LCFS credits finished the week at $105 after trading a lone clip at the same level as Thursday’s high trade, maintaining Thursday’s record-breaking high close and bringing the week’s average mid-market value to $101.30, up 3.6% WoW. In total more than 65,000t of credits have changed hands so far this month. Friday’s market closed best offered at $106, with the best bid sitting at $101.
Fresh EMTS RIN generation data showed 42.96mn gal of renewable diesel was used to generate RINs nationwide across all nested categories in October, up 3.15% MoM. Of this, 20.58mn gal of renewable diesel supplied D6 RINs and 11.35mn gal supplied D5 RINs. In January to October 2015, 435mn gal of renewable diesel contributed to RIN generation across all categories, bringing monthly average output up 3mn gal YoY to 43mn gal/month. In total 487mn gal of renewable diesel contributed to RIN generation nationwide last year across all nested categories. 104mn gal of renewable diesel was counted towards LCFS credit generation in 2014, equivalent to 3.77% of statewide diesel consumption. Weekly state production data showed output of gasoline slowed by 2.3% WoW in California, while state-based diesel production slumped by 38.1% WoW.
A spokesman told PRIMA US biodiesel producers’ association NBB backs Iowa Biodiesel Board’s optimism after a round of Washington meetings this week that a re-instated blenders credit for 2015 will be superseded by a producers credit in 2016. Horse trading over the extenders package will likely heat up after Thanksgiving, NBB expects.