Own Tanks vs Fuel Cards

 

Own Tanks vs Fuel Cards

We are building a new corporation yard and we are debating over putting fuel dispensers/tanks in or having all fuel dispensed via fuel cards offsite... What have others done? Is the industry moving in a fuel card direction?

Anonymous (not verified)
Anonymous's picture

Mine is a state agency fleet and we have a mix of bulk and commercial "operations". Most of the bulk sites are state parks, many of which are located a good distance from commercial sites, plus they use the fuel in both vehicles and off-road equipment (lawn mowers, farm tractors, etc). Most locations use commercial -- partly because the "startup" cost of going to bulk would be prohibitive. In my view, it can be better to "go bulk" but considerations must include weighing the potential cost savings usually associated with bulk fuel(s) against the cost of operating the "service station" -- to include all the environenmental compliance requirements that surround storing and dispensing fuel. Having bulk might also cushion price spikes; give better control of what goes into vehicles (particularly useful if trying to meet requirements to use alternative fuel(s); and give better and easier data capture (if tied to fleet management systems). Good Luck.

Anonymous (not verified)
Anonymous's picture

Here at TriMet, we fuel our non-revenue vehicles with fuel cards. Our field presence vehicles, pool cars and field maintenance vehicles may need fueling anywhere out in the field. fuel cards have proven fairly convenient, and we've worked with our fuel card vendor to capture odometer and fueling information so we could collect the data and store it on are EAMS. The only vehicles we fuel on-site are our diesel powered vehicles (buses and NRV). It's also less equipment to maintain in your yard. I'm unsure if we've ever considered on-site gasoline fueling in the past, but for the time I've been with the agency, I have not heard about including gasoline fueling stations. Now Electric fueling stations are another matter and I'm unsure if our capitol projects team has started taking a look at this.

Anonymous (not verified)
Anonymous's picture

 

We are working diligently to remove most of our bulk tanks out of the area that you are talking about. The regulations and restrictions associated with tanks in several of the counties around you are pretty tough. We have found that our cost of inspections, maintenance, permits, etc significantly diminish the savings generally associated with bulk tanks. We have had bulk in that area for a long time, but are moving to a retail solution. tks.

Anonymous (not verified)
Anonymous's picture

 

We are also working to get out of the fuel business where ever possible. Most of our fuel is now dispensed through a fuel card (CFN network) and is under contract for pricing. Where we have operation centers, we have replaced all but one tank with above ground tanks. At these locations, we had our card lock vendor install a card reader so our users use the same card as they would at an off site location. We do not own the fuel in the tank until it is dispensed. All our fuel transaction records are downloaded weekly into our fleet management system.

Anonymous (not verified)
Anonymous's picture

 

We had the bulk tanks in the ground already, so those costs are unknown to us. The regulations seem to be very precise and it takes a little bit to make sure that compliance is met all the time. We recently upgraded the card reader on our on-site pumps to use the WEX card (our fleet card). With this change our fleet can fuel on-premise or off-site same card same id. We run the on-site system seperately so that we are not paying for transaction fees, we use Multiforce/Fuelserve. The overall solution works well for our fleet of about 650. This also give us a backup should our pumps on-site every go down or need attention.

Anonymous (not verified)
Anonymous's picture

We have four (underground) fueling sites located within the city limits. We have, also had in place for the last four years future contract to control the cost of Gas and Diesel which as be a great cost savings to us. It is taking more and more time and paper work to maintain the EPA requirements however for ease of billing and cost control it seems to offset some of the cost to maintain the system.