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August 31, 2010 | Vol. 60, No. 17

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In This Issue
Dear PEI Member:

Thirty-nine environmental, food, motor vehicle, energy, power equipment and recreational industry groups have requested House and Senate hearings on the pending E15 waiver petition filed by Growth Energy.

In letters to the chairmen and ranking members of the House Energy and Commerce Committee and the Senate Environment and Public Works Committee, the groups requested that hearings be held in September to question top Environmental Protection Agency (EPA) and Department of Energy (DOE) officials regarding the impact of the mid-level ethanol blend on different types of road and non-road engines, and how the agencies propose to prevent harm to consumers from misfueling their engines with the incorrect blend.

Last month, House Energy and Commerce Committee Chairman Henry Waxman (D-CA) and Ranking Member Joe Barton (R-TX) signed a bipartisan letter to EPA Administrator Lisa Jackson questioning the effects E15 would have on gasoline refueling infrastructure, vehicles, boats, outdoor powered equipment and air quality.

EPA has indicated it will make a decision by the end of September on whether to approve E15 in gasoline. This request and other actions initiated by various trade groups with a stake in the matter may delay EPA's decision. The latest "unofficial" word we have is that the information necessary to decide on the waiver request probably will not be available by the end of September.

We have planned a session covering the mid-level ethanol blend issue on October 7 at the 2010 PEI convention in Atlanta. The session will feature top representatives from EPA, DOE and the oil industry. It will provide an ideal opportunity to hear the latest news directly from the decision makers.

PEI CONVENTION NEWS
PEI has now confirmed a full slate of exceptional speakers and sessions for the 2010 PEI Convention, October 5-8, in Atlanta―including presentations on E15 (see above), ultra low sulfur diesel, regulatory and legislative updates, social networking and other topics. The next issue of the TulsaLetter will include the complete roster for this year's convention, which celebrates the 60th anniversary of PEI. Tradeshow booth sales are running ahead of last year's event in Las Vegas, with more than 500 booths in 100 different product categories already reserved. If you have not yet registered for the convention, you can still save $100 with our advance registration rates. Visit www.pei.org/show to register or for more information.

REGULATORY BRIEFS
California
. The Office of the State Fire Marshal (OSFM) announced August 23 that it was mandating the removal of hold-open latches on all Vapor System Technologies (VST) nozzles in approximately 3,000 gasoline stations statewide. The OSFM said its action will allow gasoline stations equipped with VST nozzles to continue operating. Station owners/operators are obligated to remove the hold-open latches by October 15, 2010, to remain in operation. The latches are to be removed "by competent personnel, such as certified service station operators," reported the Sacramento Bee. The VST nozzle without the hold-open latch was approved for use in California by the California Air Resources Board on August 24.

E15 Hearings Requested

2010 PEI Convention

State News

API 1626

In This Issue

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Tennessee. The Department of Environment and Conservation's Division of Underground Storage Tanks has a free online training tool designed to assist petroleum underground storage tank owners/operators in understanding and complying with state environmental regulatory requirements. Called "Tennessee Tank Helper," the application creates a series of lessons customized to an owner's facility and/or operator category, followed by quizzes for each lesson. Once training is complete, Tennessee Tank Helper generates a training certificate and a customized compliance plan. For a link to the program, visit the department's website at www.tn.gov/environment/ust.  

ETHANOL NEWS
"My hope is that we will get an indication [on E15]
this fall. The EPA Administrator has indicated that we are going to have E15―they've already discussed labeling―that's an indication we're going to have it. The next discussion is which vehicles will it apply to."―Secretary of Agriculture Tom Vilsack, speaking two weeks ago at the Iowa State Fair.
Leaders representing Illinois agriculture, fuel retailers and ethanol manufacturers sent a letter to the White House on August 13 urging President Obama to immediately approve the use of E12 in the nation's fuel supply. Signers to the letter included representatives from the Illinois Corn Growers Association, Illinois Renewable Fuels Association, Growmark, Center Oil Company, Aventine Renewable Energy, Qik n EZ Convenience Stores, Illinois Farm Bureau, ADM, and Huck's Food and Fuel.

APPOINTMENTS/ANNOUNCEMENTS
R J Sales and Associates
has added Wendell Smith to its sales team. Smith, with 25 years of experience in petroleum, lubrication and commercial sales, will provide additional sales support in Florida. Located in Lakeland, Florida, he can be reached at wendell@rjsalesonline.com or 863-248-6076.
Riverside Steel, Inc., Vienna, Ohio, has appointed Rocky Mountain Rep Agency to represent the company in Colorado, Utah, Idaho, Wyoming and Montana beginning September 1.
Petroleum Solutions, Inc. (PSI), McAllen, Texas, was recently recognized as Gilbarco's Western Regional Distributor of the Year for 2009.

REVISED PUBLICATION ON HANDLING ETHANOL AND GASOLINE-ETHANOL BLENDS
API Recommended Practice (RP) 1626, Storing and Handling Ethanol and Gasoline-ethanol Blends at Distribution Terminals and Filling Stations, Second Edition, has been published by the American Petroleum Institute. The recommended practice was written to help designers and operators of terminals and filling stations understand the properties of gasoline-ethanol fuel blends and how they differ from gasoline. It also will assist in the design and selection of equipment that will promote safe storage, handling and dispensing of gasoline-ethanol blends.

