US production of sustainable aviation fuel (SAF) in the second half of 2024 to date has outpaced the six months prior, according to the latest D4 RIN generation from the US Environmental Protection Agency (EPA).
From January through June of this year, approximately 13.25mn USG of SAF were produced in the US, generating 21.2mn D4 RIN credits. Between July and October, production increased to 20.91mn USG with corresponding D4 RIN generation of 33.45mn credits.
Montana Renewables, the biofuel producing subsidiary of Calumet Specialty Products, made 10mn USG of SAF at its Great Falls, Montana, facility in the third quarter, which accounts for roughly 60pc of US production over that timespan. The facility is currently undergoing a planned turnaround to change catalysts. Despite the uncertainty over the impending expiration of the 40B blenders tax credit and guidance for the 45Z clean fuel production tax credits, the company previously said its SAF operations will continue to thrive under a second administration of president-elect Donald Trump.
D4 RIN credits serve as a major incentive for the production of biodiesel, renewable diesel, and SAF and subsequently function as a significant source of revenue for producers. In the first half of 2024, SAF accounted for 1.89pc of all D4 generated, while from July to October, that figure rose to 2.65pc. RINs are credits traded and produced by refiners and importers to show compliance with the EPA's Renewable Fuel Standard program. Obligated parties can produce credits when renewable fuels are blended into conventional transportation fuels or can purchase credits from other RIN producers.
