Behind the scenes of filling up: How do operators keep track of their fuel inventory?

This is Veeder-Root’s fifth article in their series on what actually happens when you fill up at a gas station. Read the others here:
Behind the Scenes of Filling Up:
1. How Does it Work?
2. Gaining Approval and Getting Started
3. How does the fuel actually get to the nozzle?
4. How do gas stations ensure fuel isn’t leaking?
.

Keeping track of all that fuel

Veeder-Root

When you fill up at a gas station, it’s likely that you’re one of many people getting gas at the same time.

At busy gas stations and c-stores there are multiple transactions happening at one time. In fact, the average c-store dispenses just over 4,000 gallons of fuel per day!

With all that fuel pumping out of the storage tank, how does the site operator maintain an understanding of the current inventory, how much has been sold that day, and the amount of inventory that they started with? This basic information is what they will need for inventory reconciliation, which is the process of making sure that they can account for all the fuel that has been dispensed.

If there is a difference between the amount of fuel that records say are in the storage tank and the actual amount of fuel in the tank, then there is a fuel variance. There are two likely scenarios for the loss, either there is an adjusted loss or an actual physical loss of the fuel.

Adjusted losses accrue when key records of fuel transfer don’t match up. It’s common when the bills of lading, delivery confirmations, automatic tank gauges, and point-of-sale equipment may all supply a different record of the transaction. Contributing to the issue are tank charting and equipment errors, which can mask any actual fuel losses.

Physical loss might happen if there was a leak that went undetected, a meter drift, theft or delivery discrepancy, or even a change in temperature that causes fuel contraction or expansion in the tank.

What Can We Do About it?

The first step is to confirm that the equipment at your gas station is maintained and operating correctly. You then want to ensure that you have accurate tank charts for your site. The next step is to implement a daily reconciliation and variance tracking method.  

C-Store owners should also take advantage of remote connectivity options that allow them to check on their inventory and site status from anywhere. 

Automating The Process

The most accurate way to generate a tank chart is to use AccuChart on your Veeder-Root TLS Automatic Tank Gauge. This application takes frequent measurements and reports back when there is a statistically significant data set for creating an accurate tank chart. 

Once you have an accurate tank chart, an application like Business Inventory Reconciliation (BIR) can automatically calculate fuel variance.

BIR tracks all the fuel that enters or exits each of your underground tanks, accounting for all delivery and dispensing activity. It automatically collects metered sales information from electronic and mechanical dispensers and generates accurate delivery and reconciliation reports.  

This is our final installment in our blog series on what actually happens when you fill up at a gas station. You can find more information on every step of the process here

If you have any questions or would like to purchase Veeder-Root and Red Jacket Products, visit us online at www.johnwkennedyco.com or call us at 1.800.451.4021.

The John W. Kennedy Company appreciates your business and continued support!
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Behind the scenes of filling up: How do gas stations ensure fuel isn’t leaking?

This is Veeder-Root’s fourth article in their series on what actually happens when you fill up at a gas station. Read the others here:
Behind the Scenes of Filling Up:
1. How Does it Work?
2. Gaining Approval and Getting Started
3. How does the fuel actually get to the nozzle?
.

Veeder-Root

With so much fuel passing through a gas station’s fueling system, how do they ensure that fuel isn’t leaking?

For decades now, the Environmental Protection Agency has enforced regulations that require gas stations to prove they aren’t leaking fuel into the ground or the water supply, and there are a number of ways the gas station can meet the requirements. 

But beyond the regulations, fuel costs money – it’s the single most expensive inventory item for gas stations – and leaks or other fuel losses are costly! 

Managing Compliance

Once you’re done filling up, there is an entire monitoring system at the gas station that tests the fuel lines for any potential leaks and monitors important spaces around the site to ensure they’re dry. This system is called an automatic tank gauging system which includes a console, like the TLS-450PLUS ATG, series of sensors throughout the gas station, and probes in the underground fuel tanks. 

The automatic tank gauge system has many functions at a gas station, but at its core it provides the owner and store operator with reports that prove the site isn’t leaking fuel and provides the fuel inventory data needed to run the station. These reports are provided to EPA inspectors to ensure gas stations are complying with the regulations.

Fixing Issues Immediately

It’s important to have the appropriate reports, but leaks must be addressed in real time, and that is where the ATG console is also working like a security system for the fuel site.  

When an issue is detected in the fueling system, the TLS-450PLUS ATG records a condition result and generates an audible and visual alarm for the store operator. Employees at the site can then follow their protocol for addressing the issue.  

The guiding principle is ensuring that the gas station is safe for customers and meeting regulations. 

What’s Next?

Next week, we’re discussing how the TLS-450PLUS ATG gives C-Store owners and operators the business data they need to correctly manage their inventory. 

You can find more information on every step of the process here

 

If you have any questions or would like to purchase Veeder-Root and Red Jacket Products, visit us online at www.johnwkennedyco.com or call us at 1.800.451.4021.

The John W. Kennedy Company appreciates your business and continued support!
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Are You Ready?? The Cost of Non-Compliance: You Can’t Afford It

Are You Ready??

October 13 is a significant date for retail-fueling operators across the U.S. That’s when latest EPA regulations go into full effect regarding the testing and maintenance of UST equipment and systems. And if you’re not compliant, the penalties can be fierce.  Click on the above image to view the “Are You Ready?” video.  You will have to provide your name to view the video.

Check out OPW’s exclusive infographic for reality check on the “Cost of Non-Compliance” below.

Please feel free to contact us at 1.800.451.4021 with any questions about the October 13, 2018 EPA regulations, whether you are in compliance and how OPW products and the John W. Kennedy Company can ensure that you are!

The John W. Kennedy Company appreciates your business and continued support!

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