Office of Transportation and Air Quality

EPA420-F-05-011

February 2005

Gasoline Sulfur Rule Questions and Answers 

The following are responses to questions received by the Environmental Protection 

Agency (EPA) concerning the manner in which the EPA intends to implement and assure 

compliance with the gasoline sulfur regulations at 40 CFR Part 80. This document was prepared 

by EPA's Office of Air and Radiation, Office of Transportation and Air Quality, and the Office 

of Enforcement and Compliance Assurance, Office of Regulatory Enforcement. 

Regulated parties may use this document to aid in achieving compliance with the 

gasoline sulfur regulations. However, this document does not in any way alter the requirements 

of these regulations. While the answers provided in this document represent the Agency's 

interpretation and general plans for implementation of the regulations at this time, some of the 

responses may change as additional information becomes available or as the Agency further 

considers certain issues. 

This guidance document does not establish or change legal rights or obligations. It does 

not establish binding rules or requirements and is not fully determinative of the issues addressed. 

Agency decisions in any particular case will be made applying the law and regulations on the 

basis of specific facts and actual action. 

While we have attempted to include answers to all questions received to date, the 

necessity for policy decisions and/or resource constraints may have prevented the inclusion of 

certain questions. Questions not answered in this document will be answered in a subsequent 

document. The Agency intends to provide any additional responses as expeditiously as possible. 

Questions that merely require a justification of the regulations, or that have previously been 

answered or discussed in the preamble to the regulations have been omitted. 

Standards .................................................................... 2 

GPA/Small Refiners ............................................................ 2 

Allotments and Credits ......................................................... 6 

California Gasoline Exemption ................................................... 9 

Downstream Issues ........................................................... 10 

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Standards 

1. Question: If a refinery is sold in 2004 and the prior owner exceeded the per-gallon cap 

standard, is the new owner subject to the adjusted cap standard under § 80.195(d)(2) in 2005? 

Answer: Yes. Section 80.195(d)(2) applies to the refinery rather than to the refiner. 

Specifically, it provides: “In 2004 only, a refiner or importer may produce or import gasoline 

with a per-gallon sulfur content greater than 300 ppm, to a maximum of 350 ppm, provided .... 

[t]he refinery [emphasis added] or importer becomes subject to an adjusted per-gallon cap 

standard in 2005....” As a result, if the refinery produced gasoline that exceeded the cap standard 

of 300 ppm sulfur in 2004 (but not above 350 ppm), the new owner will be subject to the 

adjusted cap standard under § 80.195(d) for gasoline produced by the refinery in 2005. 

2. Question: Does the gasoline sulfur rule require refiners and downstream parties to 

account for the sulfur content of a registered fuel additive, such as a corrosion inhibitor used to 

help prevent sulfur-related fuel gauge sending unit failures? 

Answer: Currently, there is no requirement under the gasoline sulfur rule for refiners or 

downstream parties to demonstrate compliance with the gasoline sulfur standards for registered 

fuel additives. Parties who add fuel additives, however, are responsible for ensuring that the 

addition of the additive does not cause the gasoline to exceed the applicable downstream sulfur 

standard under § 80.210. 

GPA/Small Refiners 

1. Question: The regulations say that a small refiner’s annual average sulfur standards 

shall apply to the volume of gasoline produced by a small refiner’s refinery up to the lesser of 

105 percent of the refinery’s baseline gasoline volume or the volume of gasoline produced by the 

refinery during the averaging period by processing crude oil. Since baselines were calculated 

based on the total volume of gasoline produced during the baseline period, including gasoline 

produced from purchased blendstocks and gasoline produced by processing small amounts of 

purchased intermediate feedstocks, should the volume of gasoline produced during the averaging 

period be calculated in the same manner as the baseline calculation (i.e., include gasoline 

produced from purchased blendstocks and gasoline produced by processing small amounts of 

purchased intermediate feedstocks)? 

Answer: Section 80.240(c)(1) provides that “The refinery annual average standards 

specified in [§ 80.240(a)] apply to the volume of gasoline produced by a small refiner’s refinery 

up to the lesser of: 

(i)105% of the baseline volume as determined under § 80.250(a)(1); or 

(ii) The volume of gasoline produced at that refinery during the averaging period by 

processing crude oil.” 

