Well as a fleet management solution it could be they way until something like this happens.

 NJ Transit bus terminal two bulk diesel fuel storage tanks gaskets went bad resulting in a 26,000 gallon spill of the fleet fuel. The result 26,000 gallons of diesel fuel spilling into a storm drain. All kinds of birds dying, potential water source containment and wildlife that might not be the same for a very long time.

The fuel savings for on the diesel fuel prices, well 26,000 gallons lost at $4.00 a gallon over $100,000. A spill cleanup that will amount into several millions of dollars.  People pointing fingers at each other. Mmmm would the NJ Transit bus been better buying diesel fuel with a fleet fuel card at a truck stop or local gas stations.  I am sure the button line on their fleet management would look better today if they did that.

Pressure on pump prices and possible fuel savings is sure to continue as long as there are issues in the Middle East. The Strait of Hormuz.

Analysts and motorists alike are certain to keep continued watching as their fuel card bills with continue to increase.

What will be the end game? It is anyone’s guess. A solid fuel management program will help keep commercial business spend more in line. As diesel fuel prices will try to eat at their companies profits.

The 2012 forecast matches last month’s outlook, and the projection for next year was DOE’s first for 2013.  It would be very good for the U.S. economy if they are correct about the diesel fuel pricing. 

Fleet fuel averaged $3.84 last year, and in its most recent weekly survey released Monday, DOE said. Diesel fuel prices rose 4.5 cents to $3.828 a gallon for a national average.  Fleet fueling first gain in seven weeks, that is a good thing.  It keeps diesel fuel cards a little less active.

Gas prices will average $3.48 per gallon this year — 4 cents below last year — and rise to $3.55 in 2013, the report said.  Again, good news for the economy because I think most Americans have become use to spending that for a gallon of gas.  If gas prices headed to $4.00 a gallon, there would be issues for consumers.

This week’s price survey had gas prices rising 8.3 cents to $3.382 per gallon and the price has gained more than 15 cents in three weeks of gains following higher oil prices.  I know I saw that when I used my fleet card at the pump the other day.  There was no fuel savings coming to me from the last time I filled up except the fuel card has a rebate program built in so I did have some fuel savings.  If I was a larger companies fleet manager, I am sure I would be sweating bullets waiting for my fleet cards invoice.  Of course with a good fuel management program, the fuel savings would be coming through on that fleet card or some other method.

Oil will average about $100 per barrel this year, up $5 from 2011. Benchmark U.S. crude will rise to $106 by the end of next year, assuming U.S. real gross domestic growth of 1.8% this year and 2.5% in 2013, the outlook said.

Oh yes, you can.  Whether the price was $4.71 a gallon or $2.09 or $3.92 a gallon, there was a profit margin that your fuel vendor made from your company.  The fuel vendors margin changes all of the time.  Would you like to have some control of a large spend like your fleet fueling?  What is a fair and reasonable margin that you should be charged?

That would depend on a lot of factors.  These would include how well do you understand diesel fuel prices? Who are your contacts in the fuel industry?  How large is your fleet of vehicles and how much diesel fuel are you buying?

If I told you that most vendors can make more margin from you when diesel fuel prices were low than when they are high would you believe me? The fact is if you are not watching the market, reviewing indexes, auditing fuel invoices your company wouldn’t know if it is pay a penny to much a gallon or 50 cents to much a gallon.  Really, would you know if the invoice is correct or if you believed you had a pricing deal that was over rack.  What is rack?  Is it the same rack every day?  Do you get that rack price?  So how do you know?  We do know and we know what information is important so you get the best deal, pay a consistent low margin and we manage it for you every step of the way.  From fuel audits, to price negotiations, overcharge credits and you don’t have to do a thing.  Why?

At Sokolis Group we become part of your fuel department.  Most companies can’t afford their own fuel department, heck most companies don’t have the time or expertise! We do and our clients love us for it because we save them thousands to tens of thousands of dollars per month in diesel fuel costs.  They get reports, that are very easy to read and summarized.  We even create new reports just for them because at the end of the day our clients, are our business. 

Have you ever dealt with a fuel card company or large oil company that sold you on bells and whistles.  Those bells and whistles are great if you can understand the reports they send you or they call you back in a timely fashion when you have an issue.  After all, every company is going to have some sort of issue, it’s how you handle it that separates the great companies that you want as your vendor from the mediocre ones.

Call now…we are waiting to help you 267-482-6155 or send an email to sales@sokolisgroup.com.

I pay no attention to that nonsense, and you shouldn’t either.  There are everyday things that consume our time, like spending time with family or enjoying life.  As everyone gets over their holiday hangover and settles in for yet another year, you may be ready to finally get a hold of your fuel program.  That’s where we come in.

In 2011 fuel savings was as tricky as ever.  Crude was at it’s highest in April, closing out at $114.13 on April 29^th.  We weren’t buying it here at Sokolis Group with the belief that this was not even a $100 market.  It eventually came down to a yearly low on October 3^rd at $76.97.  We advised some of our clients to buy then believing that it went too low!  It has since creped back up.  We finished out the year in a mid to high $90s.  A lot of that had to do with the tight supply in Europe andAsia.  TheU.S. has been a major exporter of diesel, more than ever before.

