempt volume for small refiner diesel fuel. If a small refiner elects to accept a reduced exempt volume under section (f)(5)(A), the executive officer shall assign a substitute exempt volume for the year that is reduced sufficiently to offset the excess emissions of hydrocarbons, oxides of nitrogen, and potency-weighted toxics that would result from production of the small refiner's full qualifying volume of gasoline subject to the CaRFG Phase 3 standards. In the case of Kern Oil and Refining Co., its reduced exempt volume of small refiner diesel fuel would be 825,995 barrels per year (equal to 2263 bpd; 828,258 barrels per year in leap years) in place of 2,337,825 barrels per year (equal to 6405 bpd; 2,344,230 in leap years).
3. Election to retain the preexisting exempt volume and produce offset small refiner diesel fuel. If the small refiner elects to be subject to the exempt volume determined in accordance with section (b)(4), the executive officer shall adjust the aromatics and cetane number of the standards applicable to the small refiner sufficient to offset the potential increased emissions identified pursuant to section 2272(c)(5). In the case of Kern Oil and Refining Co., its exempt volume for the year would be 2,337,825 barrels per year (equal to 6405 bpd; 2,344,230 barrels per year in leap years). Any small refiner diesel fuel it sells or supplies as a certified alternative formulation equivalent to a 20 percent aromatics reference fuel must have an aromatic hydrocarbon content that is 2 percentage points lower, and a cetane number that is 0.5 higher, than is specified for the alternative formulation. Any small refiner diesel fuel it sells or supplies which is not designated as a certified alternative formulation must have an aromatic hydrocarbon content not exceeding 18 percent, or be subject to the designated alternative limit provisions in subsection (d) with all designated alternative limits above 18 percent by volume fully offset in accordance with subsection (d).
4. Election of expanded exempt volume with requirement for cleaner offset small refiner diesel fuel. If the small refiner elects to produce offset small refiner diesel fuel with an expanded exempt volume, its exempt volume for the year will be 125 percent of its exempt volume determined in accordance with section (b)(4). The executive officer shall adjust the aromatics and cetane number of the standards applicable to the potential volume of small refiner sufficient to offset the potential increased emissions identified pursuant to section 2272(c)(5). The small refiner will be prohibited during the year from selling or supplying diesel fuel that it has produced and is intended for nonvehicular applications in California unless the fuel meets the U.S. EPA's standards for diesel fuel for use in motor vehicles in 40 CFR sec. 80.29 as it existed July 1, 2000. In the case of Kern Oil and Refining Co., its exempt volume for the year would be 2,922,190 barrels per year (equivalent to 8006 bpd; 2,930,196 in leap years). Any small refiner diesel fuel it sells or supplies in the year as a certified alternative formulation equivalent to a 20 percent aromatics reference fuel must have an aromatic hydrocarbon content that is 3.5 percentage points lower, and a cetane number that is 0.5 higher, and an additive content that is 0.02 percentage points higher, than is specified for the alternative formulation. Any small refiner diesel fuel it sells or supplies which is not designated as a certified alternative formulation shall have an aromatic hydrocarbon content not exceeding 14 percent.
5. Additional requirement to sell or supply ultra-low sulfur diesel fuel. In addition to the requirements in section (f)(5)(B)1. through (f)(5)(B)4., a small refiner that elects to produce gasoline subject to the CaRFG Phase 3 standards for a year must sell or supply in that year up to 100 bpd of diesel fuel having a sulfur content not exceeding 30 ppm and an aromatic hydrocarbon content not exceeding 20 percent, to the extent there are buyers wishing to acquire that diesel fuel on commercially reasonable terms.
(C) Early opt-in to produce small refiner CaRFG Phase 3. To the extent that the sale or supply of gasoline subject to the CaRFG Phase 3 standards before December 31, 2002 is permitted by section 2261(b)(3), a qualifying small refiner may elect to have to option of producing gasoline subject to the small refiner CaRFG Phase 3 standards for a full year or the remainder of a year prior to December 31, 2002. In that case, section (e)(5)(B)2.-5. would apply on a pro rata basis to the portion of the year on and after the effective date of the election, and the preexisting requirements would apply on a pro rata basis to the portion of the year prior to the effective date of the election.
(f) Testing and Recordkeeping.
(1) Each producer shall sample and test for aromatic hydrocarbon content each final blend of vehicular diesel fuel which the producer has produced, in accordance with an applicable test method identified in subsection (c). If a producer blends diesel fuel components directly to pipelines, tankships, railway tankcars, or trucks and trailers, the loading(s) shall be sampled and tested for aromatic hydrocarbon content by the producer or authorized contractor. The producer shall maintain, for two years from the date of each sampling, records showing the sample date, product sampled, container or other vessel sampled, final blend volume, and the aromatic hydrocarbon content. In the event a producer sells, offers for sale, or supplies diesel fuel which the producer claims is not vehicular diesel fuel and which has an aromatic hydrocarbon content exceeding the standard set forth in subsection (a)(1), such producer shall maintain, for two years from the date of any sale or supply of the fuel, records demonstrating that the diesel fuel was not vehicular diesel fuel when it was sold or supplied by the producer. All diesel fuel produced by the producer and not tested as vehicular diesel fuel by the producer pursuant to this subsection shall be deemed to have an aromatic hydrocarbon content exceeding 10 percent, unless the producer demonstrates that the diesel fuel meets the requirements of subsection (a)(1).
