Minnesota Suspends B-20 Mandate Through End of June

The Department of Commerce has suspended through June 30 Minnesota’s minimum biodiesel content requirement of 20 percent that went into effect on May 1, OPIS reported.  Biodiesel offered for sale in the state during the suspension must meet the biodiesel minimum content requirement of 10 percent that was in effect prior to May 1.

The DOC announced the suspension after the Minnesota Soybean Processors plant in Brewster notified the agency that it has been unable to produce ASTM and BQ-9000 compliant biodiesel since May 9, 2018, or load trucks since May 16, 2018. Because the plant normally produces 47 percent of the production capacity of biodiesel in the state, there is insufficient supply to meet the mandate.

The temporary suspension was timed so that fuel stations have two weeks to turn their storage tanks over after biodiesel supplies return to normal. Retailers are advised not to wait until July 1 to start taking deliveries of B-20 again.

Minnesota had just in April announced that all diesel sold in Minnesota must contain at least 20 percent biodiesel so that the state could officially implement the B-20 mandate passed in 2008.

The B-20 mandate had been scheduled to be in effect during the state’s “summer months” of April through September. October through March, the biodiesel requirement would have remained at 5 percent.

Originally scheduled to go into effect in 2015, the B-20 mandate has repeatedly been delayed amid concerns from the trucking and petroleum industries regarding diesel engine gelling, clogged fuel and filter lines, availability and fuel mileage.

In general, NATSO opposes government mandates on product sales. Trucking industry observers anticipate that many truck drivers will refuel in Wisconsin prior to entering Minnesota to avoid the B-20 mandate.

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