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Why diesel fuel in Oregon may go up in 2025 940 788 Star Oilco

Why diesel fuel in Oregon may go up in 2025

What are the market forces impacting diesel in Oregon for 2025?

There are some big changes coming for diesel fuel in Oregon and it is not widely reported. The biggest likely change being a smaller supply of renewable diesel in the first quarter of 2025.  Renewable Diesel is expected to see a shorter supply than in recent years as imports drop off with the removal of subsidies.

Oregon is going to see several major market forces impacting the wholesale, as well as retail cost of diesel to those that buy it.   To list them simply, the following events will converge on New Years Eve:
The end of the $1 a gallon US Blenders Tax Credit (BTC) subsidy on biodiesel and renewable diesel.
– The subsidy replacing the BTC, the Producers Tax Credit (PTC), blocks imported biofuels such as Neste Renewable Diesel.
– Oregon is relaunching its Climate Protection Program which will cap the market allowance for fossil fuels.
Portland has a Renewable Fuels Program that requires the blending of Biodiesel and Renewable Diesel under a 60% reduction in CO2 emissions from petroleum diesel (biofuels sold in Portland must be below a 40CI under Oregon’s Clean Fuels Program).
California has mandates for Renewable Diesel in many uses raising the cost of R99 renewable diesel throughout the US.

These forces will raise the cost of fossil fuel diesel, renewable diesel and biodiesel while at the same time Oregon and Portland are requiring the use of these biofuels.  This will mean a higher retail and wholesale price inside Oregon compared to the rest of the United States. We cover the details of these trends below in depth.

THE OREGON CLIMATE PROTECTION PROGRAM

The biggest change impacting the price for on-road diesel is the return of Oregon’s Climate Protection Program (CPP). The program’s more common name is Cap and Invest, in fuel pricing it is referred to as “Cap at the Rack” as its allowance requirements are priced on a gallon of fossil fuel.  The program caps the total fossil fuel allowed to be sold inside Oregon. Then, revenue generated from selling the allowances to import CO2 contributing fossil fuels into the state, is invested to reduce future needs for these fuels.  In 2025, this program will return and fuel importers into the state of Oregon will have to capture the cost of reducing their CO2 emissions under this program.

Oregon previously had a “Cap and Invest” program limiting the total market share allowed for petroleum diesel fuels.  This created a higher cost for diesel fuels refined from petroleum compared to renewable diesel and biodiesel. This program was stopped by an Oregon court decision in 2023. The Oregon Department of Environmental Quality (DEQ) just finished and published the new rules for this program correcting the issues the court had with the program.

The way the Oregon Cap and Invest works on the market is similar to musical chairs. If you imagine the market for diesel is limited just like seats in musical chairs, every year they will take a few of the fossil fuel chairs away.  That means that anyone maintaining their existing customer gallons or trying to grow their volumes must meet this demand with renewable diesel, biodiesel or some other fuel.  The limited market for fossil fuels is represented by “Allowances” provided by the Oregon DEQ.  If a fuel seller cannot reduce their fossil fuel dependency, they need to buy a CPP Allowance in an Oregon DEQ curated market for them.

The value of these CPP Allowances is actually charged on each gallon of fuel sold by the regulated parties.  It is commonly called “Cap at the Rack” and can range in cost from nothing to over $.50 a gallon depending on how hard it is to meet the need of the program.  The biggest impact on the Cap at the Rack cost is how much renewable diesel or biodiesel is being used by those selling fuel.   Prior to the stoppage of Oregon’s CPP program, the Cap at the Rack cost usually ran around $.05 to $.30 a gallon.  It is expected we will see a return to this cost starting January 1st, 2025.  OPIS reports have an adjusted and non-adjusted option to capture the cost of this program.

The way the CPP program is designed is that if a fuel seller brings in a lower CO2 fuel like renewable diesel or biodiesel into the state of Oregon those gallons do not count towards the fossil fuel market cap.  So a R99 seller has no CPP Allowance obligations for those gallons.  A B20 biodiesel blender, as well, picks up 20% more gallons available to sell as those biodiesel gallons do not count against their CPP Allowances.  This facet of the CPP is why the market of renewable diesel in particular is a big deal for diesel prices.

The intent of Oregon is for consumers, fleets, farmers, municipalities, and industry in Oregon to grow their energy needs, they will need to use more low carbon energy.  If this energy use is a fleet running over 32,000 GVW this will mean low CO2 biomass based diesel fuels.   At the same time, the CPP program is kick-starting back into existence, the world of these biofuels is seeing some major market changes.

OREGON CLEAN FUELS PROGRAM

Oregon has another program to reduce the CO2 of the liquid fuels sold inside the state.  This program is additional and works in conjunction with the CPP.  It is the Clean Fuels Program (CFP) and is extremely similar to the California Low Carbon Fuel Standard (LCFS).  This program creates a market for Carbon Credits that are traded and required by fuel importers into Oregon.  OPIS also shows this program’s cost per gallon on their reporters.

Where the Climate Protection Program is like musical chairs with market share as the allowed market for fossil fuel shrinks year over year, the Clean Fuels Program is like a coupon required with sales of fossil fuel.  The major importers of fossil fuels into Oregon must show they are blending lower CO2 biofuels by presenting CO2 credit generated under the CFP program.  Users of fuel inside Oregon also see a benefit for bringing in low CO2 fuels when the market needs the credits so that voluntary users of high blend biofuels like R99, B99, B20 or E85 (85% ethanol) get financial support via a reduced final cost per gallon if using those fuels.

The reason we see renewable diesel in Oregon compared to the rest of the United States is because of this program.  This value of a Carbon Credit is usually taken to buy down the competitive price of these biofuels.  The concept is that if a fuel importer is bringing low CO2 fuels into Oregon, the reduction in CO2 these fuels represent can generate a CO2 credit.  That credit being sold on an open market to help reduce the cost of a low CO2 fuel compared to a fossil fuel.  The market for these credits is banked and has been building for years. Currently, the CO2 value is low as there are plenty of credits.

If the market availability of renewable diesel and biodiesel is dropping, the value of these credits should be rising.  The overall market will be bearing this cost though consumers will likely never see it.  In effect these regulatory market impacts of less renewable diesel in Oregon will mean a higher Carbon Credit price under the CFP program.  That will help lower the blended or delivered costs of B99 biodiesel and R99 renewable diesel hitting the end consumer.

RENEWABLE DIESEL AND BIODIESEL SUPPLY IN OREGON

Biodiesel and renewable diesel are called “Biomass Based Diesel” as a respective class of biofuels.  Where fossil fuel diesel is made from crude petroleum, biomass based diesels are diesel fuels made by several technologies from biomass feedstocks. The most widely used feedstock being fats, oils, and greases from virgin vegetable seed oils (soy and canola) or waste streams like recycled deep fryer oils, meat processors rendering fats, recovered trap greases, and many other sources of fat waste streams.

The 2025 Oregon Fuels Forecast for Oregon predicts a 199+ million gallon need for R99

The Oregon Department of Administrative Services Office of Economic Analysis produces a Clean Fuels Forecast which describes the size of the market need in Oregon.  In 2023, Oregon used 133.3 million gallons of R99 inside the state. The fossil fuel diesel used in 2023 was 577.6  million gallons by comparison.  So R99 and B99 blended with those gallons is a substantial 26% of the diesel burned in Oregon by the most recent total data.  The forecast for 2024 Renewable Diesel is 46.6 million gallons of R99, which appears to be exceeded by quite a bit.

We do not have total consumption numbers for 2024 yet, but we do know thanks to the US Energy Information Agency, that imported R99 from Neste Singapore by itself through October was roughly 62 million gallons rounding up.  The Oregon Clean Fuels Forecast expects 199.5 million gallons of renewable diesel in 2025.  As the program ramps up with this expectation, the imports of previous years will be far less competitive without subsidies.  This means the price of renewable diesel will be higher, unless US production scales to not only fill this market void but also add tens of millions of gallons into the state.

