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Dear PEI Member:

Next week, I’ll have the honor of presenting the annual State of the Industry address during the PEI Convention at the NACS Show. The 25-minute presentation is the result of a year’s worth of analysis, research and conversations, plus findings from the association’s most recent business conditions surveys.

But even as that big talk approaches, the daily news in our industry always captivates me. Here’s a collection of fuel equipment-related developments from just the past couple of weeks. Most didn’t get big headlines; all are part of the fabric that will determine our future.

Electric Vehicles (EVs)

• Las Vegas announced all of its municipal vehicles will be electric by 2050.
• A Precedence Research study projected that the global EV supply equipment (EVSE) market will grow from $25 billion in 2020 to $212 billion in 2030.
• General Motors asked Bolt owners to park at least 50 feet from other vehicles to reduce the risk of fire from Bolt battery defects. Previously, GM told customers to limit charges to 90% of capacity, to charge their vehicles more frequently, to charge before their vehicles’ range drops below 70 miles and to avoid parking overnight in garages.
• The Kelowna, British Columbia city council discussed a proposal to require EV chargers at all new gas stations, in every parking space at new multi-family residences and in 10% of parking spots at new commercial developments. Kelowna is the third largest metropolitan area in British Columbia and the 20^th largest in Canada.
• Michigan Gov. Gretchen Whitmer announced a demonstration project to embed wireless, inductive EV charging in a 1-mile stretch of road in the state. The first-in-the-nation project would allow EVs to charge while moving.
• The $3.5 trillion budget reconciliation bill under consideration by the U.S. House of Representatives would give union-built EVs $4,500 more in tax incentives than non-union-built vehicles. Tesla is among the non-union manufacturers protesting the proposal.

Fuel Equipment News

Large Employer Vaccine Mandate

PEI Convention: Know Before You Go

Ohio C-Store Associations Merge

U.S. Seeks to Disrupt Ransomware

Respond to this Newsletter

by e-mail to the editor, Rick Long at rlong@pei.org

Hydrogen Fuel Cell Vehicles

• The California Air Resources Board (CARB) projects the state’s public hydrogen fueling facilities will grow from 44 at the end of 2020 to 100 in 2023 and 176 in 2026. The projected 2026 total would support 250,000 hydrogen fuel cell vehicles.

Biofuels

• The U.S. Court of Appeals for the District of Columbia declined to hear a challenge to its July ruling that the U.S. Environmental Protection Agency (EPA) exceeded its statutory authority in allowing the year-round sale of E15. Petitioners Growth Energy, the Renewable Fuels Association and the National Corn Growers Association have 90 days from the Sept. 9 denial to file an appeal.
• The U.S. House of Representatives’ $3.5 trillion budget reconciliation bill includes $1 billion in Department of Agriculture grants to expand biofuel infrastructure and increase the use of higher ethanol and diesel blends.
• Reuters and other news agencies reported the U.S. Environmental Protection Agency (EPA) will make major cuts to current and proposed biofuel blending requirements. Conventional renewable fuel (mostly ethanol) would see the biggest reductions, including a retroactive cut for 2020 from 15 billion gallons to 12.5 billion gallons. Blending requirements would be 13.5 billion gallons in 2021 and 14.1 billion gallons in 2022.

LARGE EMPLOYER VACCINE MANDATE
The U.S. Occupational Safety and Health Administration (OSHA) is developing an Emergency Temporary Standard (ETS) to implement President Biden’s Sept. 9 mandate that companies with more than 100 employees require their employees to be vaccinated or take a weekly COVID-19 test. 

The National Association of Wholesaler-Distributors (NAW), which is monitoring the process, reports that:

• The 100-employee threshold will be based on the employer’s entire workforce, not individual offices or worksites.
• Remote employees who are physically isolated from co-workers will not be subject to the testing/vaccination requirement.
• Employers will need to provide paid personal time off (PTO) for employees to obtain vaccinations and recover from side effects.
• OSHA likely will publish the ETS in four to six weeks.
• The ETS will take effect immediately in states where the federal OSHA has direct jurisdiction. The 22 states with their own OSHA plans will have 30 days to implement the ETS.
• OSHA will solicit public comments after issuance of the ETS and will publish a final rule about six months later.

