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Potential Regulatory Text for Barley Ethanol Pathway Determination

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For the reasons set forth in the preamble, 40 CFR part 80 is amended as follows: PART 80

— REGULATION OF FUELS AND FUEL ADDITIVES
1. The authority citation for part 80 continues to read as follows:

Authority: 42 U.S.C. 7414, 7521(1), 7545 and 7601(a).

2. Section 80.1426 is amended by adding three new rows at the end of Table 1 in paragraph (f)(1) and by adding paragraph (f)(14) to read as follo ws: §80.1426 How are RINs generated and assigned to batches of renewable fuel by renewable fuel producers or importers?

* * * * (f) * * * (1) * * *
Table 1 to §80.1426

—Applicable D Codes for Each Fuel Pathway for Use in Generating RINs Modified to add: * * * * * * * T Ethanol Barley Dry mill process yielding co

- product distillers grains with solubles (which may be up to 100% dry), and using natural gas for process energy and grid electricity 6

U Ethanol Barley Dry mill process using no more than 30,70 0 Btu of natural gas for process energy, no more than 4,200 Btu of biogas from landfills, waste treatment plants, barley hull digesters, or waste digesters or biomass from barley hulls, and no more than 0.84 kWh of 52 electricity from the grid for the entire facility, per gallon of ethanol produced calculated on a per

- batch basis. V Ethanol Barley Dry mill process, using no more than 36,800 Btu natural gas for process energy and for on

- site production of all electricity used at the site other than up to 0. 19 kWh of electricity from the grid, per gallon of ethanol produced calculated on a per batch basis 5

* * * * * (14) Unless otherwise specified, i n order for facilities to satisfy the requirements of either of the two advanced biofuel barley pathways al l of the following conditions (in addition to other applicable requirements) apply. (i) The quantity of natural gas used at the site must be measured and recorded by continuous metering. (ii) The quantity of electricity used at the site that is purchased from the grid must be measured and recorded by continuous metering. (iii) Any quantity of biogas used at the site for process energy must be sourced from
l andfills, waste treatment plants, barley hull digesters and/or waste digesters and must be measured and recorded by continuous metering. (iv) Any quantity of barley hulls used at the site for process energy must be measured and recorded by continuous metering. (v) For any biogas directly transported to the renewable fuel production facility without bein g placed in a commercial distribution system, all of the following conditions must be

met:3

(A) The producer has entered into a written contract for the procurement of biogas that specifies the volume of biogas, its heat content, and that the biogas must be derived from a landfill, waste treatment plant, barley hull digester and/or waste digester. (B) The volume of biogas was sold to the renewable fuel production facility, and to no other facility. (C) The volume of biogas injected into the pipeline and the volume of gas used at the renewable fuel production facility are measured by continuous metering. (vi) For any biogas that has been gathered, processed and injected into a common carrier pipeline for sale to the renewable fuel production facility, all of the following conditions must be met: (A) The producer has entered into a written contract for the procurement of biogas that specifies a specific volume of biogas with a specific heat content, and that the biogas must be derived from a landfill, waste tre atment plant, barley hull digester and/or waste digester. (B) The volume of biogas was sold to the renewable fuel production facility, and to no other facility. (C) The volume of biogas that is withdrawn from the pipeline is withdrawn in a manner and at a time consistent with the transport of fuel between the injection and withdrawal points. (D) The volume and heat content of biogas injected into the pipeline and the volume of gas used at the renewable fuel production facility are measured by continuous me tering. (E) The common carrier pipeline into which the biogas is placed ultimately serves the producer's renewable fuel production facility.4

(vii) No party has generated RINs based on any or all of the contracted volume of biogas sold to the renewable fuel production facility.

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3. Section 80.1450 is amended by adding paragraph (b)(1)(x) to read as follows: § 80.1450 What are the registration requirements under the RFS program?

* * * * (b) * * * (1) * * * (x)(A) For a producer of ethanol from bar ley or a foreign ethanol producer making product from barley, provide a plan that includes the following information: ( 1 ) Locations from which any biogas used at the facility was produced or extracted.

( 2 ) Name of suppliers of all biogas used at the facili ty.

( 3 ) An affidavit from any biogas supplier stating its intent to supply biogas to the renewable fuel producer or foreign ethanol producer, the quantity and energy content of the biogas that it intends to provide to the renewable fuel producer or foreig n ethanol producer, and that the biogas will be derived solely from landfills, waste treatment plants, barley hull digesters and/or waste digesters.

( 4 ) If the producer intends to generate advanced biofuel RINs, estimates of the total amount of natural gas used for process energy , the total amount of biogas or barley hulls used for process energy, the total amount of electricity used from the grid, the total5

amount of ethanol produced, and a calculation of the amount of natural gas energy, biogas or barley hull energy, and electricity per gallon of ethanol produced. ( 5 ) If the producer intends to generate advanced biofuel RINs using pathway U a description of how the facility intends to demonstrate and document that not more than 30,700 Btu of natural gas, not more than 4,200 Btu of biogas from landfills, waste treatment plants, barley hull digesters, or waste digesters or biomass from barley hulls, and not more than 0.84 kWh of grid electricity is used per gallon of ethanol produced, calculated on a per bat ch basis at the time of RIN generation. ( 6 ) If the producer intends to generate advanced biofuel RINs using pathway V a description of how the facility intends to demonstrate and document that not more than 36,800 Btu of natural gas and not more than 0.19 kWh of grid electricity is used per gallon of ethanol produced, calculated on a per batch basis at the time of RIN generation. ( 7 ) Mass and Energy balance. ( 8 ) Quantity of co

- products produced in each of the last 5 years. (B) [Reserved]

