Low Carbon Fuel

Under the Low Carbon Fuel Standard (LCFS), a low carbon fuel is a fuel that has a carbon intensity (CI) below the annual target and displaces a base fuel (fossil-derived gasoline, diesel or jet). The CI of a fuel is the measure of greenhouse gas emissions associated with producing or consuming a fuel, expressed as grams of carbon dioxide equivalent per megajoule of energy in the fuel (gCO₂e/MJ). The CI accounts for the greenhouse gases emitted during the entire lifecycle of the fuel, including emissions from the production of the fuel and emissions associated with the energy and materials used within the fuel lifecycle.

Quantifying the greenhouse gases using the carbon dioxide equivalent (CO₂e) allows us to compare fuels that emit greenhouse gases with different global warming potentials. Fuels come in a variety of forms (e.g., solid, liquid, gas, electricity) so CIs are measured on a per unit of energy basis instead of a volume basis. This allows for easy comparison between all fuel types.

Lifecycle Assessment

A "fuel lifecycle" encompasses all the components of a fuel product's life, including:

• Extraction or production of the feedstock (raw material used to produce the fuel)
• Transportation of the feedstock
• Production of the fuel
• Transportation of the finished fuel
• Storage and distribution of the fuel
• Use of the fuel

A lifecycle assessment (LCA) considers the emissions that occur during each component and from the production of energy and materials used within each component. Fuels come from a diversity of sources, and consideration of the full lifecycle is a means of ensuring that there is a net environmental benefit regardless of how or where the fuel is produced.

Carbon Intensity Applications

The Low Carbon Fuels Act and its regulations allow low carbon fuel producers to propose a carbon intensity (CI) for a fuel they produce, subject to Director approval.

The LCFS allows two methods for applicants to calculate a proposed CI for a fuel:

1. Using the approved version of GHGenius to calculate the proposed CI for the fuel.
2. Using an alternative method to calculate the proposed CI of all or some of the lifecycle components for a fuel. This method must be approved by the director prior to use within a CI application. It is therefore recommended that the producer submit a request to the director for the alternative method prior to submitting a CI application and include supporting documentation and rationale showing the proposed method is more accurate than using the approved version of GHGenius.  Reviews of alternative methods can be time consuming and will likely result in processing delays.

Once the proposed CI has been calculated in accordance with method 1 or 2 above, the applicant must:

1. Complete the Carbon Intensity Approval Application Form (Form for applications using GHGenius 5.02)
2. Submit the form and any supporting documentation or reports to lcfs@gov.bc.ca

Additional information about CI records, the CI application process, requirements for proposing the use of an alternative method, and the list of current and previously approved fuel codes can be found in the following Information Bulletins:

• ​RLCF-006: Carbon Intensity Records
• RLCF-008: Carbon Intensity Approvals
• RLCF-012: Approved Carbon Intensities-Current
• RLCF-012a: Approved Carbon Intensities – Archive

This information is for your convenience and guidance only, and does not replace or constitute a legal interpretation of the Act and Regulation. Questions may be addressed to: