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MED942608 Reviewing Aspects of the Engine Fuel Specifications Regulations 2008 Discussion Paper December 2010

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MED942608

Reviewing Aspects of the Engine Fuel Specifications

Regulations 2008

Discussion Paper

December 2010

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The opinions and proposals contained in this document are for discussion purposes only and do not necessarily reflect Government policy.

Readers are advised to seek specific legal advice from a qualified professional person before undertaking any action in reliance on the contents of this publication. The contents of this discussion paper must not be construed as legal advice. The Ministry of Economic Development does not accept any responsibility or liability whatsoever whether in contract, tort (including negligence), equity or otherwise for any action taken as a result of reading, or reliance placed on the Ministry or because of having read any part, or all, of the information in this discussion paper or for any error, inadequacy, deficiency, flaw in or omission from the discussion paper.

Ministry of Economic Development Energy and Communications Branch 33 Bowen Street PO Box 1473 Wellington 6140

Tel: 04 472 0030 www.med.govt.nz

ISBN 978-0-478-35888-9 (PDF)

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Contents

MAKING A SUBMISSION.................................................................................................. 4 Posting and release of submissions ..................................................................... 4 Privacy.................................................................................................................. 4

1. INTRODUCTION ....................................................................................................... 5 1.1 Background................................................................................................ 5 1.2 Scope......................................................................................................... 5

2. SUMMARY OF PROPOSED CHANGES.......................................................................... 6

3. PETROL ................................................................................................................. 7 3.1 E70 minimum............................................................................................. 7 3.2 Regular grade MON................................................................................... 9 3.3 Petrol/Ethanol blend waivers for VP......................................................... 10 3.4 Timing of introduction of zero sulphur petrol ............................................ 12 3.5 Manganese .............................................................................................. 13

4. ETHANOL ............................................................................................................. 15 4.1 Inorganic chloride limit and test methods................................................. 15

5. DIESEL................................................................................................................. 17 5.1 Reduction of PAH maximum.................................................................... 17 5.2 Cetane index test method ........................................................................ 18 5.3 Density test method for diesel and biodiesel............................................ 19 5.4 “Alpine” diesel .......................................................................................... 19 5.5 A density waiver for diesel/biodiesel blends............................................. 20

6. BIODIESEL............................................................................................................ 22 6.1 Phosphorus limit and test methods .......................................................... 22 6.2 Test method for polyunsaturated methyl esters ....................................... 23 6.3 Adding a cold soak filterability test ........................................................... 23

7. OTHER ISSUES...................................................................................................... 24 7.1 Definitions of petrol and diesel ................................................................. 24 7.2 Changes to Auckland local authority boundaries ..................................... 24 7.3 Footnote regarding seasonal overlap....................................................... 25 7.4 Provisions relating to biofuels and biofuel blends .................................... 26

8. SUMMARY OF QUESTIONS ..................................................................................... 27

GLOSSARY ................................................................................................................. 29

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Making a Submission The Ministry is seeking comments on this discussion paper by 25 February 2011. Questions are provided to assist, but general comments are also welcome. Where we have asked for comment on an issue, we are particularly interested in the real or perceived costs, benefits and risks of each proposal. Where possible and appropriate, please provide quantified estimates of these costs, benefits and risks.

When making a submission, please include your name, organisation’s name (if applicable), and your address (postal and/or email) and either:

send your comments by email, preferably in a Microsoft Word document, to [email protected], or

mail a hard copy to: Fuels and Crown Resources Group Ministry of Economic Development PO Box 1473 Wellington 6140

Posting and release of submissions Written submissions may be posted at www.med.govt.nz/fuelspecs. We will consider you to have consented to posting by making a submission, unless you clearly specify otherwise in your submission. If sensitive material in your submission cannot be published, please provide two versions of your submission – a full version and a publishable version.

In any case, all information provided to the Ministry is subject to public release under the Official Information Act 1982. Please advise if you have any objection to the release of any information contained in a submission, and in particular, which part(s) you consider should be withheld, together with the reason(s) for withholding the information. We will take into account all such objections when responding to requests for copies and information on submissions to this document under the Official Information Act 1982.

Privacy The Privacy Act 1993 establishes certain principles with respect to the collection, use, and disclosure of information about individuals by various agencies including the Ministry of Economic Development. It governs access by individuals to information about themselves held by agencies. Any personal information you supply in the course of making a submission will be used by the Ministry only in conjunction with the matters covered by this document. Please clearly indicate in your submission if you do not wish your name to be included in any summary of submissions that we may publish.

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1. Introduction

1.1 Background The Ministry of Economic Development (MED) is responsible for the administration of the Engine Fuel Specifications Regulations 2008 (Regulations). The Regulations provide comprehensive fuel specifications for petrol, petrol/ethanol blends, diesel, biodiesel and diesel/biodiesel blends.

Most of the diesel used in New Zealand and a little over half of the petrol is supplied by the New Zealand Refining Company Ltd (NZRC), with the remainder imported from refineries around the Asia-Pacific. Most biofuels used are domestically produced.

The Regulations set out minimum standards affecting the performance of fuel, enabling consumers to purchase petrol and diesel to a quality standard appropriate for New Zealand’s vehicle fleet and climatic conditions. They also include provisions limiting components that could be harmful to the environment or public health.

The current specifications are primarily the result of a major review undertaken in 2001/02 of the then Petroleum Products Specifications Regulations 1998.1 The outcomes of this review and a subsequent review of sulphur levels were implemented between 2002 and 2009. Biofuels were added to the specifications in 2008 and ”engine fuel” replaced “petroleum” in the name of Regulations at that time to reflect their broader scope.

The specifications provided in the Regulations reflect a continual balancing of costs and benefits and have evolved in step with international developments in vehicle technology and fuel supply. Whilst there is much commonality amongst international fuel specifications there is no international consensus on many parameters. It nonetheless remains important that our specifications are aligned where possible with key sources of vehicles and with fuel specification norms.

The tightening of fuel specifications over the last decade has reduced harmful emissions from vehicles and enabled the uptake of the newest and cleanest vehicle technologies (e.g. “Euro 5” diesel vehicles). Fuel that meets these tighter fuel specifications is however more difficult to produce and only some refineries in the Asia-Pacific can achieve the specifications consistently.

1.2 Scope The focus of this review is on relaxing unnecessarily constraining fuel parameters, reflecting technological advancements, aligning with overseas specifications, and future proofing the regime. Specific proposals are outlined in this paper.

We are seeking information from stakeholders on the specific proposals and the questions posed to inform decisions on changes to the Regulations. Feedback is also welcomed on other aspects of the Regulations.

1 See the archive section of MED’s website at www.med.govt.nz/fuelspecs under the header Petrol and Diesel: Delivering Quality for more information on this review.