Of that 133.3 million gallons of R99 used in 2023 in Oregon, a third, more than 40 million gallons of it was imported Neste Renewable Diesel.  973,000 barrels of renewable diesel was shipped from Singapore to Oregon that year.  Other renewable diesel refiners such as Diamond Green, HF Sinclair, Marathon, Montana Renewables, Phillips 66 and Chevron also had R99 product sold into Oregon.  Regardless of the expansion of US domestic Renewable Diesel production in recent years, the Neste product no longer receiving subsidies will have a real impact to maintain these 133+ million gallons of R99 inside Oregon.

This same projection reports that Oregon’s B99 Biodiesel use inside the state in 2023 was 78.8 million gallons.  With a projection of Biodiesel to rise 83.8 million gallons in 2025.  Given these market needs, Star Oilco predicts R99 to be expensive compared to petroleum diesel. Biodiesel will be more competitive given the available product and no substantial change in suppliers.  Biodiesel will also need to be used to replace R99 gallons under the CO2 reduction programs of Oregon. Due to these market forces Star Oilco has contracts for supply at reasonable prices for our existing customers.

R99 is mandated in certain diesel uses in California by the California Air Resource Board (CARB) which make for an inelastic price.  Diesel equipment operators in California will have to buy R99 at any price.  This will raise the prices we in Oregon can expect to see renewable diesel at.  The other low CO2 diesel fuel biodiesel will not be impacted by CARB the same way and we can expect to see B20 become more widely sold because of its more competitive price.

Biodiesel has a much more widely used market development around the US, especially in over-the-road trucking.  The plants that make biodiesel also tend to be co-located, owned in collaboration with feedstock producers, and integrated within the Soy industry that produces the feedstock.  Expect that biodiesel will continue to be more competitive with diesel than renewable diesel if price is the concern.

It is worth mentioning that the CARB mandates for R99 use in California will have impact to set the price for renewable diesel in other states.  If the market demand mandated by CARB continues and the market is short, the price can be expected to rise to meet this demand.  So unsubsidized imported R99 will likely continue to flow into California and other states but it will be at a full cost to make up the subsidy.  This will likely mean that incremental gallons of R99 needed to meet the market growth projected in Oregon will be at a premium over Oregon diesel to match California’s diesel market.

US BLENDERS TAX CREDIT EXPIRATION IMPACTING OREGON

The biggest unknown on how expensive diesel will be for Oregonians relates to Federal biofuel policy.  For the last twenty years the US Government has had an on-again/off-again subsidy on biodiesel and more recently renewable diesel.  There have been years the subsidy was not renewed which informs us of what probably will happen with prices on biodiesel.  Renewable diesel though is a stickier market.  The reaction of R99 renewable diesel prices in California, Washington and Oregon market is the big question and it comes down to an issue of production.  Two big issues at play are how much renewable diesel will these states continue to see from Neste’s Singapore plant and how much new US production for renewable diesel comes online to feed the market need.

The Blenders Tax Credit will be replaced with the Producers Tax Credit

The Blenders Tax Credit expired December 31st.  There are those that hope that in January the new Congress will take up an extension of this but most experts in the industry do not expect and are not betting an extension will not occur.  Meanwhile there is subsidy regime named the “Clean Fuels Production Credit” or the slang term preferred by industry the Producers Tax Credit (PTC) which ranges from $.20 a gallon to $.80 a gallon depending on how low CO2 the fuel as well as some labor practices.  The PTC also bars imported renewable diesel and biodiesels from getting any money at import.  Approximately more than 40,000,000 gallons a month of renewable diesel flows from Neste Singapore to the west coast, this will have a huge impact on Oregon.  For those accustomed to that fuel at the same price as fossil fuel diesel, the expiration of this subsidy will raise our prices for those demanding R99 renewable diesel which was already in short supply prior to this change.

There is also another wrinkle in the subsidy policy of the US with this.  The subsidy on Sustainable Aviation Fuel (SAF), basically renewable diesel meeting the Jet A fuel specification, is still in place for imported product for another year.  Europe also has some significant incentives and mandates for SAF.  Renewable diesel refiners, both domestic as well as foreign have a huge financial incentive to make renewable jet fuel over renewable diesel. This reality probably means that if a gallon of fuel can go to a jet fuel market over a transportation market it will.

So the market forces for renewable diesel in particular probably means less R99 available nationwide in the US.  While that is happening, the state of California has mandated that all off road equipment run R99 Renewable Diesel.  So regardless of what the price of this fuel is, California will have to use it in huge volumes.  Markets being what they are, for high volume fleets demanding R99 they can expect the R99 price in Oregon will track the price paid in California.  There will be exceptions of contract relationships for supply of R99 as well as retail brands moving renewable diesel blends to meet their strategic CPP requirements.  This will definitely mean anyone wanting R99 will want to line up a contractual supply agreement or can expect a higher price than in 2024.

THE FEDERAL RFS AND RINS

It should also be mentioned that the US EPA has a Renewable Fuel Standard of its own. It is a completely different regulatory system compared to the Portland RFS.  This program requires gasoline refiners as well as importers to use so much biofuel in their sales inside the United States.  Federally refiners and importers must prove they blended specifically assigned amounts of ethanol, and biomass based diesel fuels.

This program attaches a Renewable Industry Number (RIN) on every gallon of biofuel sold in the US.  As there are many unobligated users of this biofuel in the US those blending their own biodiesel, renewable diesel and ethanol generate RINs that can be sold to the refiners and importers of gasoline inside the US.

The RIN value has been low compared to historic values for biomass based diesels.  As Biodiesel and Renewable Diesel generate the same type of RIN, the reduction in imported R99 might raise the value of these RINs.  This value increase for the Renewable Industry Number is expected to slightly off set the hard subsidy.  It will be a market based value so it can not be relied upon for lowering the cost of biofuels, but can be expected to help with price.

As more US produced renewable diesel is coming online, hopefully enough to replace the lost imported gallons before the busy summer diesel season, these RIN values may not have a major contribution to the wholesale price of R99.

CONCLUSION

We predict diesel prices to rise in Oregon compared to the US in the first quarter of 2025

Star Oilco’s team saw these market conditions coming during the summer of 2024.  We have locked in contractual supply of R99 renewable diesel for our existing customers and have additional supply for customers seeking R99 renewable diesel by Star Oilco owned cardlock sites, mobile onsite fueling or smaller volume bulk delivery.

Star Oilco expects a Cap at the Rack price from the Oregon CPP to be between $.10 and $.40 a gallon by the end of January depending on biofuel supply. With unofficial conversational predictions with several large fossil fuel refiners and brokers, there is an expectation of over $.25 a gallon as a Cap at the Rack price.  We think it will be higher than that with the removal of millions of gallons of R99 from Oregon’s market.  In the first quarter with the removal of imported R99 hitting the state we expect the Cap at the Rack price to start in the higher $.30 a gallon range where it left off when the program was ended by a court. As the low CO2 exempt renewable diesel gallons shrink in the first quarter a heavier reliance on fossil diesel will be required.

We expect quite a bit of biodiesel to be loaded up ahead of the $1 a gallon subsidy being ended on December 31st.  Renewable diesel will be in short supply due to disruptions in supply of imported product.  So first quarter R99 will be at a premium and B99 for blending with diesel will be a deal to be had as fossil fuel diesel prices rise.  Expect to see far more B10 and B20 offered in the market place as either a more common than not fuel at retail gas stations, truck stops, and most cardlock stations, especially in Portland.  Star Oilco will have options for our customers of either B20, R99, or R20 blends of diesel all complying with the City of Portland Renewable Fuel Standard inside the city.  Star Oilco’s Portland CFN and Pacific Pride locations will have both R99 and B20 hoses available for customers.