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The preamble to the gasoline sulfur rule states that this limitation is included in the 

regulations to ensure that refineries owned by small refiners receive relief only for the gasoline 

produced from crude oil, which is the portion of the refinery operation requiring capital 

investment to meet lower sulfur standards. See 65 FR 6769 (February 10, 2000). The preamble 

indicates that the baseline volume is the volume of gasoline produced during the baseline years 

(1997-1998) from crude oil, excluding the volume of gasoline for export as well as gasoline 

produced using purchased blendstocks. Note that the preamble made an exception, however, for 

purchased blendstocks that were substantially transformed using a refinery processing unit – 

such blendstocks could be included in baseline volumes. See 65 FR 6769, footnote 94. 

As the preamble indicates, the intent of the regulations was to exclude gasoline produced 

from purchased blendstocks from the small refiner baseline volume calculations. Where 

gasoline is determined to be subject to the volume limitation of 105 percent of the baseline 

volume under § 80.240(c)(1)(i), including gasoline produced from purchased blendstocks in the 

refinery’s baseline volume would have the effect of increasing the volume of gasoline subject to 

the small refiner standards. Although gasoline produced from purchased blendstocks may have 

been included in some small refinery baseline calculations, we believe the amount is minimal 

and does not undermine the intent of the provisions of § 80.240(c)(i.e., to limit application of the 

small refiner standards to gasoline produced by processing crude oil). 

On the other hand, we believe that including batches of gasoline produced solely by 

blending purchased blendstocks in calculating the annual volume of gasoline produced using 

crude oil under § 80.240(c)(1)(ii) may undermine the intent of the regulations, particularly if 

large of amounts of gasoline are produced by blending purchased blendstocks. As a result, 

batches of gasoline produced by blending two or more purchased blendstocks together, or by 

blending purchased blendstocks with previously certified gasoline, may not be included for 

purposes of determining the annual volume of gasoline production under § 80.240(c)(1)(ii). 

However, as indicated in the preamble, gasoline produced using purchased blendstocks, or 

intermediate feedstocks, which are substantially transformed using a refinery processing unit 

may be included in the volume under § 80.240(c)(1)(ii). 

We understand that, as a part of normal refinery operations, butane produced by a 

refinery is often stored or sold during the summer when it is not needed. Butane is then brought 

back to the refinery, or purchased, for use in the winter. We assume that the amount of butane 

which is added to gasoline produced by a refinery during the winter is roughly the same amount 

of butane that is produced and stored or sold by the refinery during the summer. Therefore, we 

will consider such butane to be part of a refinery’s production volume for purposes of 

determining the volume under § 80.240(c)(1)(ii). 

We also believe that it is normal business practice for a refinery to add some small 

amounts of other purchased blendstocks to the gasoline it produces. Therefore, although 

purchased blendstocks added to gasoline produced by a refinery generally must be excluded for 

purposes of the volume determination under § 80.240(c)(1)(ii), we believe that de minimus 

amounts of such blendstocks may be included. 

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2. Question: Small refiners and Geographic Phase-In Area (GPA) refiners have the option 

of extending their gasoline sulfur standards if they produce 100 percent of their highway diesel 

fuel at the 15 ppm sulfur level. During their extension period, may these same small and GPA 

refiners continue to generate gasoline sulfur credits, or use “early” gasoline sulfur credits to meet 

the sulfur standards? 

Answer: Yes. The regulations at § 80.540 allow a GPA refiner to extend its gasoline 

sulfur standards from December 31, 2006, to December 31, 2008, if 100 percent of the GPA 

refiner’s highway (motor vehicle) diesel fuel complies with the 15 ppm sulfur standard at § 

80.520(a)(1) by June 1, 2006 (at a volume that is at least 85 percent of its baseline volume). The 

regulations at § 80.553 allow a small refiner to extend its gasoline sulfur standards to December 

31, 2010, if 100 percent of the small refiner’s highway diesel fuel complies with the 15 ppm 

sulfur standard at § 80.520(a)(1) by June 1, 2006 (at a volume that is at least 85 percent of its 

baseline volume). Where EPA has approved this extension of the gasoline sulfur standards for a 

GPA or small refiner, we interpret the regulations to also extend the gasoline sulfur provisions 

relating to compliance with the GPA or small refiner gasoline sulfur standards. As a result, a 

GPA or small refiner with an approved extension of its GPA or small refiner standards may 

continue to generate gasoline sulfur credits based on its GPA or small refiner status, or use 

credits to meet its gasoline sulfur standards, including early credits (i.e, credits generated before 

2004), during the appropriate extension period. 

