04-16-07 by dugan
…Well, ready enough that two of its mid-level managers phoned OilWatchdog and said the company “recognizes the tide of interest” in renewable fuels and wants gas station operators to “engage with us.”
Chevron lawyer Bob Cosby and marketing person Russ Lines were responding to OilWatchdog’s report on Chevron’s financial roadblocks in the way of any dealer trying to sell high-ethanol E85 fuel. They swore that times are changing, and pointed out new Chevron guidelines for dealers thinking about E85.
“We want to work with [dealers]” individually, said Crosby, on things like enabling them to post the price of E85 on the same big pole with regular gasoline prices, and on using an existing tank to sell the E85, rather than installing a $$$ new one.
Here’s what we’d like to see:
• Rather than just post new E85 guidelines on Chevron’s dealers-only web site (dealers we talked to were unaware of them), Chevron should actively send them to dealers and offer help.
• The company’s “recommended” installation in the guidelines embodies the contract restrictions that already deter dealers–separate island for E85 sales, separate pump, separate sign, separate canopy over the pump, separate truck-sized tank. There are drawings of less expensive alternatives, but they’re labeled “not recommended.” What’s that mean, in terms of dealer contracts? Remove the double standard and “recommend” the affordable alternatives, on the same sales island and using existing pumps.
• Permit dealers to post an E85 price on the post with other gasoline prices, though separate from Chevron products. Why imply in the printed guidelines that it’s banned (meaning drivers won’t even know an alternative is for sale), but say in conversation that the company will talk about it?
• And the best action, if Chevron wants to really be greener on its sales side: Actively subsidize E85 in urban and eco-conscious areas, giving dealers financial terms and advertising help that will help make it and other renewable fuels financially viable. That would give tangible support to a letter that a Chevron marketing manager sent us, saying “Chevron sees renewable biofuels paying an important role in satisfying the future energy needs of the United States, and we are making significant investments in that area.” What better investment than at the retail level, encouraging drivers to buy flex-fuel cars?
• Of course, Chevron could make the issue all but moot by producing its own Chevron-branded biofuel for use in flex-fuel cars.
• But a good conversation is a start. Now if BP would just sell even one renewable fuel at its highly touted “go green” station (right down to the green LED lights) in LA, OilWatchdog could think it’s a trend.
If you’re in the fuel business and want to call Mr. Crosby at Chevron, e-mail us at [email protected], and we’ll mail back his phone number.