(2) Each importer shall sample and test for aromatic hydrocarbon content each shipment of vehicular diesel fuel which the importer has imported by tankship, pipeline, railway tankcars, trucks and trailers, or other means, in accordance with an applicable test method identified in subsection (c). The importer shall maintain, for two years from the date of each sampling, records showing the sample date, product sampled, container or other vessel sampled, the volume of the shipment, and the aromatic hydrocarbon content. All diesel fuel imported by the importer and not tested as vehicular diesel fuel by the importer pursuant to this subsection shall be deemed to have an aromatic hydrocarbon content exceeding 10 percent, unless the importer demonstrates that the diesel fuel meets the requirements of subsection (a)(1).
(3) A producer or importer shall provide to the executive officer any records required to be maintained by the producer or importer pursuant to this subsection (d) within 20 days of a written request from the executive officer if the request is received before expiration of the period during which the records are required to be maintained. Whenever a producer or importer fails to provide records regarding a final blend of vehicular diesel fuel in accordance with the requirements of this subsection, the final blend of diesel fuel shall be presumed to have been sold by the producer in violation of subsection (a)(1).
(4) The executive officer may perform any sampling and testing deemed necessary to determine compliance by any person with the requirements of subsection (a) and may require that special samples be drawn and tested at any time.
(5) The executive officer may enter into a protocol with any producer, importer, or person who sells, offers for sale, or transfers diesel fuel to a producer for the purpose of specifying alternative sampling, testing, recordkeeping, or reporting requirements which shall satisfy the provisions of subsections (f)(1), (f)(2), or (e)(3). The executive officer may only enter into such a protocol if s/he reasonably determines that application of the regulatory requirements under the protocol will be consistent with the state board's ability effectively to enforce the provisions of subsection (a). Any such protocol shall include the producer's or importer's agreement to be bound by the terms of the protocol.
(g) Certified Diesel Fuel Formulations Resulting in Equivalent Emissions Reductions.
(1) The executive officer, upon application of any producer or importer, may certify diesel fuel formulations in accordance with this subsection (g). The applicant shall initially submit a proposed test protocol to the executive officer. The proposed test protocol shall include: (A) the identify of the entity proposed to conduct the tests described in subsection (g)(4); (B) test procedures consistent with the requirements of this subsection (g); (C) test data showing that the candidate fuel meets the specifications for No. 2-D diesel fuel set forth in ASTM D975-81 (which is incorporated herein by reference), and identifying the characteristics of the candidate fuel set forth in subsection (g)(2); (D) test data showing that the fuel to be used as the reference fuel satisfies the specifications identified in subsection (g)(3); (E) reasonably adequate quality assurance and quality control procedures; and (F) notification of any outlier identification and exclusion procedure that will be used, and a demonstration that any such procedure meets generally accepted statistical principles.
Within 20 days of receipt of a proposed test protocol, the executive officer shall advise the applicant in writing either that it is complete or that specified additional information is required to make it complete. Within 15 days of submittal of additional information, the executive officer shall advise the applicant in writing either that the information submitted makes the proposed test protocol complete or that specified additional information is still required to make it complete. Within 20 days after the proposed test protocol is deemed complete, the executive officer shall either approve the test protocol as consistent with this subsection (g) or advise the applicant in writing of the changes necessary to make the test protocol consistent with this subsection (g). Any notification of approval of the test protocol shall include the name, telephone number, and address of the executive officer's designee to receive notifications pursuant to subsection (g)(4)(C)(ii). The tests shall not be conducted until the protocol is approved by the executive officer.
Upon completion of the tests, the applicant may submit an application for certification to the executive officer. The application shall include the approved test protocol, all of the test data, a copy of the complete test log prepared in accordance with subsection (g)(4)(C)(ii), a demonstration that the candidate fuel meets the requirements for certification set forth in this subsection (g), and such other information as the executive officer may reasonably require.
Within 20 days of receipt of an application, the executive officer shall advise the applicant in writing either that it is complete or that specified additional information is required to make it complete. Within 15 days of submittal of additional information, the executive officer shall advise the applicant in writing either that the information submitted makes the application complete or that specified additional information is still required to make it complete. Within 30 days after the application is deemed complete, the executive officer shall grant or deny the application. Any denial shall be accompanied by a written statement of the reasons for denial.
(2)The candidate fuel.
(A)1. The applicant shall supply the candidate fuel to be used in the comparative testing pursuant to subsection (g)(4).
