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General Assembly Substitute Bill No. 6412
January Session, 2021
AN ACT CONCERNING A LOW-CARBON FUEL BLEN D OF HEATING
OIL AND THE ESTABLISHMENT OF A BIOHEAT ADVISORY BOARD.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 16a-21b of the general statutes is repealed and the 1
following is substituted in lieu thereof (Effective July 1, 2021): 2
(a) For purposes of this section: 3
(1) "Heating oil" means heating fuel that meets the American Society 4
of Testing Materials or "ASTM" standard D396 or the "ASTM" standard 5
D6751; 6
(2) ["Biodiesel blend" means a fuel comprised of mono-alkyl esters of 7
long chain fatty acids derived from vegetable oils or animal fats that 8
meets the most recent version of ASTM International designation 9
D6751;] "Low-carbon fuel blend" means a fuel meeting the standards for 10
advanced biofuels under the federal Renewable Fuel Standard Program, 11
requiring a fifty per cent reduction in lifecycle greenhouse gas 12
emissions, including, but not limited to, qualifying biodiesel meeting 13
the most recent version of ASTM International designation D6751; 14
(3) "Sold" means the wholesale sale made to a retailer or the retail sale 15
made to an end-user consumer; and 16 Substitute Bill No. 6412
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(4) "Commissioner" means the Commissioner of Consumer 17
Protection, or the commissioner's designee. [; and] 18
[(5) "Sufficient in-state production of biodiesel" means fifty per cent 19
of the annual mandated volume of biodiesel, as determined by the most 20
recent data available from the Energy Information Administration of the 21
United States Department of Energy, is available from in-state 22
producers based upon the combined nameplate capacity of such 23
producers.] 24
(b) [(1)] Subject to the provisions of [subdivision (2) of this subsection 25
and subsections (d) and (f)] subsection (e) of this section, [(A)] (1) not 26
later than July 1, [2011] 2022, all heating oil sold in this state shall be a 27
[biodiesel blend] low-carbon fuel blend containing not less than [two] 28
five per cent biodiesel, [(B)] (2) not later than July 1, [2012] 2025, all 29
heating oil sold in this state shall be a [biodiesel blend] low-carbon fuel 30
blend containing not less than [five] ten per cent biodiesel, [(C)] (3) not 31
later than July 1, [2015] 2030, all heating oil sold in this state shall be a 32
[biodiesel blend] low-carbon fuel blend containing not less than [ten] 33
fifteen per cent biodiesel, [(D)] (4) not later than July 1, [2017] 2034, all 34
heating oil sold in this state shall be a [biodiesel blend] low-carbon fuel 35
blend containing not less than [fifteen] twenty per cent biodiesel, and 36
[(E)] (5) not later than July 1, [2020] 2035, all heating oil sold in this state 37
shall be a [biodiesel blend] low-carbon fuel blend containing not less 38
than [twenty] fifty per cent biodiesel. 39
[(2) The provisions of subparagraphs (A) to (E), inclusive, of 40
subdivision (1) of this subsection shall not take effect until the states of 41
New York, Massachusetts and Rhode Island each have adopted 42
requirements that are substantially similar to the provisions of 43
subparagraphs (A) to (E), inclusive, of subdivision (1) of this 44
subsection.] 45
(c) Unless the commissioner issues a waiver pursuant to subsection 46
[(f)] (e) of this section, any [biodiesel] low-carbon fuel blended with 47
heating oil shall be produced in accordance with industry-accepted 48 Substitute Bill No. 6412
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quality control standards. A certificate of analysis that verifies 49
conformity with the critical specifications of designation D6751 of 50
ASTM International, as defined by the National Biodiesel Accreditation 51
Program, or other applicable ASTM specification for low-carbon fuel 52
blends, shall be provided by the marketers or producers of any such 53
[biodiesel] low-carbon fuel prior to the blending of such [biodiesel] low-54
carbon fuel with heating oil. The Department of Consumer Protection, 55
within available appropriations, shall verify that [biodiesel] low-carbon 56
fuel offered for sale in this state conforms to the critical specifications of 57
designation D6751 of ASTM International, as defined by the National 58
Biodiesel Accreditation Program for biodiesel, or other applicable 59
ASTM standards for low-carbon fuel blends, and to the [biodiesel] fuel 60
quality compliance protocol currently accepted by the Department of 61
Consumer Protection. 62
[(d) On or before April 1, 2011, and on or before April 1, 2012, the 63
Commissioner of Consumer Protection, in consultation with the 64
Distillate Advisory Board established pursuant to subsection (e) of this 65
section, shall, within available appropriations, determine whether there 66
is sufficient in-state production of biodiesel, to comply with the 67
provisions of subparagraphs (A) and (B) of subdivision (1) of subsection 68
(b) of this section, respectively. If the commissioner determines that such 69
production is not sufficient, the commissioner, in consultation with the 70
board, may delay the implementation date contained in said 71
subparagraph until July 1, 2012, or earlier, and July 1, 2013, or earlier, 72
respectively, provided the commissioner: (1) Not later than three 73
business days after such determination, posts a notice specifying the 74
duration of such delay on the department's Internet web site, and (2) not 75
later than thirty days after such posting, reports, in accordance with the 76
provisions of section 11-4a, the reasons for such delay to the joint 77
standing committees of the General Assembly having cognizance of 78
matters relating to the environment, general law and energy and 79
technology.] 80
[(e)] (d) (1) There is established a [Distillate] Bioheat Advisory Board. 81 Substitute Bill No. 6412
