February 4, 2020 | Vol. 70, No. 3
Dear PEI Member:
The electrification of the U.S. light-duty vehicle fleet is a perfect example. People tend to see what they want to see or what their biases condition them to see.
Recently released 2019 vehicle sales figures are likely to continue that pattern. The 244,271 battery powered electric vehicles (EVs) sold in 2019 continued a five-year period of consistent EV sales growth. Here’s a summary of both raw sales numbers and EVs as a percentage of total light-duty vehicle sales since 2015:
By any measure, more than tripling EV sales in five years is an impressive accomplishment. However, EVs’ 1.43% market share in 2019 remains a small part of the total sales picture.
For comparison purposes, liquid fuel vehicles (gasoline, diesel and hybrids) retained their dominant position in 2019 with 98% of the market, down only 1.3% since 2015.
Fuel Vehicle Sales
Anecdotal evidence also suggests that EVs have a long way to go to challenge liquid-fuel vehicles in the market. Here are two recent examples:
by e-mail to the editor, Rick Long at email@example.com
Last September, RS Automotives, a Takoma Park, Maryland gas station used a $786,000 public/private grant to switch out all of its gasoline dispensers for EV charging stations. At the time, Maryland had about 21,000 EV registrations. Four months later, how’s business at the all-electric station? Well, the owner says he is charging an average of four to five vehicles a day. Can you imagine any of your fuel marketer customers trying to build a business on those numbers?
Just as interesting was a recent experiment by Motor Trend to compare the fuel cost of electric and gasoline-powered Hyundai Kona sedans on a 450-mile round-trip between Los Angeles and Paso Robles, California. To juice up the Kona Electric, Motor Trend used public Electrify America stations that charged a $1 session fee plus $0.69 per minute of charge.
Total charging costs for the Kona Electric were $140.97. Total fuel costs for the gas-powered Kona were $63.03. Although the researchers cautioned that the EV probably would score better on long-term total cost of ownership, even they were surprised at the comparative fuel costs.
The future of EVs? What do you see?
50: STORIES AND PHOTOS WANTED
In July, the campaign will focus on the EPA’s success in preventing, discovering and cleaning up underground storage tank (UST) leaks.
Because of the important role PEI members have played in this effort, the EPA’s Office of Underground Storage Tanks (OUST) has asked PEI’s help in telling the UST story. PEI members who would like to contribute are encouraged to submit their photos, stories and other recollections about the UST world prior to the federal UST regulations. To make the submission process easy, PEI has created a simple form. Please send in your contributions as soon as possible but no later than April 15.
C-STORE COUNT DECLINES, BIG CHAINS GET BIGGER
Smaller operations bore the brunt of the decline, with marketers owning 10 or fewer locations showing a net loss of 569 stores. Mega chains with more than 500 stores gained 312 locations.
The Virginia Petroleum Convenience and Marketers Association (VPCMA) opposed the bill on the grounds that mobile fueling is dangerous and the truck-based services have an unfair competitive advantage over traditional capital-intensive fuel retailers. VPCMA also noted that with 4,200 retail fueling locations already operating in the state, Virginia did not need a new fueling solution.
Ken Hagman, 75, president of E.O. Habhegger from 1976 until his December 2019 retirement, died Jan. 27 after a brief battle with Bulbar ALS. Hagman began his E.O. Habhegger career in 1967 as an equipment salesman. Survivors include Caroline, his wife of 52 years; daughter Kimberly Duke (Scott); son Chris (Theresa); and five grandchildren: Alexa, Andrew, Kylie, Madelyn and Matthew. The family invites friends wishing to honor Ken’s memory to support ALS research by donating to the Greater Philadelphia Chapter of the ALS Association.
Matrix Capital Markets Group Inc. announced three promotions: William J. O’Flaherty to director for the Consumer & Industrial Products Group; Stephen C. Lynch, CFA, CPA to director and Martin C.P. McElroy, Jr., CFA to associate in the Downstream Energy & Convenience Retail Group. The company also hired Edward M. Farley V as an analyst for the Downstream Energy & Convenience Retail Group.
