flight school installing an autofuel tank

The owner of a flight school at my airport (PAE) told me today that
he'll soon install a 1500 gallon fuel tank for 91 octane autofuel, to
supply fuel for his STC'ed cherokees and the Stingsport LSA on his
flightline (he's a dealer for Stingsport LSA). What a concept! He can
save a whole bunch on fuel, offering a better wet rental rate, and I'll
have another on-airport autofuel supplier in this area (the other is at
the self serve pump at AWO).

In case people didn't notice, the price gap between avgas and autogas
is no longer $1/gallon. It has grown to something more like
$1.30/gallon.

You are fortunate that alcohol-free autogas is available. In our area of
the US (SF Bay area), all autofuel now has alky, making my autogas STC
useless. Believe me I would love to use unleaded autogas. I did so for
over 1500 hours and the engine was never cleaner internally. The oil stayed
cleaner looking for many hours. My plugs were nearly spotless when pulled
for inspection and regapping. I'd even pay more for autogas, if I could get
it without alcohol.

John Severyn
@LVK

"M" wrote in message
oups.com...
The owner of a flight school at my airport (PAE) told me today that
he'll soon install a 1500 gallon fuel tank for 91 octane autofuel, to
supply fuel for his STC'ed cherokees and the Stingsport LSA on his
flightline (he's a dealer for Stingsport LSA). What a concept! He can
save a whole bunch on fuel, offering a better wet rental rate, and I'll
have another on-airport autofuel supplier in this area (the other is at
the self serve pump at AWO).

In case people didn't notice, the price gap between avgas and autogas
is no longer $1/gallon. It has grown to something more like
$1.30/gallon.

That's just terrible. I think AOPA and EAA's lobby wasn't as
experienced or ramped up when the stupid ethanol rule went in at
California at what, 7 years ago?

Washington state has passed an ethanol law last year. Thanks for the
AOPA lobby the final version of the law had a few minor but very
important changes: it exempted aircraft fuel from ethanol blending
(which is common in many states), and more importantly, it changed a
per-gallon blending requirement to a total volume requirement for each
oil supplier. Basically, instead of requiring each gallon of gasoline
contain 2% ethanol, it requires 2% of total gasoline sale by each oil
company throughout the state to be pure ethanol on a quarterly basis.
Given ethanol has to be blended at a terminal facility (thank goodness
for its pipeline corroding property!!!), this gives the oil company a
lot of freedom to sell ethanol free gasoline, as long as they blend
some of their gasoline sale with higher than 2% ethanol to meet the
quota.

The effect of that law is yet to be seen because it won't take effect
until 2007. However I think the way the law is written, bulk fuel
purchaser (such as FBO and flight school) will continue to be able to
buy ethanol free gasoline easily. On the street pump the oil company
might sell their premium gas ethanol free as a selling point, because
the law doesn't require ethanol in every gallon of gas.


J. Severyn wrote:
You are fortunate that alcohol-free autogas is available. In our area of
the US (SF Bay area), all autofuel now has alky, making my autogas STC
useless. Believe me I would love to use unleaded autogas. I did so for
over 1500 hours and the engine was never cleaner internally. The oil stayed
cleaner looking for many hours. My plugs were nearly spotless when pulled
for inspection and regapping. I'd even pay more for autogas, if I could get
it without alcohol.

John Severyn
@LVK

"M" wrote in message
oups.com...
The owner of a flight school at my airport (PAE) told me today that
he'll soon install a 1500 gallon fuel tank for 91 octane autofuel, to
supply fuel for his STC'ed cherokees and the Stingsport LSA on his
flightline (he's a dealer for Stingsport LSA). What a concept! He can
save a whole bunch on fuel, offering a better wet rental rate, and I'll
have another on-airport autofuel supplier in this area (the other is at
the self serve pump at AWO).

In case people didn't notice, the price gap between avgas and autogas
is no longer $1/gallon. It has grown to something more like
$1.30/gallon.

"M" wrote in message
oups.com...

That's just terrible. I think AOPA and EAA's lobby wasn't as
experienced or ramped up when the stupid ethanol rule went in at
California at what, 7 years ago?

California's ethanol rule expired over a year ago. California gas stations
can have any blend of ethanol they want, including zero if that is their
choice. HOWEVER, ethanol bumps the antiknock rating up by two or three
points, so they'd have to relabel their pumps down because the cracking
plants aren't going to up the octane unless they have to ... cheaper to
crack lower octane, y'know.

The whole thing sucks.

