Executive Summary

2. Petrol and diesel quality in New Zealand is regulated by the Petroleum Products Specifications Regulations 2002 (PPSR). Biodiesel, biodiesel blend and ethanol fuel quality is not currently regulated. This paper recommends specifications for these fuels for inclusion in the PPSR.

3. The recommended biodiesel specifications are largely consistent with the internationally recognised European Biodiesel Standard. The variations from the European Standard address parameters that restrict good quality biodiesel made from certain feedstocks from meeting the standard, and the concerns of the motor industry in regards to oxidation stability. Amendments to the retail diesel specifications (Schedule 3 of the PPSR) are recommended to allow the blending of up to 5% biodiesel. It is proposed that non-retail biodiesel blends be required to meet a limited combination of operability, safety and environmental parameters.

4. The recommended ethanol specifications are based on the ASTM¹ Standard, which applies in the United States, but includes several minor variations considered necessary for New Zealand's circumstances. Petrol/ethanol blend specifications are already provided for in the PPSR. Labelling requirements for retail petrol/ethanol blends are proposed to reduce the risk of unsuitable use.