California will continue to demand any and all R99.  If the market is short R99 because of a removal of imported renewable diesel, the value of R99 in California will rise to justify foreign R99 to enter the market without a subsidy.  Star Oilco presumes that number will be between $.40 to $.80 a gallon.  If R99 in California is able to demand a premium, Oregon will have to pay that price for incremental gallons.  Oregon has a specific need for R99 and B99 for retail gasoline sellers to meet the Climate Protection Program (if you sell so much gasoline you must reduce your market share someplace and R99 diesel is the easiest way to do that).  Oregon retailers will be seeking to move a budgeted amount of renewable diesel and biodiesel to meet their fossil fuel allowance budgets under the CPP.  Each gallon beyond that will have to compete with California at a high price.

R99 will still be available but we expect incremental gallons to be at a premium.  Contractual gallons direct with a refiner of renewable diesel will have a consistent price that a business can manage fuel surcharges against diesel.  Outside of a contract for volumes, the wholesale rack price of R99 may vary wildly compared to a B5 ULSD fossil fuel diesel prices depending on how high diesel is going for are as well as the CPP and CFP values of a Carbon Credit and Cap at the Rack.

The big unknown to price is how one key importer of R99 will respond to the market without a subsidy.  It is the assumption of Star Oilco that California will continue to buy imported R99 without a subsidy for it’s off-road mandated market. If the economics of Neste are such, they can compete and open the floodgates of R99 and this could change.  This open flood of product is not expected especially given the economics of Sustainable Aviation Fuel which renewable diesel plants are expected to make more of in 2025.

The Oregon and Washington market will see a flow of new capacity of R99 for retailers mandated to reduce their fossil fuel volumes.  US production of R99 is expected to more than compensate by 2026, but 2025 will be a chasm to jump.  Chevron, HF Sinclair, Marathon, and Phillips 66 will be procuring and supplying US made biomass based diesel to the Pacific NW for their retail gas station needs.  We would expect to see R99 or blends of it sold at parity with branded diesel in the retail market in Oregon.

Commercial sellers of wholesale unbranded diesel will have a tougher time lining up R99 at a price in line with wholesale B5 or B20 ULSD.  No doubt with these higher prices we will be seeing an evolution of R20 (20% renewable diesel) as well as blends of biodiesel with renewable diesel available inside the City of Portland for it’s Renewable Fuel Standard as a premium fuel at a competitive price with diesel.

Star Oilco has R99 and R20 blends for commercial customers in the Portland, Oregon area.  We also have R99 available for Clark County Washington commercial and municipal fleets.  Star Oilco also has biodiesel blends and can support fleets seeking to succeed with it.  Call us if you would like to talk about your fuel supply in 2025.

If your fleet has an interest in a consistent and contractual supply of R99 renewable diesel or wants to develop a relationship that prioritizes a 20% of renewable diesel blended to meet Portland’s Renewable Fuel Standard compliance please feel free to reach out to Star Oilco.

Reach Out To Our Team

Our team of fuel experts would be happy to work with you and help you understand how this affects your operations

dyed-diesel-off-road-diesel-portland
Clear Premium Non-Ethanol Gasoline 683 1024 Star Oilco

Clear Premium Non-Ethanol Gasoline

Do you need Non-Ethanol Gasoline in the Portland, Oregon area?

If you are looking for Non-Ethanol Premium Gasoline delivered to your bulk tank or available at a Commercial Cardlock, Star Oilco has your needs covered in the Pacific Northwest.

Premium Unleaded without Ethanol Content

Nonoxy Premium is the fuel you want in a gasoline tank if you are storing equipment with a full tank of fuel.

Premium gasoline without any ethanol blended into it goes by several names.  Clear premium unleaded, Non-Oxy (non-oxygenated) premium, nonethanol gasoline, or Clear 91 Octane are a few of the terms used.  Regardless of what it is called, getting gasoline without ethanol in the Portland, Oregon area requires buying a premium rated gasoline.

Clear Gasoline Premium bulk tank delivery

Why is the only ethanol free gasoline in Oregon and Washington premium grade of 92 octane?

This is because of several laws in Oregon as well as Washington that require the blending of 10% ethanol with all gasoline with the exception of premium grades for small engines, classic cars, aviation uses, and other type specification needs.

With the blend requirements for 10% ethanol this changed the way gasoline was supplied in the Pacific Northwest.  This was caused by the octane ratings of gasoline.  Regular gasoline is a 87 octane rating.  E98 ethanol has a 107 octane rating. With this blend requirement, the gasoline changed to account for the high octane of ethanol.  So refiners and sellers of gasoline began to use what the industry calls a “sub-octane” gasoline at 85 octane because the guaranteed blend of 10% ethanol would boost the octane rating back up to 87 octane.

This is usually where people ask: “Why does this effect premium unleaded as well, and why the heck is clear premium so expensive?”

There are three reasons nonoxygenated gas costs more:

1- Ethanol is a lower cost fuel than gasoline, so less ethanol means a slight higher price of the fuel.

2- Fewer terminals carry a non-ethanol option for Premium unleaded reducing options for customers demanding the fuel and therefore higher prices.

3- CO2 regulations have raised the cost of fuels without biofuel blends in them as well.

REASON 1

The reason why is for several decades before the 10% ethanol blend mandate, the industry has been upgrading retail gas stations, cardlocks, and truckstops to blend regular gasoline and premium gasoline to the midgrade gasoline at the island. With a 10% ethanol blend mandate for regular unleaded and midgrade this required any and all retailers with blending pumps to use E10 (10% ethanol) premium to be legal with their midgrade product sold.  This also means that a non-ethanol premium pump requires a stand alone pump, line set up, and infrastructure need.

REASON 2

The blend mandates for gasoline caused all of the major branded gas station chains to move to a defacto 10% blend at the terminal level reducing availability of non-ethanol or “Clear” premium gasolines. With far fewer petroleum terminals, brokers, refiners, and other upstream wholesale dealers of gasoline exiting the non-ethanol gasoline market due to far lower volumes of it, the price went up.  This also means that there is far less volume of ethanol free premium unleaded being sold at the wholesale level. Reducing the volume of sales of a single fuel grade raises the cost risk in a volatile commodity market like gasoline.

REASON 3

Recently the entire western coastal states (Oregon, Washington, and California) passed laws around CO2 emissions and liquid fuels like gasoline.  This means that there is a cost for fossil fuels over biofuels which prices into the gallon of fuel.  The less biofuel the higher the CO2 cost for those buying it. Add to that the western states have Cap and Invest rules which put a total limit on volumes of fossil fuels.  These “Cap at the Rack” charges for fossil fuel have been as high as a full $1 for a gallon of fossil fuel in past years.  Cap at the Rack charges on fossil fuel gasoline is usually in the $.40 a gallon added cost range of the price you pay.

If Clear Premium Gas is so expensive why do people still use it?

It is the optimal fuel for small engines that have a habit of being stored for long periods of time without use.  Nonethanol fuel stores stable for a longer time and has a better cold start performance than an E10 gasoline fuel that has sat for over a year.  Add to that it also does not absorb water or impact plastic/rubber/elastomer seals in equipment.  That is why people prefer it.  Sure, the limited availability of terminals carrying this product makes it a specialty in Oregon and Washington.  But the added cost is worth it for sensitive low tolerance engines or for vehicles with long periods of storage between uses.

Choose Star Oilco as your fuel provider for your clear premium non-ethanol gasoline

emergency-back-up-fuel-backup-generators
Backup Generator Fuel 1024 1024 Star Oilco

Backup Generator Fuel

Star Oilco Generator Refueling Service in the Portland area.

Line up a Generator Diesel Keep Full account with Star Oilco before the bad weather.

We will keep your generator fuel tank full before the power outage happens and keep it full while you rely on it. Choose Star Oilco for your emergency back up generator fuel in Portland, Oregon and Vancouver, Washington.

 

Commercial Fleet Fueling in Portland

 

Remember that ordering diesel for your generator is a specialized service.

You want to stabilize and treat your diesel for generators and other back up equipment.

Order fuel treated for long term storage!

We often receive questions about backup generators, backup water pumps, and other emergency equipment. Fueling these critical pieces of equipment is a special kind of fueling service but we’re here to answer all your questions. We also encourage you to call with questions about generator fuel.  If you have questions about your building’s back up diesel generator’s fuel quality in the Portland, Oregon area we will sample and test your fuel at not cost with if you have an account with Star Oilco.