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2. Summary of proposed changes

Petrol

• Minimum E70 for summer season reduced from 22% to 20%

• Minimum MON for regular grade petrol reduced from 82 to 81

• Vapour pressure waiver of 7 kPa for petrol/ethanol blends extended to winter season

Ethanol

• Inorganic chloride content limit reduced from 32 mg/kg to 10 mg/kg

• ASTM D 7319 and ASTM D 7328 prescribed as test methods for inorganic chloride content

Diesel

• Maximum PAH content reduced from 11% mass to 8% mass

• ASTM 4737 prescribed in place of ASTM D 976 as the test method for cetane index

• ASTM D 4052 adopted as a test method for density as well as, or instead of, the existing method (ASTM D 1298)

• Density waiver for diesel/biodiesel blends up to 5% biodiesel of 0.002 kg/m3 (giving a maximum density of 0.852 kg/m3)

Biodiesel

• Maximum phosphorus content reduced from 10 mg/kg to 4 mg/kg

• EN 15779 prescribed for measuring polyunsaturated methyl ester content

Other changes

• Definitions of petrol and diesel amended to explicitly cover all fuels regardless of the feedstock or production process

• Definition of “Auckland and Northland” amended to reflect the southern boundary of the new Auckland Council

• Length of “grace period” for low volume filling stations to meet seasonal transitions defined

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3. Petrol

3.1 E70 minimum

What is E70?

E70 refers to the percentage by volume of petrol that evaporates when heated to 70 degrees Celsius (°C). E70 is one of a number of specified parameters through which petrol volatility is controlled. The others are E100 (percentage of petrol that evaporates at 100 °C), E150, end point (the point at which all volatile components have burned off), vapour pressure (VP) and flexible volatility index (FVI).2 E70 relates predominately to cold running performance.

What is the current specification?

The Regulations specify a minimum E70 of 22% and a maximum of 48%. This specification applies in all regions and in all seasons to both regular and premium grade petrol.

What is the issue?

E70 is a constraining parameter for fuel suppliers, particularly for premium grade petrol (petrol with a research octane number (RON) of 95 or higher) in summer3. This section discusses whether a reduction in minimum E70 is appropriate, and if so to what extent.

Meeting other regulated parameters (most notably octane and VP) can adversely impact E70 values in petrol. For instance, higher octane levels in petrol can be achieved through high aromatics composition and other heavier components, but this leads to low E70 values. Keeping VP low requires limiting the volatile components and this also leads to low E70 values.

Whilst there are good policy reasons for each of the individual VP, E70 and octane parameters, tight specifications for all three creates a very narrow acceptable range at certain times. This is most acute in regard to higher octane premium grade petrol for the Auckland/Northland summer specification where the strictest VP maximum of 65 kPa applies. The narrow range resulting from this makes producing acceptable product challenging, potentially increasing costs and sometimes delays while re-blending occurs.

The minimum octane for premium grade of 95 RON is a standard international specification for vehicles and fuel and so no consideration is being given to changing this. The strict summer VP limit of 65 kPa was deliberately imposed for the Auckland/Northland region as evaporative hydrocarbon emissions are an air quality concern in Auckland. Of the three constraining parameters it is therefore the specified E70 minimum which appears worthy of further consideration. In particular we are considering whether a minimum E70

2 Vapour pressure (VP) is a measure of the volatility of a liquid fuel measured at standardised temperature and pressure. E70 is the percentage by volume of petrol that has evaporated when it is heated to 70°C. Flexible Volatility Index (FVI) is a function of VP and E70. VP and E70 are good measures of cold running performance in vehicles whereas FVI is a good measure of hot running performance.

3 The summer season for petrol is the period 1 December to 31 March (inclusive).

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requirement of 22% remains necessary at all times as even a minor relaxation to 20% minimum would appear sufficient to ease the constraint outlined above.

The potential adverse impact that has been identified with reducing the minimum E70 would be on the cold starting and cold running performance of some engines, in particular those fitted with carburettors. Until 1994 the minimum specified value for E70 was 15%. This was increased to 25% in 1994 after several cases of cold starting difficulties and then relaxed to 22% in 2002 following the comprehensive review of the specifications. The composition of New Zealand’s vehicle fleet has changed significantly since 1994, with carburettor-equipped engines now representing a much smaller proportion of the fleet.

For those petrol specifications around the world that specify E70 limits a minimum of 20% to 22% is usual for climates similar to New Zealand’s. Based on research4 undertaken in the late 1990’s, the European petrol specification (EN 228) prescribes different classes of volatility parameters (e.g. VP and E70) for different climatic conditions. Those classes relevant to New Zealand summer conditions (classes A and B) have a minimum E70 of 20% while those more relevant to winter conditions have a minimum E70 of 22%. Volatility classes prescribed in the Worldwide Fuel Charter5 (WWFC) for climates with temperatures above 5°C (also A and B) provide a minimum E70 of 20% as well, with higher E70 values for temperatures below 5°C.

Other parameters that contribute to good drivability such as minimum VP, E100 and FVI would remain unaltered if any change was made to E70. Given this and the high proportion of fuel injected vehicles in the vehicle fleet, the likelihood of vehicle performance being adversely impacted by an E70 value below 22% appears fairly low. The scale of any impact also appears small, with cold starting difficulties most likely.

Three options for amending the E70 specification to address the issue identified are outlined in the following table, in order from least to greatest extent of change.

Option 1 Reduce E70 to 20% for premium grade in summer in Auckland/Northland only

This would ease the most acute supply constraint whilst also limiting the possible impact on vehicle operability by only making a change in the region and season where it would be least likely to have an impact.

Option 2 Reduce E70 to 20% for all petrol in summer season

A wider reduction of minimum E70 in summer for all petrol to 20% would give greater supply flexibility for both grades and maintain a consistent specification for this parameter for all petrol.

Option 3 Reduce E70 to 20% for all petrol in all seasons

This would maximise supply flexibility but would carry a greater risk of vehicle operability issues by including the colder times of year.

4 See CONCAWE report no. 99/51, “Proposal for revision of volatility classes in EN 228 specification in light of EU fuels directive”, January 1999.

5 WWFC is a set of recommendations for unleaded petrol and diesel specifications, produced by a group of four international automotive manufacturing associations.

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On balance Option 2 is proposed (minimum E70 for petrol in summer reduced from 22% to 20%). We consider this option would give clear supply benefits whilst carrying little, if any risk, of adverse vehicle performance.

3.2 Regular grade MON

What is MON?

Octane number is a measure of petrol fuel’s resistance to auto-ignition. Auto ignition in petrol engines can be classified into two types:

Knock – caused by spontaneous combustion of a portion of un-burnt air/fuel mixture ahead of the advancing flame front.

