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Delivering 115 million litres annually, Lewis Tankers will employ three dedicated aviation fuel tankers on the new Q8Aviation contract
Lewis Tankers has won a new contract with Q8Aviation to handle deliveries of aviation fuel to Bristol, Cardiff and Exeter airports from Hallen PSD, near Avonmouth.
The operation which will run over 363 days of the year will see Lewis Tankers delivering an estimated 115 million litres of fuel annually, utilising a team of up to ten drivers and three dedicated aviation fuel tankers.
The Yorkshire-based tanker operator already has contracts with Q8Aviation to deliver aviation fuel to Newcastle and Leeds/Bradford airports from Misterton PSD, near Doncaster, and to Blackpool airport from Backford PSD, near Chester.
The contract extends Lewis Tankers’ operations into the south west and has prompted the company to set up a small operating base in Avonmouth, with plans to develop its presence in the region.
Stewart MacDonald, Lewis Tankers’ managing director, said: “We’ve been working with Q8Aviation in the north of England for three years and are delighted that our performance has earned us this opportunity to demonstrate our abilities in the south west. This contract broadens our coverage of the UK and provides us with a platform for growing the business in the region.”http://www.lewistankers.co.uk/
Cash conscious consumers, rogue traders dealing in washed diesel and a sharp rise in the use of solid fuel, ensures that oil distributors in the Leinster region are feeling the heat this winter, writes Irish correspondent Aine Faherty
Martin Daly, head of sales and marketing at Top Oil says that a succession of shorter winters, coupled with a short home heating season, is putting pressure on the sector, as people use their central heating as a last resort. “People are burning turf or whatever fuel they can and supplementing this heat with oil,” says Martin. “In a bid to save them money in the long term, people are investing in solid fuel burners instead.”
Ben More, Moorland Fuels, Devon
“After attending The Oil & Renewable Energy Show in October and conducting our own research, it’s clear that alternative energy sources and government incentives have to be taken seriously.
“As a fuel supplier, we firmly believe that biofuels have a significant part to play in the future as a reliable and trusted fuel source. As such we continue to promote the benefits of fuel oils and derivatives to our customers, while keeping an eye on the impact new technologies are having in our market place and the future thereof.”
Trevor Rolph, Monument Fuels, Somerset
“I don’t think it will have any noticeable effect. Let’s be realistic – unless there’s some great development in the way energy is generated from oil, which makes it either environmentally friendly or extremely cost effective, we will remain in a mature market.”
Carrie Marsh, Marsh Fuels, Berkshire
“To be honest, I would need a degree to understand the Renewable Heat Incentive in the first place. It does not affect our customer base at present.”
Kevin Bennetts, Consols Oils, Cornwall
“We operate in an increasingly mature market place where the only prospect for any future growth will come at the expense of competitors, who are unable to compete on service. Of course price, as always, will be an issue but the current vogue for mega buying groups will eventually run its course along with the mega distributors who are the next generation of dinosaurs in gestation.
“Someone once said a good little un will always beat a big un. Our aim is to be a good little un, consolidating a rock solid customer base within a clearly defined territory, always getting better at what we already do well and letting our customers judge us on performance. All we need to achieve this objective is a reliable supply of gimmick free kerosene at a competitive price.
“I’ve always viewed biokerosene as a gimmick, cynically promoted by aspiring bandwagon hoppers. Life is already complicated enough, given that further complication will add further costs which the customer will pick up, invariably and almost inevitably to our collective disadvantage.”
In the December issue, fuel oil news covered the subject of tank top up services. Whilst concerns were raised about the reliability of some products, Melanie Noel, WP Group’s fuel sales manager commented: “Although there have been a few issues with older systems, mainly the battery, new telemetry has improved.”
In this issue we take a closer look at available telemetry – its features, benefits and reliability.
New contract with Total UK strengthens Suttons position as a supplier of bulk fuel transport
Suttons has landed a new contract with Total UK for the distribution of petroleum products through its road tanker division.
Suttons group managing director, Andrew Palmer said: “We are delighted Total chose to award this business to Suttons. This contract strengthens our position as a supplier of bulk fuel transport.
“Suttons will bring industry leading standards of health and safety and operational excellence to the contract and we look forward to a successful partnership.”
The contract, which focuses on business to business commercial fuel deliveries nationwide, has seen Suttons invest in new equipment for its existing fuels fleet.