Unanswered questions include:

• Who will pay for unvaccinated employees’ weekly COVID-19 testing?
• How will employers verify vaccinations and tests?
• Will the rule specify which vaccines will satisfy the mandate?
• How should employers handle employees who refuse to be vaccinated or get weekly tests?
• How will a required $14,000 fine “per violation” be calculated and collected?

PEI CONVENTION AT THE NACS SHOW
The 2021 PEI Convention at the NACS Show opens one week from tomorrow in Chicago. Preregistered attendees will receive badge QR codes and other “know before you go” essentials via email this Wednesday, Sept. 29.

PEI encourages all attendees to register before arriving in Chicago. Preregistration simplifies check-in at McCormick Place, the site of the event.

Get all convention details at www.pei.org/show or click these links for specifics:

• Register: Select your preferred individual or group rate.
• Sessions and events: See the keynote speakers, education sessions, PEI 1-on-1 topics, networking opportunities, meals and receptions.
• Schedule: Plan your time in Chicago day by day and hour by hour.
• Housing: Rooms remain available at some PEI hotels. See all the options.
• FAQs: Check the latest updates on safety, exhibit hours, shuttles, ADA accessibility and more.

OHIO C-STORE ASSOCIATIONS TO MERGE
The Ohio Petroleum Marketers and Convenience Store Association and Ohio Association of Convenience Stores will merge in January to form the Ohio Energy and Convenience Association (OECA). OECA will then become an affiliate member of the Ohio Council of Retail Merchants, which will manage the new organization’s daily operations.

U.S SEEKS TO DISRUPT RANSOMWARE ATTACKS
The U.S. Treasury Department plans to sanction financial institutions and exchanges that process ransomware payments. The move is part of a strategy to treat ransomware attacks as a national security threat, not just a criminal activity. Ransomware typically is paid through a series of cryptocurrency transactions that hide the identity of the final recipient. The planned move could make it more difficult for hackers to receive ransomware payments and maintain their secrecy.

PEI MEMBER NEWS
JF Petroleum Group entered into a definitive agreement to acquire the assets of RC Development Group Inc. Headquartered in northeastern Florida, RC Development Group specializes in turnkey commercial petroleum construction and environmental services.

Matrix Capital Markets Group Inc. advised Mercury Fuel Service Inc. on the sale of 20 petroleum marketing and convenience retail stores in Connecticut, Massachusetts and New York. EG Group acquired eight of the stores. Affiliates of CCO LLC, dba Sam’s Food Stores, purchased the remaining 12 stores and Mercury’s wholesale fuel business.

Oscar W. Larson Co. acquired Franklin, Ohio-based Cox Service Station Maintenance. For 42 years, Cox has provided maintenance and construction services for aboveground and underground storage tank (UST) systems in the Midwest.  

MEMBERSHIP APPLICATIONS
Colombian manufacturer. Tank Tech SAS, Km 1, 5 Vía Briceño-Zipaquirá, Zona Franca Tocancipá, Bodega 6, Tocancipá, Cundinamarca 251017, Colombia, applied for affiliate division membership. Mario Betancourt is CEO of the company, which was established in 2018. Tank Teck SAS manufactures underground fiberglass storage tanks, dispenser sumps and tank sumps. Sponsored for PEI membership by Claudia Pena, Novak Technologies LLC, Doral, Florida. www.tanktech.com.co