2. The candidate fuel shall meet the specifications for No. 2-D diesel fuel set forth in ASTM D975-81, which is incorporated herein by reference, and shall also meet the requirements in subsections (g)(2)(A)3. and 4.
3.a. Except as otherwise provided in subsection (g)(2)(A)3.b., the candidate fuel shall meet the following specifications, which are identical to the comparable specifications for the reference fuel identified in subsection (g)(3):
ASTM Candidate Fuel
Property Test Method Specifications
Gravity, API D287-82 33-39
Viscosity at 40<>C D455-83 2.0-4.1
Flash point,<>F D93-80 130
Distillation,<>F
IBP D86-96 340-420
10% REC. 400-490
50% REC. 470-560
90% REC. 550-610
EP 580-660
b. The candidate fuel's value for one or more of the properties listed in the subsection (g)(2)(A)3.a. table may be outside the specification in the table if the applicant is specifying the property and candidate fuel's value pursuant to subsection (g)(2)(C).
4.a. Except for a property to which subsection (g)(2)(A)3.b applies, the gravity, viscosity, flash point and distillation values of the candidate fuel may not differ from the corresponding values of the reference fuel used in the engine emissions testing by more than one-half of the permitted range for the property. For example, if the API gravity of the reference fuel is 33, then the API gravity of the candidate fuel may not exceed 36.
b. The candidate fuel's value for one or more of the properties listed in the subsection (g)(2)(A)3.a. table may differ from the corresponding value of the reference fuel used in the engine emissions testing by more than one-half of the permitted range for the property if the applicant is specifying the property and candidate fuel's value pursuant to subsection (g)(2)(C).
(B) The following characteristics of the candidate fuel shall be determined as the average of three tests conducted in accordance with the referenced test method (the ASTM methods are incorporated herein by reference):
1.a. For formulations certified prior to August 14, 2004, sulfur content (not to exceed 500 ppm) by ASTM D2622-94;
b. For formulations certified on or after August 14, 2004, sulfur content (not to exceed 15 ppm) by ASTM D5453-93;
2. Total aromatic hydrocarbon content, by ASTM D5186-96;
3. Polycyclic aromatic hydrocarbon content, by ASTM D5186-96;
4. Nitrogen content, by ASTM D4629-96;
5. Cetane number, by ASTM D613-84;
6. Identity and concentration of each additive, by a test method specified by the applicant and determined by the executive officer to adequately determine the presence and concentration of the additive.
(C) The applicant may also specify any other parameters for the candidate fuel in addition to those listed in subsection (g)(2)(B), along with the test method for determining the parameters. The applicant shall provide the chemical composition of each additive in the candidate fuel, except that if the chemical composition of an additive is not known to either the applicant or to the manufacturer of the additive (if other), the applicant may provide a full disclosure of the chemical process of manufacture of the additive in lieu of its chemical composition.
(3)The reference fuel.
(A) The reference fuel used in the comparative testing described in subsection (g)(4) shall be produced from straight-run California diesel fuel by a hydrodearomatization process and shall have the characteristics set forth below under "General Reference Fuel Specifications" (the listed ASTM methods are incorporated herein by reference):
Reference Fuel Specifications
General Small Refiner
ASTM Reference Fuel Reference Fuel
Property Test Method Specifications Specifications
Sulfur Content........... D2622-94 500 ppm max. 500 ppm max.
[FN1]....... [FN1]............ [FN1]
D5453-93 15 ppm max. 15 ppm max.
[FN2]....... [FN2]............ [FN2]
Aromatic Hydrocarbon
Content, Vol. W4B D5186-96...... 10% max............ 20% max.
Polycyclic Aromatic
Hydrocarbon Content,
WT. W4B D5186-96...... 1.4% max........... 4% max.
Nitrogen Content......... D4629-96...... 10 ppm max......... 90 ppm max.
Natural Cetane Number.... D613-84....... 48 minimum......... 47 minimum
Gravity, API............. D287-82....... 33-39.............. 33-39
Viscosity at 40.......... D445-83....... 2.0-4.1............ 2.0-4.1
Flash point,............. D93-80........ 130................ 130
Distillation,............ D86-96........
IBP..................... .............. 340-420............ 340-420
10 % REC................ .............. 400-490............ 400-490
50 % REC................ .............. 470-560............ 470-560
90 % REC................ .............. 550-610............ 550-610
EP...................... .............. 580-660............ 580-660
[FN1] This test method and sulfur content maximum applies to all reference fuels used for formulations certified prior to August 14, 2004.
[FN2] This test method and sulfur content maximum applies to all reference fuels used for formulations certified on or after August 1, 2004.
(B) Where the candidate fuel's value for one or more properties is outside the specification in the table in subsection (g)(2)(A)3.a as permitted by subsection (g)(2)(A)3.b., the reference fuel's value for that property may not be on the opposite side of the mid-point of the range shown in the table.
