Fleet Management News & Business Info | Commercial Carrier Journal
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JOURNAL fuel savvy CALIFORNIA TRUCKERS SLAM CARB FUEL POLICIES T he California Trucking Association released a study that shows sig- nificant job losses directly attributable to the California Air Resources Board's fuel policies. Goods movement and agriculture sectors especially will be hard hit if the policies are allowed to go into effect as currently designed, CTA says. CTA says the report, titled "The Impact of the Low Carbon Fuel Standard and Cap-and-Trade Programs on California Retail Diesel Prices," demon- strates the effect that CARB's regulatory actions will have on the state's retail diesel future. The Stonebridge Associates study finds that by 2020, CARB's Low Carbon Fuel Standard, in combination with the AB 32 Cap-and-Trade Program, could increase the price of diesel fuel by $2.22 per gallon; that would represent more than a 50 percent increase in the price of diesel fuel and $6.69 per gallon at the retail pump. The average price difference between California and neigh- boring states would be $2.33 per gallon when accounting for taxes. According to the study, between 2015 and 2020, these higher "California- only" diesel fuel costs will cause a loss of nearly 617,000 jobs in the container- ized import sector, $68.5 billion in lost state domestic product, $21.7 billion in lost income and $5.3 billion in lost state and local taxes. CTA says the study states that a "California-only" diesel will put California's transportation sector at a significant competi- tive disadvantage "CTA is supportive of the production and use of alternative fuels, but the cost gap between CARB's Low Carbon Fuel Standard and the diesel fuel that the other 49 states will continue to use is unac- ceptable," says Scott Blevins, president of Mountain Valley Express and 2012 CTA presi- dent. "This is a serious setback for any business dependent on diesel fuel for its operations. State regulators need to step CTA says the diesel fuel price increases will affect food, fuel, clothing and other essential services transported by trucks. down from their 'ivory tower' and understand the impact of these unfair poli- cies on California truckers. CARB's blind pursuit of policies that will drive many California-based trucking companies out of state or out of business should be of great concern to all Californians." CTA says the report states the diesel fuel price increases will cast an even wider net, affecting food, fuel, clothing and other essential services transported by trucks. The report can be downloaded at http://caltrux.org/LCFS. 22 COMMERCIAL CARRIER JOURNAL | JUNE 2012 11MTT2077 GET ON THE ROAD TO SAVINGS. Apply for the MICHELIN® Advantage Program at michelintruck.com. Copyright ©2011 Michelin North America, Inc. All Rights Reserved.