Global energy and commodity price reporting agency Argus has launched the first renewable diesel and sustainable aviation fuel (SAF) prices for Asia. These prices are designed to meet the growing need for greater transparency in renewable fuel markets as countries in the region seek to reduce their greenhouse gas emissions. China, Japan and South Korea have set ambitious decarbonisation targets in the past two months. And a number of private-sector companies have announced that they will achieve net zero carbon emissions by 2050.
As these countries and companies move away from fossil fuels, hydrotreated vegetable oil (HVO), or renewable diesel, is becoming increasingly popular as an alternative to traditional petroleum diesel. Renewable diesel can be blended into the existing petroleum diesel pool or used as a substitute. The new Argus prices are for renewable diesel produced from three different groups of feedstocks food and feed crops, used cooking oil/palm oil mill effluent, and tallow.
SAF is made from waste products such as used cooking oil and can be mixed with conventional jet fuel to provide a lower-carbon alternative to purely petroleum based jet fuel. The new Asian renewable diesel and SAF prices are published daily in the Argus Biofuels report and the SAF price is also included in the Argus Jet Fuel report.
Adrian Binks, chairman and chief executive, Argus Media, said, “These new prices help shed light on an increasingly important part of the diesel and jet-kerosine pool in Asia. Argus is already the industry’s publisher of choice for European biofuels prices, so we are very proud to be at the forefront of providing transparency to these nascent markets in Asia.”