(4)(A) Exhaust emission tests using the candidate fuel and the reference fuel shall be conducted in accordance with the "California Exhaust Emission Standards and Test Procedures for 1985 and Subsequent Model Heavy-Duty Diesel-Powered Engines and Vehicles," as incorporated by reference in Title 13, California Code of Regulations, Section 1956.8(b). The tests shall be performed using a Detroit Diesel Corporation Series-60 engine, or, if the executive officer determines that the Series-60 is no longer representative of the post-1990 model year heavy-duty diesel engine fleet, another engine found by the executive office to be representative of such engines. A determination by the executive officer that an engine is no longer representative shall not affect the certification of a diesel fuel formulation based on prior tests using that engine pursuant to a protocol approved by the executive officer.
(B) The comparative testing shall be conducted by a party or parties that are mutually agreed upon by the executive officer and the applicant. The applicant shall be responsible for all costs of the comparative testing.
(C)1. The applicant shall use one of the following test sequences:
a. If both cold start and hot start exhaust emission tests are conducted, a minimum of five exhaust emission tests shall be performed on the engine with each fuel, using either of the following sequences, where "R" is the reference fuel and "C" is the candidate fuel: RC RC RC RC RC and (continuing in the same order), or RC CR RC CR RC (and continuing in the same order).
The engine mapping procedures and a conditioning transient cycle shall be conducted with the reference fuel before each cold start procedure using the reference fuel. The reference cycle used for the candidate shall be the same cycle as that used for the fuel preceding it.
b. If only hot start exhaust emission tests are conducted, one of the following test sequences shall be used throughout the testing, where "R" is the reference fuel and "C" is the candidate fuel:
Alternative 1: RC CR RC CR (continuing in the same order for a given calendar day; a minimum of twenty individual exhaust emission tests must be completed with each fuel)
Alternative 2: RR CC RR CC (continuing in the same order for a given calendar day; a minimum of twenty individual exhaust emission tests must be completed with each fuel)
Alternative 3: RRR CCC RRR CCC (continuing in the same order for a given calendar day; a minimum of twenty-one individual exhaust emission tests must be completed with each fuel)
For all alternatives, an equal number of tests shall be conducted using the reference fuel and the candidate fuel on any given calendar day. At the beginning of each calendar day, the sequence of testing shall begin with the fuel that was tested at the end of the preceding day. The engine mapping procedures and a conditioning transient cycle shall be conducted after every fuel change and/or at the beginning of each day. The reference cycle generated from the reference fuel for the first test shall be used for all subsequent tests. For alternatives 2 and 3, each paired or triplicate series of individual tests shall be averaged to obtain a single value which would be used in the calculations conducted pursuant to section (g)(5)(C).
2. The applicant shall submit a test schedule to the executive officer at least one week prior to commencement of the tests. The test schedule shall identify the days on which the tests will be conducted, and shall provide for conducting the test consecutively without substantial interruptions other than those resulting from the normal hours of operations at the test facility. The executive officer shall be permitted to observe any tests. The party conducting the testing shall maintain a test log which identifies all tests conducted, all engine mapping procedures, all physical modifications to or operational tests of the engine, all recalibrations or other changes to the test instruments, and all interruptions between tests and the reason for each such interruption. The party conducting the tests or the applicant shall notify the executive officer by telephone and in writing of any unscheduled interruption resulting in a test delay of 48 hours or more, and of the reason for such delay. Prior to restarting the test, the applicant or person conducting the tests shall provide the executive officer with a revised schedule for the remaining tests. All tests conducted in accordance with the test schedule, other than any tests rejected in accordance with an outlier identification and exclusion procedure included in the approved test protocol, shall be included in the comparison of emissions pursuant to subsection (g)(5).
(D) In each test of a fuel, exhaust emissions of oxides of nitrogen (NOx) and particulate matter (PM) shall be measured. In addition, for each test the soluble organic fraction (SOF) of the particle matter in the exhaust emissions shall be determined in accordance with the Air Resources Board's "Test Method for Soluble Organic Fraction (SOF) Extraction" dated April 1989, which is incorporated herein by reference.
(5) The average emissions during testing with the candidate fuel shall be compared to the average emissions during testing with the reference fuel , applying one-sided Student's t statistics as set forth in Snedecar and Cochran, Statistical Methods (7th ed.), page 91, Iowa State University Press, 1980, which is incorporated herein by reference. The executive officer shall issue a certification pursuant to this paragraph only if he or she makes all of the determinations set forth in subsections (g)(5)(A) and (B) below, after applying the criteria in subsection (g)(5)(C).
(A) The average individual emissions of NOx, PM, and SOF, respectively, during testing with the candidate fuel do not exceed the average individual emissions of NOx, PM, and SOF, respectively, during testing with the reference fuel.
(B) Use of any additive identified pursuant to subsection (g)(2)(B)6. in heavy-duty engines will not increase emissions of noxious or toxic substances which would not be emitted by such engines operating without the additive.
