- Colonial Pipeline, which moves gasoline and diesel from Houston through the southeast to Linden, N.J., says it does not expect to take full advantage of a government waiver aimed at ensuring adequate fuel supplies to the region.
- The EPA had waived federal regulations requiring the use of low-volatility conventional gasoline for fuel sold in areas of North and South Carolina in anticipation of potential fuel shortages, which would allow suppliers to ship off-season fuels if available.
- But Colonial says shippers will not be able to deliver off-season CBOB fuel authorized by the waiver; the pipeline is moving summer-grade CBOB gasoline, and Colonial says off-season fall or winter barrels of the fuel would not get to areas affected by Hurricane Florence before the Sept. 15 waiver expires.
- Colonial says it is operating normally and preparing for potential flooding and loss of power due to the hurricane.
- Patrick DeHaan, head of petroleum analysis at GasBuddy, does not expect impact to gasoline and products supply to the northeast if Florence affects remote sections of the pipeline.
- Colonial is the largest U.S. refined products system and is owned by Koch Industries, South Korea’s National Pension Service, Royal Dutch Shell (LON:RDSa) (RDS.A, RDS.B) and others.
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