Generator Fuel is a specially treated oxidative stabalized off-road fuel designed to store for years.

Fuel for a backup generator is a specialized product. Besides the fuel, the service itself takes a vendor who understands your needs and can keep you up and running in an emergency.

Generators take off-road diesel, of course, but you want an ultra low sulfur diesel to ensure it works with modern emission systems. Some companies may deliver a higher sulfur heating oil product that looks the same but can foul the emission systems of your equipment.

Backup Generator Fuel in Portland

Beyond just the service provided by a truck and driver, you also want a vendor who offers a fuel stabilizer and biocide for the special long term storage needs of your backup generator. Star Oilco recommends you add a biocide and long term storage stabilizer to your fuel to ensure it is good whenever you need it. We use Valvtect Bioguard Plus 6 for generators, emergency water pumps, backup boiler fuel, and other long term storage purposes. This product kills any existing biological growth and stabilizes your fresh diesel fuel for long term storage. Make sure your diesel is ready the next time you need backup power.

As a complimentary service to our customers, Star Oilco will also test fuel for its quality. If you want to confirm fuel quality at the time of a top off, let us know and we will ensure the driver has a sample kit to get your backup fuel tested for peace of mind.

Feel free to message us if you need a backup tank filled. If you are in charge of Corporate Fueling, please call with any questions you may have.

Read more about stabilizing your generator fuel for long term storage.

Keep it simple with Star Oilco. We make it easy for you to be prepared.

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The Future of Diesel Fuel 940 788 Star Oilco

The Future of Diesel Fuel

Retail Diesel Dispenser Example
Retail Diesel Pumps with a variety of blends of diesel. Biodiesel, Renewable Diesel, and Fossil Diesel blends shown in Portland, Oregon.

Diesel Fuel In Oregon and Washington

Star Oilco has been getting questions on the changes of diesel in Portland, Oregon.  If you have not noticed, many diesel pumps at retail gas stations and cardlock have seen changing stickers on the face of the fuel pumps.  As of July 1st, 2024 the City of Portland requires a minimum 15% biofuel content of all diesel sold.  This policy is called the Portland Renewable Fuel Standard.

This has caused quite a few changes in what fuel pumps have for fuel.  Diesel fuel buyers are noticing the bright yellow color of B20 biodiesel, the water clear color of Renewable Diesel or a a mix of several fuels tinting the color of their diesel.  This trend is bigger than just Portland.

Today on the west coast there are a variety of product label stickers you will see on diesel pumps.  These show the variety of diesel fuel specifications that are being sold to diesel vehicles today. Blends of petroleum ultra low sulfur diesel, R99 (99%) renewable diesel, and B99 (99%) Biodiesel are combined to meet the market needs of the diesel we all buy.

This change is because of a combination of pure market forces, government rules and local decisions by fuel haulers.  Today’s diesel not only has a commodity market for the fuel it also has a market for CO2 credit value and a cap of total petroleum diesel fuel that can be sold into a west coast state with a “Cap and Investprogram requiring blends of low CO2 biofuels, the liquid fuels sold for vehicles.

Add on top of these market forces, advances in technology used to make the liquid diesel fuel.  The diesel arriving at truck stops, gas stations, cardlock or out of a hose from a bulk truck has been changing and it’s often in good ways.  Knowing how can be helpful in navigating why diesel may cost one price or another and may have a need or maintenance that another fuel does not.

THE RISE OF RENEWABLE DIESEL

Renewable diesel is a synthetic diesel fuel made from the same feedstock as biodiesel, but the finished product is hydrocarbon diesel.  Though it is a biofuel, it is also diesel. For fuel regulation they refer to it (as well as biodiesel) as “Biomass Based Diesel” for labeling at the fuel pump.

There have been billions of plant capacity brought online for renewable diesel.  During the COVID collapse of fuel prices a number of petroleum refineries shut down, then upgraded their technology to make hydrocarbon diesel fuels out of the very biobased fats, oils, and greases biodiesel is made from.  These refineries use hydrotreating technology just like they do with a crude petroleum to make an actual hydrocarbon diesel molecule.   With this technology adoption to make diesel and jet fuels from vegetable oils and animal fats billions of gallons of low CO2 diesel fuels are coming on the market and governments are requiring it’s use, such as Portland’s Renewable Fuel Standard.

Renewable Diesel Consumption it the US Source: Alternative Fuels Data Center

THE AVAILABILITY OF BIODIESEL

The US makes billions of gallons of biodiesel.  A fuel that’s quality and performance continues to improve.  If you are not a fan of biodiesel in your fuel thinking strategically about the fuel will likely benefit your fleet operation.  The big concern with diesel fuel in a ultra low sulfur world is water and dirt suspended in the fuel affecting the performance of diesel emission systems.  With clean and drier quality specifications of B99 blend stocks today versus a decade ago the use of this fuel has grown substantially especially in the truck stop market.

When crude petroleum prices are high and therefore refined diesel prices are equally as high biodiesel is often an extremely competitive fuel.  If a large seller of diesel (including petroleum refiners) can pick up pennies per gallons on millions of gallons sold they will do so.  Therefore Biodiesel is often seen in diesel in small blends even if you do not see a label on retail pump.  For blends above 5% a label is required for retail fuel sales. RTHWEST?

R99 Renewable Diesel fuel dispenser label
Ultra Low Sulfur Retail Diesel Label
Biodiesel Blend Percentage label for retail diesel dispenser

Above are a variety of labels used to denote what fuel blend is coming out of a retail diesel dispenser. Feel free to call Star Oilco at 503-283-1256 if this confuses you and you want it explained.  We would be glad to do so.

These labels can be found together often at one pump.  All state and Federal standards require ultra low sulfur diesel for any on-road diesel sale.  The Federal standards also adopted by the states require a disclosure at the fuel pump if a blend is above 5% biodiesel.  The max allowable blend of biodiesel for diesel truck manufactures is a 20% blend.  If a truck dealership says that you cannot blend biodiesel up to 20% they need to take that up with the Federal Government because they need to support it.  This is why the label shows a blend may contain between 5% and 20% biodiesel content.

Renewable diesel is a hydrocarbon diesel. 

 

It is diesel meeting the ASTM D975 specification for diesel. 

Retailers selling blends of R99 in their fuel do not need to label it given this.  They still do label it given the benefits of the fuel’s performance and that customers are seeking that fuel.

Contact Us Today To Schedule Your Next Bulk Fuel Delivery

Many retail places will have stacked labels showing they may be blending 5% to 20% biodiesel as well as may be adding R99 Renewable Diesel to the fuel as market conditions dictate it is the more cost competitive fuel.  When seeing a label like this it can usually be assumed they are blending a R80 (80% Renewable Diesel) and a B20 (20% Biodiesel) blend of fuel.  This blend is actually believed by some to be a higher performing fuel seeing better performance that a R99 or B20 fossil fuel blend.

Fossil fuel diesels are being replaced or blended with biomass based diesels.  Be it Renewable Diesel or Biodiesel.  These blends are driven by more than one industry requirements, government rules, or other market forces. One of these being Portland’s banned on petroleum diesel through the Renewable Fuel Standard (RFS). This is resulting in an increase of low-carbon biofuel blends that will ultimately move to a mix of 99% renewable fuel requirement by 2030.

Renewable Diesel and Biodiesel Blend fuel dispenser label.

The big drivers are industry specification for fuels (both labeling as well as chemical characteristics), state rules on selling these fuels, their quality assurance as well as CO2 content, and of course the market forces.  Market forces being the supply and demand availability of fuel needed to meet customers.  Less fuel available to sell means higher prices for customers.

A decade ago the market for diesel was far simpler. Though you had biofuels and some blend mandates basically you had a diesel specification accepted and the daily price as tracked by a lighted retailers sign, a wholesale market average or spot buying by some customers.   Today this market is far more complicated by government regulation on the west coast.  There are three big programs at state levels impacting this.