(C) In order for the determinations in subsection (g)(5)(A) to be made, for each referenced pollutant the candidate fuel shall satisfy the following relationship:
Where:
X c = Average emissions during testing with the candidate fuel
X R = Average emissions during testing with the reference fuel
d = tolerance level equal to 1 percent of
X R for NOx, 2 percent of
X R for PM, and 1 percent of
X R for SOF. S p = Pooled standard deviation t (a, 2n-2) = The one-sided upper percentage point of t distribution with a = 0.15 and 2n-2 degrees of freedom n = Number of tests of candidate and reference fuel
(6) If the executive officer finds that a candidate fuel has been properly tested in accordance with this subsection (g), and makes the determinations specified in subsection (g)(5), then he or she shall issue an Executive Order certifying the diesel fuel formulation represented by the candidate fuel. The Executive order shall identify all of the characteristics of the candidate fuel determined pursuant to subsection (g)(2). The Executive Order shall provide that the certified diesel fuel formulation has the following specifications: (1) a sulfur content, total aromatic hydrocarbon content, polycyclic aromatic hydrocarbon content, and nitrogen content not exceeding that of the candidate fuel, (2) a cetane number not less than that of the test fuel, (3) any additional fuel specification required under subsection (g)(2)(A)3.b, and (4) presence of all additives that were contained in the candidate fuel, in a concentration not less than in the test fuel, except for an additive demonstrated by the applicant to have the sole effect of increasing cetane number. All such characteristics shall be determined in accordance with the test methods identified in subsection (g)(2). The Executive Order shall assign an identification name to the specific certified diesel fuel formulation.
(7) In order for a producer or importer of a final blend to comply with subsection (a) through the sale, offer for sale or supply of a certified diesel fuel formulation, the producer or importer shall notify the executive officer in accordance with this subsection (g)(7). The notification shall identify the final blend and the identification name of the certified diesel fuel formulation. The notification shall be received by the executive officer at least 12 hours before start of physical transfer of the final blend from the production or import facility. A producer or importer intending to have a series of its final blends be a specific certified formulation may enter into a protocol with the executive officer for reporting such blends as long as the executive officer reasonably determines the reporting under the protocol would provide at least as much notice to the executive officer as notification pursuant to the express terms of this subsection (g)(7).
(8) A small refiner may apply for certification of a diesel fuel formulation to be sold pursuant to subsection (a)(1)(C). All of the provisions of this subsection (g) shall apply to certification of such a diesel fuel formulation, except the reference fuel in the comparative testing described in subsection (g)(4) shall have the characteristics set forth under "Small Refiner Reference Fuel Specifications" in the table in subsection (g)(3).
(9) (A) If the executive officer determines that a commercially available diesel fuel blend meets all of the specifications of a certified diesel fuel formulation set forth in an Executive Order issued pursuant to subsection (g)(6), but does not meet the criteria in subsection (g)(5) when tested in accordance with subsection (g)(4), the executive officer shall modify the certification order as is necessary to assure that diesel fuel blends sold commercially pursuant to the certification will meet the criteria set forth in subsection (g)(5). The modifications to the order may include additional specifications or conditions, or a producer of the commercially available diesel fuel blend found not to meet the criteria.
(B) The executive officer shall not modify a prior certification order without the consent of the applicant and of the producer of the commercially available diesel fuel blend found not to meet the criteria, unless the applicant and producer are first afforded an opportunity for a hearing in accordance with Title 17, California Code of Regulations, Part III, Chapter 1, Subchapter 1, Article 4 (commencing with Section 60040). If the executive officer determines that a producer would be unable to comply with this regulation as a direct result of an order modification pursuant to this subsection, the executive officer may delay the effective date of such modification for such period of time as is necessary to permit the producer to come into compliance in the exercise of all reasonable diligence.
(10) Any diesel fuel formulation certified in accordance with this subsection (g) as it existed before the amendments effective 12/26/91 shall no longer be considered certified after 12/26/91 unless the executive officer determines that the test data submitted with the application demonstrates that the diesel fuel formulation satisfies the criteria for certification in subsection (g) as amended effective 12/26/91.
(h) Designated Equivalent Limits.
(1)Designated equivalent limits.The designated equivalent limits under this section 2282 are set forth in the following table. Compliance with the limits for the properties shall be determined by the specified ASTM methods, which are incorporated herein by reference.
Property Equivalent Limit Test Method
Aromatic Hydrocarbon <=21.0 ASTM D5186-96
Content (% by wt.)
