Pipeline-injected Renewable Natural Gas(RNG) cannot be physically tracked from the producer to a specific end user dueto its integration into common carrier gas networks. Book and claim accountingresolves this physical limitation by separating the environmental attributes ofbiomethane from the physical gas molecules. The detached attributes aretracked, traded, and retired electronically, while the physical gas is consumedas a conventional commodity. In the United States, the primary electronic trackingsystem for these attributes is the M-RETS Renewable Thermal registry. In thisregistry, each unique environmental benefit is represented as a RenewableThermal Certificate (RTC), equivalent to one dekatherm (Dth) of renewablethermal energy.

To operate within compliance frameworkslike Oregon's Clean Fuels Program (CFP), market participants must establishstrict safeguards to prevent double-claiming of biomethane environmentalattributes. Regulated fuel pathway holders must secure contractual agreementsguaranteeing that no other entity can claim the specific biomethane attributes.If injecting into a local distribution company's pipeline, the producer mustexecute a signed agreement with the utility stating that the physical gas buyermakes no environmental claims on the biomethane.

Actual compliance reporting requiresprecise administrative execution within the M-RETS system. First, both the RNGproducer and the reporting entity must complete organization registration inM-RETS and request Clean Fuels Program access from state administrators. Onceapproved, the reporting entity must execute the retirement process through thefollowing steps:

• Establish a dedicated retirement account designated for the Clean Fuels Program, naming the account to match the corresponding compliance period and certified fuel pathway code, such as "Q2 2023 ORRNG001".
• Define the compliance retirement type as either "LCFS/RFS Stacked Claim" or "Low Carbon Fuel Standard" in the registry settings.
• Retire the exact quantity of certificates to cover the biomethane volume claimed, converting therms to whole dekatherms and rounding up for fractional units.
• Retrieve the official, PDF-formatted M-RETS retirement records to submit as supplemental evidence with the quarterly compliance report. All retired certificates must correspond to biomethane injected in either the current or immediately preceding quarter.

Compliance programs rejectself-attestations and instead mandate unredacted electronic audit trails.During the Annual Fuel Pathway Report (AFPR) audit, pathway holders must submitunredacted purchase contracts, official feedstock injection records, and verifiedM-RETS retirement ledgers. This rigorous documentation verifies the chain ofcustody, proving the biomethane was physically injected and securely retired onbehalf of the compliance claim.

AFS Commodities offers professionaladministrative support, transaction advisory, and market-access services tohelp fuel producers, utilities, and corporate energy buyers manage theseoperational requirements. To learn how AFS facilitates contract execution andM-RETS portfolio administration, visit AFS Commodities 's product offerings at https://www.afscommodities.com

The AFS Client Portal provides real-timetransaction tracking and centralized document storage, simplifying complianceaudits and certificate management. Using these tools, organizations can managetheir environmental commodity trades and secure unredacted contract tracingacross regional environmental markets.