3. Question: The term Sb in the equation in § 80.240(c)(2) is the small refiner sulfur 

baseline as determined under § 80.250. Should this term be the small refiner standard as 

determined under § 80.240(a) instead of the small refiner baseline? 

Answer: Yes. The term “Sb“ in the equation in § 80.240(c)(2), where “Sb = Small refiner 

sulfur baseline as determined under § 80.250," should be “Sstd,” where “Sstd= Small refiner sulfur 

standard as determined under § 80.240(a).” We intend to correct this error in a future 

rulemaking. 

4. Question: If a small refiner buys a refinery that produces GPA gasoline, does the refiner 

have the option to retain the GPA standards for the refinery, or must the newly acquired refinery 

meet the small refiner standards? 

Answer: Section 80.216(e) provides that gasoline produced by approved small refiners 

subject to the small refiner standards is not subject to the GPA standards. Section 80.240(b) 

provides that the small refiner annual average sulfur standards must be met for each refinery 

owned by a small refiner. Therefore, when a small refiner buys a refinery, that refinery becomes 

one of the small refiner’s refineries that is subject to the small refiner standards. As such, the 

gasoline produced by that refinery is not subject to the GPA standards. If, however, the small 

refiner withdraws its status as a small refiner under § 80.235(i), the GPA standards may apply to 

gasoline produced for sale in the GPA by the newly acquired refinery. 

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5. Question: Klickitat County Oregon is not included in the list of GPA counties. Was this 

an oversight? 

Answer: Yes. Klickitat County is included in the GPA, but was inadvertently omitted 

from the list of GPA counties when the list was published in the Federal Register. We intend to 

correct this error in a subsequent rulemaking. 

6. Question: Does § 80.255, which requires small refiners to provide a compliance plan and 

demonstration of progress, apply only to applications for small refiner gasoline hardship 

extensions under § 80.260, or do these requirements also apply to applications for small refiner 

gasoline hardship extensions under § 80.553? 

Answer: To be eligible for an extension of the small refiner standards under the gasoline 

sulfur rule, a small refiner must fulfill the requirements under § 80.255 to provide a compliance 

plan and demonstration of progress. These reports provide EPA with information regarding the 

small refiner’s efforts toward compliance with the gasoline sulfur standards in § 80.195 and 

provide a basis upon which to determine whether an extension of the small refiner standards is 

warranted. Extensions of the small refiner standards under the gasoline sulfur rule are based on 

significant economic hardship and the inability of the refinery to produce gasoline meeting the 

sulfur standards in § 80.195. In contrast, the criteria for obtaining an extension of the small 

refiner gasoline standards under the motor vehicle diesel fuel regulations is fulfillment of the 

requirements in § 80.553, including a demonstration that starting no later than June 1, 2006, all 

motor vehicle diesel fuel produced by the refiner will comply with the 15 ppm sulfur standard. 

The regulations do not require a small refiner to fulfill the requirements in § 80.255 to be eligible 

for an extension of the small refiner gasoline standards under § 80.553 of the diesel fuel 

regulations. As a result, we believe that the requirements in § 80.255 do not apply to small 

refiner gasoline hardship extensions under § 80.553. 

7. Question: Can both credits and allotments be used to comply with the adjusted small 

refiner standard under § 80.240(c)(2)? 

Answer: As discussed above (Standards, Question 2), § 80.240(c)(1) provides that the 

small refiner annual average standards in § 80.240(a) apply to the volume of gasoline produced 

by a small refiner’s refinery up to the lesser of 105 percent of the baseline volume as determined 

under § 80.250(a)(1) or the volume of gasoline produced by that refinery during the averaging 

period by processing crude oil. For small refiners who exceed the volume limitation under § 

80.240(c)(1), § 80.240(c)(2) provides an equation that adjusts the refiner’s refinery standard to 

subject that portion of the refinery’s production volume that is in excess of the volume limitation 

to 120 ppm sulfur in 2004, 90 ppm sulfur in 2005, and 30 ppm sulfur every year thereafter. 

