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Dear PEI Member:

There was a lot in the news last month about increasing the ethanol blend in gasoline. Here is a summary:

• "Ford endorses efforts to increase base level blends up to E15 and collaborate with key stakeholders to overcome challenges with introducing these higher levels of ethanol."--Susan Cischke, Ford's vice president for sustainability, environment and safety engineering, in a letter to Jeff Broin, CEO of Poet, the nation's largest ethanol producer.
• Growth Energy, which represents ethanol producers, petitioned EPA on March 6 to lift its current cap on E10, saying there is data to warrant an immediate increase to E12 or E13 while studying the merits and data relative to lifting the cap to allow E15. The group says EPA should designate E12 or E13 as "substantially similar" to gasoline--an abbreviated process that would be less onerous than a formal waiver request to increase the ethanol blend.
• "American motorists and consumers cannot afford to have the EPA's decision on whether to permit the use of ethanol blends higher than 10 percent in motor vehicle and smaller engines be guided by any factor other than sound and unbiased science," a coalition of health, environmental, food production and manufacturing groups said in a statement released March 6.
• The government should raise the current level of ethanol in the nation's gasoline supply from 10 percent to 12 or 13 percent soon, then later to 15 to 20 percent--Tom Vilsack, U.S. Secretary of Agriculture, to attendees at the National Farmers Union convention March 9, according to Congress Daily.
• "The only issue (with E-15) is what auto companies say about the damage it can do to engines."--Energy Secretary Steven Chu, Washington Post, March 9, 2009.
• A decision on the government raising the current level of ethanol in the nation's gasoline supply will not be made for quite some time because the science is not yet complete.--Lisa Jackson, EPA Administrator.

Note that nothing much is being said about the equipment that will be used to store, meter and dispense ethanol blends over 10 percent. We know that much of that legacy equipment is not listed to handle gasoline blended with over 10 percent ethanol. EPA is the only agency with the authority to lift the cap, and we hope they will consider the petroleum handling equipment implications review of Growth Energy's petition.

Higher ethanol blends was a hot topic at the 21st Annual National tanks Conference last week in Sacramento. The eventuality of higher blends seemed to have most attendees concerned, since most of the people we talked with seemed to think that the Obama administration is leaning to lifting the ethanol ceiling to E12 or E13, while EPA continues researching the effect on higher concentrations.   

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Tanknology Inc., Austin, Texas, has placed five executives into key regional and sales management positions. Kevin Callaway has been named regional manager of the company's Gulf Coast region (Texas, Oklahoma, Arkansas and Louisiana), which is based in Austin. Eddie Campbell has been promoted to regional manager for the company's southeast division (Georgia, Alabama, Mississippi, North Carolina, South Carolina and Tennessee). Ron Raleigh has joined Tanknology as eastern division sales manager; Blaine Garwood is the company's new northern division sales manager, and Kevin O'Hearn has been named Gulf Coast sales manager.
Eastern States Associates, Inc. (ESA) has appointed Pat Hough to the ESA sales team. A 30-year petroleum industry veteran, he will focus his efforts on the mid-Altantic states. 

Emco Wheaton Retail Corporation, Wilson, North Carolina, has appointed P&G Marketing and Associates, Clinton, Illinois, to represent the company in Illinois, Kansas and Missouri.

OPW Fueling Components, Cincinnati, Ohio, has reached an exclusive private-label distribution agreement with ELAFLEX Tankstellentechnik GmbH & Co., Hamburg, Germany. The agreement allowsOPW Fueling Components to distribute ELAFLEX's diesel exhaust Fluid (DEF) nozzles in the United States and Canadian markets.

Suncor Energy Inc. and Petro-Canada announced the proposed merger of the two companies, with the firms operating corporately and trading under the Suncor name. Both companies have strong retail brands in Canada, with Suncor's 427 locations and Petro-Canada's 1,323. Suncor also operates a refining and marketing busienss in Ontario, with retail distribution under the Sunoco name.
Brazil's state-controlled PetroBras has started producing and selling E3 (3 percent ethanol) at stations across Japan. 

SCHWARZENEGGER CALLS FOR DELAY IN EVR ENFORCEMENT
California Governor Arnold Schwarzenegger has called for a delay in the enforcement of the state's enhanced vapor recovery (EVR) program, saying it created a hardship for station owners impacted from the sagging economy. Schwarzenegger urged the California Air Resources Board (CARB) to delay enforcement 6 to 12 months and asked the legislature to come to the rescue. A bill was quickly introduced that would impose a one-year moratorium. CARB chairperson Mary Nichols has asked her staff to urge the state's local air control districts to "exercise their enforcement authority with discretion and restraint."