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Such board shall be located in the Department of Consumer Protection 82
and shall consist of the following members appointed by the 83
Commissioner of Consumer Protection: (A) Two representatives of the 84
producers or suppliers of biodiesel in this state, (B) two representatives 85
of the retail heating oil industry in this state, and (C) two representatives 86
of the wholesale distillate supply industry in this state. Each member of 87
the board shall serve at the pleasure of the commissioner and without 88
compensation. No funds shall be allocated or made available to the 89
board. 90
(2) The board shall advise the commissioner on industry and market 91
[progress in meeting and enabling compliance with the requirements of 92
subsections (b) and (c) of this section] capabilities concerning the 93
blending of home heating oil and identify opportunities for, or barriers 94
to, increasing the low-carbon fuel blend requirements of this section. 95
[(f)] (e) (1) The Commissioner of Consumer Protection, upon the 96
receipt of a petition submitted by the [Distillate] Bioheat Advisory 97
Board in compliance with the provisions of subdivision (2) of this 98
subsection, shall temporarily waive the requirements of subsections (b) 99
and (c) of this section when: (A) The United States Department of 100
Energy authorizes a release from the Northeast Heating Oil Reserve, (B) 101
there is an inadequate supply of low-sulfur distillate products, [or] (C) 102
there is an inadequate supply of [biodiesel] low-carbon fuel blending 103
stocks or an operational problem that affects the supply of [biodiesel] 104
low-carbon fuel blending stocks, or (D) the cost of low-carbon fuel 105
blends, relative to traditional distillate fuels, is such that achieving the 106
minimum low-carbon fuel blends required by this section materially 107
increases, on an annual basis, the heating fuel cost for consumers. Any 108
such waiver shall be for a period of not less than thirty days and not 109
more than forty-five days, provided such waiver may be renewed after 110
the expiration of such period of time. 111
(2) Any petition from the [Distillate] Bioheat Advisory Board that 112
requests a waiver of any requirement of subsection (b) or (c) of this 113
section shall include, at a minimum: (A) A statement of the immediate 114 Substitute Bill No. 6412
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threat to the health and safety of the citizens of this state posed by the 115
inadequate supply of low-sulfur distillate products, [biodiesel] low-116
carbon fuel blending stocks or operational problems that affect the 117
supply of [biodiesel] low-carbon fuel blending stocks, as applicable, (B) 118
the cause and nature of such inadequate supply or operational problem, 119
as applicable, (C) the expected duration of such inadequate supply or 120
operational problem, and (D) as applicable, a description of any 121
alternative distillate supply that temporarily is needed to take the place 122
of the applicable distillate supply described in subsection (b) or (c) of 123
this section. Not later than three business days after receipt of any such 124
petition, the commissioner shall issue a waiver of the requirements of 125
subsection (b) or (c) of this section, as applicable. 126
[(g)] (f) Not later than February 1, [2012] 2022, and each year 127
thereafter, the Commissioner of Consumer Protection, in consultation 128
with the [Distillate] Bioheat Advisory Board, shall submit a report, in 129
accordance with the provisions of section 11-4a, to the joint standing 130
committees of the General Assembly having cognizance of matters 131
relating to energy and the environment on (1) the status and progress in 132
meeting the requirements of this section, [and on] (2) any effect that such 133
requirements may have on the price or supply of heating oil in this state, 134
and (3) opportunities for, or barriers to, increasing the low-carbon fuel 135
blend requirements of this section. 136
(g) Not later than July 1, 2022, the Commissioner of Consumer 137
Protection shall adopt regulations, in accordance with chapter 54, 138
concerning the requirement of retailers of heating oil to disclose the 139
percentage of low-carbon fuel blend contained in the home heating oil 140
delivered to consumers or an approximate range of such percentage. 141
Sec. 2. Section 16a-3d of the general statutes is amended by adding 142
subsection (e) as follows (Effective July 1, 2021): 143
(NEW) (e) For the Comprehensive Energy Strategy next approved 144
after October 1, 2021, and every Comprehensive Energy Strategy 145
prepared thereafter, the Commissioner of Energy and Environmental 146 Substitute Bill No. 6412
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Protection shall consider (1) the reductions in greenhouse gas emissions 147
resulting from low-carbon fuel blends used in home heating oil on a life-148
cycle basis, (2) possible contributions to the state's greenhouse gas 149
emissions mandated levels, pursuant to section 22a-200a, in connection 150
with the reduction of greenhouse gas emissions on a life-cycle basis, (3) 151
the ability of a thermal portfolio standard to further reductions in 152
greenhouse gas emissions on a life-cycle basis, and (4) the relative value 153
of the reductions in greenhouse gas emissions on a life-cycle basis 154
achieved by biodiesel and other low-carbon fuel blends used currently 155
in the state compared with the value of future projected greenhouse gas 156
emissions reductions achieved by the retail heating oil industry on a life-157
cycle basis five, ten, and twenty years into the future using the 158
Department of Energy and Environmental Protections' 159
contemporaneous projection of renewable energy utilized. 160
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2021 16a-21b
Sec. 2 July 1, 2021 16a-3d
ET Joint Favorable Subst.
APP Joint Favorable