Thus, that portion of a small refiner’s gasoline that is not subject to the small refiner standards is 

subject to the same sulfur limitations as the corporate pool annual average standards in 2004 and 

2005, and the same limitations as the national refinery average standard in 2006 and beyond. 

Small refiners, however, do not comply with the corporate pool average standards per se; i.e., a 

small refiner does not pool volumes from all of its refineries and comply with the 120/90 ppm 

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sulfur standards on a company-wide basis, and it does not generate allotments based on 

reductions from the 120/90 standards. See § 80.195(c)(4); § 80.275(f). See also 65 FR 6760. 

The equation in § 80.240(c)(2) calculates a single “adjusted” sulfur standard applicable to all of 

a small refiner refinery’s gasoline production during the annual averaging period. As such, this 

adjusted standard is the small refiner annual average standard for the refinery for that annual 

averaging period. 

Section 80.240(c)(3) provides that the small refiner average standards under 80.240(a) 

may be met using sulfur allotments or credits. The intent of the regulations was to allow a small 

refiner to use allotments or credits (or both) to achieve compliance with the small refiner’s 

refinery average standard. See 65 FR 6770-71 (February 10, 2000). As discussed above, for a 

small refiner whose refinery production exceeds the volume limits under § 80.240(c)(1), the 

refinery’s standard is the adjusted standard calculated under § 80.240(c)(2). Although the 

equation in § 80.240(c)(2) subjects the refiner’s volume that is in excess of the volume limitation 

to the same sulfur limits as the corporate pool annual average standards in 2004 and 2005, as 

discussed above, the small refiner does not comply with the corporate pool average standards as 

such. As a result, small refiners are not limited to the use of allotments to achieve compliance 

for gasoline production in excess of the volume limitation under § 80.240(c)(1). Small refiners 

may use credits or allotments (or both) to achieve compliance with the small refiner standard 

calculated under § 80.240(c)(2) for all of their annual production volume. We intend to clarify 

this in a future rulemaking. 

Allotments and Credits 

1. Question: Can butane blenders generate allotments and credits? 

Answer: Section 80.340(b)(1) provides that butane blenders may comply with the 

gasoline sulfur rule sampling and testing requirements using test results from the butane supplier 

provided that certain requirements are met. One requirement is that the sulfur content of the 

butane must not exceed 120 ppm in 2004 and 30 ppm in 2005 and thereafter on a per-gallon 

basis. Section 80.340(b)(3) requires that the sulfur content and volume of each batch of butane 

used to produce gasoline is treated as a separate batch for purposes of calculating compliance 

with the sulfur standards in §§ 80.195 and 80.216. These sections include the corporate pool and 

refinery and importer annual average standards. 

Although the regulations require refiners who blend butane into previously certified 

gasoline under § 80.340(b) to comply with the sulfur standards for the butane on a per-gallon 

basis, we believe that the regulations at § 80.340(b)(3) also require refiners to include the butane 

in compliance calculations for purposes of complying with the corporate pool standards and the 

refinery annual average standards. Thus, a refiner that produces gasoline by blending butane 

into previously certified gasoline and also produces gasoline by processing crude oil or blending 

other components will include the butane in its corporate pool average in 2004 and 2005, and in 

its refinery average beginning in 2005. Similarly, a refiner that produces gasoline only by 

6
blending butane into previously certified gasoline will comply with the corporate pool and 

refinery average standards based on the batches of butane blended into the gasoline. In either 

case, we believe that sulfur allotments and credits may be generated based on reductions from 

the corporate pool and refinery annual average standards as provided in §§ 80.275 and 80.310. 

2. Question: Under § 80.275(e)(3), are allotments generated in 2003 and 2004 discounted 

when they are used to meet the refinery annual average standard in 2005? 

