Industry News

Non Road Locomotive Marine (NRLM)   

The Federal Government has mandated that sulfur levels in on road and off road diesel fuels be reduced as part of the Clean Air Act. The first step was the introduction of Ultra Low Sulfur Diesel (ULSD) fuel for on road use, which was introduced into our marketing area during the Summer/Fall of 2006.

The next step is the introduction of 500ppm Non Road Locomotive Marine (NRLM) fuel for off road use. This will replace the 2,000ppm High Sulfur Diesel (HSD) fuel currently used in off road, rail, and marine applications. Fuels used for heating purposes (i.e. home heating oil, boiler fuels, etc…) will still be allowed to contain a sulfur content greater than 500ppm.
We have provided some background information on NRLM below: .

• The United States Environmental Protection Agency (EPA) is requiring refiners and importers to produce/import 500ppm NRLM by June 1, 2007. Refiners and importers must produce/import 15ppm NRLM by June 1, 2010. By June 1, 2012 all NRLM produced/imported must meet the 15ppm specification. These dates are timed with new engine specifications for non-road equipment, effective with the 2011 model year.
• Inside the Northeast/Mid Atlantic (NE/MA) area, end users must convert to 500ppm NRLM by October 1, 2007. This means, if you use diesel fuel for off road equipment, locomotives or marine vessels within the NE/MA area, the fuel must contain less than 500ppm sulfur. The EPA has defined the NE/MA area to include North Carolina, Virginia, Maryland, Delaware, New Jersey, Connecticut, Rhode Island, Massachusetts, Vermont, New Hampshire, Maine, Washington D.C., New York, & Pennsylvania (Note: some counties in the far west portion of New York & Pennsylvania are excluded).
• Because of the extreme drop in sulfur content the industry estimates 3 to 4 tank draw downs to 10 - 20% level (current 2,000ppm fuel) and delivery of 500ppm NRLM will convert the tank to the required sulfur level.
• Pump/Tank labels are required and will be provided by PAPCO at the request of the customer. Example:
  
  LOW SULFUR NON-HIGHWAY DIESEL FUEL (500ppm Sulfur Maximum)
  WARNING - Federal law prohibits use in highway vehicles or engines.
  
  (Note: These labels should not be affixed to tanks/pumps until the inventory in the tank is below 500ppm. PAPCO recommends each tank owner sample their tank(s) and have an independent laboratory certify that the fuel meets the 500ppm specification prior to placing the NRLM decals on their tank(s). As a convenience, we have listed below the name and phone number of a 3rd party independent laboratory that can sample tanks and test for sulfur content.
  Intertek Caleb Brett – Newport News, VA – phone # (757) 873-0133
• Penalties for non-compliance may be up to $32,500 per violation, per day, plus economic benefit or savings.
• Every entity in the supply chain is required to maintain documentation records of delivery of NRLM for 5 years.
• Fuels used as heating oil may continue to contain up to 2,000ppm sulfur for the foreseeable future.

PAPCO expects to begin delivering 500ppm NRLM into your off road diesel tanks beginning sometime in August 2007. PAPCO delivery and billing paperwork will clearly indicate the product being delivered.

More information on NRLM can be found at our website www.papco.com. Should you have any questions or concerns regarding this information please do not hesitate to contact your PAPCO Account Manager.

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