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Administered by: Industry, Science, Energy and Resources
Published Date 05 Jan 2021

 

ACTING GENERAL MANAGER, LIQUID FUELS TASKFORCE

DEPARTMENT OF INDUSTRY, SCIENCE, ENERGY AND RESOURCES

NOTICE UNDER SECTION 17D OF THE FUEL QUALITY STANDARDS ACT 2000 CONCERNING A DECISION UNDER SECTION 13 OF THAT ACT FOR AN APPROVAL FOR A VARIATION OF THE FUEL QUALITY STANDARDS (AUTOMOTIVE DIESEL) DETERMINATION 2019

I, Dione Scheltus, Acting General Manager, Liquid Fuels Taskforce, Department of Industry, Science, Energy and Resources, delegate of the Minister for Energy and Emissions Reduction, provide the following information concerning my decision to grant an approval under section 13 of the Fuel Quality Standards Act 2000 (the Act).

Name of approval holder

Mobil Oil Australia Pty Ltd, granted on 24 May 2012

Details of the variation

The listed approval was granted to vary the Fuel Standards (Automotive Diesel) Determination 2001 to permit the supply of diesel biodiesel blends as specified in the original grants of approval or subsequent variations.

Pursuant to section 17D of the Act, the period of operation of listed approval has been extended until 31 December 2021, or until a B20 diesel biodiesel standard has been made, whichever occurs first.

Period of operation

This variation comes into force on the date of signing and remains in force for each approval listed until 31 December 2021, or until a B20 diesel biodiesel standard has been made, whichever occurs first.

Summary of reasons for the approval

Having consulted with the Fuel Standards Consultative Committee as required by section 17D(3) of the Act, I grant the variation to each listed approval holder as provided for in section 15 of the Act for the following reasons:

(a)               The protection of the environment

Tailpipe emissions from diesel-biodiesel blend use, compared to diesel, will have both positive and negative impacts on air quality as the level of biodiesel in the blend increases. In general, emissions of oxides of nitrogen increase, but particulate matter, hydrocarbons and carbon monoxide emissions all decrease.

(b)          The protection of occupational and public health and safety

In terms of safety data, diesel with up to 20 per cent biodiesel has been shown to be similar to mineral diesel. Its impact on occupational health and safety should be no greater than diesel already supplied to the market.

(c)           The interests of consumers

As required under the original conditions of approval, the diesel-biodiesel blends may only be supplied under contract to commercial users and not at forecourts. Fuel dispensers must also be clearly labelled to advise consumers that the diesel contains biodiesel to address any potential warranty issues.

(d)          The impact on economic and regional development

As the level of biodiesel has been capped at five per cent in the diesel standard, and in the absence of a B20 diesel-biodiesel standard, industry cannot lawfully supply blends containing greater than five per cent biodiesel. This results in a barrier to the development of an Australian alternative fuels market. If the extensions are not granted, the restriction of blend levels could have a negative effect on the development of the Australian biodiesel industry. 

 

 

 

………………………………………………………………………….

Dione Scheltus

Acting General Manager

Liquid Fuels Taskforce

Department of Industry, Science, Energy and Resources

22 December 2020