Washington Clean Fuels Standard (CFS) FAQs

Browse the FAQs below to find answers to the most common questions we receive on the Washington Clean Fuels Standard.

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Washington CFS

  • What is the Clean Fuels Standard (CFS)?

    The Washington Clean Fuel Standard (CFS) is a statewide market-based policy with the goal reducing carbon emissions from the transportation sector — the state’s largest contributor to greenhouse gas emissions — and stimulate economic development in low carbon fuel production. By 2038, fuel suppliers are required to reduce the carbon intensity (CI) of transportation fuels by 20% compared to the 2017 baseline. Suppliers of fuels with a CI measuring below the annual baseline are able to generate credits, and those with a CI higher than the baseline generate deficits. The crediting scheme is designed to incentivize the produce and use of clean fuels and lower the total transportation-related emissions statewide.

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  • What is a CFS credit?

    Each CFS credit represents the reduction of one ton of CO2-equivalent on a life-cycle emissions basis. Fuel suppliers are able to reduce the CI of their fuels through several different activities, including: manufacturing or blending low-carbon biofuels into the fuel they sell, enhancing fuel production efficiency, or purchasing CFS credits.

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  • What kinds of activities can generate CFS credits?

    Producers of low-carbon fuels (e.g., biofuels, electricity, and alternative jet fuel) are allowed to participate and create credits. Owning or operating charging or fueling equipment for electric vehicles (EVs) or hydrogen fuel cell electric vehicles (FCEVs) is a common way to generate credits under the CFS.  

    Entities that install publicly-accessible low-carbon fueling infrastructure (e.g., DC fast chargers and hydrogen fueling infrastructure) are also able to generate credits. Infrastructure crediting is based on the capacity of the site infrastructure and establishes a credit baseline that the project can rely on receiving each quarter. Capacity credits generated by charging or fueling site installation play an important role in increasing infrastructure availability and expanding adoption of low-carbon technology.

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  • What kinds of fuels are regulated under the CFS?

    Suppliers and producers of regulated fuels (e.g., gasoline, diesel, ethanol and blends, biomass-based diesel and blends, and natural gas) are mandated to participate in the program. These fuels generate deficits in proportion to how much higher their CI is than the CI reduction target in a given compliance year.Exempt fuels such as aviation fuel, marine fuel, railroad fuel and off-road fuel (for agriculture, mining, logging, or other activities) do not generate deficits.

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  • How do you make money through the CFS?

    After each reporting cycle, the Department of Ecology (Ecology) issues credits through the Washington Fuels Reporting System (WFRS), which can be sold to noncompliant regulated entities (deficit-generating) whose fuel CI measurements are above the baseline. Ecology has a CFS calculator to estimate the number of credits or deficits that an entity can expect to receive. Before any credits can be claimed, entities must become registered participants and receive account approval.

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  • Does low-carbon fuel usage need to occur in WA to be eligible?

    Yes, regulated and opt-in (credit-generating) entities that produce or import their fuel into Washington are able to participate. Additionally, credits can be generated or transacted only for fuels that are supplied in Washington. Record keeping is required for all transactions of transportation fuel imported, sold, or supplied for use in the state. All transportation fuel must also have an assigned CI score through a fuel pathway to be able to participate in the CFS program. A fuel pathway CI score is based on the sum of the GHGs emitted during each stage of a fuel’s production and use.

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  • What is the status of the CFS program?

    The CFS program is now live, with regulated entities generating deficits and opt-in low-CI fuel users able to generate credits. The first compliance period runs through the end of 2024, so credit trading may be limited for some time

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  • How do you get the most out of the CFS?

    To get the most out of the CFS, participants should keep up with quarterly and annual reporting through the WFRS. There are user guides for participation best-practices, however, working with an advisor can eliminate the headaches of data calculation and rigorous reporting requirements. With the help of a clean fuels advisor, like 3Degrees, regulated entities can ensure they are meeting compliance and opt-in entities can be assured they are receiving maximum value from program participation.

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