Paul Maloney, B2B operations manager for Total UK, added: “We selected Suttons following a competitive tendering process. Suttons has a proven record of adding value and delivering a consistent and reliable service to its customers in the bulk fuel sector. The company also recognises that safety is paramount and must always come first.” www.suttonsgroup.com
As the Budget fast approaches, the Freight Transport Association (FTA) continues to press the case for a reduction in road fuel duty to ease the pressure on freight operators.
In its pre Budget submission to George Osborne, FTA argues that the chancellor’s priorities must be to:
• Ease cost pressure on domestic freight activity and stimulate economic growth through consumer demand by reducing road fuel duty by 3ppl with commensurate reductions in the duty rate for gas oil.
• Stimulate investment in low-carbon fuelled vehicles by fixing fuel duty rates for natural gas and biomethane relative to diesel rates for at least 10 years.
• Ensure that the introduction of the HGV Road User Levy will be tax neutral in practice by confirming: the rates of the levy that will apply; that Vehicle Excise Duty rates will not be subject to increase simply to allow that neutrality to be achieved; and that holders of Reduced Pollution Certificates will be compensated by replacement grants. www.fta.co.uk
The Federation of Petroleum Suppliers (FPS) says domestic oil consumers should be extra vigilant when it comes to safeguarding their oil supply.
The FPS recommends heating oil customers take the following measures:-
Two former oil company executives have established a new management and consulting company – Fuel Supply Solutions.
With over 60 years of combined experience, founders Patrick Hudson and Keith Guppy want to put industry insight at the forefront of their service.
Patrick Hudson explains: “End-users and resellers of petroleum products tend to focus on the current trading climate and will invariably rely too heavily on past experiences when looking forward. In the current environment of rapid industry change, we aim to have a visionary approach for our clients through consultancy, products and services that reflect where the industry is going, not where it has been.”
Keith Guppy adds: “We’ve spent several months carefully looking at key industry indicators and matching potential business partners that share our vision. Our goal is to now focus on providing valuable consultation across a wide client base including retailers, distributors, wholesalers and end users, our website will give more details of these core areas and target markets”. www.fuelsupplysolutions.co.uk
Ready for action – brand new Clugston tanker
Clugston Distribution has announced a £1.5 million capital expansion of its fleet.
The expansion is part of a strategy to increase the company’s presence in the fuels, intermodal, bulk powder and bulk ash movement markets. The investment, which will lead to ten new jobs being created, means the company will have increased its workforce by 25 people in the last year alone.
With the funds the company will acquire an additional 15 Renault Premium tractor units; five of which will be specified with ADR and Pet Reg compliance and will aid the growth of the fuels fleet on the Humber, as well as the start of the Teesside fuels operation in the summer. The remaining eight tractor units will be specified with hydraulic discharge fitted compressors for use in the company’s bulk powder operation.
On the fuels logistics side a new fuels tanker, built by Cobo will be on fleet in April and used in the new Teesside operation from June.
Commenting on the investment, Clugston Distribution’s general manager, David Heath, said: “We are extremely pleased that the group board of Clugston is backing our strategy of expansion in targeted markets. We are anticipating 2013 to be a successful growth year across all areas of the business and remain positive about reinforcing our market position with our current client base as well as new customers.” www.clugston.co.uk
Jim Allister
TUV leader, Jim Allister has hit out at the Irish justice minister’s response to fuel laundering.
He said: “How often do we not hear about HMRC finds of laundered fuels and laundering facilities, mostly in South Armagh, yet the conversion rate into convictions is abysmal.
“A recent answer to me from the justice minister confirms just how pitiful the judicial response has been. Since April 2009 the total fines imposed have been a derisory £9916. Nothing more than suspended sentences have been imposed and one defendant got his wrists slapped with a 200 hours community service order.
“The failure to bring anything other than a token number of prosecutions and sentences is a major concern. It seems you are more likely to spend time in prison if you block a road carrying a union flag, than if you cheat HM Revenue out of millions of pounds of tax. And coming from South Armagh seems to help!”