PAH Content (% by wt.) <=3.5 ASTM D5186-96
API Gravity <=36.9 ASTM D287-82
Cetane Number <=53 ASTM D613-84
Nitrogen Content (ppmw) <=500 ASTM D4629-96
Sulfur Content (ppmw) <= 160 before 6/1/06 ASTM D2262-94 before 6/1/06
<= 15 starting 6/1/06 ASTM D5453-93 starting 6/1/06
(2)Notification requirements.In order for a producer or importer of a final blend to comply with subsection (a) through the sale, offer for sale or supply of diesel fuel subject to all of the designated equivalent limits in subsection (h)(1), the producer or importer shall notify the executive officer in accordance with this subsection (h)(2). The notification shall identify the final blend subject to the designated equivalent limits and must be received by the executive officer at least 12 hours before start of physical transfer of the final blend from the production or import facility. A producer or importer intending to have a series of its final blends be subject to the designated equivalent limits may enter into a protocol with the executive officer for reporting such blends as long as the executive officer reasonably determines the reporting under the protocol would provide at least as much notice to the executive officer as notification pursuant to the express terms of this subsection (h)(2).
(i) Variances.
(1) Any person who cannot comply with the requirements set forth in subsection (a)(1) because of reasons beyond the person's reasonable control may apply to the executive officer for a variance. The application shall set forth:
(A) the specific grounds upon which the variance is sought;
(B) the proposed date(s) by which compliance with the provisions of subsection (a)(1) will be achieved; and
(C) a plan reasonably detailing the method by which compliance will be achieved.
(2) Upon receipt of an application for a variance containing the information required in subsection (i)(1), the executive officer shall hold a hearing to determine whether, or under what conditions and to what extent, a variance from the requirements in subsection (a)(1) is necessary and will be permitted. Notice of the time and place of the hearing shall be sent to the applicant by certified mail not less than 20 days prior to the hearing. Notice of the hearing shall also be submitted for publication in the California Regulatory Notice Register and sent to every person who requests such notice, not less than 20 days prior to the hearing.
(3) At least 20 days prior to the hearing, the application for the variance shall be made available to the public for inspection. Interested members of the public shall be allowed a reasonable opportunity to testify the hearing and their testimony shall be considered.
(4) No variance shall be granted unless all of the following findings are made:
(A) that, because of reasons beyond the reasonable control of the applicant, requiring compliance with subsection (a)(1) would result in an extraordinary economic hardship;
(B) that the public interest in mitigating the extraordinary hardship to the applicant by issuing the variance outweighs the public interest in avoiding any increased emissions of air contaminants which would result from issuing the variance.
(C) that the compliance plan proposed by the applicant can reasonably be implemented and will achieve compliance as expeditiously as possible.
(5) Any variance order shall specify a final compliance date by which the requirements in subsection (a)(1) will be achieved. Any variance order shall also contain a condition that specified increments of progress necessary to assure timely compliance be achieved, and such other conditions, including limitations on the aromatic hydrocarbon content of diesel fuel produced for use in motor vehicles, that the executive officer, as a result of the testimony received at the hearing, finds necessary to carry out the purposes of Division 26 of the Health and Safety Code.
(6) The executive officer may require, as a condition of granting a variance, that a cash bond, or a bond executed by two or more good and sufficient sureties or by a corporate surety, be posted by the party to whom the variance was granted to assure performance of any construction, alteration, repair, or other work required by the terms of conditions of the variance.
Such bond may provide that, if the party granted the variance fails to perform such work by the agreed date, the cash bond shall be forfeited to the state board, or the corporate surety or sureties shall have the option of promptly remedying the variance default or paying to the state board an amount, up to the amount specified in the bond, that is necessary to accomplish the work specified as a condition of the variance.
(7) [Reserved]
(8) No variance which is issued due to conditions of breakdown, repair, or malfunction of equipment shall have a duration, including extensions, of more than six months.
(9) The executive officer may, after holding a hearing without complying with the provisions of subsections (i)(2) and (i)(3), issue an emergency variance to a person from the requirements of subsections (a)(1) upon a showing of reasonably unforeseeable extraordinary hardship and good cause that a variance is necessary. In connection with the issuance of an emergency variance, the executive officer may waive the requirements of subsection (i)(6). No emergency variance may extend for a period of more than 45 days. If the applicant for an emergency variance does not demonstrate that he or she can comply with the provisions of subsection (a)(1) within such 45-day period, an emergency variance shall not be granted unless the applicant makes a prima facie demonstration that the findings set forth in subsection (i)(4) should be made. The executive officer shall maintain a list of persons who have informed the executive officer in writing of their desire to be notified by telephone in advance of any hearing held pursuant to this subsection (i)(9), and shall provide advance telephone notice to any such person.
(10) A variance shall cease to be effective upon failure of the party to whom the variance was granted substantially to comply with any condition.
(11) Upon the application of any person, the executive officer may review and for good cause modify or revoke a variance from the requirements of subsection (a)(1) after holding a hearing in accordance with the provisions of subsections (i)(2) and (i)(3).
(j) Whenever this section provides for the use of a specified test method, another test method may be used following a determination by the executive officer that the other method produces results equivalent to the results with the specified method.