RP 1626 covers E1 to E15 and E65 to E100. It addresses ethanol and ethanol fuel characteristics, gasoline-ethanol blending techniques, compatibility of materials, filling station conversion, approaches to respond to releases and spills, tank truck and rail car loading and transportation issues, fuel quality issues, and fire protection. The annexes to RP 1626 contain values for gasoline and gasoline-ethanol properties, as well as a table of components that require listing by a nationally-recognized third party testing laboratory.

To purchase, go to global.ihs.com and type RP 1626 in the "Document Number" section, or call 800-854-7179.

PETROLEUM MARKETING NOTES
Mid-Atlantic Convenience Stores (MACS), Richmond, Virginia, has acquired 58 convenience stores/fuel stations located in northern Virginia and Maryland from Exxon Mobil Corp. With this addition, MACS now has nearly 300 locations across the Mid-Atlantic region.
Royal Dutch Shell and Brazilian sugar and ethanol giant Cosan signed the final documents to create a fuels joint venture that would have an estimated $21 billion in annual revenues. Cosan will combine its sugar, ethanol and service-station assets with Shell's aviation and fuels-distribution network. The joint venture is expected to be up and running in the first half of 2011.
Irving Oil is offering a reimbursement to certain customers who purchased Supreme gasoline in the last two years after the company said it has been selling its product below requirements since the beginning of 2008. On August 13, the company's Saint John, New Brunswick, refinery―the largest in Canada―discovered a portion of its Supreme gasoline was not meeting specifications at service stations in New Brunswick. The cause of the problem was an automated valve malfunction at one of its truck loading bays at the refinery. The company is now working to confirm which service stations in Canada received the affected product.

BAY AREA TO RECEIVE $5 MILLION TO DEVELOP E-VEHICLE INFRASTRUCTURE
The Bay Area Air Quality Management District Board of Directors approved $5 million to support further development of a regional electric vehicle charging infrastructure program in the San Francisco region in hopes of making electric vehicles a viable option for residents. The Air District's Spare the Air program will include 3,000 home chargers for families, 2,000 public chargers in high density parking areas, and 50 fast chargers near highways.

DEATHS
Charles M. "Chuck" Dahl
, retired civil engineer for Amoco Oil Company, died August 18. He was 72. Chuck was the go-to guy at Amoco for many years and a friend to equipment suppliers throughout the country. He was also a panelist at several PEI conventions over the years. Survivors include his wife of 47 years, Juliann, and five children.

MEMBERSHIP APPLICATIONS
Injector pump manufacturer
. Dosmatic - USA, 1230 Crowley Circle, Carrollton, Texas 75006, has applied for manufacturer division membership. Richard G. Carmell is industrial sales manager in North America for the firm, which was established in 1985. The company manufactures non-electric proportional fluid-driven injector pumps for use in dosing various chemical additives. The pumps are sold through distributors. Sponsored for PEI membership by Brett A. Strick, StrickEqp, Jenison, MI. www.dosmatic.com
Technology firm. FuelWatch, 1170 Peachtree Street, Atlanta, Georgia 30309, has applied for affiliate division membership in PEI. Paulina Pettit is sales/marketing director for the firm, which was established in 2009. FuelWatch is a business intelligence company that offers proprietary technology for automated fuel monitoring and reporting. Sponsored for PEI membership by Mike Ross, BrycoEnt, Tifton, GA. www.fuelwatchonline.com 
Australian component and equipment provider
. Fitsafe Technologies, 21 Aristoc Road, Glen Waverley, Victoria, Australia 3150, has applied for affiliate division membership. Jocelyn Hesketh is an administrator with the firm, which was established in 2006. The company provides petroleum engineering components and process equipment. Sponsored for PEI membership by Stephen Jones, MetricAus, Silverwater, Australia. www.fitsafe.com.au   
Colorado service and installation firm
. The Same Electric Company, 3178 Nome Street, Aurora, Colorado 80010, has applied for service and construction division membership in PEI. Jessica Suchey is the assistant treasurer for the firm, which was established in 1981. The Same Electric Company provides installation and service of petroleum equipment, specializing in electrical services. Sponsored for PEI membership by B. A. Scowley, ShldsHarpr, Martinez, CA.  
Tennessee service company. US Tanx, LLC, 435 Westwood Drive, Maryville, Tennessee 37603, has applied for membership in PEI's service and construction division. Gary Douglas is the owner of the company, which was established in 2008. US Tanx offers UST compliance and service to its customers. Sponsored for membership by Mickey Meyer, MMSerEqp, Silver Grove, KY. www.ustanxllc.com 

ADMITTED TO PEI

  • Custom Designed Controls, LLC, Lavonia, GA (mfr)
  • Atlantic Fuel Technology, Cordova, TN (mfr)
  • Fredi Yanes, Ingenieria Yanez, La Libertad, Comayagua, Honduras (O&E)
     

 

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©2010
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.