Blair Shwedo, vice president of business development for Guardian Fueling Technologies’ Mid-Atlantic division, was appointed Civilian Aide to the Secretary of the Army (CASA). The Hon. Ryan D. McCarthy, Secretary of the Army, selected Shwedo to represent North Carolina (West). CASAs promote good relations between the Army and the public and advise the Secretary about regional issues.
Veeder-Root named Dave Coombe president. In his new role, Coombe will work to accelerate global integrated site solutions for distributors and retail fueling customers. Coombe joins Veeder-Root after more than 15 years with Gilbarco Veeder-Root, most recently as managing director for Europe. Coombe also was president of the Committee of European Manufacturers of Petroleum Measuring and Distributing Equipment (CECOD).
Wilson/Rogers & Associates Inc. announced the merger with Steve Latimer & Associates Inc. Wilson/Rogers & Associates has provided manufacturers representation in 13 western states since 1989. Steve Latimer comes to Wilson/Rogers as a principal after operating his manufacturers representative firm since July 2018. Greg Bruce (quotation specialist) also will join the Wilson/Rogers team, composed of Scott Wilson (president), Ron Weeks (PT Coupling warehouse operations lead), Kirk Jackson (senior sales representative), Erika Kibitskaya (sales, marketing and administrative coordinator) and Erik Mickelson (Utah warehouse operations lead).
Vermont manufacturer. McCabe & Sons Inc., 771
Clark Road, Danville, VT 05828, applied for manufacturer division
membership. Joseph McCabe III is president of the company, which was
established in 1930. McCabe & Sons Inc. manufactures water level indicators
and gasoline level indicators, which are sold primarily through
distributors. Sponsored for PEI membership by Brad Egeland, Keller Equipment
Supply Ltd., Calgary, Alberta, Canada.
York service company. NW Contracting, 3553
Crittenden Road, Alden, NY 14004, applied for service and construction
division membership. Nicole Savage is president and CEO of the firm, which
was established in 1989. NW Contracting performs fuel system installations,
removal and remediation, as well as maintenance, compliance and testing
services. Sponsored for PEI membership by Edward Ware Jr., Francis Smith &
Sons Inc., Scott Township, Pennsylvania.
Colorado installer. Advanced Petroleum Repair, 24227 Road G.2, Cortez, CO 81321, applied for service and construction division membership. Brian Lyons is the owner of the company, which was established in 2007. Advanced Petroleum Repair performs service station installations and repairs. Sponsored for PEI membership by Thomas Lyons, Petroleum Network Solutions, Arlington, Texas.
Mexican software company. Brentec Soluciones Tecnologicas SA de CV, Calle 20 No. 235 int 1009 x 15 y 7 Altabrisa, Merida 97130, Mexico, applied for affiliate division membership. Gerardo Alejandro Canto Valdez is CEO of the firm, which was established in 2006. Brentec Soluciones Tecnologicas SA de CV offers volumetric control software as well as fleet management control software for gas stations in Mexico. Sponsored for PEI membership by Renee Mackenzie, Bennett Pump Co., Norton Shores, Michigan.
Colorado service provider. Kenosha Consulting LLC, PO Box 817, Pine, CO 80470, applied for service and construction division membership. James Yaun is the owner of the company, which was established in 2016. Kenosha Consulting LLC performs UST/AST removal and sampling, environmental site assessment and remediation, line tightness testing, leak detector testing, hydrostatic spill bucket and sump testing, monthly compliance inspections, overfill protection verification, and tank gauge inspections. Sponsored for PEI membership by Brandon Fagerberg, Don’s Maintenance Service Inc., Greeley, Colorado.
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The TulsaLetter is published two or three times each month by the Petroleum Equipment Institute. Richard C. Long, Editor. Opinions expressed are the opinions of the Editor. Basic circulation confined to PEI members.