TIER 3 CLEANER FUELS
HOW IS OED ADVANCING TIER 3 FUELS?
Tier 3 fuels drastically reduce vehicle emissions — improving air quality throughout Utah and especially along the Wasatch Front and in the Uintah Basin.
What are Tier 3 fuels?
In 2017, the Environmental Protection Agency (EPA) set new standards for vehicle emissions. These standards, called Tier 3 motor vehicle standards, are focused on reducing emissions from passenger cars and trucks.
As part of the new standards, oil refineries are required to produce cleaner fuels and car manufacturers are required to include additional emissions reduction equipment.
Tier 3 fuels reduce sulfur content, enabling a car’s catalytic converter to run more efficiently and reduce volatile organic compounds (VOCs) and nitrogen oxides (NOx) emissions.
When Tier 3 fuels are used in a newer vehicle (model year 2017 and newer) tailpipe emissions are reduced by up to 80 percent. Even for older vehicles, Tier 3 fuels help reduce emissions.
Tier 3 fuels in Utah
Utah is home to five small oil refineries that produce less than 75,000 barrels of oil per day. For these refineries, the requirement to produce Tier 3 fuels was delayed until 2020 to avoid potential of economic hardships and even longer delays in Tier 3 fuel production.
Under the leadership of Gov. Herbert, the Utah Legislature worked with OED and key petroleum stakeholders to create a path forward for these smaller refineries. The result was the High Cost Infrastructure Tax Credit (HCITC), a non-refundable, post-performance tax incentive provided to refineries that committed to making the necessary upgrades to produce Tier 3 fuels.
The incentive has helped accelerate the production of Tier 3 fuels in Utah.
Chevron and Marathon are now producing Tier 3 fuels and Silver Eagle and Holly Frontier have committed to producing Tier 3 fuels by the end of the year.
BENEFITS TO UTAH
Better Air Quality
Transportation accounts for the majority of emissions along the Wasatch Front. Tier 3 fuels dramatically reduce emissions, which in turn drastically improves air quality.
As a result of the upgrades, more than 30 high-paying jobs have been or will be created in Utah.
Successful collaboration between the public and industry leaders has led to a market-driven approach without the need for a mandate. It’s a win for everyone.
Private Sector Investment
Millions of dollars have been invested into facility upgrades and additional infrastructure development. These dollars have gone even further with help from the High Cost Infrastructure Tax Credit (HCITC).
Where can I get Tier 3 fuels?
We are currently evaluating gas stations across the state for Tier 3 fuels. The exact number of stations and locations can fluctuate based on seasonal demands, how gasoline supplies are mixed and a variety of other reasons.
Chevron and Speedway, among others, have begun selling Tier 3 fuels in Utah.
To get Tier 3 fuels, just fill up as you always do — there are no additional steps and no additional costs.