|Dear PEI Member:
The Environmental Protection
Agency (EPA) is likely to approve a higher blend of ethanol in US gasoline
shortly, according to top US government
"I fully expect the Environmental Protection Agency (EPA)
sometime, probably in early- to mid-October, to make a decision about the
direction of E15," Agriculture Secretary Tom Vilsack said September 17. "I
expect that they will see that E15 is appropriate fuel for some vehicles. I
don't know if they will necessarily say it is appropriate for all vehicles,
but for some vehicles, which will help us expand the market."
EPA Administrator Lisa Jackson said September 23 that engine tests
should be completed by the end of September and those results will determine
whether the agency will allow more ethanol in cars made in 2007 or later.
Jackson also commented on the testing the Department of Energy is conducting
on older vehicle models, saying that the test program is expected to be
completed by the end of November, at which point EPA expects to make a
decision on a waiver that would cover 2001 to 2006 model year vehicles.
We believe that EPA is on schedule to issue a decision on the 2007 and
later vehicles in October. But we think that the second track of the
decision―the 2001 to 2006 model year vehicles―will
be delayed until late winter 2011 because the dispenser labeling rule
that will accompany the E15 decision must include the entire universe of
approved vehicles, and we won't know what vehicles are included until
The push for and against approving E15 has heated up in recent weeks. The
American Petroleum Institute has released a study it commissioned to support
its argument against E15. The study―Identification
and Review of State/Federal Legislative and Regulatory Changes Required for
the Introduction of New Transportation Fuels―was
conducted by Sierra Research. The study concluded that nine steps must be
completed before a "widespread introduction" of E15 can occur. "The period
of time estimated to be required for the completion of the changes is on the
order of several years," the study said.
E15 Decision In October?
ADA Standards Published
Biodiesel Tax Credit
C-Stores/Gasoline Stations Change Hands
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Not to be outflanked, a study released this month by Ricardo Inc. for the
Renewable Fuels Association (RFA) concludes that the adoption of E15 as the
blend limit should not adversely affect the performance and durability of
vehicles manufactured between 1994 and 2000, based on normal specifications
and usage profiles. RFA contends that limiting the use of E15 to certain
model year vehicles may prevent widespread availability and implementation.
2010 PEI CONVENTION IS NEXT WEEK IN ATLANTA
2010 PEI Convention at the NACS Show (October 5-8 in Atlanta) is
just over one week away. A full slate of education sessions and the
industry’s biggest tradeshow have been designed to equip attendees with the
information, ideas and inspiration it takes to succeed during these
difficult times. Register online at
www.pei.org/show, and we’ll have your credentials ready when you get
there. Or register onsite at the PEI Registration Desk at any time during
the show. For questions or problems during the Convention, you can reach the
PEI Registration Desk at (404) 222-5700. We hope to see you in Atlanta.
ADA STANDARDS PUBLISHED
The Department of Justice adopted and published the new 2010 Americans
with Disabilities Act (ADA) Standards in the Federal Register. In
general, the regulations will take effect March 15, 2011. Compliance with
the 2010 Standards for Accessible Design is permitted immediately, but not
required until March 15, 2012.
BIODIESEL TAX CREDIT AMENDMENT FAILS
An effort in the Senate to revive the one-dollar per gallon biodiesel
blender's tax credit and to apply it retroactively for 2010 failed by a vote
of 41-58. There are other legislative vehicles to move the biodiesel tax
credit forward, but the likelihood of any of them passing this year is
PETROLEUM MARKETING NOTES
CPD Energy Corp., New Paltz, New York, has purchased
ExxonMobil's property assets and supply interests in 83 gasoline station
properties in Westchester County (NY), along with the downstate Hudson
Valley areas of New York.
The Cumberland Gulf Group of Companies, Framingham, Massachusetts,
has purchased ExxonMobil's real and contractual interests in 75
properties and a petroleum distribution fleet located in Suffolk and Nassau
Counties, New York. In a separate announcement, Cumberland Farms Inc. is also planning to sell 61
convenience store properties in various markets along the East Coast.
More than a dozen Minneapolis/St. Paul market convenience stores and gas
stations owned by Twin City Stores Inc. (TCS) will be sold at
auction, a federal judge ordered earlier this month. TCS is now in Chapter 7
liquidation. All stores are currently closed.
Total confirmed last week that it was considering the sale of its
UK marketing assets as part of a strategic review of its UK downstream
assets. Total's UK service station network comprises 780 outlets throughout
England and Wales, accounting for nine percent of the UK market.
Exxon Mobil Corp. is selling to Excell Petroleum the 40
gasoline stations it owns in Memphis, Tennessee, according to The
OPW Fueling Components, Cincinnati, Ohio, has appointed Mike Bartush to
the position of manager of sales operations. Mike has served OPW for more
than 15 years as a product manager and manager of customer service.
The State of Maine has received an award from the Center for Digital
Government for its TankSmart online service. Developed by the Department of
Environmental Protection, TankSmart (www.Maine.gov/online/tanksmart)
is a free online service that provides training and certification for
operators of underground oil storage facilities.
Bob Ensign's widow was incorrectly identified in Bob's obituary that ran
in the last TulsaLetter (September 14). Barbara is his wife; Meg is
ADMITTED TO PEI
- Onildo Chaves de Cordova, Auto Posto Midas Kennedy, Curitiba, Parana,
- John Lindner, Epic Aviation, LLC, Salem, OR (O&E)
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The TulsaLetter (ISSN 0193-9467) is published two or three
times each month by the Petroleum Equipment Institute. Robert N. Renkes,
Executive Vice President, Editor. Opinions expressed are the opinions of the
Editor. Basic circulation confined to PEI members.