Surface ignition – where ignition is initiated by any hot surface in the combustion chamber rather than spark discharge at the spark plug.

Spark ignition (i.e. petrol) engines are designed for a certain minimum octane rating. Using a fuel of a lower octane rating may result in knocking or surface ignition and in some circumstances can cause engine damage. Using a fuel of a higher octane rating than required does not generally improve engine performance. The required octane for a particular engine can change over the life of the engine, for example due to the build up of deposits. Many modern vehicles have “knock sensors”, which can adjust engine operation to compensate for insufficient octane.

Octane levels can be represented either through RON or minimum motor octane number (MON). MON reflects the anti-knock performance of fuel under high engine speed and higher load conditions. At high loads detonation problems can be inaudible and therefore unnoticed by most drivers, increasing the risk of engine damage. Insufficient MON is therefore a particular problem in high load conditions in vehicles that do not possess knock sensors.

What is the current specification?

New Zealand’s regulated minimum MON for regular grade petrol is 82 (minimum RON is 91). For those vehicle requiring higher octane petrol there is premium grade (95 RON/85 MON minimum).

What is the issue?

Our minimum MON requirement of 82 for regular grade is higher than in a number of relevant jurisdictions of vehicle and fuel supply. As a higher MON level increases fuel supply costs, and delivers no benefits to engines that don’t require it, the continuing appropriateness of this specification appears worthy of reconsideration. This issue was

Q1 Do you agree that the minimum E70 requirement in summer should be changed from 22% to 20% for petrol?

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considered in 2005 but no changes were made at that time.6 Views received were mixed on the comparative merits of an 81 or 82 MON limit.

International specifications and standards for MON are relevant as they reflect both vehicle operability requirements and available fuel supplies. There is however no international consensus on minimum MON requirements and many jurisdictions do not actually specify a separate MON parameter, relying simply on a RON requirement or a combined octane value (RON + MON divided by 2).

Australia and Europe (EN 2287) specify a minimum MON of 81 for regular grade. The North American markets require 82 MON but are not a large source of vehicles or fuel for New Zealand. Our largest source of vehicles, Japan, does not specify a minimum MON for its low octane 89 RON grade and neither does South Korea for its 91 RON petrol. The WWFC provides a minimum MON of 82.5 for regular grade. The fact that most of New Zealand’s vehicles are sourced from, or sold in, the Japanese and Australian markets where regular grade MON is not regulated above 81 minimum suggests that this should be sufficient for most vehicles.

As noted above, producing or sourcing higher octane petrol is generally more costly. The need to meet the 82 MON requirement for regular grade petrol can necessitate sourcing fuel with a RON of 92 or 93 rather than 91, which has cost implications. We note however that the current specification for regular grade includes limits for several other parameters (olefins, MTBE, aromatics) which already mean it is considered high quality, and therefore more expensive than typical regular grade petrol produced in the Asia-Pacific region. Given NZRC’s configuration, a reduction in regulated MON would not be expected to impact its production of petrol significantly.

It is proposed that MON for regular grade petrol be reduced from 82 to 81.

3.3 Petrol/Ethanol blend waivers for VP

What is VP?

As outlined above in section 3.1 vapour pressure (VP) is a measure of the volatility of petrol and relates to the lighter components in the fuel such as butane. It is defined as the absolute VP exerted by a liquid at 37.8 °C.

What is the current specification?

Schedule 1 of the Regulations provides a minimum VP of 45 kPa and a range of maximum VP limits for petrol that vary by region and season from 65 to 95 kPa.

6 Cabinet Paper: Changes to the Petroleum Products Specifications Regulations 2002, see: http://www.med.govt.nz/templates/MultipageDocumentPage____21706.aspx

7 EN 228:2008 - Automotive fuels. Unleaded petrol. Requirements and test methods

Q2 Do you agree that the minimum MON requirement for regular grade petrol should be reduced from 82 to 81?

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To facilitate the distribution of petrol/ethanol blends containing up to 10% ethanol the following specification “waivers” for these blends were introduced in 20078:

• VP: 7 kPa for summer and transition seasons (not for winter);

• E70: increase maximum by 1% per % of ethanol; and

• FVI: increase by 5 in transition seasons and by 15 in winter.

The waiver of 7 kPa for VP recognises that blending ethanol into petrol causes an increase in VP and was determined following a technical analysis undertaken in 2006.9

What is the issue?

Without the waivers of those properties noted above the supply of ethanol blends in New Zealand would likely require a special petrol blendstock, which would make it more difficult and costly to supply such blends.

Fuel suppliers have raised questions about the comprehensiveness of these waivers – particularly the absence of a VP waiver for winter. Whilst investigations in 2006 concluded a waiver for VP in winter is not generally needed, not having one acts as a constraint – especially for premium grade blends. Although most blends of ethanol with standard winter petrol would not require a waiver, the fact that a small number might makes consistently supplying an on-spec blend all year using standard petrol potentially impossible. This could act as a barrier to the distribution of biofuels in New Zealand. The benefit of extending the VP waiver to winter would be to allow fuel suppliers to blend ethanol into standard petrol all year without the risk of exceeding VP requirements.

The adverse consequence of extending the VP waiver to include winter would be a small increase in evaporative emissions in winter from any fuel that took advantage of the waiver. Given the lower temperatures prevailing in winter, the fact that only a small number of blends would likely take advantage of the waiver, and the currently low penetration of petrol/ethanol blends, any increase in evaporative emissions is likely to be minor. The change is not expected to have any adverse impacts on vehicle operability as all other distillation parameters would remain unchanged.

In the interests of removing any unnecessary impediments to the supply of biofuels in New Zealand we consider that on balance extending the 7 kPa VP waiver for petrol/ethanol blends to include VP in winter has merit. Implementing this proposal result in a consistent set of waivers for all seasons.

The blend waivers for VP, E70 and FVI have now been in place for three years. Officials are welcoming wider feedback on the waivers, including those for E70 and FVI. In particular whether they are sufficiently comprehensive to avoid unnecessary constraints on the supply of petrol/ethanol blends.

8 Cabinet Paper - Petroleum Products Specifications Regulations: Biofuel Blend Waivers and Amendments to the Diesel Carbon Residue Property, see: http://www.med.govt.nz/templates/MultipageDocumentTOC____25328.aspx

9 Investigation of Fuel Specification Waivers for Biofuel Blends, September 2006, see: http://www.med.govt.nz/templates/MultipageDocumentTOC____22711.aspx

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3.4 Timing of introduction of zero sulphur petrol

What is sulphur?

Sulphur occurs naturally in crude oils and must be removed to an acceptable level during the refining process as it promotes corrosion and affects the performance of vehicle emissions control equipment.

