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Dear PEI Member:

Beginning January 1, 2010, heavy-duty diesel vehicle operators in the United States who purchase new trucks and buses will be required to meet more strict EPA emissions regulations. Selective Catalytic Reduction (SCR) technology is the preferred choice of engine manufacturers worldwide to meet these emissions requirements. When SCR trucks hit the road in 2010, they will need Diesel Exhaust Fluid (DEF) to operate. DEF is a urea solution that reduces NOx emissions in the exhaust as part of the SCR process.

This simple technological requirement will cause a brand new market to emerge in the United States, just as it did in Europe years ago. It will create business opportunities for DEF producers; chemical distributors; automotive after treatment and sensor equipment suppliers; tank truck manufacturers; storage and dispensing equipment manufacturers, distributors, installers and service companies; and many more supporting industries.

The DEF infrastructure is in its infancy in the United States. Since EPA regulations require light-duty vehicle manufacturers to meet the same EPA emissions requirements a year earlier (2009), we are just now gaining some experience using DEF. DEF is currently being added to 2009 model Mercedes cars at dealerships throughout the country. DEF will find its way into Ford, GM, and Audi dealerships soon as they begin to sell and service their 2009 diesel models. Because small quantities will be needed to top-off a light-duty vehicle’s DEF tank, we expect DEF will be handled initially in jugs, totes and intermediate bulk containers (IBCs). But it’s at least a start.

DEF use shifts into high gear in 2010, when DEF producers expect 54 million gallons to be used in heavy-duty vehicle engines. Truck stops and travel plazas are exploring various options to serve this market. Pilot, for instance, has already committed to equip 100 of its travel centers in 2009 with a DEF dispenser on the diesel island, connected to a 2,000-gallon aboveground storage tank housed in a climate controlled enclosure. More retailers are sure to follow.

We do not know how many PEI members will get involved in the DEF market, or to what extent. We do not yet understand what PEI members—and their customers—already know about issues involved in transporting, transferring, storing, metering and dispensing DEF. We also do not know what information PEI can provide.

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We are considering planning a Diesel Exhaust Fluid Conference for PEI members and their customers—truck stops, quick lubes, and car dealerships—that would provide an opportunity to learn more about DEF at the retail and commercial levels. Possible topics to be explored include potential markets, equipment considerations, relevant codes and regulations, best installation practices, the European experience (over 2,000 DEF filling stations up and running to date), and end-user plans/feedback.

Before making any plans, we need to hear from you to determine if such a conference would be worthwhile. Click on this link if you might be interested in attending. Include topics that need to be discussed. If you are interested in presenting at the conference, please let us know what you would talk about. And if you would like to show your products in a table-top trade show, indicate that as well.

We think that some PEI members will have a great opportunity in this new market. Let us know if a Diesel Exhaust Fluid Conference would help you better serve your customers.

PEI MEMBER NEWS
Island Pump & Tank Corporation, East Northport, New York, has purchased the inventory, equipment, site assignments and taken over the operation of Wayne Services Group Metro NY (WSGMNY) from Dresser Industries, Wayne Division. WSGMNY currently services New Jersey and metro New York. The venture will be operated as Island Pump & Tank and will be managed by Tom Ecke, Island's service department supervisor.
Strick Equipment Sales, Inc., headquartered in Jenison, Michigan, has opened a branch office at 3237 Van Buren Avenue, Naples, Florida 34112. Phone: (239) 793-3987. Fax: (239) 793-1203. Phil Strick will manage the Naples branch, with Bobby Moller providing inside sales support. The product lines distributed in Florida are identical to those represented in Michigan.
PetroTechnik Inc., Cresskill, New Jersey, has named Mike Long and Associates, Ocean Isle Beach, North Carolina, as its Manufacturer's Representative of the Year for the second straight year. Mike Long & Associates represents PetroTechnik's line of UPP products in Virginia, North Carolina, South Carolina, Tennessee, Georgia, Alabama and Florida.

STATUS REPORT ON CALIFORNIA'S EVR PROGRAM
By April 1, 2009, owners of approximately 11,000 gasoline dispensing facilities (GDFs) in California must install enhanced vapor recovery (EVR) Stage II systems. Based on the availability of equipment and information from California's Air Pollution Control Districts on EVR construction permits and installations, the staff of the California Air Resources Board concludes in a report issued this month "that a majority of stations will install EVR Phase (Stage) II by the deadline. Staff recommends that the current EVR compliance dates be maintained."

As of the end of October 2008, the report estimates that about 22 percent of the GDFs have installed EVR Stage II equipment and that about 58 percent of the GDFs statewide have obtained district permits to construct the upgrades. A bill recently enacted provides a two-year extension to some GDFs in remote areas to install EVR Stage II equipment. The entire 13-page report is available here.

PEI SERVICE & CONSTRUCTION MANAGERS CONFERENCE, MARCH 19-21, 2009, IN ST. LOUIS
If you are responsible for your firm's service or construction department, consider attending PEI's Service & Construction Managers Conference, March 19-21, 2009, at the Hyatt Regency St. Louis Riverfront in St. Louis, Missouri.

The two-day conference will offer a combination of general session and roundtable discussion topics specifically geared to the needs of both the service manager and construction manager. The conference will include presentations by Howard Hyden on customer focus and employee motivation that will be of interest to both groups.

