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"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 December.

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.

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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
The 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 unclear.

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 Commercial Appeal.

BRIEFLY NOTED
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.

CORRECTION
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 his daughter-in-law.

ADMITTED TO PEI 

• Onildo Chaves de Cordova, Auto Posto Midas Kennedy, Curitiba, Parana, Brazil (O&E)
• John Lindner, Epic Aviation, LLC, Salem, OR (O&E)

 

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Petroleum Equipment Institute
P. O. Box 2380
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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.