HM Revenue & Customs confirmed that in the last four financial years, including 2012-13 to date, fines of £9916, costs of £180, confiscation orders of £1,211,211 and a compensation order of £500 have been imposed. In addition, suspended prison sentences totalling 157 months have been given. Two hundred hours community service was imposed on one defendant whilst three people also received a serious crime prevention order on top of confiscation orders. www.jimallister.org
The new RHA/FTA card from The Fuelcard Company
Exclusive access to discounted fuel is now available to members of the Road Haulage Association and Freight Transport Association through a new joint fuel card.
The Fuelcard Company card operateson the Keyfuels network, which covers one in five of all UK fuel stations. The new card can be used at over 1600 sites nationwide. Many sites have dedicated HGV fast flow pumps and a third have capacity for HGVs up to 44 tonnes. Members will receive a weekly fixed price based on the bulk fuel market, which could mean savings of over £50,000 per year.*
Users will have access to the Fuelcard Company’s online fuel management systems, allowing them to keep track of fuel spend whilst its smartphone app means that they will always be able find a fuel station. In addition, the online site locator www.ftafuel.co.uk gives the option to download fuel site information straight to a sat nav.
The card is free for the first year and there is no contract to sign or cancellation fee.
FTA chief executive, Theo de Pencier said: “Joining forces with RHA means that we can pool our resources and offer members excellent discounts and price reductions. Having worked together with FairFuelUK in a successful campaign to stop fuel duty hikes, we have gone one step further towards the solution to getting fixed weekly fuel prices for our members.” www.ftafuel.co.uk
*Based against national average pump prices Jan–Dec 2012, with an average weekly volume of 30,000 litres.
From a standing start, Prax is achieving its sales targets in the Midlands and the north of England says sales and marketing director, Neil Robertson
Well established to meet demand in the south of England from storage facilities on the Thames, Prax Petroleum is using Simon Storage’s Immingham West terminal as a strategic storage and distribution hub for market expansion.
Simon Storage took the first deliveries of diesel and gas oil for Prax into Immingham West in September 2012. Securing a second terminal at Immingham allows Prax to meet growing demand for its commercial fuels on a wider national scale.
Since then product throughput has risen and last month the contract with Prax was extended to include storage of biodiesel (B100) for intank blending to comply with the Government’s Renewable Transport Fuel Obligations. Under the contract at Immingham West, Simon is providing Prax with more than 18,000m3 of storage capacity, together with road loading facilities for onward delivery to customers.
Neil Robertson, Prax’s sales and marketing director, says: “Immingham provides an optimal distribution point for supplying our customers in the Midlands and the north of England. From a standing start just a matter of months ago we are achieving our sales targets in these regions and increasing fuel supply security for all our customers.”
In addition to strategically located UK terminals, Simon’s expertise in the storage, blending and distribution of green fuels makes it an ideal partner for Prax’s venture north. Richard Sammons, Simon’s chief executive, comments: “Simon provides fuel storage and handling solutions for some of the world’s leading oil producers and distributors. We are able to offer fast-expanding fuel suppliers like Prax Petroleum a fully integrated package from receipt through to redelivery with intank or inline blending of biofuels with conventional hydrocarbons to meet RTFO regulations.”www.simonstorage.com www.praxpetroleum.com
This morning more than 40 BP tanker drivers, working out of the Grangemouth oil refinery walked out in a dispute over cuts to pay and pensions.
With the walkout scheduled to last until 8am on Monday morning (25th February), Unite believes that the action will affect aviation supplies and BP forecourts across Scotland and north east England.
According to Unite, 90% of the 42 drivers balloted voted for strike action following the transfer of an aviation contract from BP to DHL. The union estimates that drivers could lose up to £100,000 from the value of their pensions and £1,400 a year in wages as a result.
A BP spokeman said: “Our priority remains the safe delivery of fuel products to all our customers. We have been working to, and continue to work to, minimise any potential disruption the industrial action planned for this weekend at Grangemouth could cause.”
Tony Trench, Unite’s regional industrial officer remarked: “It’s an outrage that BP, a multi-national giant which earns billions every year, is exploiting the UK’s weak employment laws to effectively swindle workers out of their retirement savings and future earnings.”
The union has announced a ban on overtime from Monday and if the dispute is not resolved quickly, a second four-day strike is scheduled for 28th February.