State Fuel Rules cause a unique need for one state or another. Whereas twenty years ago if Oregon or Washington fuel was selling for more than the Gulf Coast you might see brokers bring fuel into the region then driving down high prices.  With the creation of various complex and unique rules on diesel, imports of fuel to these low CO2 fuel states has dropped.  The amount of people moving product into west coast states has dropped.  The big rules causing this are the Cap and Invest programs of the West Coast states, the Low CO2 Fuel Standards of the states, and the fuel blend mandates of various jurisdictions of these states. For instance California now requires all off-road diesels but 99% renewable diesel.  Portland, Oregon also has a CO2 requirement and minimum 15% blend of biomass based diesel on all fuel sold in the state.

WHAT ARE THE DIESEL FUELS AND THEIR SPECIFICATIONS

Petroleum Diesel:
ASTM D975 Specification.

The ASTM D975 is a series of tests used to maintain consistent industry standard product performance for diesel fuel.  It includes among several tests cloud point, cold filter plug point (CFPP), several masurements of diesel fuel operability performance, intrained water content, sediment, carbon residue, ash, distillation, viscosity, sulfur, copper corrosion, cetane number, cetane index, aromaticity, and conductivity.

Renewable Diesel:
ASTM D975 Specification.

Renewable Diesel is following the same series of tests as petroleum refined diesel fuels.  It is the same ASTM D975 specification. Though Renewable Diesel has some different properties that exceed the ASTM specification of diesel.  Renewable Diesel is highly prized as a fuel because it typically is a cleaner and drier diesel fuel than petroleum diesel. This being seen by the tests on sediment and water content in a parts per million level.  Renewable Diesel content in diesel fuel can also be tested for looking for a C14 molecule (the chain typically created in a Hydrotreated Diesel process from fats, oils and greases.

Biodiesel (Methyl Esther):
ASTM D6751 Specification.

The ASTM for Biodiesel tests a mono-alkyl esters of long chain fatty acids derived from vegetable oils and animal fats. The testing for quality assurance covers an analysis for flash point, methanol, water and sediment, kinematic viscosity, sulfated ash, oxidation stability, sulfur, copper strip corrosion, cetane number, cloud point, acid number, carbon residue, total and free glycerin, phosphorus, reduce pressure distillation temperature, atmospheric equivalent temperature, combined calcium and magnesium, and combined sodium and magnesium.

For more on Biodiesel Use and Handling the National Renewable Energy Laboratory has a great book on the subject.

THE HISTORY OF DIESEL FUEL SPECIFICATIONS IN THE UNITED STATES

In the 1990’s the US EPA passed rules that demanded a phase out of sulfur in diesel fuel.  The presence of sulfur was very good for the fuel’s storage stability as well as fuel lubricity, but was horrible for air quality.   Additionally the big smog contributor was NOx (nitrous oxide) which was one of the EPA’s reason’s for pulling sulfur out of diesel.  For the EPA to get engine manufacturers to treat the NOx emissions at the tailpipe they needed all the sulfur gone (ultra low sulfur diesel) for modern diesel emission systems to be able to eliminate NOx as well as a host of other pollutants including particulates.

The story of changing diesel fuel standards in the US under the EPA is one of removing sulfur from our diesel fuel.  In 1996 the fuel refiners and sellers of diesel had to move the sulfur content of the fuel sold for on-road purposes to below a 500 parts per million standard. Commonly referred to as Low Sulfur Diesel fuel.   In 2006 the standard moved to a maximum of 15 parts per million of sulfur for all on road fuels.

In 2006 while the sulfur content of fuel was dropping the City of Portland released the first mandated blend of biodiesel content.  This being a 5% biodiesel blend.  The next year, the State of Oregon followed with its own Renewable Fuel Standard requiring this throughout the state.  This began the expectation of biodiesel in most diesel fuel in the Portland, Oregon area.  Washington also passed a similar policy for blending biodiesel but the enforcement and need for the fuel is less specific at Washington fuel pumps.

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Every Question We Have Been Asked About Renewable Diesel 1024 696 Star Oilco

Every Question We Have Been Asked About Renewable Diesel

Renewable Diesel Frequently Asked Questions (FAQ)

Every Question we have been asked about Renewable Diesel

What is renewable diesel?

Renewable diesel is a synthetic diesel fuel, known for it’s lower CO2 characteristics, typically seeing purity and real world performance response superior to petroleum diesel fuel.  Renewable diesel is a next generation hydrocarbon diesel biofuel made by either the Fischer-Tropsch or Hydrogenation processes.

Hydrogenated renewable diesel is made by taking fats, oils, and greases by use of a hydro-treater.  The biomass based oil or fat is cracked and reformed in the presence of hydrogen and  catalyst forming a hydrocarbon diesel molecule.

Fischer-Tropsch renewable diesel is used by converting any btu dense feedstock (wood waste, woody biomass, municipal garbage, coal, and an endless list of low value waste products into syngas, then converting this into a wax that is reformed into hydrocarbon diesel.

Can Renewable Diesel be used as Heating Oil?

Yes.  Renewable Diesel is a synthetic hydrocarbon diesel fuel.  It can be used interchangeably with petroleum diesel products of similar grade. Heating Oil is typically number 2 diesel which is the same specification as Dyed R99 Renewable Diesel (or blends of Renewable Diesel with petroleum diesel).   Star Oilco now offers R99 Heating Oil delivered in the Portland metro region area of Oregon.

Most modern oil heat appliances use a Becket Burner.  For more on heating fuel compatibility with oil furnaces and oil burning appliance please see “Alternative Fuels and Becket Burners” for more information.

Why do people use renewable diesel over petroleum diesel?

Fleet managers operating R99 Renewable Diesel report a lower mechanical cost of operation using the fuel.  Beyond the immediate benefit of R99 cutting CO2 emissions by half or more, fleets experience performance benefits from the fuel.  The big savings are seen the the performance of Tier 4 Emission systems on modern diesel seeing far less wear of the Diesel Particulate Filter system as well as far fewer regenerations of the system.  Additionally Renewable Diesel is a very clean and dry diesel fuel improving the storage stability, field operation, and general predictability of the fuel’s performance.

How do I know Renewable Diesel is being sold at a retail location?

Renewable Diesel is a hydrocarbon diesel that meets the specification for petroleum diesel known as ASTM D975 specification.  This means currently R99 can be readily blended and sold with petroleum diesel without a disclosure.  The US Federal Trade Commission and local state Weights and Measures have rules for retail pump labeling.  Blend percentages of biomass based diesel must be labeled especially if being advertised.  As R99 Renewable Diesel has a higher value and is sought out by many consumers though usually it is disclosed.  The pump labeling for R99 Renewable Diesel typically looks like the below.

R99 Renewable Diesel fuel dispenser label

What is renewable diesel made of?

Renewable diesel can be made from a host of things, usually a low value waste product. The most common feedstock used currently is waste vegetable oil, wastes from animal rendering, and other biologically derived oils. Processes using bio-oils are following a Hydrogenation process to turn low value waste oils into high value diesel and jet fuel.

Chevron Renewable Energy Group and Diamond Green Diesel (Diamond Green is in a joint venture with Valero) are the largest producer of renewable diesel with their REG Ultra Clean Diesel product in the United States. Neste is the largest producer of renewable diesel internationally, with its “Neste My” product.  being the two largest producers of low CO2 bio-oil derived renewable diesel fuels.

Major petroleum refiners have also turned around existing petroleum refineries into Renewable Diesel Refineries to produce this in demand low CO2 fuel. HF Sinclair , Marathon, Phillips 66, and Montana Renewables. There are quite a few newer Renewable Diesel projects planned and in progress around the United States as well as in the Pacific Northwest.

Other refiners of renewable diesel (on a much smaller scale of production) are using a Fischer-Tropsch process with wood waste, sorted higher grade municipal garbage, and other high btu value carbon based waste products.  Many expect this to technology to be the future of all diesel and jet fuel refining turning refuse into fungible low carbon fuel.

