Fuel Oil News

Fuel Oil News March 2014

The home heating oil industry has a long and proud history, and Fuel Oil News has been there supporting it since 1935. It is an industry that has faced many challenges during that time. In its 77th year, Fuel Oil News is doing more than just holding

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ConneCtiCut CEM A P resi dent Chri s H erb Asks Governor for Immediate Moratorium on State Energy Plan Citing Natural Gas Shortage C o n n e c t i c u t E n e r g y M a r k e t e r s Association sent a letter to Governor M a l l o y a s k i n g h i m t o issue an executive order to halt any and all natural gas expansion activity in Connecticut, before the current natural gas shortage turns into an "all-out crisis that will affect the economy and the health and human safety of the state's residents." As noted in the release: In a letter sent today [Jan. 29], to Governor Malloy, [CEMA president Chris] Herb respectfully asks Malloy to issue an executive order calling for a moratorium on the Comprehensive Energy Strategy. The plan calls for building hundreds of miles of new natural gas pipelines around the state and converting 280,000 homes in Connecticut to natural gas. The bottom line is this: if there isn't enough natural gas to go around now, what's going to happen when the system is flooded with more customers than the system can handle? "CES has put the cart before the horse in beginning gas conversions before the supply issue has been solved," Herb wrote in his letter to the governor. "The construction of 900 miles of intrastate gas lines could jeopar- dize the state's already fragile economy, and more importantly, the health and human safety of our citizens." According to EIA, natural gas prices rose nationally by 35% from 2012 to 2013 and have recently spiked by 75% because of the cold weather. "The natural gas expansion plan is a train wreck in the making. The inability for natural gas supply to keep up with the current demand, let alone future demand when 280,000 new customers are added to the system, is a clear warning sign that should be heeded before a crisis occurs," Herb also stated in his letter to the gover- nor. "It is only prudent that you exercise your constitutional authority to suspend further gas line construction in the state before the gas crisis results in electricity brownouts/blackouts on the one hand, and jeopardizes gas customers with firm service on the other." STATE BY STATE N e w s ninth AnnuAl CitGo- VenezuelA heAtinG oil ProGrAm CITGO Petroleum Corporation and Citizens Energy Corporation have announced the launch of the ninth annual CITGO-Venezuela Heating Oil Program. The CITGO-Venezuela Heating Oil Program, the only of its kind in the United States, has donated more than 235 million gallons of heating oil to more than 1.8 million people since 2005. As in previ- ous years, this program will assist families, homeless shelters and Native American tribes in 25 states and the District of Columbia. The CITGO-Venezuela Heating Oil Program began as a single donation in response to the skyrocketing price of heating oil in the aftermath of hurricanes Katrina and Rita. Ever since, CITGO has dedicated itself to providing vital energy assistance for those who are forced to make the choice between purchasing vital necessities like food and medicine and heating their homes. Families struggling to pay for home heat- ing oil can call Citizens Energy Corporation at 1-877-563-4645, to see if they are eligible for heating oil assistance of a one-time deliv- ery of up to 100 free gallons of oil. Biodiesel industry sets new ProduCtion reCord The U.S. biodiesel industry set a new record in 2013 by producing nearly 1.8 billion gal- lons, according to recently released EPA figures that underscore the industry's case for a revised Renewable Fuel Standard pro- posal this year. The industry's total production sig- nificantly exceeded the 2013 biodiesel requirement under the RFS and was enough to fill the majority of the Advanced Biofuel requirement. Yet the Obama Administration has proposed holding the 2014 RFS volume for biodiesel at 1.28 billion gallons while also sharply cutting the overall Advanced Biofuel requirement – a proposal that, if finalized, would significantly reduce production. Industry leaders pointed to the new 2013 numbers in again calling on the Administration to increase the biodiesel and Advanced RFS proposals to at least reflect current production rates. nellA mAhoney Joins AnGus enerGy/PAyGo, inC. Angus Energy and its division Paygo, Inc. announced Nella Mahoney has joined the company as Sr. Account Manager. Mahoney helps Paygo dealers leverage its payment program for maximum results. Mahoney is well known in the indus- try through her leadership of the Hudson Valley Oil Heat Council, where she was elected President and was honored as "Woman of the Year." She previously worked as general manager of Abbott and Mills Oil Company, Newbourgh, N.Y., and in sales and service management for Mirabito Energy Products, a diversified oil, propane, and gasoline business. Paygo, Inc. is a new division of Angus Energy that enables leading heating oil and propane dealers to charge customers like utility companies — after they use their fuel, rather than when it's delivered. Paygo's proprietary system integrates financing, fuel monitoring, billing and marketing to greatly increase customer acquisition, retention and operational efficiency. FuElS N e w s 10 mArCh 2014 | Fuel oil news | www.fueloilnews.com

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