What is the current specification?

The current maximum sulphur limit for both regular and premium grade petrol is 50 mg/kg, which is referred to in this paper as 50 parts per million (ppm).

What is the issue?

It has been signalled since the 2001 – 2002 review that the maximum permitted level for petrol would ultimately be further reduced to 10 ppm, which is often referred to as “sulphur free” petrol. It was previously thought here and in Australia that a date around 2010 would be an appropriate introduction date for zero sulphur petrol.10

The current 50 ppm sulphur limit supports the current New Zealand vehicle emissions standard requirements for new petrol vehicles of Euro 4.11 The subsequent Euro 5 emissions standard for petrol vehicles requires 10 ppm sulphur maximum petrol. A date for the adoption of this standard has yet to be fixed in New Zealand or Australia.

The technical rationale identified for reducing maximum permitted sulphur levels to 10 ppm is to support emissions control technologies such as “NOx traps” fitted to some modern vehicles. The extent to which such vehicles require a 10 ppm sulphur petrol, or whether it would simply improve their performance or long term durability vis-à-vis a 50 ppm petrol, is unclear. The benefits for other vehicles would be minor.

The actual sulphur content of petrol supplied in New Zealand is generally well below the current limit of 50 ppm. Some samples taken are below 10 ppm and most are under 40 ppm. This is largely because the platformer used at the Marsden Point Refinery to upgrade naphtha to high octane gasoline blendstocks requires the sulphur in the feed to be removed before processing. Imported petrol, which comes from a number of different refineries, tends to vary more in sulphur level.

10 Review of Permitted Sulphur Levels Beyond 2006 under the Petroleum Products Specifications Regulations, Ministry of Economic Development (2005), see http://www.med.govt.nz/templates/MultipageDocumentTOC____10378.aspx

11 Land Transport Rule: Vehicle Exhaust Emissions 2007, see http://www.nzta.govt.nz/resources/rules/vehicle-exhaust-emissions-2007-index.html

Q3 Do you agree with the proposal to extend the current 7 kPa VP waiver for summer and transition seasons to include winter?

Q4 Is any further extension of the waivers for VP, E70 and FVI necessary to facilitate the supply of petrol/ethanol blends?

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The only countries in the Asia-Pacific region to have adopted a 10 ppm sulphur limit for petrol are Japan and South Korea. Australia has a 50 ppm limit for Premium and a higher 150 ppm limit for regular grade petrol. Other major fuel markets in the Asia-Pacific region currently have limits of 50 ppm or 500 ppm, with Taiwan scheduled to introduce a 10 ppm limit from 2012. Adopting a 10 ppm limit for petrol at this time would move New Zealand ahead of most of the Asia-Pacific region.

Notwithstanding the generally low sulphur levels of petrol in the New Zealand market, regulating a 10 ppm maximum would likely reduce regional supply options and have cost implications for fuel suppliers. We also note that the additional processing required to consistently meet a 10 ppm limit can also increase energy demands and CO2 emissions at refineries.

Whilst it still appears that the adoption of a 10 ppm sulphur limit will ultimately be necessary to support some vehicle technologies, the timing and scope of this move (i.e. premium grade only or both grades) needs to be considered in cognisance of vehicle technology demands and fuel supply availability and costs. Moving to a 10 ppm limit earlier than appropriate would impose costs on all suppliers and ultimately consumers, whilst yielding few if any reductions in harmful emissions or other benefits.

Whilst a consistent 50 ppm sulphur limit for both grades was adopted in New Zealand, officials recognise that depending on vehicle requirements, a split approach between grades may be appropriate for the adoption of a 10 ppm limit. This could facilitate the importation of the latest vehicle technologies, which generally use higher octane premium grade, whilst avoiding any adverse cost or supply implications for regular grade.

No reduction in regulated petrol sulphur levels is proposed at this time.

3.5 Manganese

What is Manganese?

Methylcyclopentadienyl manganese tricarbonyl (MMT) is a manganese-based compound used as an octane-enhancing fuel additive for petrol (typically in concentrations up to 18 mg/litre).

What is the current specification?

Schedule 1 of the Regulations provides for a maximum manganese limit of 2 mg/litre in petrol as tested by ASTM D 3831.

There is no approval under the Hazardous Substances and New Organisms (HSNO) Act 1996 for petrol to contain MMT. Such an approval would be needed before MMT could be legally incorporated in petrol in New Zealand (this applies to both domestically produced and imported petrol).

Q5 Do you agree that no further reduction in petrol sulphur is appropriate at this time?

Q6 When is it likely that 10 ppm sulphur petrol will be required by vehicles and will it be necessary for both grades of petrol?

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What is the issue?

There has been a long running international debate regarding the use of MMT as a fuel additive that has centred on its potentially adverse effects on engine operability and human health.

A precautionary approach was taken in New Zealand with regard to the limit imposed on manganese content.12 The Petroleum Products Specifications Regulations 2002 provided that the limit on manganese would be reviewed in 2006. The issue was duly considered in 2006, and it was decided that the regulated manganese limit should remain until such time that there is sufficient information from reviews of the health and vehicle impacts of manganese in petrol.13

There have been recent international developments with regard to manganese. The 2009 European Fuel Quality Directive14 provides that MMT in fuel shall be limited to 6 mg of manganese per litre from 1 January 2011 and 2 mg of manganese per litre from 2014. It outlines that the Commission shall conduct an assessment of the risks for health and the environment from the use of metallic additives in fuel and, for this purpose, develop a test methodology. It shall report its conclusions to the European Parliament and to the Council by 31 December 2012. The directive also requires labelling at point of sale where metallic additives are used.

We are not aware of any conclusive information to suggest a change to the current approach to manganese content.

12 See section 7.13 of Petrol and Diesel: Delivering Quality, September 2001, http://www.med.govt.nz/templates/ContentTopicSummary____16642.aspx

13 Cabinet Paper: Changes to the Petroleum Products Specifications Regulations 2002, see: http://www.med.govt.nz/templates/MultipageDocumentPage____21703.aspx

14 Directive 2009/30/EC of the European Parliament, 23 April 2009

Q7 Do you agree with the proposal to maintain the status quo with regard to manganese content?

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4. Ethanol

4.1 Inorganic chloride limit and test methods

What is inorganic chloride?

Ethanol can be contaminated with chloride ions that can form plugging deposits and can cause corrosion in engines, even at very low levels.

What is the current specification?

Currently the inorganic chloride limit for ethanol specified in Schedule 4 of the Regulations is 32 mg/litre. The specified test method for inorganic chloride is “ASTM D512-81 (1985), Method C (as modified in ASTM D4806)”.

What are the issues?

