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Read all 'fraud' posts in Cleantech
June 20, 2007 9:23 AM PDT

The hot fuel scam costs motorists big bucks

by Martin Tobias
  • 5 comments
Check out the chart on gallons of energy lost that shows in each state will lose this summer to hot fuel, or gas that's sold at high temperatures. The high temperatures cause gas to expand. While the volume increases with temperature, energy content doesn't. As a result, motorists pay for fuel they don't really get. Rather than adopt a seasonal temperature standard, the oil industry sticks with a 60 degree Fahrenheit standard.

In California, 71.5 million gallons of phantom hot fuel will get sold in California during the summer and 21.9 million gallons will get delivered by Arizona pumps. Alaska gains some gallons.

A Congressional report says that U.S. motorists will pay $1.4 billion extra over the summer months for gasoline that expands at high temperatures. Steve Everly at the Kansas City Star has been digging into the issue.

Who was the chair of the committee? Sometimes presidential candidate Dennis Kucinich. I wish this were in the hands of someone with a bigger and more respected microphone. This is important stuff.

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About Cleantech

Neal Dikeman is a founding Partner at Jane Capital Partners LLC, advising the technology and venture arms of multi-national energy companies in cleantech. While at Jane Capital, he has cofounded superconducting technology company SC Power Systems, Inc. (now Zenergy Power plc), and wireless technology startup WaiterPad POS Systems, and he is currently involved in launching a new venture in carbon credits. The Cleantech Blog includes posts by Neal and other authors about biofuels, solar, and global warming.


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