Report for Joint Activity on Market Fuel Quality Improvement 8th SIAM-JAMA Meeting, @Tokyo, Japan Report for Joint Activity on Market Fuel Quality Improvement November 20, 2013 Masaki KATO & Shoichi ICHIKAWA Japan Automobile Manufactures Association Fuels and Lubricants Committee

2 Milestones 2

Trigger of the Joint Activity JAMA proposal for joint activity on market fuel quality improvement; At the occasion of 6th JAMA-SIAM Meeting on November 30, 2011 @Tokyo, JAMA proposed to start dialogue between the 2 organizations to discuss market fuel quality issues intensively (= create Fuel WG between JAMA & SIAM), and SIAM replied positively. Also exchanged views and opinions on; - AAF/TC3-JAMA, WG1 activity introduction - Fuel property status in Japan - Indian market fuel quality concerns

Kick-off of the Fuel WG Activity 1st JAMA-SIAM Fuel WG; Held on October 29-30, 2012 @New Delhi, India, to kick-off joint activity on vehicle emission and fuel quality, and its improvement. Exchanged information and opinions on; - Importance of correspondence between emission norms & market fuel quality - Market fuel quality up-date and its concerns - CNG fuel issues Visits to the related organization were also made; - Government offices (MoPNG, MoRTH etc.) - National petroleum company (Indian Oil)

Continuation of the Fuel WG Activity 2nd JAMA-SIAM Fuel WG; Held on July 22-23, 2013 @New Delhi, India, to follow up discussion status for more stringent emission norms, and progress of the JAMA-SIAM collaboration (one voice negotiation). Exchanged information and opinions on; - Market fuel quality up-date and its concerns - Appropriate use of biofuels - CNG/LPG issues, diesel fuel quality in Japan etc. Visits to the related organization were also made; - Government offices (MoRTH) - National petroleum company (Indian Oil)

Outcomes of the Activity 6 Outcomes of the Activity

JAMA-SIAM Joint Activity in One Voice Outcome of the 1st JAMA-SIAM Fuel WG; Through the discussion and common recognition of the current issues in India (existence of 2 different fuel specs (sulfur level) in one country), agreed to make one voice as follows; 1. To require nationwide BS4 emission norms implementation (with 50 ppm sulfur fuels) for the first place, and to oppose immediate BS5 introduction just in big cities 2. At least 3 years lead-time has to be secured before the introduction of BS5 norms (with 10 ppm sulfur fuels)

Direct Communication with Legislators & Fuel Supplier (cont’d) Outcome of the 1st JAMA-SIAM Fuel WG; Through the visits/meeting with Government offices and petroleum company, communicated automotive manufacturers’ fuel quality concerns in India based on market fuel survey data and agreed the followings; 1. To exchange views/findings on market fuel quality continuously for the sake of its improvement towards introduction of more stringent emission norms 2. To seek possibility of joint survey if necessary

JAMA-SIAM Joint Activity in One Voice Outcome of the 2nd JAMA-SIAM Fuel WG; Through the information/opinions exchange on “Auto Fuel Vision & policy 2025”, confirmed progress of the collaboration and learned the followings; 1. Nationwide BS4 emission norms & fuels availability realization are the first priority in “Auto Fuel Vision & Policy 2025” discussions owing to SIAM’s effort 2. “Auto Fuel Vision & Policy 2025” is the key to determine timing/all the details for the next step of emission norms & fuel quality

Direct Communication with Legislators & Fuel Supplier (cont’d) Outcome of the 2nd JAMA-SIAM Fuel WG; Through the visits/meeting with Government offices and petroleum company, JAMA provided and shared following data/tech. information; 1. Up-dated market fuel survey data* to show quality improvement status and remaining issues in Indian market 2. Influences of diesel fuel properties on vehicle emission, importance of Density and T90 control (ie. heavier fuel has adverse effect) * additional info. (Metro-Nationwide split) is provided and attached

Summary & Request to SIAM JAMA would like to continue Fuel WG activity and dialogue between JAMA and SIAM to handle vehicle emission and fuel issues in Indian market. JAMA is most welcome and ready to provide additional data/tech. information if necessary to support SIAM’s activity. As it is the key to the next step of emission norms & fuel quality in India, today we are keen to hear the latest status of “Auto Fuel Vision & Policy 2025” discussions.

Thank you for your kind attention !

Additional Data for JAMA Survey on Indian Market Fuel Quality in 2012 * additional info. to JAMA market fuel survey data provided at the 2nd JAMA-SIAM Fuel WG Additional Data for JAMA Survey on Indian Market Fuel Quality in 2012 “Metro(BS4)-Nationwide(BS3) Data Split”

Samples in 2012 Summer & Winter 14 Samples in 2012 Summer & Winter Total number of samples; - Summer, 227 samples ⇒ Gasoline 136, Diesel F. 91 - Winter, 86 samples ⇒ Gasoline 46, Diesel F. 40

Gasoline Quality - Sulfur 15 Gasoline Quality - Sulfur - Gasoline, Sulfur (METRO) Sulfur (ppm) BS4; 50 ppm max. - Gasoline, Sulfur (NATIONWIDE) Sulfur (ppm) BS3; 150 ppm max.

Gasoline Quality - Sulfur 16 Gasoline Quality - Sulfur (cont’d) - Gasoline, Sulfur (2012 Summer & Winter) BS4; 50 ppm max. METRO BS3; 150 ppm max. NATIONWIDE

Gasoline Quality - Octane Number (RON) - Gasoline, RON (2012 Summer & Winter) Regular (91RON) METRO NATIONWIDE Premium (91RON) METRO NATIONWIDE Super Premium METRO

Gasoline Quality - Active Sulfur 18 Gasoline Quality - Active Sulfur - Gasoline, Active sulfur (2012 Summer & Winter) Active sulfur should not be detected. METRO NATIONWIDE

Diesel Fuel Quality - Sulfur 19 Diesel Fuel Quality - Sulfur - Diesel Fuel, Sulfur (METRO) ⇒ Lucknow BS4; 50 ppm max. - Diesel Fuel, Sulfur (NATIONWIDE) BS3; 350 ppm max.

Diesel Fuel Quality - Sulfur 20 Diesel Fuel Quality - Sulfur (cont’d) - Diesel Fuel, Sulfur (2012 Summer & Winter) BS4; 50 ppm max. METRO BS3; 350 ppm max. NATIONWIDE

Diesel Fuel Quality - Cetane Number 21 Diesel Fuel Quality - Cetane Number - Diesel Fuel, Cetane Nr. (2012 Summer & Winter) Criteria; 51 min. METRO NATIONWIDE

Diesel Fuel Quality - Lubricity (HFRR) 22 Diesel Fuel Quality - Lubricity (HFRR) - Diesel Fuel, Lubricity (2012 Summer & Winter) Criteria; 460 micron max. METRO NATIONWIDE