PEI members in California tell us that over 50 percent of the dispensing facilities are in compliance with the rule and are encouraging anyone who will listen to enforce it. PEI members in California expect EVR work to continue through 2009.

AT&T will buy and convert 8,000 Ford vans and trucks to natural gas over the next five years. AT&T currently has 88,000 vehicles in its fleet.

DEATHS
William Richard (Bill) Giles, former president of Florida Equipment Sales, Jacksonville, Florida, died February 24 in Jacksonville. He was 86. A World War II veteran, Bill lived in Oxford and Atlanta, Georgia, before moving to Jacksonville in 1960. He worked for Florida Equipment Sales for 54 years. He is survived by his wife of 62 years, Margaret; a daughter, Deborah Giles; a son, Rick; and 4 grandchildren      

MEMBERSHIP APPLICATIONS
Louisiana distributor. Pump Tech of Louisiana, P. O. Box 316, Crowley, Louisiana 70527, has applied for distributor division membership. John Bryant Gielen is the primary contact the company, which was established in 2006. The company sells and services service station equipment including tanks and dispensers and represents AmFab, Champion, EmcoWheatn, Flex-Ing, Freedom, ModernWeld, VeederR and VeriFone. Sponsored for PEI membership by Orien Denham, Petron, Alexandria, LA.
Carwash rinse/reclamation systems manufacturer. New Wave Industries, Inc., 3315 Orange Grove Avenue, North Highlands, California 95660, has applied for manufacturer division membership in PEI. Danielle Heyward is marketing coordinator for the firm, which was established in 1983. The company manufacturers rinse systems and water reclaim systems which are sold through distributors. Sponsored for PEI membership by Charlie Tew, SoPmpTnkNC, Charlotte, NC.
Alabama construction and remodeling firm. Bryant and Company, Inc., P. O. Box 320937, Birmingham, Alabama 35232, has applied for service and construction division membership. Jeff Bryant is secretary/treasurer for the firm, which was established in 1955. The company builds, remodels and demolishes service stations throughout the United States. Sponsored for PEI membership by Lucas Ford, LucasFord, St. Petersburg, FL.
Arizona installation and service company. Trinium LLC, P. O. Box 11805, Chandler, Arizona 85248, has applied for service and construction division membership. Bryan Weber is the primary contact for the company, which was established in 2007. The company provides installation, retrofit and decommissioning construction. Sponsored for PEI membership by Gregg Miller, NWPump, Portland, OR.
Costa Rica maintenance company. ACM-Petrotica, Rorhmoser, 50 oest, 125 noroeste, Mall Plaza Mayor, San Jose, Costa Rica 1691-3000, has applied for service and construction division membership. Luis Vargas i operations manager for the firm, which was established in 2002. The company designs and builds service stations and provides maintenance and repair of petroleum equipment. Sponsored for PEI membership by Matt Cothren, UnivStruc, Plant City, FL.
Wisconsin installation and service provider. G an D Petroleum, LLC, 9837 West Welsh Road, Janesville, Wisconsin 53548, has applied for service and construction division membership. Gary Moser is CEO of the firm, which was established in 2002. The company designs, builds, installs and provides service to the petroleum industry. Sponsored for PEI membership by Tim Esterling, WestMorInd, Morris, MN.
Loss prevention solutions provider. VRX Company, Inc., P. O. Box 4663, Maryville, Tennessee 37802, has applied for affiliate division membership. Forrest Erickson is president of the company, which was established in 2004. The company integrates electronic scales, cash registers or point-of-sale to closed circuit TC systems to help pinpoint employee theft. Sponsored for PEI membership by W. Douglas Bruce, RBMCo, Knoxville, TN.
Indiana training firm. Practical American safety Solutions, LLC, 720 North Martin Luther King Boulevard, Muncie, Indiana 47307, has applied for membership in the affiliate division. Raymond Rees is vice president of operations and information for the company, which was established in 2003. The company is currently designing and implementing a system to train operators of underground storage tanks. Nominated for PEI membership by Daniel J. Esposito, OilEqpSup, Indianapolis, IN.
North Carolina service firm. Convenience Store Service, P. O. Box 582, Burlington, North Carolina 27216, has applied for service and construction division membership. Ronald Smith is owner of the firm, which was established in 2006. The company services dispensers, carwash equipment, lights, signage, vacuums and tire inflators. Nominated for PEI membership by Richard H. Long, RDMElec, Nebo, NC.
North Carolina environmental consulting firm. M D Shaw & Associates, P.C., 8501 Foxtail Lane, Huntersville, North Carolina 28078, has applied for affiliate division membership. Michael Shaw is president of the firm, which was established in 2007. The company provides environmental consulting services to underground storage tank owners and operators. Nominated for PEI membership by Benjamin Thomas, ThomasAscs, Clinton, WA.

©2009
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.