Fuels

Pearson Fuels Receives CARB Grant

Funding expected to support building of Calif. ethanol infrastructure

SAN DIEGO -- Pearson Fuels said that it has received grant funding from the California Air Resources Board (CARB). Under the grant, CARB has agreed to work closely with Pearson Fuels and financially support the company's building of ethanol (E85) infrastructure throughout the state of California, according to Mike Lewis, general manager of Pearson Fuels, which claims to be the nation's first alternative fuel station, located in San Diego.

Lewis said that Pearson Fuels has created a model to install an E85 tank and dispenser into existing gas stations [image-nocss] throughout California for little or no cost to the station owner. Pearson was selected by CARB to implement this plan because of the uniqueness of our business model and our proven ability to work with CARB and the myriad other public agencies that are involved in the permitting and construction of an E85 station in California, he said.

As the first applicant in California to apply for and receive a research and development permit from CARB to dispense E85, Pearson Fuels has more experience than any other organization in constructing an E85 fueling station and dispensing that fuel to the public in California, it said.

Pearson Fuels' model for installing the E85 system involves contracting with an existing gas station owner to bring to their site a new E85 tank and dispenser. The actual cost to bring the equipment to an existing site varies from $100,000 to $200,000. It has been extremely difficult to get an ethanol station built in California as evidenced by the fact that the state of Minnesota has more than 300 public ethanol stations. California has only one, Pearson Fuels, according to the company.

Additionally, the permitting process has made it almost impossible for a station owner to install E85 without outside assistance. Pearson brings to the table a longstanding relationship with CARB as well as their financial backing to help bring E85 to the general public. The interested station owner will contract with Pearson to install the E85 dispenser at little or no cost, Lewis said. In exchange for Pearson installing the dispenser and tanks to the existing station, the owner signs a fuel supply contract with Pearson for the delivery of the E85 fuel.

Pearson does not generate any income from the station construction, it said, and the station owner will have the E85 equipment deeded to them at the end of construction.

Lewis said there is significant interest from fuel station owners throughout California to participate with Pearson Fuels in this program. Pearson's model requires all the new E85 sites to be in existing or under-construction gasoline or diesel fueling stations. Site selection will be determined at Pearson Fuels' discretion and will be determined based on some of the following factors: current fuel volume, station location, station amenities, demographics, available space, site control issues, commitment from the local air district to E85 fueling and commitment from the local community, including the commitment of local private and municipal fleets to use the facility.

Pearson Fuel Depot opened in 2003. Pearson was the first ethanol station in California, the first biodiesel station in San Diego, and San Diego County's first dual-pressure natural gas station, the company said. Pearson also features San Diego's largest electric vehicle charging facilities, the county's first true propane fueling station as well as the first independent station in San Diego to offer ultra-low-sulfur diesel. In addition, it offers three grades of gasoline, bringing the total to 10 different vehicle fuels. The company also built a Food Mart on site in 2006.

Pearson Fuels has common ownership with one of San Diego's major car dealerships, Pearson Ford. For the first years of the company's existence it also was known as RTC Fuels and Pearson Ford Fuels.

Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Mergers & Acquisitions

Soft Landing Now, But If Anyone Is Happy, Please Stand Up to Be Seen

Addressing the economic elephants in the room and their impact on M&A

Foodservice

Opportunities Abound With Limited-Time Offers

For success, complement existing menu offerings, consider product availability and trends, and more, experts say

Snacks & Candy

How Convenience Stores Can Improve Meat Snack, Jerky Sales

Innovation, creative retailers help spark growth in the snack segment

Trending

More from our partners