Note: Authority cited: Sections 39600, 39601, 43013, 43018 and 43101, Health and Safety Code; and Western Oil and Gas Ass'n. v. Orange County Air Pollution Control District, 14 Cal. 3d 411, 121 Cal. Rptr. 249 (1975). Reference: Sections 39000, 39001, 39002, 39003, 39010, 39500, 39515, 39516, 41511, 43000, 43013, 43016, 43018 and 43101, Health and Safety Code; and Western Oil and Gas Ass'n. v. Orange County Air Pollution Control District, 14 Cal. 3d 411, 121 Cal. Rptr. 249 (1975).
s 2283. Exemptions for Diesel Fuel Used in Test Programs.
The executive officer shall consider and grant test program exemptions from the requirements of this Article in accordance with section 2259.
Note: Authority cited: Sections 39600, 39601, 43013, 43018 and 43101, Health and Safety Code; and Western Oil and Gas Ass'n. v. Orange County Air Pollution Control District, 14 Cal.3d 411, 121 Cal. Rptr. 249 (1975). Reference: Sections 39000, 39001, 39002, 39003, 39500, 39515, 39516, 39606, 41511, 43000, 43016, 43018 and 43101, Health and Safety Code; and Western Oil and Gas Ass'n. v. Orange County Air Pollution Control District, 14 Cal.3d 411, 121 Cal. Rptr. 249 (1975).
s 2284. Lubricity of Diesel Fuel.
(a) Regulatory Standard.
(1)Standard starting in 2005
(A)Basic standard. Starting in January 1, 2005 in accordance with the phase-in schedule in section (a)(2), no person shall sell, offer for sale, supply, or offer for supply any vehicular diesel fuel unless at the time of the transaction the diesel fuel meets a minimum lubricity level of a maximum wear scar diameter of 520 microns based on American Society for Testing and Materials (ASTM) test method D6079-02, Standard Test Method for Evaluating Lubricity of Diesel Fuels by the High Frequency Reciprocating Rig (HFRR), which is incorporated herein by reference.
(B)Sunset. The standard in section 2284(a)(1)(A) does not apply at any time that California diesel fuel must meet a minimum lubricity level of a maximum wear scar diameter of 520 microns based on ASTM test method D6079, Standard Test Method for Evaluating Lubricity of Diesel Fuels by the High Frequency Reciprocating Rig (HFRR), pursuant to section 4143, title 4, California Code of Regulations.
(2)2005 phase-in schedule. The lubricity standard in section (a)(1) shall apply:
(A) Starting January 1, 2005 to all sales, supplies, or offers of vehicular diesel fuel from the production facility or import facility at which it was produced or imported.
(B) Starting February 15, 2005 to all sales, supplies, or offers of vehicular diesel fuel except for transactions directly involving:
1. The fueling of motor vehicles at a retail outlet or bulk purchaser-consumer facility, or
2. The delivery of vehicular diesel fuel from a bulk plant to a retail outlet or purchaser-consumer facility.
(C) Starting April 1, 2005 to all sales, supplies, offers or movements of vehicular diesel, including transactions directly involving the fueling of motor vehicles at a retail outlet or bulk purchase-consumer facility.
(3)Standard starting in 2006. [Reserved]
(4)2006 phase-in schedule. [Reserved]
(5)Exception for upstream activities. Subsection (a)(1) shall not apply to transactions where the person selling, supplying, or offering the motor vehicle diesel fuel demonstrates that: (i) the diesel fuel has not yet been sold, offered, or supplied from the final distribution facility, (ii) the diesel fuel is identified as fuel to which a lubricity additive must be added before the diesel fuel is supplied from the final distribution facility; and either (iii) the person has taken reasonably prudent precautions to assure that he or she will bring the diesel fuel into satisfaction with the requirements of subsection (a)(1) before it is sold, supplied or offered from the final distribution facility, or (iv) at or before the time of the transaction the person has obtained a written statement from the purchaser, recipient, or offeree of the diesel fuel stating that he or she will take reasonably prudent precautions to assure that the diesel fuel will be brought into compliance with the requirements of subsection (a)(1) before it is sold, supplied or offered from the final distribution facility.
(6)Correction of diesel fuel downstream of the final distribution facility.Subsection (a)(1) shall not apply to the sale, supply, or offer of vehicular diesel fuel from a final distribution facility where the person selling, supplying, or offering the diesel fuel demonstrates that the diesel fuel will be corrected to comply with subsection (a)(1) as applicable prior to the sale of diesel fuel from the retail outlet. If such corrective action is taken, the producer, importer, or distributor of the diesel fuel must notify the Enforcement Division of the Air Resources Board by telephone or in writing within 2 business days of the correction. The person must also maintain records to document each occurrence for at least one year, and make the records available to the Executive Officer or his/her designee within 20 days of a written request. This subsection (a)(6) exception does not apply to vehicular diesel fuel found by an enforcement inspector to be in noncompliance, unless the person selling, supplying, or offering the diesel fuel affirmatively demonstrates that he or she would have corrected the diesel fuel independent of the inspection.