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4. Sect ion 80.1451 is amended as follows:

a. By removing paragraph (b)(1)(ii)(S)( 5 ).

b. By redesignating paragraph (b)(1)(ii)(T) as (b)(1)(ii)(U).

c. By adding a new paragraph (b)(1)(ii)(T).
§ 80.1451 What are the reporting requirements under the RFS program?6

* * * * (b) * * * (1) * * * (ii) * * * (T) Producers of advanced biofuel using barley as a feedstock shall report all of the following for each batch of fuel: ( 1 ) The total amount of natural gas that is used at the site for process energy, based on meteri ng, in Btu (lower heating value). ( 2 ) Any amount of biogas from landfills, waste treatment plants, barley hull digesters, or waste digesters that is used at the site for process energy, based on metering, in Btu (lower heating value). ( 3 ) Any amount of barley hulls used at the site for process energy, based on metering, in Btu (lower heating value). ( 4 ) The total amount of electricity that is purchased from the grid and used at the site, based on metering, in kWh. ( 5 ) Total amount of e thanol produced

. ( 6 ) Calculation of the amount of natural gas energy used at the site per gallon of ethanol produce d in each batch. ( 7 ) Calculation of the amount of any biogas from landfills, waste treatment plants, barley hull digesters, or waste digesters or biomass from barley hull energy used for process energy at the site per gallon of ethanol produced in each batch. ( 8 ) Calculation of the amount of grid electricity used at the site per gallon of ethanol produced in each batch.7

( 9 ) The batch

- RIN number as defined in §80.1426(d)(1) or the gallon

- RIN numbers as defined in §80.1425 of the batch being reported.

* * * * * 5. Section 80.1454 is amended as follows:

a. By revising paragraph (k)(1). b. By revising paragraph (k)(2) introductory text.

c. By adding a new pa ragraph (k)(3). § 80.1454 What are the recordkeeping requirements under the RFS program?

* * * * (k)(1) Biogas and electricity in pathways involving feedstocks other than barley or grain sorghum. A renewable fuel producer that generates RINs for biogas o r electricity produced from renew able biomass (renewable electricity) for fuels that are used for

tr ansportation pursuant to §80.1426(f)(10) and (11), or that uses process energy from biogas to produce renewable fuel for which RINs are generated pursuant t o §80.1426(f)(12) shall keep all of the following additional records, as appropriate: (i) Contracts and documents memorializing the sale (including transfer of title and all associated environmental attributes) and movement of biogas or renewable electrici ty for use as transportation fuel from the point of biogas or renewable electricity generation to the facility that either uses or sells the biogas or renewable electricity as transportation fuel. (ii) Contracts and documents memorializing the purchase o f biogas and all associated environmental attributes for use as process energy to make renewable fuel.8

(iii) Documents demonstrating the volume and energy content of biogas, or kilowatt hours of renewable electricity that was delivered to a facility which sells or uses the fuel for transportation purposes. (iv) Documents demo nstrating the volume and ener gy content of biogas, or kilowatt hours of renewable electricity that was placed into a common carrier pipeline (for biogas) or transmission line (for rene wable electricity) either for use at the renewable fuel facility to make biofuel (for biogas) or for ultimate use as transportation fuel (for biogas or renewable electricity). (v) Documents demonstrating the volume and energy content of biogas, or kilowatt hours of renewable electricity, relied upon under § 80.1426(f)(12) at the point of distribution. (vi) Affidavits from the biogas or renewable electricity producer and all parties that held title to the biogas or renewable electricity confirming that title and environmental attributes of the biogas or renewable electricity relied upon under § 80.1426(f)(10) and (11) were used for transportation purposes only, and that the environmental attributes of the biogas relied upo n under § 80.1426(f)(12) were used fo r process heat at the renewable fuel producer's facility, and for no other purpose. The renewable fuel producer shall create and/or obtain these affidavits at least once per calendar quarter. (vii) The biogas or renewable electricity producer's Compliance Certification required under Title V of the Clean Air Act. (viii) Such other records as may be requested by the Administrator. (2) Biogas and electricity in pathways involving grain sorghum as feedstock. A renewable fuel producer that produces fuel pu rsuant to a pathway that uses grain sorghum as a feedstock shall keep all of the following additional records, as appropriate:9

* * * * * (3) Biogas, biomass, natural gas, and electricity in pathways involving barley as feedstock. A renewable fuel producer that produces fuel pursuant to a pathway that uses barley as a feedstock shall keep all of the following additional records, as appropriate: (i) Contracts and documents memorializing the purchase and sale of any biogas, the source of the biogas (geographi c location and whether from landfill, waste treatment plant, barley hull digester, or waste digester), and the transfer of biogas from the point of generation to the ethanol production facility. (ii) If one of the advanced biofuel pathways is used, documen ts describing, on a per batch basis, the total amount (Btu) of natural gas, total amount (Btu) of any biogas (from landfills, waste treatment plants, barley hull digesters, or waste digesters), total amount (Btu) of any barley hulls used, the total kilowa tt

- hours (kWh) of electricity used from the grid, and the total Btu of natural gas, Btu of biogas, Btu of barley hulls, and kWh of grid electricity used on a per gallon basis for the volume in each batch.. (iii) Affidavits from the producer of any biogas used at the facility, and all parties that held title to the biogas, confirming that title and environmental attributes of the biogas were used for producing ethanol at the renewable fuel production facility and for no other purpose. The renewable fuel pr oducer shall obtain these affidavits at least once per calendar quarter. (iv) The biogas producer's Compliance Certification required under Title V of the Clean Air Act. (v) Such other records as may be requested by the Administrator.

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