Author: Vitaliy Dadalyan

Harvey Damage Raises Fuel Prices, Lowers Oil Prices

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Photo: U.S. Coast Guard District 5/ Petty Officer 3rd Class Corinne Zilnicki

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Photo: U.S. Coast Guard District 5/ Petty Officer 3rd Class Corinne Zilnicki

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As a result of the flood damage caused by Hurricane Harvey, fuel prices are rising across the country – but curiously, crude oil prices have dropped at the same time.

In the oil-producing Gulf region affected by the storm, eight Texas refineries have been shut down with as much as 2.7 million barrels per day of oil processing potential, according to the Oil Price Information Service. In the most recent report from the Energy Department, diesel prices hit a yearly high of $2.60 per gallon on average for the week, but the price reflected less than 1 cent of increase nationally. Much of the price increase will likely be reflected in next week's numbers, as rain and flooding from Harvey could continue until Thursday, Aug. 31.

While the refineries were shut off as a precaution for the storm, flood damage has occurred at some facilities. ExxonMobil revealed that its Baytown and Beaumont refineries were flooded and unable to contain certain chemical pollutants as a result.

The immediate area of the Gulf States and the Northeast are expected to be hardest hit by the interruption in oil refining capacity, with OPIS saying that unbranded fuel prices will increase in most parts of the U.S. as well.

The hurricane is having the opposite effect on crude oil, however, with prices hitting their lowest point in two months, according to CNN Money. With so many refineries shutting down, the demand for crude oil has slipped as well, and a glut of supply from the shale oil industry is also offsetting the storm's effect on prices. Demand was also decreased because Houston, the fourth largest metropolitan area in the U.S., has been put out of commission, so the need for gas ...Read the rest of this story

OOIDA: States Must Pass Rules Before Federal ELD Mandate Is Enforced

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Photo: FMCSA

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Photo: FMCSA

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The Owner-Operator Independent Drivers Association filed a petition with the Federal Motor Carrier Safety Administration on Aug. 29 that contends that “26 states have not yet incorporated an electronic logging regulation into state law and are not authorized to enforce the rule until they do so.”

OOIDA said that it “supports a proposed delay to the mandate due to a growing number of reasons including the lack of preparedness” of law enforcement agencies. The association's petition says that more than 20 states are “years behind in adopting amendments and additions to the Federal Motor Carrier Safety Regulations into state law.”

In addition, OOIDA claimed in a press release on its petition that to qualify for federal grants under the Motor Carrier Safety Assistance Program, states are required to incorporate the FMCSRs or their equivalent into state law. “In 2016, 95% of motor carrier and driver enforcement violations were issued by MCSAP states,” the association noted.

The petition also states that “serious legal problems arise because states are attempting to enforce federal safety standards that have not been made part of state law. OOIDA contends that when FMCSA amends its regulations, the states must incorporate those amendments into state law before they can enforce them.”

“We are concerned about numerous states issuing citations for the violation of non-existent state laws,” said Todd Spencer, OOIDA executive vice president. OOIDA noted, for example, that Delaware has not updated its incorporation of the FMCSRs since 2006; Arizona last updated its in 2012, and Kansas did so only in 2013.

“That means that new regulations and amendments to old regulations promulgated by FMCSA since the last incorporation date for these states are not part of state law,” continued Spencer.

In its news release, OOIDA also referenced the action taken earlier this week by ...Read the rest of this story

OOIDA files ELD enforcement petition with FMCSA

The Owner-Operator Independent Drivers Association (OOIDA) filed a petition Aug. 29 with the Federal Motor Carrier Safety Administration (FMCSA) alleging that 26 states have not yet incorporated an electronic logging regulation into state law and are not authorized to enforce the rule until they do so.

OOIDA said it supports a proposed delay to the mandate due to a number of reasons, including what it calls “the lack of preparedness of all law enforcement agencies nationwide.”

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Cummins Unveils Class 7 All-Electric Daycab Tractor

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The Cummins Urban Hauler EV is an all-electric, Class 7 day cab tractor designed for urban delivery, drayage and port facility applications. Photo: Cummins

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The Cummins Urban Hauler EV is an all-electric, Class 7 day cab tractor designed for urban delivery, drayage and port facility applications. Photo: Cummins

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Cummins has beaten Tesla to the punch with its unveiling of a new, all-electric truck.

Much like the Mayweather-McConnell fight last weekend, an older, more savvy veteran has beaten a young up-and-comer to the punch. With all eyes looking toward Tesla and the launch of its new all-electric, commercial truck next month, Cummins on Aug. 29 stunned the trucking industry with the launch of its own new and fully electric, Class 7 day cab tractor, dubbed the Urban Hauler EV.

The story is still developing, but it appears the new truck is a prototype model for demonstration purposes only. HDT Equipment Editor, Jim Park, who is at the Cummins event, has reported that the truck is intended for urban delivery, port drayage, terminal hauling, and similar applications.

According to Cummins, the concept Class 7 Urban Hauler EV, uses a state-of-the art battery pack, which “redefines” energy efficiency and density capabilities for the electric vehicle market.

Cummins said the lighter, denser battery design allows it to hold a longer charge for improved range and faster charging, reducing downtime.

The concept truck design includes an Engine-Generator option for extended range capabilities, allowing users to benefit from Cummins B4.5 or B6.7 engines, providing a major advantage over today's hybrid systems. These engine options offer 50% fuel savings compared to today's diesel hybrids with zero emissions.

During the event, which included tours of the Cummins technical center, Cummins leaders and scientists showcased the company's continued innovation and work in analysis-led design capability, virtual reality, alternative fuels and digital capabilities, all of which are positioning the company to win in current and future technologies and in new markets.

Cummins also showcased a variety of cutting-edge transportation technologies at the ...Read the rest of this story

UPS Pledges $1 Million to Harvey Recovery Effort

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Photo via UPS 

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UPS has announced a $1 million pledge through The UPS Foundation, in support of recovery efforts in Texas and Louisiana following the devastation from Hurricane Harvey.

The $1 million will come from a combination of cash grants, in-kind transportation movements, and technical expertise to provide urgent relief as well as support for long-term needs ranging from rebuilding to personal and financial recovery assistance.

The UPS Foundation is working with FEMA, the American Red Cross, The Salvation Army and other humanitarian groups to assess longer-term needs and will commit an additional $500,000 in cash and in-kind assistance for recovery needs that will be specified during the post crisis recovery phase in the coming months.

“In this time of enormous need, it is critical to establish and support extensive networks of public-private partnerships to get aid to those who need it, as quickly as possible,” said Eduardo Martinez, president of The UPS Foundation and chief diversity and inclusion officer. “At the same time, setting aside funding and other resources for long-term recovery efforts is also important, and we are laying that groundwork as well.”

The UPS Foundation is a charitable organization focused on community involvement in local, national and global communities. Last year the UPS Foundation responded to 20 major world disasters and invested more than $13 million in funding, in-kind, and technical support for community safety initiatives that included participation in urgent disaster response preparedness, response, and recovery.

Related: Harvey Causing Historic Flooding in South Texas

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