Warmer Weather Means Less Gas In Your Tank
California drivers were overcharged $376.4 million on gasoline in one
year because fuel pumps don’t adjust for changing temperatures,
according to a state study.
And that has consumer advocates livid.
Just like other fluids, gasoline expands as it warms up. But gas pumps
always dispense the same volume, both in winter’s chill and summer’s
heat. So in warmer months, the fuel in your tank is less dense and
packs less energy than in cold weather.
For years, consumer organizations have claimed that "hot fuel" rips off
American drivers, and the new study from the California Energy
Commission backs those fears. The problem doesn’t just hurt commuters.
The study estimated that truckers in the state spent an extra $61.1
million on hot diesel fuel.
The U.S. census in 2000 counted 11.5 million households in California,
each of which spent about $32.73 extra during the year covered in the
study, April 2007 through March 2008. And because gas prices have
tumbled since then, the cost per household would now be even less.
But Judy Dugan, research director at the nonprofit organization
Consumer Watchdog, said that doesn’t matter. Drivers are being
systematically ripped off because oil companies and gas station owners
don’t want to install pumps that adjust for temperature, she said.
"As far as the amount, the point is that you’re being cheated, and a
cheat is a cheat," said Dugan, whose organization wants the state to
use pumps that adjust for temperature.
Those pumps are widely used in Canada, where long and frigid winters
otherwise would cost oil companies money. And in the United States, the
oil industry adjusts for temperature throughout its supply chain as
gasoline is piped from refineries to distribution centers and trucked
to gas stations. Only at the final step – the driver buying gas – is no
adjustment made.
The industry, so far, has blocked efforts to bring
temperature-adjusting pumps to the United States. California
legislators have toyed with the idea of requiring temperature-adjusting
pumps and last year ordered the energy commission to study the issue.
The commission report spells out ways that the state could enforce such
a requirement.
But the report also concludes that forcing gas station owners to switch or retrofit their pumps would do the public little good.
California’s station owners would have to spend $102 million to $123
million on equipment in the first year and face annual costs of $1.2
million to $10.3 million. The owners probably would try to recoup those
expenses by raising the price of gasoline as well as the cost of car
washes and sundries in their convenience stores, according to the
report. They also would boost prices to compensate for any profit they
lost as a result of the new temperature-adjusting pumps.
"We’re only surmising, because we don’t know what the station owners
will do," said Susanne Garfield, spokeswoman for the energy commission.
"Those costs will most likely be passed along to the consumers."
Commuters and truckers, in other words, wouldn’t see any real benefit.
And because station owners would have to go through the trouble of
switching their gear, "the net cost to society is slightly negative,"
according to the report.
The oil industry has argued much the same thing for several years,
although consumer advocates insist stations wouldn’t be able to pass
along all the costs.
"We agree that the costs outweigh the benefits," said Jay McKeeman,
vice president of government relations for the California Independent
Oil Marketers Association. "We don’t agree with the term ‘slight.’ "
McKeeman argues that because most of the gasoline supply chain takes
temperature into account, temperature changes are already reflected in
the wholesale prices that station owners pay. Therefore, they’re also
reflected in the retail price.
"Honestly, the reason I think it works in Canada is because the
consumer has no idea that they’re getting less than a gallon of
gasoline when it’s cold," McKeeman said.
A committee of the energy commission will discuss the report on
Tuesday. Any recommendations about whether to use temperature-adjusting
pumps would have to be adopted by the full commission. In February,
commissioners must send the report, along with their recommendations,
to the Legislature.
Dugan worries that the report will give legislators an excuse to do
nothing. She’s particularly alarmed by one potential recommendation:
that the state not allow gas stations to voluntarily start using
temperature-adjusting pumps until better standards for the equipment
are developed.
"That’s my belief, that this has all been a matter of political cover
by the fuel industry to stop fuel-temperature compensation in
California," she said.
Garfield said no decisions have been made. "The staff was supposed to
look at the whole issue," she said. "The commissioners will have to
make a recommendation."
The issue hinges not just on physics but on the definition of a gallon.
The oil industry considers a gallon of gas to be 231 cubic inches at 60
degrees. But fuel temperatures can change substantially with the
seasons. And in warm-weather states, they often stay well above that
level, meaning drivers usually get less energy in their tanks than they
should.
The energy commission examined temperatures at counties across the
state for one year. The average temperature for regular gasoline was
71.1 degrees.
Gas pump legends
Theories abound about the best times and places to fill up on gas. Some appear to be grounded in fact, while others don’t.
Q: Is it better to fill up in the morning or at night than during the day?
A: It probably doesn’t make much difference. Although gasoline expands
in warmer temperatures, modern underground storage tanks hold
temperatures quite well. As a result, the fuel tends to stay near
whatever temperature it had when it was delivered to the station.
Q: Do you get more energy for your buck when you buy gas in winter?
A: Yes, unless you live somewhere that’s hot year-round.
Q: Are you better off buying in colder places, like San Francisco, than in warmer ones, like Tracy?
A: In theory, yes. But this gets dicey. For example, if a refinery in
the East Bay ships a tanker truck of gasoline to San Francisco and
another to Danville, both truckloads will be at much the same
temperature when they reach the station. Also, some places, like San
Francisco, tend to have higher gasoline prices than others, potentially
wiping out any savings you might get.
Q: What’s the perfect temperature?
A: 60 degrees. A gallon of gasoline is sold as 231 cubic inches at 60 degrees.
Source: California Energy Commission, Chronicle research
E-mail David R. Baker at [email protected].