When kerosene is being distributed by taxi rather than tanker, it’s time to take action. Air your views on the heating oil market, among other hot topics, at the Distributor Debate on Thursday 7th March. Reserve your FREE place(s) today by emailing sandra@fueloilnews.co.uk
As the Northern Ireland Housing Executive carries out a consultation on its heating policy, you are cordially invited to join in the Fuel Oil News Distributor Debate on Thursday 7th March.
Highlighting an overdependence on oil, the report says that whilst oil is technically a good heating solution, it is increasingly difficult to afford with ‘the lack of a PAYGO option a major factor’.
It also points out that switching to oil does not currently have the same benefits for tenants as it did in previous policy periods.
Among the questions being asked are:Oil heating is clean and efficient but requires bulk fill ups which are expensive. What ways do you think the problem of finding the money for this could be overcome?If you live in a rural area and oil or wood pellet systems are your only choice, what would be your preference?What are your views on schemes using saving stamps or local community “pay as you go” schemes and would you welcome such a community based scheme if it was available?
__________________________________________________________ DISTRIBUTORS ACROSS IRELAND ARE ALL WELCOME TO JOIN IN THE DISTRIBUTOR DEBATE AT THE TEMPLETON HOTEL, TEMPLEPATRICK WHEN ISSUES SUCH AS THESE WILL BE DISCUSSED. REGISTER FOR YOUR FREE PLACE(S) TODAY sandra@fueloilnews.co.uk__________________________________________________________
Responses to the consultation can be made in writing or email. Download the heating policy review document, the questions and accompanying letter at www.nihe.gov.uk/index/corporate/consultation.htm Additionally, a Rural Homes and People Draft Action Plan 2013-2015 has also been published with actions ‘designed to ensure that an equitable share of available resources is directed to rural areas’. The NIHE intends to ‘undertake the actions listed by March 2015, subject of course to the necessary funding being available’.
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Isle of Wight Fuels providing high quality products at competitive prices
The award was presented to Isle of Wight Fuels by Community Buying unlimited, the co-ordinator of community buying initiatives in 22 counties in the UK.
Dave Grannum, general manager of Isle of Wight Fuels said: “This award demonstrates that despite the additional costs and logistics of bringing oil to the Isle of Wight – we’re still able to provide fuels to Island homes and businesses at a cost which is in line with mainland suppliers.
“Our aim is to provide high quality products at competitive prices – this award shows that we’re achieving this goal.
We’re committed to providing an outstanding service and will continue to offer a fair price to all our customers.”
Isle of Wight Fuels owns and operates the Isle of Wight’s only fuel storage facility and distributes oils and fuels to domestic and commercial customers across the Island. Oil is shipped into the terminal in East Cowes by the company’s own tanker, the Rix Merlin. The facility in Kingston Road stores up to three million litres of fuel for domestic and agricultural use, as well as supplying fuel for filling stations, commercial operations and distributors, to keep the Island running.
Community Buying Unlimited placed orders for more than 7 million litres of oil in 2012. Speaking about the 2012 awards, founder Chris Pomfret said: “Last year was an incredible year for community buying groups in general and oil buying groups in particular. These individuals, suppliers and organisations went the extra mile and certainly thought way outside the box to help make community oil buying an even bigger social and environmental success.” www.isleofwightfuels.com www.community-buying.com
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This first Essar branded tanker is now working on deliveries to commercial customers
Last week Essar Oil (UK) unveiled its first ever Essar liveried tanker at the company’s Stanlow manufacturing complex
The tanker, which is set to become a familiar sight on the motorways of north west England, will be used on commercial deliveries. Operated by Flexigrid, Essar’s haulage service provider, the vehicle is the first branded tanker to be put on the road since Essar acquired the site in August 2011.
Colin Dixon, head of marketing at Essar Oil, said: “Our priority since acquisition has been to build our reputation for being a reliable supplier with whom it’s easy to do business. On the back of getting these basics right we’ve been able to expand our business, including that part in which we deliver fuel into the premises of the bus & rail companies, hauliers, parcel delivery companies, manufacturers and resellers. The fact that we’ll now have a very visible presence out on the roads is a sign of our determination to attract new customers, further grow the business and build our brand in the UK.”
“We’re delighted to have an Essar branded vehicle as part of our fleet and look forward to growing our partnership with Essar over the coming years,” added Michael Blundell, Flexigrid director. The branding of the tanker reflects the hard work of the staff at both companies over the last 18 months, in particular the professionalism of the drivers in delivering the highest level of service.”
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