pacific northwest fuel pricing & logistics 101
DESCRIPTION
PACIFIC NORTHWEST FUEL PRICING & LOGISTICS 101. PRESENTED BY: ASSOCIATED PETROLEUM PRODUCTS, INC FRANK PUPO, JR. WHO IS APP?. Fuel Services. Lubricants. Retail. Alternative Energy. Equipment & Spill Control. LOGISTICS. Where does product come from?. - PowerPoint PPT PresentationTRANSCRIPT
PACIFIC NORTHWEST FUEL PRICING
&
LOGISTICS 101PRESENTED BY: ASSOCIATED PETROLEUM PRODUCTS, INC FRANK PUPO, JR
WHO IS APP?
Fuel Services
Lubricants
Retail
Alternative Energy Equipment & Spill Control
LOGISTICS
Where does product come from? What makes up a refined barrel of crude?
Alaska
Canada
Saudi Arabia
Mexico
LOGISTICS
Local Supply Points
Main Terminals
Tacoma
Seattle
Anacortes
HISTORY OF PRICING
How are prices established?
Crude oil well
is drilled
Crude oil is sold off a benchmark (i.e. NYMEX) in contracts to refiners
Crude contract
price becomes refiner input cost
Refiners use cost, futures, terminal fees, local market conditions to establish rack
pricingRack prices
become distributor product
cost
Distributor product cost and transportation costs create
end user price
HISTORY OF PRICING
Distributor Pricing Breakdown
Rack Cost
Freight
Margin
Taxes Current Fuel Taxes
WA State Hazardous Substance Tax 0.7%
Federal Oil Spill $0.0019
Federal LUST $0.0010
Federal Excise Tax$0.1830gas/$0.243dsl
State Excise Tax $0.3750
B & O Tax (Indian Tribes are exempt B&O Tax) 0.484%
HISTORY OF PRICING
What drives market prices?
National & global crude supply
Local product supply
Value of the US Dollar
Futures market
Speculation
Product demand
Pipeline & Terminal shut downs
BRANDED VS UNBRANDED
Are the markets the same?
What causes the price differences?
Funding & Image Programs
Supply
Demand
Additive What about diesel?
Historical Fuel Trends
$1.5500
$2.0500
$2.5500
$3.0500
$3.5500
$4.0500
$4.5500
12/31/2006 12/16/2007 11/30/2008 11/15/2009 10/31/2010
Branded Gas Unbranded Gas Diesel
BRANDED VS UNBRANDED
ALTERNATIVE FUELS
Market
Federal mandates
9 billion gallons in 2008 to 36 billion gallons by 2022
WA mandates
Aggregate B2
State of the Industry
Why E10?
Product Supply
Feedstock
Soy
Canola
Waste Oil
CONVENIENCE STORES
HAZARDS & SAFETY GUIDELINES
PRESENTED BY: ASSOCIATED PETROLEUM PRODUCTS, INC
TARYN MILLER
C
KEY HAZARDS
Key hazard areas/safety concerns at convenience stores:
Slips, Trips & Falls
Robbery
Gasoline Dispensing Operations
SLIPS, TRIPS, & FALLS
Key Over one million people in the U.S. experience a significant slip, trip, or fall each year.
An average of 17,000 Americans die from their slip and fall accidents
Falls account for one quarter of serious injuries in the workplace.
Seventy percent of slips and falls occur on level ground.
Questionable slip and falls claims rose 51 percent from the first half of 2009 over the first half of 2008, according to the National Insurance Crime Bureau.
SLIPS, TRIPS, & FALLS
Causes
Outside the store:
Potholes in lot/dispensing area
Speed bumps
Curbing – painted yellow or other contrasting color?
Other changes in elevation – unlevel sidewalk panels, wide cracks in concrete
Ice/snow and other weather conditions
Inside the store:
Drink dispensing area – mat present?
Aisle ways – keep clear of boxes, etc
Water tracked in from outside – non-skid mats at door recommended
SLIPS, TRIPS, & FALLS
If you have a slip & fall onsite:
Injured persons should be attended to immediately; show compassion but never admit fault.
Accident/incident investigations should be conducted and documented immediately (see sample form provided).
Take immediate steps to prevent further accidents, if possible.
File a claim as soon as possible, even if it does not appear as though you will be considered responsible for the injury.
Take photos of the area fall occurred, even if nothing appears wrong.
ROBBERY
Lighting is one of the greatest deterrents to robbery – make sure all lights functioning properly
Cash register should be near front door, with unobstructed outside visibility
Limit amount of money in register – drop into safe once exceeded
Seventy Make eye contact, pleasantly greet customers as they enter the store. Easy to spot an issue ahead of time.
ROBBERY
Signs to have:
“Employees do not have access to the safe”
Height indicators for doors
“Cash is kept to a minimum in this store”
ROBBERY
How Robbery Reaction Guidelines (handout)
Control ignition hazards during vehicle fueling
No smoking, shut off engines, cell phones, static electricity, etc.
GASOLINE DISPENSING OPERATIONS
Filling portable containers
Prevent filling of unacceptable containers
Make sure container is on ground, not in back of truck, etc.
Filling Emergency response procedures
How to operate emergency pump shutoff controls, F.D. phone #
How to respond to small fuel spills (placing absorbent material on spilled fuel)
GASOLINE DISPENSING OPERATIONS
Filling Emergency response procedures
How to operate emergency pump shutoff controls, F.D. phone #
How to respond to small fuel spills (placing absorbent material on spilled fuel)
How to use a fire extinguisher
Remember PASS acronym
Pull, Aim, Squeeze, Sweep
CONVENIENCE STORE SAFETY
No substitute for training
Make sure every employee knows site specific procedures and safety rules
Complete regular site inspections, document any issues (handout)