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AmeriGas Partners LP Message Board

  • fgpapusph fgpapusph Mar 28, 2002 10:15 PM Flag

    Motor Fuel Comments

    I assume from the general discussion that there are two marlets for motor fuel - forklifts and OTR fleets. I realize that the first can be delivered on a route, but what about the second? It would seem that the OTR fleet customer is at risk of finding refueling stations where and when needed. The industry infrastructure just doesn't seem to be in place for this. Most propane plants are closed in the evening and weekends and the local service station rarely has anyone around that can fill a tank. Can a business convert its fleet over to propane with these unknowns?

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    • The problem is the current California legislature is going to make propoane unacceptable. CNG or electric will dominate according to most industry experts. Propane may experience a brief spotlight, but technology is catching up with them I am afraid...

    • The problem is the current California legislature is going to make propoane unacceptable. UNG or electric will dominate according to most industry experts. Propane may experience a brief spotlight, but technology is catching up with them I am afraid...

    • A few months ago, on one of the news channels, there was an article about diesel school buses, and the CO levels that children are exposed to. The article spoke about using CNG or electric, but no mention of propane.
      I have seen alot of scenic trolly fleets, using propane. Why not promote it to bus fleets? The industry as a whole, needs to step up to the plate and promote the use, no matter what the cost. If everyone just sits back and waits, other technology will step in (fuel cells, electric,CNG, and who knows what else) and reap the profit that the propane companies should be working on making.

    • I am now 46, been in propane 26 years. In my area propane will never be a popular motorfuel. Most fleets are going with diesel engines. This may be in part a push by Detroit, I have no idea. AmeriGas is trying some diesel engines and so far repair costs are less. The difference in power is one of the major points to consider here because of mountains. A diesel engine just lasts longer.

    • I will grant you that oil changes, etc. are something a propane marketer doesn't need to handle. And tinkering with the fuel system on forklifts by the untrained is certainly a bain to my existence. Fortunately over the road systems nowadays are tamperproof.

      However, the typical motor fuel customer will be a fleet that handles it's own oil changes. The technician that works for the fleet can be trained to either not touch the fuel system or to do the job correctly. The trained are few and far between. That means some company will have to invest in support staffing.

      If you are truely 43 as your handles states, I have your age beaten by a few. As to time spent in the industry, especially focused on the motor fuel side of things, I think you could attribute my experience as being as long as most. So let's keep the discussion to "motor fuel comments" shall we?

      Price differentials are around the corner my friend. Check out SB 760 being debated today. Will APU be ready for increased demand?

    • All trucks have to have regular service at a garage, oil changes etc. As of right now I don't know of any propane company doing that type service at their locations. We do work on motorfuel problems if brought to us. The problem I was talking about is the fact that most mechanics in most garages don't have a clue as to how a propane system operates. Yet they love to see if they can set the idle up or whatever which usually screws the whole thing up.
      You sound rather young, or new in the business. Propane was pushed hard in the past as a motorfuel. It just never caught fire and I don't think it ever will. There is no demand for it yet. As I said before, it will take extremely high gasoline prices to make the general public take an interest in propane as a motorfuel.

    • Think about the beginings of the propane industry. Didn't the propane marketer service the equipment that burned his propane? Do you no longer service water heaters, wall heaters, and cooking appliances? How do you protect your turf? What makes you think the motor fuel business is any different? Will you rely on someone else to protect YOUR customer?

      Then send them my way.

      You let your milk truck customer rely on someone besides yourself or someone you trusted. And that person helped unsell YOUR customer on YOUR product.

      No offense meant-just that your comments are repeated by most players in the industry and the reason why the industry can't seem to get behind the only growth opportunity it really has. Easier to wait for a good winter and buy a competitor out. Laaaaazzzzzyyy!!

    • its got a great dividend

    • LP has been used as the primary fuel in large fleet's for years(10+). National brands - Texaco, Mobil etc. carry LP to service the RV market. Added benefit - cleaner fuel leads to lower maintenance costs - plugs, catalytic converters etc.

    • A propane dispenser can be set up at businesses compound where the drivers or vehicle operators can be taught to refull their vehicles. The propane industry is getting away from this. The ivory tower boys would rather take advantage of the domestic customer where they can charge a much higher price for their product. Propane as a motor fuel must stay competitive with gasoline, I should say stay below the price of gasoline.When you have to build dispensers it takes away from their bottom line and the golden parachutes. The industry could improve but they like to drag their heels. GO UNIONS!!!

 
APU
43.98+0.11(+0.25%)Apr 15 4:01 PMEDT

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