When introduced the current limit on inorganic chloride was consistent with the Australian and ASTM specifications for ethanol. Recent international developments suggest that a lower minimum level could be appropriate and that new test methods could be adopted.

The WWFC’s 2008 ethanol specification, and the most recent version of the ASTM ethanol specification (D 4806-09) both prescribe a 10 mg/litre maximum for inorganic chloride content. The European ethanol specification (EN 15376:2007) has a 20 mg/litre limit for inorganic chloride content (relevant to petrol/ethanol blends of up to 5% rather than 10%) and the Brazilian specification effectively limits inorganic chloride content to 1 mg/litre.

We are proposing that the limit for inorganic chloride in the Regulations be reduced from 32 mg/litre to 10 mg/litre to more closely align with international specifications. This will provide greater protection for engines and fuel systems against the potentially corrosive effects of inorganic chlorides. The proposed change is not expected to greatly impact ethanol producers and suppliers as inorganic chloride content in ethanol should be low.

Given that the test method for inorganic chloride content prescribed in the Regulations is no longer included in the latest version of ASTM D 4806 and that suitable test methods exist, we are also proposing changes to the test method. ASTM D 7319 and 7328 are both suitable for measuring inorganic chloride content and are already prescribed in the Regulations for testing sulphate content. The latest version of ASTM D 480615 and the WWFC both specify these two methods for measuring inorganic chloride content.

15 ASTM D 4806-09 Standard Specification for Denatured Fuel Ethanol for Blending with Gasolines for Use as Automotive Spark-Ignition Engine Fuel

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We propose adopting these two methods (ASTM D 7319 and D 7328) for measuring inorganic chloride content. This would align with recent international developments and should minimise testing costs by allowing a single method to be used for multiple parameters.

Q8 Do you agree with reducing the maximum permitted inorganic chloride content from 32 mg/litre to 10 mg/litre?

Q9 Do you agree with prescribing ASTM D 7319 and ASTM D 7328 as test methods for inorganic chloride in place of the currently prescribed method?

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5. Diesel

5.1 Reduction of PAH maximum

What is PAH?

Aromatics containing multiple benzene rings are known as polycyclic aromatic hydrocarbons (PAHs). PAHs contribute to various harmful emissions and some are known to be carcinogenic. PAHs are predominantly present in the heavier ends of diesel and so their content is controlled to some extent through the distillation parameters such as T95.

What is the current specification?

The limit on PAHs in diesel is 11% by mass. This limit was determined in 2002 and came into effect in 2006.

What is the issue?

Higher PAH content can increase some types of harmful emissions (e.g. particulates and PAH emissions) and so minimising PAH content contributes to improving air quality. The current level of PAHs in diesel supplied in New Zealand is well below the regulated maximum, with an average content of around 3% and only a small proportion of diesel above 5% PAH. Reducing the current limit would align with some recent international developments and ensure that PAH levels remain low in practice.

The current regulated limit of 11% maximum was aligned with the limits applying in Europe and Australia at the time it was introduced and a number of other jurisdictions in the Asia-Pacific region also specify an 11% maximum. The European limit has however recently been reduced to 8% maximum as specified in EN 59016. Some jurisdictions such as California and South Korea have stricter limits of 5% or less on PAH content. The WWFC specifies varying limits on PAH content of between 5% and 2% for those markets requiring emissions control technologies.

We are proposing the adoption of an 8% limit for PAH content as this would align with the European diesel standard and ensure the PAH content of diesel supplied in New Zealand remains low. Given current diesel supplies it does not appear that this tighter limit would constrain diesel supply options in practice. It would nonetheless make New Zealand’s diesel specification tighter than the Australian specification of 11% and that of a number of other jurisdictions in the Asia-Pacific.

16 EN 590:2009 Automotive fuels. Diesel. Requirements and test methods

Q10 Do you agree with reducing maximum diesel PAH content from 11% mass to 8% mass?

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5.2 Cetane index test method

What is cetane index?

Cetane is a measure of diesel’s propensity for autoignition. The cetane number is measured using a cetane test engine. Cetane index is an estimation of the cetane number calculated from distillation data and density. As there are very few test engines in existence, cetane index is commonly used around the world with many diesel specifications providing for both cetane number and cetane index.

What is the current specification?

Schedule 2 of the Regulations provides parameters and test methods for both cetane number and cetane index for diesel. ASTM D 976 is the specified test method for cetane index.

What is the issue?

Work carried out by the Ministry in the late 1990’s on correlations between cetane index (as determined by the methods ASTM D 976 and ASTM D 4737) and measured cetane number suggested that D 976 provided a better correlation for New Zealand fuels at the time.17 Since 2002 changes in fuel specifications and the configuration of refineries, including NZRC, have led to significant changes in the composition of diesel supplied in New Zealand.

ASTM D 4737 is now more commonly used internationally. It is the method prescribed for cetane index in the Australian diesel specification, and the WWFC. The test method EN ISO 4264:2007, which is identical in its method and calculation to ASTM D 4737, is specified in the European Diesel specification (EN 590). To align with international practice it is proposed that ASTM D 4737 be specified in place of ASTM D 976 in Schedule 2 of the Regulations.

17 Cetane Number of New Zealand Diesel, April 1999, see: http://www.med.govt.nz/templates/MultipageDocumentTOC____8363.aspx

Q11 Do you agree with the proposal to adopt ASTM D 4737, in place of ASTM D 976, as the test method for cetane index?

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5.3 Density test method for diesel and biodiesel The test method ASTM D 1298 is currently the only method specified in the Regulations for measuring the density of diesel and biodiesel. The method ASTM D 4052 is also applicable to the measurement of density and is used commonly internationally. It is proposed that ASTM D 4052 be prescribed in addition to the existing method.

5.4 “Alpine” diesel Diesel contains parafins which will start to form wax crystals as the fuel is cooled. This can lead to blockages of fuel filters and interruption to fuel supply under cold conditions. Sustained periods of cold weather tend to be most problematic.

The diesel specification controls cold weather diesel performance through both cloud point and Cold Filter Plugging Point (CFPP). Cloud point is the temperature at which wax crystals start to precipitate out and the fuel becomes cloudy. CFPP is the lowest temperature at which the fuel can pass through a standard test filter under standard conditions. CFPP is more precise than cloud point and generally provides a better indication of fuel performance in an engine.

The Regulations minimum requirements for winter are +2°C cloud point and -6°C CFPP. Fuel suppliers however supply diesel with superior properties (up to -15°C CFPP) in colder regions in winter to ensure fitness for purpose. Some fuel suppliers have also supplied diesel with a CFPP below -15°C to some users operating in the coldest areas of New Zealand (for example ski fields).

