ALEXANDRIA, Va. -- Late last week, truckstops and travel plazas were days away from the retail implementation date for ultra-low-sulfur diesel, and although retail outlets are not required to sell ULSD, many were already receiving ULSD shipments from their suppliers.
NATSO members told the association that they had been getting ULSD shipments even when they had ordered low-sulfur diesel. Although many retailers were already receiving ULSD from their suppliers, most were waiting to label their pumps until October 15 or beyond. Retailers first wanted to [image-nocss] ensure that they had flushed residual sulfur from their tanks before they began guaranteeing fuel is in compliance with the U.S. Environmental Protection Agency's regulations.
Historically, every time the nation has made a transition to a new on-highway fuel, there have been temporary, localized supply shortages.
NATSO President and CEO Lisa Mullings said, The truckstop and travel plaza [industry] has been preparing for this transition for years, which we hope will limit the number of problems that occur during the transition.
NATSO members did see some supply disruptions during the summer months, but no problems have occurred recently. Despite any challenges that may occur, truckstops and travel plazas are committed to getting product to their customers. Retailers are working closely with distributors to ensure a consistent supply of ULSD. NATSO will be monitoring supply levels in the coming weeks and could ask EPA for enforcement flexibility if problems arise.
Those locations that were planning to label their pumps as ULSD on October 15 used the past several months to prepare their retail outlets. This preparation included transitioning underground storage tanks (USTs) from low-sulfur diesel to ULSD. Truckstops have tanks with lots of sulfur in them from years of use, Mullings said. The amount of time needed to flush that sulfur from the tank will depend on the volume of fuel a location sells. It could also vary based on the sulfur level of the fuel being put into the retail tank.
Most NATSO members planned to transition tanks by drawing down the amount in the tank through normal use, then refilling with ULSD. They will go through this process several times and the resulting product will continue to be labeled as low-sulfur diesel until operators are certain the sulfur levels meet the 15-parts per million (ppm) requirement. We want the transition at the retail pump to be seamless for drivers. By drawing down the tanks and then refilling with ULSD, truckstops will not have to shut down any tanks and stop the flow of fuel, Mullings said.
Retail locations can downgrade ULSD to LSD in limited amounts. Those locations that chose not to sell ULSD as of October 15 must keep records of the fuel they downgrade. Mullings did say that despite any problems that may arise, she is confident that at this time next year, all the outstanding challenges will be resolved. I am encouraged by the amount of communication between everyone in the petroleum industry, she said. During the last several years, NATSO has worked closely with the [EPA], other marketing groups and refinery and pipeline associations to identify and remedy as many concerns as possible.
NATSO is the professional association of America's travel plaza and truckstop industry.
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