Answer: Section 80.195(b)(4) provides that, in 2005 only, the refinery or importer 

annual average sulfur standard may be met using credits or allotments as provided under § 

80.275, or credits as provided under § 80.315. Section 80.275(e)(3) provides that allotments 

generated in 2003 or 2004 which are carried over to 2005 are discounted by 50 percent. Section 

80.275(e)(3) also provides that the discounted allotments may be used to demonstrate 

compliance with the corporate pool average standard in 2005, or converted to credits for use in 

demonstrating compliance with the refinery average standard in 2005 or a subsequent year. 

Although § 80.275(e)(3) does not specifically state that 2003/2004 allotments used to meet the 

refinery annual average standard in 2005 are discounted, we interpret § 80.275(e)(3) to provide 

that any allotments generated in 2003 or 2004 that are carried over for use in 2005 are 

discounted, including allotments used to meet the refinery annual average standard in 2005. This 

interpretation is consistent with the language in § 80.275(e)(3) which provides that 2003/2004 

allotments that are carried over to 2005, and then converted to credits and used for compliance 

with the refinery annual average standard, are to be discounted. 

3. Question: What constitutes a “transfer” of credits or allotments under the gasoline sulfur 

regulations? Do the regulations preclude the use of futures contracts? 

Answer: The gasoline sulfur regulations provide that allotments and credits may be 

transferred from one refiner or importer to another, provided that no allotment or credit is 

transferred more than twice. The first transfer is from the refiner or importer who generated the 

allotments or credits to a refiner or importer who intends to use the allotments or credits for 

demonstrating compliance with the sulfur standards. If the transferee refiner or importer cannot 

use the allotments or credits, the refiner or importer may make a final transfer to another refiner 

or importer who intends to use the allotments or credits for compliance. If that refiner or 

importer does not use them, the allotments or credits must be terminated. See §§ 80.275(d)(1), 

80.315(b)(1)(iv). A refiner or importer must use any allotments or credits necessary to meet its 

sulfur standards before transferring any allotments or credits to another refiner or importer. See 

§§ 80.275(d)(2), 80.315((b)(1)(v). 

The regulations also provide that, if any allotments or credits are transferred to or 

obtained from another party, the refiner or importer must report to EPA the name and EPA 

registration number of the party it transferred the allotments or credits to or received them from, 

and the number of allotments or credits that were obtained or transferred. See § 80.370(a)(6)(iv). 

In addition, the regulations provide that refiners or importers must keep records regarding credits 

and allotments, including the name and EPA registration number of any party that the refiner or 

7
importer transferred allotments or credits to or obtained them from, and the number of allotments 

or credits that were transferred or obtained. See § 80.365(b)(2)(iv). 

A “transfer” under the regulations occurs when one refiner or importer conveys 

allotments or credits to another refiner or importer and all of the requirements regarding transfers 

under the regulations are met, including all of the applicable reporting and recordkeeping 

requirements. As a result, for a transfer to be executed, both parties to the transfer must keep 

records of the transaction and report the transfer to EPA. The transfer must be reported by both 

parties in the reports they submit for the annual averaging period in which the transaction occurs. 

For example, if a refiner generates credits in 2005 and plans to convey them to another refiner in 

2006, the refiner must report the generation of the credits in its 2005 report and indicate that the 

credits are being carried over to the next reporting period. The refiner must then report the 

transfer of the credits in its 2006 report. The transferee refiner must also report the transfer (i.e., 

receipt of the credits) in its 2006 report. If a conveyance takes place and one party fails to report 

the transaction, the transfer will not be executed. For example, if a buyer reports a purchase of 

credits but the generator/seller of the credits does not report the transaction, the transfer will not 

be executed and the buyer will not be able to use the credits for demonstrating compliance (or 

make a final transfer to another refiner or carry them over to the next reporting period.) If, in 

this example, the failure to report was due to a clerical error or similar mistake, the seller may 

submit an amended report reflecting the transfer of the credits. However, the buyer of the credits 

will not be able to use the credits until the seller submits the amended report. 

As we indicated in the preamble to the gasoline sulfur rule, there is nothing in the 

regulations that would prevent a person from facilitating the transfer of credits from parties that 

have generated them to parties who need them for compliance, e.g., a broker who would act like 

a real estate broker, so long as the title to the credits or allotments is transferred directly from the 

generator to the user (with one intermediate transfer allowed, as noted above.) See 65 FR 6764 

(February 10, 2000). Therefore, even if extraneous transactions involving allotments or credits, 

such as brokering transfers or trading futures contracts occur, an actual “transfer”will not occur 

under the regulations unless and until all of the regulatory requirements regarding transfers, 

including all reporting and recordkeeping requirements, are fulfilled by both parties. 