Supplying diesel with particularly good cold properties to some customers in cold areas was traditionally done through blending kerosene with diesel. Given that this fuel is supplied on a non-retail basis it is required by clause 15 of the Regulations to conform only to the specifications for sulphur and PAHs specified in Schedule 2. We note a separate HSNO approval is provided for this diesel because the increased kerosene content tends to result in a low flashpoint.18

The adoption from 2009 of a 10 ppm sulphur limit for all diesel (both retail and non-retail with the exception of diesel supplied for marine use) effectively precluded the use of any diesel blend component with a sulphur level above 10 ppm. The kerosene available at fuel terminals around New Zealand is jet fuel and generally has a sulphur level between 100 ppm and 500 ppm (although sulphur content in jet fuel is allowed up to 3000 ppm under the international Jet A-1 specification). The 2009 sulphur level reduction therefore precluded the blending of available kerosene with diesel. 18 Low flashpoint diesel (low flash domestic heating oil and alpine diesel), see: http://ermanz.govt.nz/appfiles/OrgCtrl/pdf/HSR001447Con.pdf

Q12 Do you agree that ASTM D 4052 should be adopted as a test method for density?

Q13 Is it necessary to retain the existing method (ASTM D 1298) as a test method for density?

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Fuel suppliers could source very low sulphur kerosene for blending with diesel, however given the small volumes involved it is unclear the extent to which this approach is practical. Officials are seeking feedback on whether there is a need to amend the Regulations to allow the post-refinery blending of widely available but higher sulphur kerosene with diesel to create a diesel with particularly good cold performance.

Allowing a higher sulphur content for some diesel would increase harmful emissions such as particulates from diesel engines that used this fuel. A higher sulphur level could also have a potentially serious and irreparable impact on the emissions control equipment fitted to many modern diesel engines. Accordingly the use of any diesel containing more than 10 ppm sulphur would have to be limited to suitable engines, which would mean supply on a non-retail basis only where a contract exists between fuel supplier and customer. Blending kerosene also tends to reduce the cetane and lubricity of the fuel. Whilst these two parameters are not regulated for non-retail supplies they would need to be maintained by suppliers to ensure fitness for purpose.

Should a further exception to the 10 ppm sulphur limit for diesel be permitted, in addition to the existing exception for marine diesel, it would be sensible that it be defined as narrowly as possible. We envisage it would at minimum be limited to non-retail sale in winter and that further conditions would also likely be appropriate. Feedback is sought on the need for post-refinery blending of kerosene with diesel to create a fuel with particularly good cold properties for our colder areas.

5.5 A density waiver for diesel/biodiesel blends The density of any diesel (including that containing up to 5% biodiesel) supplied for retail sale must be between 820 kg/m3 and 850 kg/m3. The density of diesel is controlled within a range so as to optimise engine performance and control exhaust emissions.

Biodiesel meeting the Regulations specification for biodiesel has a higher density (860 – 900 kg/m3) than diesel (820 – 850 kg/m3). Density follows a linear equation and so it is possible to determine the resultant density from a diesel/biodiesel blend if the density of the two components and the blend concentration is known.

If biodiesel is blended with diesel at the top of the density range (i.e. 850 kg/m3) then the resulting blend would be off-specification even though both individual blend components met their respective specifications. Should a fuel supplier intend to consistently include biodiesel in their retailed diesel they would have to ensure that the diesel component was not at the top of the density range (i.e. above 847 kg/m3) or reduce the biodiesel content to as little as 1% when diesel density was high. Avoiding the top of the diesel density range at all times would be an additional constraint that could be impractical or have cost implications.

An alternative approach would be to provide a waiver that recognised that blending two on-spec components could yield a product with a density above the top of the prescribed range. Because of the different nature of biodiesel (e.g. no aromatics and oxygen content) it generally burns more leanly than diesel and therefore a higher density blend would not

Q14 Is there a need to facilitate the post-refinery blending of kerosene with diesel to create a fuel with particularly good cold properties for our colder areas. If so in what circumstances would it be required?

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necessarily impact engine performance and emissions in the way a high density diesel could. The higher density content would be due to the presence of fatty acid methyl esters (FAME) rather than heavy molecular weight hydrocarbons.

Consideration was given in 2007 to providing a density waiver for diesel with up to 5% biodiesel of 0.002 kg/m3 (giving a maximum density of 0.852 kg/m3).19 Stakeholder feedback on the need for this was mixed and it was determined that because it would only be required in a very small proportion of situations (about 1%) the benefits of it would be outweighed by the administrative complications and costs.20

Since 2007 domestic experience in biodiesel production and supply of blends has increased and so feedback is again sought on whether consideration should be given to providing a small density wavier (around 0.002 kg/m3) for diesel containing up to 5% biodiesel. The advantage would be to simplify the supply of diesel/biodiesel blends. Disadvantages include inconsistency with approaches in some international jurisdictions (e.g. Europe) and possible impacts on engine fuelling.

19 Fuel Specifications - Biofuel Blends Waivers Discussion Document, see: http://www.med.govt.nz/templates/MultipageDocumentTOC____22707.aspx

20 Cabinet Paper - Petroleum Products Specifications Regulations: Biofuel Blend Waivers and Amendments to the Diesel Carbon Residue Property, see: http://www.med.govt.nz/templates/MultipageDocumentTOC____25328.aspx

Q15 Do you agree that a density waiver for diesel/biodiesel blends up to 5% biodiesel of 0.002 kg/m3 (giving a maximum density of 0.852 kg/m3) should be introduced?

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6. Biodiesel

6.1 Phosphorus limit and test methods

What is phosphorus?

Phosphorus can be present in biodiesel at low levels as a result of compounds naturally found in biodiesel feedstocks.

What is the current specification?

The current maximum limit on phosphorus for biodiesel is 10 mg/kg. The specified test method is ASTM D 4951.

What is the issue?

Phosphorus can damage the ability of after-treatment systems to reduce harmful exhaust emissions. The effect of phosphorus is cumulative and so very low levels of contamination over the significant amount of fuel consumed by an engine may lead to deterioration of emissions control systems.

The limit on phosphorus of 10 mg/kg provided in the Regulations was consistent with international best practice when it was set in 2008. Subsequent international developments suggest however that a stricter limit may be appropriate.

The limit for phosphorus has recently been reduced in the European biodiesel standard (EN 14214) from 10 mg/kg to 4 mg/kg. The WWFC’s B100 specification also provides a limit of 4 mg/kg and states that an even lower limit might be adopted if better test methods become available. We propose that to align with international best practice the limit for phosphorus in biodiesel specified in the Regulations should be reduced to 4 mg/kg.

In addition to reducing the limit on phosphorus it is proposed that the test method EN 14107 be adopted for measuring phosphorus content in biodiesel in place of the current method (ASTM D 4951).

