# California may cap credits for soy or canola-based renewable diesel | Agri-Pulse Communications, Inc.

> The California Air Resources Board proposed capping credits under the Low Carbon Fuel Standard at 20% of biomass-based diesel from soybean or canola oil. The proposal also requires feedstocks like soybeans to be certified against sustainability criteria and keeps the jet fuel exemption. Comments are due August 27.

- Date: 2024-08-13 · published 2024-08-13T12:00:00.000Z
- Category: policy · region US · magnitude high
- Page: https://feedsoft.ai/events/15189-california-may-cap-credits-for-soy-or-canola-based-renewable-diesel-agri-pulse
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Canola Meal](https://feedsoft.ai/c/CANMEAL.md)

## Why it matters

Limiting credit eligibility for soy and canola oil reduces demand for those oils in renewable diesel and would tighten LCFS credit supply, lifting credit prices while weighing on soybean oil and canola demand.

## Read by commodity

- SBO: bearish ▼
- CANMEAL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2024-02-28 | [Renewable diesel boom slows; industry eyes IRA, Canada for relief \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/15234-renewable-diesel-boom-slows-industry-eyes-ira-canada-for-relief-agri-pulse.md) | -0.0% | +7.7% |
| SBO | 2024-09-04 | [Biofuel groups, fuel retailers fight California’s proposed restrictions \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/15185-biofuel-groups-fuel-retailers-fight-california-s-proposed-restrictions-agri.md) | -2.4% | -0.4% |
| SBO | 2024-09-06 | [Advocating for Soy Biomass-Based Diesel in California - American Soybean Association](https://feedsoft.ai/events/15183-advocating-for-soy-biomass-based-diesel-in-california-american-soybean.md) | -2.7% | +1.0% |
| SBO | 2024-11-09 | [Industry calls for reform to LCFS biofuel guardrails \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/15171-industry-calls-for-reform-to-lcfs-biofuel-guardrails-agri-pulse-communications.md) | -1.3% | -8.2% |
| SBO | 2017-07-12 | [Biodiesel producers feel burned by proposed RFS \| 2017-07-11 \| Agri-Pulse \| Agri-Pulse Communications, Inc.](https://feedsoft.ai/events/69851-biodiesel-producers-feel-burned-by-proposed-rfs-2017-07-11-agri-pulse-agri.md) | -1.7% | +0.2% |

## Sources

- agri-pulse.com: https://www.agri-pulse.com/articles/21493-california-may-cap-credits-for-soy-or-canola-based-renewable-diesel

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.