Those attending the meeting will also have an opportunity to discuss issues with other managers from across the nation in a roundtable format. Roundtable topics include:

• Safety Training for Service
• Recruiting & Training Service Technicians
• Service Technician Career Training
• Service Technician Retention
• The Universal Service Vehicle
• Service Department Field Processes
• General Management for Service
• Service Dispatching
• General Management for Construction
• Construction Project Management
• Safety Training for Construction
• Trenching & Shoring
• Construction Equipment Control & Accounting

Registration for PEI members prior to February 18 is $295 ($545 for nonmembers). The fee beginning February 18 goes up to $395 for members and $695 for nonmembers. The fee includes all conference materials, three general sessions, four roundtable discussions, three meals, and two receptions. You can register at PEI's web site at www.pei.org/events or call PEI (918-494-9696) and we will send you the printed material. A list of people pre-registered for the conference will be posted at the same site in the near future.

United Rentals Trench Safety will conduct a 4-hour Excavation Safety for Competent Person Training (CPT) session prior to the conference on Thursday, March 19 from 1:00 p.m. to 5:00 p.m. at the Hyatt Regency St. Louis Riverfront. There is no additional cost for this event which is available for all conference attendees registering before the February 18 advance registration deadline.

Those attending the conference should make sleeping rooms reservations directly with the hotel, or by calling (314) 655-1234. Mention that you are attending the PEI Service & Construction Managers Conference to receive the PEI rate of $159 per night. Reservations must be made prior to February 18 to receive the special rate.

PEI members sponsoring the conference are Catlow, Inc.; Central Illinois Mfg.; Champion Laboratories; ESCO Services, Inc.; Husky Corporation; Morrison Bros. Comp.; PMP Corporation; RDM Industrial Electronics; United Rentals Trench Safety; and Universal Valve Co. Other firms interested in sponsoring should contact Bob Young at byoung@pei.org.

PEI members responsible for planning the conference are Brent Erekson, Cochise Petroleum Equipment Company; Steve Fletcher, Northwest Pump and Equipment Company; David Freeborn, Guardian Fueling Technologies, Inc.; Josh Hodges, SME Solutions LLC; John C. Keller, Jr., Petroleum Solutions, Inc.; and Ryan Riley, Service Station Systems, Inc.

REGULATORY BRIEFS
Texas. The Texas Commission on Environmental Quality has approved the proposal of a rule package to revise 30 TAC Chapter 350, the Texas Risk Reduction Program (TRRP), and Chapter 334, Underground and Aboveground Storage Tank rules. The rulemaking would remove Leaking Petroleum Storage Tank (LPST) sites from the applicability of TRRP. Removal of the requirements associated with Chapter 350 with regard to remedial assessment, response and post-response actions (i.e., cleanup) related to releases from USTs and ASTs regulated under Chapter 334 may in some cases result in a cost savings for the tank owner, state agencies and local government entities. The proposed amendments to both Chapters are available on the TCEQ website.
Wisconsin. Sheldon Schall, chief of the Storage Tank Regulation Section of the Wisconsin Department of Commerce, emailed the following notice to PEI on November 13: "After revisiting the dispenser stop button requirement based upon recent issues that have been brought to our attention by WisPEC, the Wisconsin interpretation requiring a dispenser stop button will be discontinued. The dispenser safety stop button is no longer required and may be removed from existing dispensers at the discretion of the operator or service contractor. Suspension of the requirement does not prohibit the installation or use of such a device if the operator requests such a device."

DEATHS
Charles T. Erdman, Jr., former engineer with Buffalo Tank and one of the developers of the ACT100 standard, died November 17. He was 80. Charlie also served as co-chair of the Maryland Ad Hoc Committee on Oil for many years. He is survived by his wife, Dorothy; three children; and seven grandchildren.

MEMBERSHIP APPLICATIONS
Colombia distributor. SYZ Ingenieria Ltda., Carrera 72B No. 49A-70, Bogotá, Colombia, has applied for distributor division membership. Carlos Zambrano is the general manager for the firm, which was established in 2004. The company installs dispensers, pumps and flow meters, and represents Bennett, EBW, OPW-FC, OPW-FMS and TotlConSys. Sponsored for PEI membership by J. Gregory Hockman, HockmnLews, West Orange, NJ; Phil Carlin, OPW-FMS, Hodgkins, IL; and Steve Murray, TotlConSys, Fort Wayne, IN.
Pennsylvania tank installation firm. Clayton Services Corporation, P. O. Box 1330, Lansdale, Pennsylvania 19446, has applied for service and construction division membership in PEI. Michael C. Williams is president of the firm, which was established in 1996. The company provides tank handling activities, with an emphasis on cathodic protection system troubleshooting, installation and repairs. Sponsored for PEI membership by J. Stephen Hieber, PWIinc, New Oxford, PA.
European petroleum industry consultant. Aston Crest Consultants Ltd., 2 Manor Road South, Woolston, Southampton, United Kingdom SO19 2DS, has applied for affiliate division membership. Geoffrey Wheeler is a consultant with the firm, which was established in 1995. The company advises the petroleum and convenience industry on all aspects of the business and can arrange project management. Sponsored for PEI membership by Phil Carlin, OPW-FMS, Hodgkins, IL.

ADMITTED TO PEI

• Ziller Electric/Ziller Construction, Orion, MI (S&C)
• Greg Sorenson, City of Edmonton, Edmonton, Alberta (O&E)
• Randy Childs, Carroll Branded Fuels, Baltimore, MD (O&E)

©2008
Petroleum Equipment Institute
P. O. Box 2380
Tulsa, OK 74101-2380

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.