What is renewable hydrocarbon diesel?

Renewable hydrocarbon diesel is a synthetic diesel fuel made from non-petroleum feedstocks like vegetable oil, animal fats, municipal waste, agricultural biomass, and woody biomass. It is characterized by having a low CO2 and renewable resource for its feedstock and is made without crude petroleum, coal, or natural gas as a direct feedstock input in the refining process.

How do they make renewable diesel?

Renewable diesel is made by several processes. If you are buying renewable diesel, it is probably from a Hydrogenation process used by Renewable Energy Group and Neste for their products. Other smaller volume producers are using a Fischer-Tropsch process or Fast Pyrolysis. Both processes involve taking energy dense molecules, cracking those molecules under heat and pressure, then reforming them in the presence of a catalyst and added hydrogen, which forms a renewable diesel molecule.

Is renewable diesel a lower carbon fuel compared to petroleum diesel?

Yes, to this point all renewable diesel made from renewable feedstocks have appeared to be a lower CO2 fuel compared to petroleum diesels. The California Air Research Board in particular has done research on this in depth.

The low CO2 lifecycle emissions of Renewable Diesel also is tracked closely and supervised by California’s Low Carbon Fuel Standard, Washington’s Low Carbon Fuel Standard, and Oregon’s Clean Fuels Program. The highest value markets for low CO2 fuels in the United States are California and Oregon, which both have mechanisms that track and price the CO2 intensity of diesel fuels as well as the sustainable lower CO2 substitutes and blend-stocks that can go in those diesels. They track, rate, and determine the carbon intensity of the fuels providing a neutral and scientifically defensible number for CO2 reduction.

Is renewable diesel available in Oregon?

Renewable diesel is readily available for delivery from Star Oilco throughout the Pacific Northwest via 10,000 gallon volumes of bulk delivery.   Star Oilco is also offering bulk delivery of any size and mobile onsite fueling service within 100 miles of the Portland, Oregon market.

Star Oilco has R99 Renewable Diesel available with a Star Oilco CFN Cardlock card in Portland, Oregon.

What is the difference between biodiesel and renewable diesel?

Biodiesel and renewable diesel are very different fuels made with very different processes. In a nutshell, biodiesel is made with a simple chemical reaction that turns vegetable and animal fats into fuel. Renewable diesel is made from far more complicated process where vegetable and animal fats (as well as other feedstocks) are cracked on a molecular level and built back into synthetic diesel fuel.

What is the difference between renewable diesel and Sustainable Aviation Fuel?

The difference between the fuels is the specific gravity and general specification for what the fuel is used for. Jet fuel, or Sustainable Aviation Fuel, and on-road diesel fuel are different fuels and therefore have different specifications. Renewable diesel is typically referring to a #2 diesel specification for on road diesel use.

Sustainable Aviation Fuel or “SAF” is typically referring to “Jet A” or “JP8” jet fuel specification for fuel. This is a #1 diesel range fuel with use and handling requirements that are far more stringent than for on-road or off-road diesel fuels. Renewable jet fuel can be used as a kerosene or #1 diesel fuel but renewable diesel cannot be used as a jet fuel.

Where do I buy renewable diesel in Oregon or Washington?

Renewable Diesel is currently available for bulk delivery and mobile onsite fueling. It will soon be offered at commercial cardlock in the Portland area. It is being sold as R99 and as Ultra Clean Diesel, which is a mixture of biodiesel, renewable diesel, and petroleum diesel.

What is R99?

R99 stands for 99% renewable diesel and 1% petroleum diesel.  Federal rules over alternative diesel fuels made fuels requires that manufacturers of non-petroleum derived diesel fuels must blend a minimum 1% petroleum with the fuel to generate a Renewable Industry Number or “RIN” under the US Federal Renewable Fuel Standard. Additionally there are other incentives that require a “blender of record” to receive these tax credits.

Is renewable diesel being made in Oregon?

As of Spring 2022, renewable diesel is not being manufactured in Oregon. There is a major projects underway, Next Renewable Fuels in Port Westward, Oregon.

What is renewable diesel made from?

Renewable diesel can be made from many energy dense carbon based material.  By volume of produced product sold in the United States, vegetable oils and animal fat-based wastes are the most common feedstock. Woody biomass, agricultural wastes, and sorted municipal wastes are also sources for renewable diesel production.

Is renewable diesel made from palm oil?

Palm oil can be used as a feedstock for renewable diesel. There are producers who use palm oil as a feedstock. In the United States, feedstocks and carbon intensity are tracked closely under both Oregon and California’s fuel programs.  You can determine if a supplier is using palm oil as a feedstock through these regulated pathways.

How much does renewable diesel cost?

This is a tough question to answer given there are several markets intersecting.  From the feedstocks to the market demand for the finished product as well as both California and Oregon’s Clean Fuel Standards which place a price on the CO2 intensity of the fuel which reduces the cost of the fuel if consumed in Oregon and California.

It has consistently been trending between the same cost and over $1 a gallon higher than petroleum diesel depending on the state, you buy renewable diesel in. In California, renewable diesel is very close to petroleum diesel depending on the value of CO2 credits for lower-carbon fuels. In Oregon, it has consistently been between $.05 to $.80 a gallon higher than diesel also depending on the value of CO2 abatement associated with the fuel and what these carbon credits are trading for.

When petroleum diesel costs are high Renewable Diesel tends to be more competitive with petroleum diesel.  When petroleum diesel is below $3 a gallon the cost of Renewable Diesel by comparison is usually higher unless CO2 credits are in higher than normal demand for Clean Fuels Program demands.

Can you mix petroleum diesel and renewable diesel?

Yes. Renewable diesel and petroleum diesel can be blended in any mixture without worry. They are drop-in substitutes for each other in your fleet’s use.  Renewable Diesel is a drop-in fuel. It is a hydrocarbon diesel that will work mixed with diesel or biodiesel blends of petroleum diesel.

Learn more about renewable diesel and how it can benefit your operations. Contact us today.

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What Are the Rules for Getting a Pacific Pride or CFN Card in Oregon? 512 440 Star Oilco

What Are the Rules for Getting a Pacific Pride or CFN Card in Oregon?

What are the rules for getting a Pacific Pride and CFN Cardlock Card in Oregon?

Star Oilco is a proud independent Franchisee of Pacific Pride

Pacific Pride fueling is a wholesale cost plus way to buy fuel.  With the crazy market conditions getting 24 hour access to fuel has a renewed appeal to both individuals as well as businesses.  Today the price difference between retail gas stations and wholesale prices at CFN and Pacific Pride sites in part of the state of Oregon provides a huge price value for small businesses.  Add to that the convenience of getting out of gas lines and being able to fuel 24 hours a day, 7 days a week, 365 days a year is a big value add for commercial cardlock over retail gas stations.

Pacific Pride and CFN cardlock both use a cost plus from the commercial wholesale rack prices to determine what you pay for fuel.

Avoid the volatility of retail credit card mark up with a cost plus agreement and a Star Oilco cardlock card.

Call Star Oilco and ask for a representative quote to see what CFN and Pacific Pride Cardlock costs compared to other fleet cards used at retail gas stations charging a credit card mark up.  Also look at what a small business can benefit from with the security features of cardlock over giving your drivers unsecured credit cards.

Many small businesses wonder what it takes to use a stand-alone cardlock location. As wages rise, the cost of full serve retail gas stations rise too. In contrast, stand-alone commercial fueling stations have little wait and 24 hour access, which save business owners time and money. Star Oilco makes it easy to set up with Pacific Pride in Oregon.

Self-serve diesel fueling is legal in Oregon.

Self-serve gasoline is restricted in Oregon.

Here are the rules for self-serve gasoline in Oregon.

Oregon has legalized the option for any consumer to fuel their own car at a gas station. But a 24-7 stand alone self serve gasoline option like cardlock is not legal in Oregon without a business license or purpose.  So though you can pump your own gasoline at a retail gas station, you cannot use commercial cardlock without being a business.

