Post on 07-May-2015
description
City of Milwaukee Department of Public Works Operations Division, Fleet Services Section
Tom Barrett, Mayor
Ghassan Korban, Commissioner of Public Works
Preston D. Cole, Director of Operations
Jeffrey A. Tews, CPFP
Fleet Operations Manager
Diverse Fleet
123 different types of equipment, from aerial lifts to welders
City of Milwaukee Fleet:
– Diesel Units 929 pieces
– Gasoline Units 1,670 pieces
– Propane Units 138 pieces
– Non-Fuel Units 995 pieces
Annual Fuel Use:
– Diesel Fuel 1,000,000 gallons/year
– Gasoline 1,200,000 gallons/year
– Propane 17,000 gallons/year
Uncertainty of Fuel Costs
Fuel Cost Since 1/1/08
with Min and Max Costs Noted
0.00
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
4.50
5.00
1/2/2008
2/2/2008
3/2/2008
4/2/2008
5/2/2008
6/2/2008
7/2/2008
8/2/2008
9/2/2008
10/2/2008
11/2/2008
12/2/2008
1/2/2009
2/2/2009
3/2/2009
4/2/2009
5/2/2009
6/2/2009
7/2/2009
8/2/2009
9/2/2009
10/2/2009
11/2/2009
Date
Co
st
Unleaded Diesel LPG
2.17
1.06
1.78
1.48
4.68
3.87
Diesel
2.69
Unleaded
2.25
LPG 1.13
Gas: Low $1.48
High $3.87
Diesel: Low $1.78
High $4.68
Biodiesel Use, 2006 - Present
Over 650,000 gallons used
102,750 gallons in 2012
Various blends used; B2-B20
Supplement ULSD fuel
Partially subsidized
Typical Sources Gel Point
Palm Kernel Oil 50° F Animal Fats 45° F Corn Oil 40° F Soybean Oil 32° F Canola Oil 28° F
Biodiesel Sources
Inexpensive
Expensive
Other Sources
Rapeseed oil Used cooking oil Cottonseed oil Sunflower oil Algae (April 2008)
City of Milwaukee uses B100 that meets ASTM Specification D6751, manufactured by a BQ-9000 Accredited Producer, and purchased from a Certified Marketer.
B20 blends comply with the Engine Manufacturers Association (EMA) test specification for B20.
Biodiesel Quality
Virtually no conversion costs. Can be used in existing diesel equipment, with no infrastructure changes.
Directly displaces petroleum diesel fuel.
Renewable, made from several sources.
Reduces emissions. When used in
B20 blend, biodiesel use:
Decreases HC emissions by over 10-20%
Decreases CO emissions by about 10-20%
Decreases PM emissions by about 10-25%
Biodiesel Pros
Biodiesel Cons
Fuel filters changed in addition to normal
Preventive Maintenance filter changes
Time Frame Filters Used Comments
January-December 2005 107 Before Biodiesel
January-December 2006 227 Using Biodiesel
January-December 2007 317 72% increase
January-December 2008 136 43% decrease
Increase in cost versus petroleum diesel.
Not suitable for long-term storage.
Increased storage tank maintenance required.
Can clog fuel filters quickly upon introduction.
Biodiesel Cons
Attracts water
Increased need to monitor underground fuel supplies for water and bacteria
Start treating fuel in August
Increased Tank Maintenance
Free water in the fuel storage tank accelerates corrosion and fuel degradation, and can also promote the growth of bacteria.
Tank designs have made complete removal of water almost impossible. Moisture enters mostly as condensation from air. Vents and seals that are poorly constructed or maintained can allow water to infiltrate the storage tank.
Biodiesel Concerns
Uptick in corrosion in fuel storage tanks (Government Fleet Magazine). Lubricity additive added to petroleum diesel to compensate for
loss of lubricity of ULSD. Additive used to reduce static electricity discovered onboard
transport trucks, from hauling different types of fuels. In ground storage tanks need to be properly grounded
(cathodic protection).
“That %#@* biodiesel is responsible for my equipment running like *%&#!”
Crabapple fruit, pulled from the fuel filter inlet on a City vehicle
OPTIONAL COLD WEATHER ADDITIVE PACKAGE: Bidders shall indicate the
cost to furnish and install a non-alcohol based cold weather anti-gelling, deicing
additive to the delivered fuel, capable of maintaining a cold filter plug point
(CFPP) of -30 F, +/- 4 F, based on the cold weather blend of #2 ULSD at 70%, #1
ULSD at 20%, and B100 at 10%. An acceptable additive is ValvTect High
Performance Biodiesel Anti-Gel/Deicer Additive, or City approved equal.
Proposed additive package brand/part #______________________
Cost to treat one gallon of delivered fuel $______________
Cold Weather Specifications
Work with your fuel vendor to maintain fuel consistency in cold weather situations.
Cost Increases, Credits
Typical B100 cost per gallon: $4.42 (B100)
Includes offset by
Federal Blending Tax Credit, $1.00/gallon
Gone as of January 1, 2010
Returned in 2013, retroactive to January 1, 2012
Renewable Fuel Identification Numbers (RINS)
Credits that can be bought and sold
One gallon of biodiesel blended earns 1.5 RINS
At a recent value of $.64/RIN, vendor offset the cost of biodiesel by $.96 per gallon through end of year 2013.
Biodiesel is one of many viable alternative fuel choices, at a time when several such alternative fuel choices available. New developments announced continuously.
Fleet managers must stay abreast of recent developments and potential costs to find the “sweet spot” between the three main factors: Range, Payload, and Cost of Infrastructure.
Countless resources are available.
For every reported problem, there may be a solution.
In Closing
Questions?