Fuel Implementation Issues at the Regional Air Quality Workshop by Bob Leidich BP Products North America Inc. November 17, 2004 Rosemont, Illinois

Overview  Review gasoline and diesel fuel matrixes developed by the SEMCOG Fuel Group  Review petroleum industry response to timing, refining, implementation, distribution, supply and uncertainty issues

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Timing, Years from Date of Final Regulation D R A F T

Refining Issues D R A F T

Implementation Issues D R A F T

Distribution Issues D R A F T

Supply Issues No Toxics Ca RFG 3 Federal RFG<10 ppm SulfurRVP psi Stringent standards will likely have significant impact on supply. Stringent sulfur standard will likely have significant impact on supply. Stringent RVP standard will likely have moderate impact on supply. D R A F T

Uncertainty Factor D R A F T

Timing, Years from Date of Final Regulation D R A F T

Refining Issues D R A F T

Implementation Issues D R A F T

Distribution Issues D R A F T

Supply Issues D R A F T

Uncertainty Factor D R A F T

Conclusions  The volume of new fuel required will be essential to refinery planning  All fuels, except Federal RFG in marginal and above nonattainment areas, are subject to the waiver process under Section 211(c)(4)(C) of the Clean Air Act  Fuels with stringent standards, such as Ca RFG, Federal RFG, Ca Diesel, will require significant lead times and will likely impact supply  Unique fuels may create major distribution issues

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