Diesel is legal for self serve throughout the state of Oregon. Gasoline is restricted in the more populated counties of Oregon except in certain cases. Commercial fleet fueling is one of the exemptions allowed, enabling a business to get its drivers out of gas lines and cut the labor wasting wait at retail gas stations.

Self-serve diesel has always been legal in Oregon and often cheaper at a commercial cardlock throughout the state. Anyone in Oregon who only uses diesel can get a Pacific Pride or CFN card for personal use.

Gasoline, on the other hand, has some rules that are regularly enforced. Self-serve gasoline is allowed in several rural counties in Oregon outside of the I-5 corridor. Self-serve gasoline in the more populated parts of Oregon is available at a retail gas station only if they offer full serve during business hours.

If you operate a company vehicle, commercial cardlock is the best way to upgrade your fleet security from fuel theft and seize control of corporate and small business fleet fueling. We can serve your business all around the United States. In Oregon though, gasoline is not legally dispensed without a few required safety precautions.

For commercial uses, Pacific Pride, CFN, Comdata, Voyager and other Commercial Cardlock networks are allowed for businesses in Oregon. If you are fleet operator or an individual outside of Oregon, these requirements do not apply in your home state. If you substantially operate in Oregon, the state Fire Marshall will expect these rules to apply to you.

What are the rules for using commercial cardlock in Oregon?

  • Business purpose required for gasoline cardlock use in Oregon (not any other state).
  • If you are only using diesel, commercial cardlock is available to everyone (individuals and businesses).
  • If you are planning on fueling gasoline vehicles, you must be a business (or use it for commercial use).
  • To access gasoline at cardlock in Oregon, you must be able to prove that you use over 900 gallons of fuel a year.
  • To access gasoline at cardlock in Oregon, someone in your business must take a Oregon Fire Marshall Safety Test.
    • Message Star Oilco below for a copy of the Oregon Fire Marshall Safety Test

If you have questions about Pacific Pride, CFN, or other cardlock systems, please don’t hesitate to contact us with any questions you may have. Star Oilco has a long tradition of making cardlock easy for businesses large and small. In particular, we specialize in helping you secure fuel usage to eliminate fuel theft and reduce any chance or opportunity for thieves.

To get access to Pacific Pride and CFN locations in Oregon, the first step is to open an account with Star Oilco.

Message Star Oilco below to get started with opening an account to save time and money while fueling.

For more information about how to use commercial cardlock to secure your business from theft, please also check out Star Oilco’s white paper on knocking out fuel theft by implementing a No Tolerance Fuel Theft Policy in your business at www.NoMoreFuelTheft.com.

Pacific Pride Cardlock Fuel Security

CardLock Landing Form

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Do you need Refrigerated Trailer fuel? We fuel reefers automatically. 1024 1024 Star Oilco

Do you need Refrigerated Trailer fuel? We fuel reefers automatically.

Refrigerated Trailer Fueling Service.

Dyed Diesel delivered to your trailer.

Seeking to keep something cold with the Pacific Northwest heatwave?  With higher than normal heat many need Refrigerated Trailers as a critical piece of their operation this summer.  Star Oilco drivers are on the road and ready to keep your overflow refrigerated trailers humming and your inventory cold.

Keep your refrigerated trailer running with our automatic keep full program.

Reefer trailer fuel service

Refrigerated trailers, often also called “reefers” in trucking.  These are popular in grocers, food processors, and many other industries. Reefers expand refrigerated inventory for grocers during the food rush of the holidays, and Star Oilco is ready to keep your inventory cold.

Star Oilco is the Portland area’s leading refueler of refrigerated trailers. We’re ready to help you expand your on hand inventory by supplying dyed diesel for your refrigerated trucks. We have the industry’s lowest price for service, a flat fee of $65 for service on an automatic keep full schedule. We’ll keep your inventory the right temperature this holiday season! Our trucks are ready and on the road driving past your location. This program is designed specifically in response to grocers and food processors needing a partner to simplify their refrigeration needs during their busiest time of year.

We make it one less thing to worry about.

How often should you fuel your refrigeration trailer?

Reefer Trailers typically can run for two days without a refuel if opened only once or twice a day.  Three days if you go a weekend without opening the trailer if fueled on Friday.  If you have staff leaving the door open regularly expect to need fuel daily.

Refrigerated trailer fueling. Keep full program.

Call for service. The first step is to open an account or run the service on a credit card, fleet card, or other payment method used by your business. 

Star Oilco can provide either Ultra Low Sulfer B5 Diesel, or low CO2 R99 Renewable Diesel to your reefer. All fuels are dyed and for off-road use to avoid the expensive taxes associated with using clear diesel from a gas station pump. All of our dyed diesel is treated with Hydrotex PowerKleen Premium Diesel. This additive guarantees long-term storage stability and improves performance at time of combustion.

A refrigerated trailer typically burns between 10 and 15 gallons a day in the Portland area during the winter. In our experience, fuel burns faster if the door is continually opened. Some customers are able to get by with service twice a week. Given this experience, we usually recommend a refill schedule of three days a week. This ensures you have no downtime or worry with the refrigerated trailer.

Customers on automatic keep full schedule receive emergency response services for fuel theft at no additional charge. We will be there for you to make running your business that much easier.

Also remember if you are storing a trailer onsite for back up or overflow purposes you will want to prepare the fuel in the tank for long term storage. Star Oilco’s fuel additives ensure the storage and make sure your refrigerated trailer fires when you need it to.

To set up Refrigerated Trailer Refueling Service call or email our office.

We are ready to keep you full.

Construction equipment fuel delivery service

Message us below if you want to get a call back from our Dispatch about setting up service or call 503-283-1256 for immediate service.

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Oregon Self Serve Gasoline 683 1024 Star Oilco

Oregon Self Serve Gasoline

Oregon Governor Tina Kotek signs historic Consumer Choice (Self Serve) Gasoline bill.

Oregon legalizes self serve gasoline.

Self Serve Gasoline law awaits Governor’s Signature.

Oregon Self Serve Gasoline FAQs:

Q: Can I self serve gasoline at a cardlock location?
A: Not unless you are doing so for a commercial use. 

The Gas Self Serve bill requires for retailers to provide Full Serve as an option alongside Self Serve gasoline.  Diesel fuel can be self served and the general public can fuel themselves with diesel at a Commercial Cardlock now.  For gasoline customers, as cardlock does not offer full serve we can not open it up to the general public.  Commercial Cardlock is regulated by the Oregon State Fire Marshall who still requires a business purpose for self serving gasoline at a 24-7 stand alone cardlock.

Q: When does Self Serve become available at a retail gas station?
A: Friday August 5th, 2023 is when consumers can opt to fuel their own gasoline in Oregon. 

Q: What if I do not want to self serve my own gasoline?
A:  The new Self Serve gasoline rules in Oregon require that any retail gas station offering self serve also provide full serve. 

There must be well marked islands for Self Serve Gasoline and Full Serve gasoline service.  Anyone wanting full service will still have it as an option.  The law also requires that all sites have no more Self Serve fueling pumps as Full Serve fueling positions. So Full Service gasoline will be readily available at any site offering Self Serve gasoline.  The law also expressly requires that there is no difference in price between Full Serve and Self Serve gasoline.

Oregon Self Serve is Legal in Oregon State

Oregon Self Serve at retail gas stations is coming to consumers who want it.  The Oregon Legislature has passed HB2426, a law that would give consumers a choice if they want to serve their own gasoline at a retail gas station. This law is awaiting the Governor’s signature to be signed into law.

As the Legislature has adjourned, Governor Tina Kotek has 30 days from when the Bill was passed to sign it into law, veto it, or let it expire without signature.

 

THE HISTORY OF FULL SERVE LEGAL REQUIREMENTS IN OREGON

Oregon outlawed self serve gasoline in 1951.  The trend for self serve as a business model started in California.  The first self serve retail gas station was in 1947 in Los Angeles.  The restriction on serving your own gasoline had a basis in public safety and was not allowed by the Fire Codes in most states.   With the potential for large self serve gas stations coming Oregon made a decision to prevent the widespread adoption on a fire safety basis.