Indiana service company. Peacetree Inc., 7630 N. Fox Hollow Road, Bloomington, IN 47408, applied for service and construction division membership. Rod Armes is president of the firm, which was established in 1995. Peacetree Inc. sells, installs and removes tanks and related equipment, performs maintenance and repairs, and offers compliance and remediation services. Sponsored for PEI membership by Charlie Burns, Oscar W. Larson Co., Clarkston, Michigan. www.pei-mc.com

Mexican service provider. Manpreco, Crisantemas Mz 145 Lt 14 Col, Jardínes Ojo de Agua, Tecámac, Estado De Mexico, 55770, Mexico, applied for service and construction division membership. Osvaldo Real Bringas owns the company, which was established in 2008. Manpreco provides comprehensive maintenance services to service stations. Sponsored for PEI membership by David Fiala, FMG-LLC/SFICO, Maitland, Florida. www.manprecogilbarco.com

China manufacturer. Zhejiang Koeo Petroleum Machinery Co. Ltd., Dong’ou Industrial Zone, Oubei, Yongjia, Wenzhou, Zhejiang, China applied for manufacturer division membership. Eric Wei is sales manager of the company, which was established in 1990. Zhejiang Koeo Petroleum Machinery Co. Ltd. manufactures fuel transfer pumps, fuel flow meters, fuel nozzles, oil nozzles, hose reels and dispenser accessories, which are sold primarily through distributors. Sponsored for PEI membership by David Fiala, FMG-LLC/SFICO, Maitland, Florida. www.koeochina.com

Michigan construction company. Clean Fuel Solutions LLC, 31408 Harper Ave. #280, St. Clair Shores, MI 48082, applied for service and construction division membership. Peter Kayser is operations manager of the firm, which was established in 2015. Clean Fuel Solutions LLC specializes in design, construction and service of fluid dispensing and fueling systems. Sponsored for PEI membership by Sean Kelly, Kelly Maintenance Co. Inc., Saginaw, Michigan. 

Arkansas service provider. Scott’s Underground Construction Co., P.O. Box 337, Alexander, AR 72002, applied for service and construction division membership. Scott Taylor is president of the firm, which was established in 1989. Scott’s Underground Construction Co. installs, repairs, upgrades, closes, provides cathodic protection for and performs precision tightness testing on UST systems. Sponsored for PEI membership by Tonia Ballard, SPATCO Energy Solutions, Charlotte, North Carolina.

California service company. Hancock Petroleum Engineering, 3320 Industrial Drive, Yuba City, CA 95993, applied for service and construction division membership. Rodger Hancock owns the company, which was established in 1985. Hancock Petroleum Engineering installs and maintains all fuel-related dispensing equipment and provides compliance testing of aboveground and underground storage tanks and associated equipment. Sponsored for PEI membership by Bob Mathews, Northwest Pump, Portland, Oregon. www.hancockpetro.com

Georgia engineering firm. Civilogistix LLC, 500 Sun Valley Drive, H3, Roswell, GA 30076, applied for affiliate division membership. David White is the owner and principal engineer of the company, which was established in 2015. Civilogistix LLC provides civil engineering and design services for retail fueling centers, trucking facilities and convenience stores. Sponsored for PEI membership by Dr. James E. Young, The Young Group, Alpharetta, Georgia. www.civilogistix.com

ADMITTED TO PEI

• Paul Beu, Wawa, Wawa, Pennsylvania (operations and engineering)
• David Ralston, Choctaw Nation of Oklahoma, Durant, Oklahoma (operations and engineering)
• Adams Environmental Engineering Group LLC, Glen Burnie, Maryland (service and construction)
• Petrobox Fuel Solutions LLC, Sunrise, Florida (manufacturer)
• TK Tank Services Inc., Sumter, South Carolina (service and construction)
• Nationwide Tanks Inc., New Braunfels, Texas (manufacturer)
• R10D Construction, Surprise, Arizona (service and construction)
• ABLE Equipment, Deer Park, New York (affiliate)
• J & N Supply Co., Fort Worth, Texas (distributor)
• ET Technologies, Parker, Colorado (service and construction) 

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.