Jim

The owner of a flight school at my airport (PAE) told me today that
he'll soon install a 1500 gallon fuel tank for 91 octane autofuel, to
supply fuel for his STC'ed cherokees and the Stingsport LSA on his
flightline (he's a dealer for Stingsport LSA). What a concept! He can
save a whole bunch on fuel, offering a better wet rental rate, and I'll
have another on-airport autofuel supplier in this area (the other is at
the self serve pump at AWO).

Outstanding! Our stupid airport commission and FBO would much rather
complain about the stuff (although, in fairness, they're pretty muted
about it) instead of jumping on board the band wagon, and installing
tanks/pumps. Lord knows they wouldn't want to actually make any money
selling fuel...
--
Jay Honeck
Iowa City, IA
Pathfinder N56993
www.AlexisParkInn.com
"Your Aviation Destination"

Jay Honeck wrote:

Outstanding! Our stupid airport commission and FBO would much rather
complain about the stuff (although, in fairness, they're pretty muted
about it) instead of jumping on board the band wagon, and installing
tanks/pumps. Lord knows they wouldn't want to actually make any money
selling fuel...

The thing about it is Jay, that spending the money on a new
tank farm/self service installation is a significant business
decision. As you know, in this day and age, its not as simple
as just slapping in a tank... you need containment, fancy
(and expensive) equipment and more inspections involved. You
should know about about all the government regulations (dare
we mention liabilities??) and that costs money.

They have to know that the system can pay for itself in a
reasonable amount of time and that the sales will justify
initial investment and continued maintenance headaches.
You are dealing with a customer base that is already pinching
pennies as it is....

Jay Honeck wrote:

Outstanding! Our stupid airport commission and FBO would much rather
complain about the stuff (although, in fairness, they're pretty muted
about it) instead of jumping on board the band wagon, and installing
tanks/pumps. Lord knows they wouldn't want to actually make any money
selling fuel...

So why don't you buy and install a tank and pump and sell the fuel
yourself. Iowa still allows competition don't they? I have a friend
who installed a 12,000 gallon tank at an airport near here and directly
competes against the full service FBO on the field. Because your field
takes FAA funds you are guaranteed to get it approved although the
process can be discouraging.

: So why don't you buy and install a tank and pump and sell the fuel
: yourself. Iowa still allows competition don't they? I have a friend
: who installed a 12,000 gallon tank at an airport near here and directly
: competes against the full service FBO on the field. Because your field
: takes FAA funds you are guaranteed to get it approved although the
: process can be discouraging.

What exactly are the rules on this? The airport authority here has a rather draconian set of rules WRT "taxes" they
impose on other potential FBO's who might want to sell fuel. I suspect the rules are contrary to what the feds say is
allowable (but then again, so are a lot of other rules they've imposed as well).

-Cory

--

************************************************** ***********************
* Cory Papenfuss, Ph.D., PPSEL-IA *
* Electrical Engineering *
* Virginia Polytechnic Institute and State University *
************************************************** ***********************

wrote:

: So why don't you buy and install a tank and pump and sell the fuel
: yourself. Iowa still allows competition don't they? I have a friend
: who installed a 12,000 gallon tank at an airport near here and directly
: competes against the full service FBO on the field. Because your field
: takes FAA funds you are guaranteed to get it approved although the
: process can be discouraging.

What exactly are the rules on this? The airport authority here has a rather draconian set of rules WRT "taxes" they
impose on other potential FBO's who might want to sell fuel. I suspect the rules are contrary to what the feds say is
allowable (but then again, so are a lot of other rules they've imposed as well).

You will have to do some research and get yourself educated. That
little airport near here tried to protect the FBO too because he and the
airport board president were buddies. It took about two years to get
the thing approved. They can't make you pay anything that the FBO
doesn't pay. Here the only fee is the flow tax, which is the same for
everybody. I believe it's a nickel a gallon. My buddy got the contract
for the college flight school on the field and as such he buys gas often
and at full tanker loads so he gets the best price. They probably have
$75K invested and the whole deal was paid for in about three years.
They are always priced well below the FBO, about 40-50 cents a gallon.

My buddy got the contract
for the college flight school on the field and as such he buys gas often
and at full tanker loads so he gets the best price. They probably have
$75K invested and the whole deal was paid for in about three years.
They are always priced well below the FBO, about 40-50 cents a gallon.

That is COOL.

One of the flight schools on our field just went belly up. Not much
to be made on fuel sales around here, I'm afraid...
--
Jay Honeck
Iowa City, IA
Pathfinder N56993
www.AlexisParkInn.com
"Your Aviation Destination"