(7)Applicability of standards to California nonvehicular diesel fuel.
(A) Activities involving California nonvehicular diesel fuel (other than diesel fuel offered, sold or supplied solely for use in locomotives or marine vessels) are also subject to this section to the extent required by section 93114, title 17, California Code of Regulations. As adopted, section 93114 requires each air pollution control or air quality management district by December 12, 2004 to treat this section 2284 as applying to California nonvehicular diesel fuel (other than diesel fuel offered, sold or supplied solely for use in locomotives or marine vessels) as if it were vehicular diesel fuel, and to enforce those requirements regarding California nonvehicular diesel fuel, unless the district has proposed its own airborne toxic control measure to reduce particulate emissions from diesel-fueled engines through standards for nonvehicular diesel fuel.
(B) Activities involving California nonvehicular diesel fuel used in harborcraft and most diesel-electric intrastate locomotives are also subject to this section 2284 as if the fuel were vehicular diesel fuel, to the extent required by section 2299, title 13, California Code of Regulations, and section 93117, title 17, California Code of Regulations. As adopted, these regulations make nonvehicular diesel fuel used in most harborcraft in the South Coast Air Quality Management District subject to the requirements of this section 2284 starting January 1, 2006, and make all California nonvehicular diesel fuel used in most harborcraft and diesel-electric intrastate locomotives subject to this section 2284 starting January 1, 2007.
(b) Definitions. For the purposes of this section:
(1) "Bulk purchaser-consumer" means a person that purchases or otherwise obtains diesel fuel in bulk and then dispenses it into the fuel tanks of motor vehicles owned or operated by the person.
(2) "Bulk plant" means an intermediate diesel fuel distribution facility where delivery of diesel fuel to and from the facility is solely by truck.
(3) "California nonvehicular diesel fuel" means any diesel fuel that is not vehicular diesel fuel and that is sold or made available for use in engines in California.
(4) "Diesel fuel" means any fuel that is commonly or commercially known, sold or represented as diesel fuel, including any mixture of primarily liquid hydrocarbons that is sold or represented as suitable for use in an internal combustion, compression-ignition engine.
(5) "Executive Officer" means the executive officer of the Air Resources Board, or his or her designee.
(6) "Marine vessel" has the meaning set forth in section 39037.1 of the Health and Safety Code.
(7) "Motor vehicle" has the same meaning as defined in section 415 of the Vehicle Code.
(8) "Produce" means to convert liquid compounds which are not diesel fuel into diesel fuel.
(9) "Producer" means any person who produces vehicular diesel fuel in California.
(10) "Refiner" means any person who owns, leases, operates, controls or supervises a refinery.
(11) "Refinery" means a facility that produces liquid fuels by distilling petroleum.
(12) "Supply" means to provide or transfer a product to a physically separate facility, vehicle, or transportation system.
(13) "Vehicular diesel fuel" means any diesel fuel (A) which is not conspicuously identified as a fuel which may not lawfully be dispensed into motor vehicle fuel tanks in California; or (B) which the person selling, offering for sale, or supplying the diesel fuel knows will be dispensed into motor vehicle fuel tanks in California; or (C) which the person selling, offering for sale, or supplying the diesel fuel in the exercise of reasonable prudence should know will be dispensed into motor vehicle fuel tanks in California, and that is not the subject of a declaration under penalty of perjury by the purchaser, offeree or recipient stating that s/he will not sell, offer for sale, or transfer the fuel for dispensing, or dispense the fuel, into motor vehicle fuel tanks in California.
Note: Authority cited: Sections 39600, 39601, 43013, 43018 and 43101, Health and Safety Code; andWestern Oil and Gas Ass'n. v. Orange County Air Pollution Control District, 14 Cal. 3d 411, 121 Cal. Rptr. 249 (1975). Reference: Sections 39000, 39001, 39002, 39003, 39500, 39515, 39516, 41511, 43000, 43016, 43018 and 43101, Health and Safety Code; andWestern Oil and Gas Ass'n. v. Orange County Air Pollution Control District, 14 Cal. 3d 411, 121 Cal. Rptr. 249 (1975).
s 2285. Exemption from Diesel Fuel Requirements for Military-Specification Fuels Used in Qualifying Military Vehicles.
(a) Exemption for military-specification fuel used in qualifying military vehicles. The vehicular diesel fuel standards in sections 2281, 2282, and 2284 do not apply to military specification fuel that is sold, offered for sale, supplied, offered for supply, stored, dispensed, or transported for use in:
(1) Vehicles for which the U.S. Environmental Protection Agency has granted a national security exemption under 40 CFR s 85.1708 from motor vehicle emissions standards under 40 CFR Part 86, or which are exempted from regulation under 40 CFR s 85.1703(a)(3) because of features ordinarily associated with military combat or tactical vehicles such as armor and/or weaponry, or military tactical vehicles that are exempt from the California motor vehicle emission standards pursuant to section 1905,title 13, California Code of Regulations; or (continued)