(a) A reported spillage or disposal under this subpart means a spillage or disposal of renewable fuel associated with a requirement by a federal, state, or local authority to report the spillage or disposal.
(b) Except as provided in paragraph (c) of this section, in the event of a reported spillage or disposal of any volume of renewable fuel, the owner of the renewable fuel must retire a number of RINs corresponding to the volume of spilled or disposed of renewable fuel multiplied by its equivalence value.
(1) If the equivalence value for the spilled or disposed of volume may be determined pursuant to Sec. 80.1415 based on its composition, then the appropriate equivalence value shall be used.
(2) If the equivalence value for a spilled or disposed of volume of renewable fuel cannot be determined, the equivalence value shall be 1.0.
(c) If the owner of a volume of renewable fuel that is spilled or disposed of and reported establishes that no RINs were generated to represent the volume, then no RINs shall be retired.
(d) A RIN that is retired under paragraph (b) of this section:
(1) Must be reported as a retired RIN in the applicable reports under Sec. 80.1451.
(2) May not be transferred to another person or used by any obligated party to demonstrate compliance with the party's Renewable Volume Obligations. Sec. Sec. 80.1433-80.1439 [Reserved] Sec. 80.1440 What are the provisions for blenders who handle andblend less than 250,000 gallons of renewable fuel per year?
(a) Renewable fuel blenders who handle and blend less than 250,000 gallons of renewable fuel per year, and who do not have one or more reported or unreported Renewable Volume Obligations, are permitted to delegate their RIN-related responsibilities to the party directly upstream of them who supplied the renewable fuel for blending.
(b) The RIN-related responsibilities that may be delegated directly upstream include all of the following:
(1) The RIN separation requirements of Sec. 80.1429.
(2) The reporting requirements of Sec. 80.1451.
(3) The recordkeeping requirements of Sec. 80.1454.
(4) The attest engagement requirements of Sec. 80.1464.
(c) For upstream delegation of RIN-related responsibilities, both parties must agree on the delegation, and a quarterly written statement signed by both parties must be included with the reporting party's reports under Sec. 80.1451.
(1) Both parties must keep copies of the signed quarterly written statement agreeing to the upward delegation for 5 years.
(2) Parties delegating their RIN responsibilities upward shall keep copies of their registration forms as submitted to EPA.
(3) A renewable fuel blender who delegates its RIN-related responsibilities under this section will remain liable for any violation of this subpart M associated with its renewable fuel blending activities.
(d) Renewable fuel blenders who handle and blend less than 250,000 gallons of renewable fuel per year and delegate their RIN-related responsibilities under paragraph (b) of this section must register pursuant to Sec. 80.1450(e), and may not own RINs.
(e) Renewable fuel blenders who handle and blend less than 250,000 gallons of renewable fuel per year and who do not opt to delegate their RIN-related responsibilities, or own RINs, will be subject to all requirements stated in paragraph (b) of this section, and all other applicable requirements of this subpart M. [75 FR 14863, Mar. 26, 2010, as amended at 75 FR 26042, May 10, 2010; 79 FR 42162, July 18, 2014]