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NPN Magazine April 2013

National Petroleum News (NPN) has been the independent voice of the petroleum industry since 1909 as the opposition to Rockefeller’s Standard Oil. So, motor fuels marketing and retail is not just a sideline for us, it’s our core competency.

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cost up to three times more than conventional components. Yearly service calls, mandatory testing, and downtime also add expense that could prompt fuel marketers to consider decommissioning their Stage II systems, required or not. "The return on investment to decommission a site can be less than a year in some instances. If Stage II testing is due, it is an even more attractive option, where the cost of the Stage II tests can easily exceed $1,500 per location," Gaff said. Obviously, decommissioning has some upfront capital costs as well which are of course multiplied by the number of sites in the operation to be decommissioned. Should decommissioning be done all at once or gradually? That will likely depend upon the individual operation and the cycle of the specific state's Stage II maintenance and testing requirements. "Our recommendation has been to look at what your maintenance and testing costs are on an annual basis," Derge said. "So if you have five-year frequencies for inspection and maintenance you then have time, depending on what the compliance www.npnweb.com  n  NPN Magazine date is, to do this and make that capital investment. Your maintenance costs are going to be fairly stagnant." As Baker noted, "Since approval will be needed to decommission Stage II systems, it's a good idea for fuel marketers to be proactive in planning to replace them," he said. "For example when a pump goes down in a vacuum assist system, rather than replace an expensive pump it would be a good time to apply to phase out the Stage II system instead." And it cannot be over emphasized—get everything possible in writing and understand that there is at least some risk involved with decommissioning even if everything "seems" clear. "You are not protected from EPA enforcement unless the state revises its SIP plan. So from that perspective, marketers are hesitant," Derge said. "However, with the proper guidance from the state authorities having jurisdiction, they are moving forward as allowed by the local regulations." April 2013 19

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