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Global energy and commodity price reporting agency Argus has launched daily prices for renewable diesel in California.

The service adds to the company’s existing range of renewable diesel prices covering Asia, Europe and the US west coast, Argus said on 14 November.

The four new Argus prices for California were assessed by collecting bids, offers and transactions at Kinder Morgan’s Los Angeles and San Francisco pipeline gathering systems from a range of market participants, the company said.

Priced for at least 5,000 barrel batches shipping any time during a named month, Argus said differentials were assessed against Nymex ultra-low sulphur diesel (ULSD) futures and California Air Resources Board ULSD, plus costs charged to the diesel fuel position holder at the terminal.

“We have sought views from market participants from across the industry to bring much needed transparency to this rapidly growing market,” Argus Media chairman and chief executive Adrian Binks said.

“To operate efficiently, the market needs clear and accurate pricing, based on real transactions and other indications of buying and selling interest.”

Argus said the renewable diesel market had grown exponentially in the past few years and, at the time of the report, was responsible for 54% of all Californian diesel consumption in the second quarter of 2023.