4. Question: Do the regulations allow parties to transfer allotments beginning January 1 

through the last day of February following the compliance year in question? For example, could 

company A buy 2004 allotments from company B after January 1, 2005, for application to 

company A's 2004 compliance year? Would the allotments in this example be discounted by 50 

percent because the transaction occurred in 2005? 

Answer: The gasoline sulfur regulations provide that credits may be used to meet the 

annual average standards provided that "[a]ny credit transfer takes place no later than the last day 

of February following the calendar year averaging period when the credits are used." See § 

80.315(b)(1)(iii). Although the regulations do not contain a similar provision for allotments, it 

was EPA’s intention to treat allotment transfers in the same way that credit transfers are treated 

with regard to the time period for trading. As a result, we believe that allotments generated in 

8
2004 may be transferred after January 1, 2005, and used by the buyer refiner or importer for 

demonstrating compliance for the 2004 annual averaging period, as long as the transfer is 

reported by both parties in their EPA reports for 2004 (due the last day of February, 2005). In 

such a situation, the allotments will not be discounted even though the actual transfer takes place 

in 2005. If, however, the buyer refiner or importer does not use the credits for compliance for 

the 2004 annual averaging period, and instead carries them over and uses them to demonstrate 

compliance for the 2005 annual averaging period, then the allotments will be discounted by 50 

percent. 

California Gasoline Exemption 

1. Question: Can California gasoline be included for purposes of generating allotments or 

credits if the gasoline is also certified with EPA? 

Answer: Under § 80.375(a), California gasoline is defined for purposes of the gasoline 

sulfur regulations as “any gasoline designated by the refiner as for use in California.” Under § 

80.375(c)(2) and (c)(3), gasoline designated by the refiner as California gasoline must be kept 

segregated from gasoline produced for use outside of California, and it must ultimately be used 

in California and not used elsewhere. Therefore, gasoline may not be designated, or certified, as 

both California gasoline and gasoline for use outside California. 

Sections 80.200(b) and 80.375(b) provide that gasoline that complies with the 

requirements for California gasoline under § 80.375 is not subject to the requirements under the 

gasoline sulfur rule. California gasoline, therefore, is excluded from a refiner’s volume for 

purposes of gasoline sulfur compliance calculations. Since allotments and credits are generated 

based on the volume of gasoline included in a refiner’s compliance calculations, and since 

California gasoline is not included for purposes of compliance calculations, California gasoline 

also is not included for purposes of calculating the amount of allotments and credits generated. 

The regulations do not provide for California gasoline to be added back into a refinery’s 

production volume for purposes of calculating allotments and credits. 

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Downstream Issues 

1. Question: How should small refiner gasoline be identified on product transfer 

documents (PTDs) where the terminal’s sulfur test result is not available before the gasoline 

leaves the terminal? 

Answer: Section 80.210(d) requires small refiner gasoline (S-RGAS) to be sampled and 

tested and shown to contain a threshold sulfur content in order to continue to be designated as SRGAS on product transfer documents (PTDs). Section 80.210(e) provides that where S-RGAS 

is being delivered into a terminal storage tank containing non-S-RGAS and the tank is 

simultaneously supplying gasoline to a transport truck, the terminal has the option to identify the 

gasoline as S-RGAS before the delivery into the terminal tank is completed and a sample is 

taken and tested. For such gasoline, the terminal is not required to change the PTDs even if it is 

later determined, based on test results, that the gasoline may not have qualified as S-RGAS. 

However, upon completion of the delivery, the terminal may identify the gasoline as S-RGAS 

only if the test results show that it qualifies as S-RGAS. As a result, for any gasoline loaded into 

the truck after the delivery into the terminal tank was completed and the sample was taken, but 

before the test results are received, the terminal may identify the gasoline as S-RGAS on PTDs, 

but must correct the PTDs if the test results show that the gasoline did not qualify as S-RGAS. 

