Fuel Oil News

Fuel Oil News March 2012

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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A EC I received at least five or six e-mails from employees, along with several phone call saying, "Hey! did you see that article in the New York Times over the weekend? We can't let them get away with that!" They understand the basic economic issue, that the natural gas companies have an advantage on price. But they won't forever. We are also beginning to see natural gas companies mov- ing away from the environmental argument because they realize that the truth about natural gas and its effects on global warming is finally being discussed. FON: Which parts of the AEC message – as passed along by your employees—seem to resonate the most with your retail customers? ity gas, everyone loses—oil heat dealers, their drivers, customer service reps, technicians and other employees." But then we also included manufacturers, accountants, insurance companies, lawyers—you name it! The letter explained that anybody who is associated and profits from the oil industry should be a part of AEC as it impacts them as well. We extended this campaign to our employees by suggesting that perhaps we should try to raise a few dollars to help. Our employees are already very familiar with this organization because the AEC conducted training programs and has given us some excellent materials that address the pros and cons of natural gas when faced with questions from our customers. FON: What is some of the specific feedback you have received from your employees with your efforts? Donovan: Our drivers and service technicians in the field get questions all the time so they understand the importance of detailing the positive aspects of oil heat. In our experience, it is clear that when our employees learn and understand the facts and truth about gas heat—which is something the utilities really don't want you to know, especially the environmental side of the story—they get very passionate about it. Goldman: One major finding from our employee feedback is that they didn't really understand the imbalance of the econom- ics that the utilities have, and use, to support their industry and protect their plans. Now, they are armed with that knowledge, understand why we need all the help we can get and that they can really be a part of it. Donovan: Several weeks ago the New York Times ran an article that was very one sided against heating oil. It clearly favored gas. Donovan: I think what resonates the most is that customers may think that natural gas is this miracle product --- the panacea for all environmental problems. Important figures like Nancy Pelosi didn't even know it was a fossil fuel! And she's not alone. I think that message is the strongest that resonates with our customers. When asked a question like "Did you know that natural gas is 95 percent methane? And that methane is a green- house gas with 72 times the global warming potential of carbon dioxide?," many are truly surprised. With the economic issue, when you hear somebody say, "Natural gas is so much cheaper than oil," let us really take a closer look at this statement. Is it true in the long run? How much cheaper is it? Especially if you have to convert? In New York City it might cost you well over $10,000 just to convert to natural gas and do you really think the payback is going to be there? Especially if the price of natural gas does equalize with oil like it has done in approximately 17 out of the last 20 years (which varies by state)! We try to empower our employees with the ability to talk about these topics more readily and clearly, with the understanding that there is noth- ing to be ashamed of with heating oil compared to any other fuel. We are proud of our product and it is a great product. In fact, we talk a lot about heating oil products of the future—for example when ultra-low sulfur heating oil is combined with a small amount of bioheat, the effects of emissions are better than natural gas. Our employees love that argument and they love to share it with customers. FON: What would you say to others in the industry who have not become involved in AEC? Donovan: For the life of me, I cannot understand why anybody who makes a dollar off of the heating oil industry would not want to defend the industry by getting the truth out there. Anybody who seriously considers how they'll be making their living going forward should be involved with or contributing whatever they can to the AEC. Let's get the word out there that our industry is a good one and I ask anyone who isn't currently involved with the AEC yet to please join us in this important initiative. l FON www.fueloilnews.com | FUEL OIL NEWS | MARCH 2012 13

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