Q16 Do you agree with reducing the limit on phosphorus for biodiesel from 10 mg/kg to 4 mg/kg?

Q17 Do you agree with adopting the test method EN 14107 for measuring phosphorus content in biodiesel in place of the currently specified method?

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6.2 Test method for polyunsaturated methyl esters There is no method currently prescribed for measuring polyunsaturated (≥4 double bonds) methyl esters. This reflected the absence of an appropriate test method when the Regulations were promulgated in 2008 and this gap exists in other biodiesel specifications.

In 2009 a method (EN 1577921) for measuring polyunsaturated methyl esters was finalised and it is proposed that this is adopted in the Regulations.

6.3 Adding a cold soak filterability test The cold performance of biodiesel is related to both the feedstock used and the quality of processing. Specific cold performance parameters are not provided in the Regulations for biodiesel but retailed diesel/biodiesel blends must meet the limits on cloud point and CFPP provided in Schedule 2 and all fuel supplied must be fit for common purposes.

The “total contamination” test prescribed in the Regulations (IP 440) characterises the filtration properties of biodiesel but is not focussed on its filterability in cold conditions.

In response to concerns with the cold performance of biodiesel in America a cold soak filtration test was added from April 2009 to the mandatory annex in the ASTM biodiesel specification D 6751. Cold soak filtration analysis is defined as: the time in seconds that it takes for cold soaked biodiesel to pass through two 0.8 micron filters and the amount of particulate matter expressed in milligrams per litre collected on the filter.

An updated cold soak filtration test was subsequently developed by the ASTM – “D 7501-09b Standard Test Method for Determination of Fuel Filter Blocking Potential of Biodiesel (B100) Blend Stock by Cold Soak Filtration Test”. This method is not explicitly feedstock specific and its scope suggests that it could be suitable for inclusion in New Zealand’s biodiesel specification. We are aware that questions have been raised in relation to some aspects of this new method, such as its reproducibility and its applicability to all feedstocks.

There appears to be merit in introducing a parameter that directly considers the cold flow filterability of biodiesel, however, only if there is a suitable test method available. Officials seek feedback on this proposal and whether any recently developed test methods would be suitable to New Zealand circumstances and feedstocks.

21 EN 15779:2009, determination of polyunsaturated (≥ 4 double bonds) fatty acid methyl esters by gas chromatography.

Q18 Do you agree with adopting the test method EN 15779 for measuring polyunsaturated methyl ester content in biodiesel?

Q19 Do you agree there is a need to introduce a parameter for biodiesel relating to cold soak filterability?

Q20 If a parameter for cold soak filterability was to be included, would the test method ASTM D 7501-09b be suitable? If not is there any other method that would be more suitable?

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7. Other issues

7.1 Definitions of petrol and diesel The definitions of petrol and diesel in the Regulations cater to traditional fuels that are refined from crude oil. It is likely however that over time a portion of New Zealand’s liquid fuel will be sourced from ‘non traditional sources’. This view is based on domestic precedents (e.g. synthetic petrol was produced at Motunui in the 1980’s and 90’s), recent domestic announcements around the possibility of utilising lignite to produce transport fuels, and prominent international examples of coal-to-liquids (CTL), gas-to-liquids (GTL) and biomass-to-liquids (BTL) production.

All these various methods can produce hydrocarbon fuels that are fungible with traditional refined fuels. It is proposed that the definitions of petrol and diesel be amended so as to explicitly cover all relevant fuels regardless of the feedstock or production process employed to produce them. We note that in some cases synthetic fuels, particularly synthetic diesels can have different chemical properties to traditional fuels. For example synthetic diesel fuel can have higher cetane than conventional diesel but lower density. It is not proposed at this stage that any allowances be made for the potentially different nature of some synthetic fuels.

7.2 Changes to Auckland local authority boundaries Some of the petrol and diesel specifications vary by season and region. The northernmost region “Auckland and Northland” is defined in the Regulations as “the area contained within the Auckland Regional Council and Northland Regional Council boundaries”. All other fuel deliveries in the North Island are classified as the “rest of North Island”.

The southern boundary of the new Auckland Council is slightly different to the former southern boundary of the current Auckland Regional Council.22 We propose that the Regulations be updated to refer to the southern boundary of the Auckland Council. This change would only impact any filling stations or fuel deliveries that changed region in terms of the Regulations as a consequence of this.

22 Maps are available from: http://www.lgc.govt.nz/lgcwebsite.nsf/wpg_URL/Auckland-Governance-Index!OpenDocument

Q21 Do you have any comments on the proposal to amend the definitions of petrol and diesel?

Q22 Do you have any comments on updating the definition of “Auckland and Northland” to include the southern boundary of the new Auckland Council?

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7.3 Footnote regarding seasonal overlap The Regulations contain seasonal specific, permissible limits on certain fuel parameters. Fuel suppliers are required to manage the transitions between seasons so that fuel being supplied remains on-spec to the relevant season at all times. This is an issue where the specification from season to season becomes tighter.

As completely emptying tanks before refilling them with fuel for the new season is not a practical option, transitioning from one seasonal grade to another occurs over a period of time preceding the start of the new season. This transition requires a number of deliveries of ‘new season’ fuel to terminals and in turn filling/service stations before the new season begins. Achieving this transition therefore takes longer for low throughput filling stations where deliveries occur infrequently.

The Regulations acknowledge this issue and provide a “grace period” for low volume sites to meet new season fuel specifications. The relevant clauses in the Regulations (footnotes 3, 4, and 9 of Schedules 1 and 2) state:

“[Fuel] that complies with the previous season’s quality and that is stored in a filling station tank to which fewer than 3 deliveries of [fuel] have been made since 6 weeks before the beginning of the season, is regarded as complying with this specification”

The grace period avoids fuel suppliers having to manage the seasonal transitions around those sites with particularly low volumes, which could make the transition period longer than would be necessary for the vast majority of sites.

The length of the grace period is not currently defined. In theory, if a fuel supplier meets the two conditions listed in the footnote (fuel is compliant with the previous season’s fuel specification and only two deliveries of fuel in the 6 weeks prior to the change of season) they could supply fuel meeting the previous season specification for the duration of the new season - as indicated by the dashed red arrow in the diagram on the following page.

Winter Summer

Observable quality of fuel parameterSeasonal limits for specific fuel parameters

Grace PeriodUndefined

Deliveries of fuel

Max

Max

Min

6 weeks

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Whilst this is not likely to be an issue in practice, as the exemption would apply only to a very limited number of filling stations and to take advantage of it would require a separate fuel supply, we consider that it would be preferable if the Regulations specified the duration of the “grace period”. The intent would be to provide for the following scenario:

Winter Summer

Observable quality of fuel parameterSeasonal limits for specific fuel parameters

Grace Period28 Days

Deliveries of fuel

Max

Max

Min

6 weeks

Our initial view is that a grace period of 28 days should be sufficient for low volume sites. Feedback is sought on this proposed period and also whether it would appropriately be defined in terms of a number of deliveries rather than a period of time.