Inside the Oregon fuel industry there are anecdotal stories of the full serve mandate law coming from a coalition of consumers and local fuel sellers resisting bigger entrants to the market with huge numbers of fuel islands and few employees.  Full service gas was viewed as a competitive advantage for local gas stations that was also preferred by consumers.  In the 1980’s a few attempts were made to legalize self serve in Oregon and was resoundingly shot down by the public.  The growth of Oregon’s cardlock industry came out of this as business allowances were made for self serve gasoline with 24-7-365 access to fuel.

HB2426: SELF SERVE IS A CHOICE, NOT A REQUIREMENT

Talk to any longtime born and raised Oregonian, Full Serve Gas is a cherished right of Oregon residency.  This right will not be extinguished with this law.  Self Serve in the more populated parts of Oregon will require Full Serve as a choice.  The point of this law is to get wider service available for gas stations currently forced to close, operate at reduced island capacity, or reduced hours due to labor shortages.

BACKGROUND ON GASOLINE RETAIL IN OREGON:

Oregon has required gasoline be served by an attendant at retail gas stations.  Gasoline is a Class 1 Flammable Liquid.  Under a safety basis this fuel was restricted to only professionals and businesses to dispense it.  Diesel, which is a Class 3 Flammable Liquid because it catches fire at a higher temperature was not restricted from self serve.

In 2015 the more rural and less populated counties of Oregon were allowed to use self serve gasoline as a strategy to increase service hours at gas stations.  In 2017 this policy was expanded to more rural counties in Oregon.  The rules required options for full service gas service during predictable hours for those wanting or needing service.  During the COVID lock downs due to extreme labor shortages as well as fear of human contact self serve was allowed statewide.  With this House Bill 2426 all of Oregon can choose to serve gasoline themselves if they want.

HB2326 – THE OREGON SELF SERVE LAW:

HB 2326, as a statute, has a great deal of legal detail.  We have paraphrased and simplified the language of HB2326 as it relates to the self serve subject below:

A gas station selling gasoline at retail may not designate more than the same number
of fuel pumps for self-service as are available for full service.

Retail gas stations must:
Post signage clearly showing what fuel pumps are self serve and which are full service.

Designate at least one person to be available to pump fuel for those needing full service.

In the more populous counties of Oregon, any gas station must provide a Full Service attendant during any hours they offer the choice of self serve gasoline.

Gas stations opting to allow self serve fuel pumps cannot charge a different price for Full Service or Self Service gasoline at those pumps.

If you have any questions about Oregon’s Self Serve legal change please feel free to reach out to Star Oilco.  If we do not have the answer to your questions we will find it for you.

 

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Diesel Loaner Tanks for Construction 683 1024 Star Oilco

Diesel Loaner Tanks for Construction

WE LOAN DIESEL TANKS FOR CONSTRUCTION PROJECTS

DYED OFF ROAD DIESEL FUELING SERVICE BY STAR OILCO

Wethose Fueling for Construction

If you need diesel, kerosene, gasoline, biodiesel, or renewable diesel in bulk or as a wet-hose fueling service, we are ready for your project.  We also deliver Diesel Exhaust Fluid on jobsites. We won’t let your generators go down.  Daily routes for diesel fueling in Portland, Oregon and Vancouver, Washington. 

Star Oilco serves the whole Portland metro area included the ex-burbs.  Our routes deliver to Salem, Oregon as well as Longview and Kelso, Washington.

Call and ask for our Dispatch to set up service today at 503-283-1256.

Off Road Dyed Diesel Delivery

All-dyed construction and generator fuel delivered by Star Oilco is premium diesel treated with Hydrotex PowerKleen. Star Oilco’s premium diesel is stabilized for long-term storage for the total up-time needs of construction fueling. There is an additional treatment of fuel microbiocide to kill and prevent growth of bacteria/algae in your diesel. Star Oilco can add Valvtect BioGuard to your fuel to stabilize your fuel for long term storage upon request as well.

 

 

 

 

 

 

Construction season is here.

Star Oilco still has loaner tanks immediately available for your job site, project or temporary fleet needs.  Make life easier and keep your team working hard. Get ahead of the rush and reserve your UL142 double wall loaner tank now.

Just let us know if you need a 12V pump (powered by your equipment’s battery) or a 110V plug in pump with your equipment set up.

Star Oilco has both 550 gallon and 275 gallon tanks with 110% containment meeting UL 142 for your next construction project.  Star Oilco can provide larger tanks if arranged with notice beforehand.  Larger tanks available for longer term project if needed.  We also provide remote tank monitoring on these tanks. These tanks meet fire code in Oregon and Washington for construction refueling and provide temporary storage of fuel on an ever-changing construction job site. Oregon and Washington fire code allow temporary double wall tanks for construction projects where an active permit has been pulled and needs diesel to complete.

Ultra Low Sulfur Diesel is 15 PPM
Please also remember that ultra low sulfur diesel (ULSD) is the standard of off-road dyed fuel now as well. New off-road equipment will need ultra low sulfur diesel given the modern emission systems required.  This is a recent change.

If you are renting newer equipment, it will have a need for ULSD and Diesel Exhaust Fluid (DEF). You will need to ensure that any fuel on a jobsite running newer equipment with diesel after treatment is ultra low sulfur diesel fuel. If you are operating your own tanks as you receive newer equipment, you will want to flush the fuel to make sure you get all the higher sulfur fuels out of it. All equipment from Star Oilco is drained as well as flushed prior to deliver as part of our set up.

If you are a contractor, project manager, or need a temporary tank for on-site fuel, we can help. In cases where you need an auxiliary tank, transfer fuel tank, an emergency back-up fuel supply, or even a long-term rented loaner tank for specialized equipment, Star Oilco can solve problems for you. For long-term projects, we can also work to get cardlock and other novel tracking solutions to secure your on-site fuel needs. Give us a call, we are here to help.

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Biodiesel as a Heavy Duty Low CO2 Solution 768 1024 Star Oilco

Biodiesel as a Heavy Duty Low CO2 Solution

Save money with Low CO2 Biodiesel in your heavy duty fleet.

In Oregon the state ensures there is a cost associated with the CO2 intensity of a fuel.  This is why Biodiesel is consistently lower cost than petroleum Diesel fuels on the West Coast.  Get ahead of this curve and ensure your fleet benefits.


Why B99 Biodiesel was used in the past?

Prior to 2007 emission systems on modern diesels B99 Biodiesel was commonly used by fleets.  The fact that Biodiesel is a domestic, renewable and low CO2 fuel with a benign tail pipe emission made it popular.  B99 was the preferred fuel of dozens of fleets in the Pacific NW.  After the EPA requirements starting in 2007 which added particulate traps, SCR, their dosing systems, and the general complexity of these clean diesel systems on modern diesels, B99 became problematic.  Specifically the Tier 3 and Tier 4 diesel emission systems had a habit of choking on high blends of Biodiesel approaching B99.  This issue has been solved by Optimus Technologies Vector System.

Why B99 Biodiesel is the solution for Heavy Duty Diesel fleets seeking a Low CO2 solution today?

The Optimus Technologies Vector System provides the solution by enabling two tanks of fuel.  One tank dedicated to the diesel or R99 Renewable Diesel and the other tank dedicated to B100 or B99 pure Biodiesel. These systems optimize the systems of your modern Diesel fleet while also optimizing the performance and realities of the emission systems.

Star Oilco at the National Biodiesel Conference in Las Vegas

Mark Fitz, the President of Star Oilco, was invited to speak in front of a bunch of soy bean farmers on the subject of decarbonizing Heavy Duty diesel fleets.  Below is a walk through of his view on where diesel fleets can go to cut their CO2 emission in half or more today. NOTE: Mark Fitz’s portion begins at 18 minutes.

 

Please reach out to Star Oilco if you have further questions about using B99 or other blends of Biodiesel to reduce your fleet’s operating cost while cutting CO2 emissions in half.

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