The Low Carbon Fuel Standard (LCFS) is a regulatory framework adopted by California to reduce greenhouse gas (GHG) emissions in the state. The program encourages the use and production of a variety of low-carbon and renewable alternatives such ethanol, biodiesel and renewable diesel, which contribute to the reduction of greenhouse gas emissions and replace higher carbon petroleum-based fuels. The goal for LCFS is to reduce the carbon intensity (CI) of California’s transportation fuels by at least 10 percent by 2020. CI accounts for the carbon dioxide emissions related to the extraction, processing and distribution (life cycle) of gasoline and diesel and their corresponding substitutes. Hence, alternative fuels with lower carbon intensity, measured in grams of CO2 equivalent per Megajoule of energy (gCO2e/MJ), are deemed as contributing more to reach the goal of the program.
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