7.4 Provisions relating to biofuels and biofuel blends The specification for biofuels and biofuel blends were added to the Regulations in 2008 following extensive consultation. These have now been in place for two years and we are seeking any feedback on the operation of these generally.

As with petrol and diesel the Regulations provide different specifications for fuel supplied on a retail or non-retail basis. Specific provisions for example apply to non-retail supplies of biodiesel/diesel.

Q23 Would it be appropriate to define a grace period in terms of a specified period of time, if so would 28 days be sufficient?

Q24 Would it be more appropriate to define a grace period in terms of a number of deliveries to a filling station, if so how many deliveries?

Q25 Do you have any comments on the existing provisions relating to biofuels and biofuel blends?

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8. Summary of Questions Q1 Do you agree that the minimum E70 requirement in summer should be changed

from 22% to 20% for petrol?

Q2 Do you agree that the minimum MON requirement for regular grade petrol should be reduced from 82 to 81?

Q3 Do you agree with the proposal to extend the current 7 kPa VP waiver for summer and transition seasons to include winter?

Q4 Is any further extension of the waivers for VP, E70 and FVI necessary to facilitate the supply of petrol/ethanol blends?

Q5 Do you agree that no further reduction in petrol sulphur is appropriate at this time?

Q6 When is it likely that 10 ppm sulphur petrol will be required by vehicles and will it be necessary for both grades of petrol?

Q7 Do you agree with the proposal to maintain the status quo with regard to manganese content?

Q8 Do you agree with reducing the maximum permitted inorganic chloride content from 32 mg/litre to 10 mg/litre?

Q9 Do you agree with prescribing ASTM D 7319 and ASTM D 7328 as test methods for inorganic chloride in place of the currently prescribed method?

Q10 Do you agree with reducing maximum diesel PAH content from 11% mass to 8% mass?

Q11 Do you agree with the proposal to adopt ASTM D 4737, in place of ASTM D 976, as the test method for cetane index?

Q12 Do you agree that ASTM D 4052 should be adopted as a test method for density?

Q13 Is it necessary to retain the existing method (ASTM D 1298) as a test method for density?

Q14 Is there a need to facilitate the post-refinery blending of kerosene with diesel to create a fuel with particularly good cold properties for our colder areas. If so in what circumstances would it be required?

Q15 Do you agree that a density waiver for diesel/biodiesel blends up to 5% biodiesel of 0.002 kg/m3 (giving a maximum density of 0.852 kg/m3) should be introduced?

Q16 Do you agree with reducing the limit on phosphorus for biodiesel from 10 mg/kg to 4 mg/kg?

Q17 Do you agree with adopting the test method EN 14107 for measuring phosphorus content in biodiesel in place of the currently specified method?

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Q18 Do you agree with adopting the test method EN 15779 for measuring polyunsaturated methyl ester content in biodiesel?

Q19 Do you agree there is a need to introduce a parameter for biodiesel relating to cold soak filterability?

Q20 If a parameter for cold soak filterability was to be included, would the test method ASTM D 7501-09b be suitable? If not is there any other method that would be more suitable?

Q21 Do you have any comments on the proposal to amend the definitions of petrol and diesel?

Q22 Do you have any comments on updating the definition of “Auckland and Northland” to include the southern boundary of the new Auckland Council?

Q23 Would it be appropriate to define a grace period in terms of a specified period of time, if so would 28 days be sufficient?

Q24 Would it be more appropriate to define a grace period in terms of a number of deliveries to a filling station, if so how many deliveries?

Q25 Do you have any comments on the existing provisions relating to biofuels and biofuel blends?

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Glossary

ASTM: ASTM International – formally the American Society for Testing and Materials.

Biodiesel: Fatty acid methyl esters.

Biofuels: Fuels derived from biomass.

BX: A blend of X% biodiesel in diesel, e.g. B5 contains 5% biodiesel and 95% diesel, B100 is pure biodiesel.

Cold Filter Plugging Point (CFPP): An indicator of the temperature at which the precipitation of wax crystals in distillate fuel may lead to blocking or plugging of equipment filters and fuel lines.

Cloud Point: Cloud point defines the temperature at which a clear diesel fuel becomes hazy or cloudy due to the formation of wax crystals.

Diesel: A refined petroleum distillate having a viscosity and distillation range that is intermediate between those of kerosene and light lubricating oil.

E70: The percentage volume evaporated at 70ºC.

Regulations: Engine Fuel Specifications Regulations 2008.

EN: European Standard.

Ethanol: Bioethanol or non-renewable ethyl alcohol which can be used as a fuel in neat form or high level blends in specifically designed vehicles or blended at low levels with petrol for use in vehicles with spark ignition engines.

EX: A blend of X% ethanol in petrol, e.g. E10 contains 10% ethanol and 90% petrol.

FVI: Flexible Volatility Index is a function of VP and E70. It is an indicator of hot running performance, or the tendency for fuel to vaporise in the fuel lines when the engine is hot (known as vapour lock) and impede fuel flow.

HSNO: Hazardous Substances and New Organisms (HSNO) Act 1996.

IP: Energy Institute, formally Institute of Petroleum.

kPa: kilopascal.

ISO: International Organisation for Standardization.

MED: Ministry of Economic Development.

MON: Motor octane number, an indicator that reflects the anti-knock performance of fuel under high engine speed and higher load conditions.

MMT: Methylcyclopentadienyl manganese tricarbonyl, a manganese-based compound used as an octane-enhancing fuel additive.

NZRC: New Zealand Refining Company, operates the Marsden Point Oil Refinery near Whangarei.

Petrol: A refined petroleum distillate, normally boiling within the limits of 15ºC to 220ºC.

Premium grade petrol: Means petrol supplied with a research octane number of 95 or higher.

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Regular grade petrol: Means petrol supplied with a research octane number of at least 91 but less than 95.

RON: Research octane number, an indicator of the fuel’s anti-knock performance at lower engine speed and typical acceleration conditions.

Vapour pressure (VP): This is a measure of the pressure exerted by the vapours delivered from a liquid at a given temperature and pressure.

WWFC (Worldwide Fuel Charter): A set of recommendations for petrol, diesel and biofuel specifications, produced by a group of four international automotive manufacturing associations. The original charter was published in 1998 and has been revised a number of times since. It now outlines comprehensive specifications for petrol, diesel, ethanol and biodiesel and is available from http://www.acea.be/index.php/collection/fuels_guides/.