Alternatively, the terminal may choose not to identify the gasoline as S-RGAS, but must correct 

the PTDs if the test results show that the gasoline qualified as S-RGAS. To avoid confusion 

downstream, we recommend that the PTDs accompanying such gasoline include language which 

indicates that the designation is provisional, such as “S-RGAS, pending test results,” or “Non-SRGAS, pending test results,” as appropriate. 

In a situation where non-S-RGAS is being delivered into a terminal storage tank 

containing S-RGAS, the terminal may continue to identify the gas as S-RGAS until the delivery 

into the terminal tank is completed and the sample is taken. The terminal will not have to correct 

PTDs if the test results later indicate that the gasoline may not have qualified as S-RGAS. After 

the delivery into the terminal tank is completed and a sample is taken, but before receiving the 

test results, the terminal may identify the gasoline as either S-RGAS or non-S-RGAS, but must 

correct the PTDs if the test results indicate a different designation is appropriate. As discussed 

above, we recommend that such gasoline be identified on PTDs as “S-RGAS, pending test 

results,” or Non-S-RGAS, pending test results,” as appropriate.” These requirements are 

summarized in Table 1, below. 

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Table 1. PTD Language Requirements for Gasoline Loaded Into a Transport Truck from 

a Terminal Storage Tank that is Simultaneously Receiving a Gasoline Delivery 

New Fuel 

Delivered 

into Terminal 

Storage Tank 

Fuel 

Contained in 

Terminal 

Storage Tank 

Fuel 

Delivery 

Into Tank 

Completed 

(Yes or No) 

Test Result 

Received 

Before 

Transport 

Truck 

Leaves 

(Yes or No) 

PTD Language for Gasoline 

Loaded Into Transport 

Truck 

PTD 

Correction 

Required If 

Necessary 

After Test 

Result 

Received 

(Yes or No) 

S-RGAS Non-S-RGAS No No "S-RGAS" No 

S-RGAS Non-S-RGAS Yes No 

"S-RGAS, pending test 

results" or 

"Non-S-RGAS, pending test 

results," as appropriate 

Yes 

Non-S-RGAS S-RGAS No No "S-RGAS" No 

Non-S-RGAS S-RGAS Yes No 

"S-RGAS, pending test 

results" or 

"Non-S-RGAS, pending test 

results," as appropriate 

Yes 

The regulations require that PTDs must be provided “on each occasion” that custody or 

title of the gasoline is transferred from one party to the next. See § 80.77. We have interpreted 

this requirement to mean, in the case of custody transfers, that the PTDs must be provided 

before, during, or immediately following the transfer of the gasoline. See Reformulated 

Gasoline and Anti-Dumping Questions and Answers, October 17, 1994. To fulfill this 

requirement, we believe that any corrections to the PTDs must be made no more than three 

business days following receipt of the test results. 

We believe there is currently available at least one portable, reasonably priced American 

Society for Testing and Materials (ASTM) test method that would give relatively instantaneous 

test results, eliminating the need to send the sample to a lab for testing and the risk of having to 

change the PTDs if the test results indicate that the gasoline was incorrectly identified. 

2. Question: What PTD language is required for gasoline that includes both GPA gasoline 

and S-RGAS, where the S-RGAS has a higher downstream sulfur standard than the GPA 

gasoline? 

Answer: Section 80.219(c)(ii) provides that all parties in the distribution system are 

prohibited from commingling GPA gasoline with gasoline not designated as GPA gasoline 

unless the mixture is classified as GPA gasoline. As a result, for a mixture of S-RGAS and GPA 

gasoline, the PTDs must identify the gasoline as GPA gasoline. As such, the gasoline may not 

be sold outside the GPA. See § 80.219(c)(i). Section 80.220(b) provides that the downstream 

11
sulfur standard applicable to a mixture of GPA gasoline and S-RGAS is the greater of the 

downstream standard for the GPA gasoline or the downstream standard for the S-RGAS. We 

believe, where a mixture of GPA gasoline and S-RGAS has a S-RGAS downstream standard that 

is greater than the GPA downstream standard, the PTDs for the gasoline must identify the 

product as containing both GPA gasoline and S-RGAS and state the S-RGAS downstream sulfur 

standard. The product transfer documents also must include a statement that the gasoline may 

not be distributed or sold for use outside the GPA. 

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