Luckily, there are ways to improve your program.  We have experts that spend all day every day looking at fuel purchases.  We know the industry and we have the resources to lower and control your diesel fuel prices.  GEICO has it right: a few minutes of your time could save you a lot of money.  But to save that money on your fuel program (not your insurance),  you have to take a moment to pick up the phone and give me a call Conor Proud at 267-482-6159  or drop me an email cproud@sokolisgroup.com.  Let’s talk about how Sokolis Group may be able to help you save money in 2012.

The national diesel fuel price average dipped 3.7 cents a gallon to $3.791 on Dec. 26, which followed a drop of 6.6 cents the prior week. All good for your fuel card so you don’t run up too big of numbers.

Diesel fuel prices since moving back above $4 a gallon during November, truckers fleet fueling has fallen a total of 21.9 cents over the past five weeks. However, the diesel fuel price average is still closed 2011 49.7 cents higher than it was at the end of 2010, according to DOE data. I guess know since we are in 2012 we will have to drop that 2010 comparison so each fleet manager doesn’t get stomach pains when they see the difference between the years.

Crude oil on the New York Mercantile Exchange also remained near the $100 a barrel mark as 2011 closed because of European financial uncertainty and political concerns in the Middle East, Bloomberg News reported.

Despite rising oil prices, Phil Flynn, a senior market analyst for Chicago futures brokerage PFGBest, told Transport Topics that diesel fuel prices were falling because unseasonably high temperatures have been allowing refineries to produce more diesel, rather than heating oil, from distillate stocks.  Now there is good news for each fleet manager and their fuel management.  It’s fuel savings on fleet fueling without having to work at it.  Count that as an earlier present because 2012 will be a rocky each for fleet management.

DOE’s Energy Information Administration also reported that total domestic distillate output was 4.4 million barrels a day for the week of Dec. 16, up from 3.24 million barrels a day the week of Nov. 25.

Despite the positive trend, trucking executives said they were remaining cautious on diesel fuel prices as 2012 began.  As well everyone should because fuel savings will be difficult to come by during the year unless you have a proper fuel management approach.

Look what happened in late December, oil rose for seven straight days — and briefly topped $101 a barrel — before declining on Dec. 28 after Europe’s Central Bank loaned cash to several financial institutions to keep credit flowing.

Besides concerns about Europe, Iran’s threats to close the Straits of Hormuz and political upheaval in Russia also were blamed for the fleet fuel price increases.

PFGBest’s Flynn noted that crude supplies at a three-year low in the United States, which also was keeping prices elevated.

See unlike most things crude oil and its little brothers gas prices and diesel fuel prices react to EVERYTHING that goes on in the world.  Now is the time to call Sokolis Group at 267-482-6159.  Don’t wait until $4.25 diesel fuel card costs.  Let us help you get your program running smooth now.

• Possible oil embargo talks against Iran
• North Korean leader is dead
• U.S. leaves Iraq

Any of these things going on at one time could make a fleet manager worry that pump prices will soon be taking off but all 3 at one time.  It might be time to review your guide to fuel savings or better yet the special guide to diesel fuel prices not going to $5. Yes, I said $5 a gallon.  I am not saying it’s going to happen but one never knows.

The thought of having and embargo against the #2 OPEC oil producer Iran is scary.  The U.S. is putting itself out there with many other countries and trusting countries that aren’t always the most trustworthy.  Let’s say these other OPEC and non OPEC countries can’t keep up with the daily production of Iran.  The laws of supply and demand will surely kick in as will your diesel fuel cards credit limits.

North Korea you remember these people, the ones that the war is still not over for the last 40 years.  Ok, maybe you remember them better as the country with nuclear weapons that always threaten to use them.  New leader coming into office since the other leader died.  What will that person be like; nice friendly or a crazy nut? Crazy nuts tend to make all world traded markets on edge.  Stocks tend to go down and oil prices well, look toward the sky because that is where your diesel fuel prices would be heading. 

It is great that the U.S. is finally able to leave Iraq.  Iraq couldn’t take care of themselves while we were there what is it going to be like now that we left.  Hold your guide to better fuel management or daily review of my fleet fueling costs.  If Iraq can’t control their country your fleet management skills will truly be coming into play.

Think about this.  What happens if we cut off Iran from selling fuel? Iraq can’t keep it together so Iran decides to mess with Iraq.  Scary?  Diesel fuel prices won’t be the only thing this fuel management guy will be thinking about.  

Let’s all hope that it’s a safe and happy new year and all of this stuff will go the right direct.  This way you can just call the Sokolis Group 267-482-6159 to help you lower your fueling costs.

Gas prices, meanwhile, rose for the first time in four weeks, gaining 1.2 cents to $3.436 a gallon, DOE said.

The diesel fuel prices jump — its biggest since a 10.2-cent leap on April 11 — left fleet fueling at its highest level since May 23.  Turning companies fleet managers to look for other fuel savings.

Diesel fuel, which took its first dip in a month last week with a half-cent decline, we are almost paying a dollar more for fleet fuel now than we did a year ago.

The diesel fuel prices average now tops $4 a gallon in two of five DOE regions, the West Coast and Rocky Mountains, while it also tops that level in the East Coast’s New England and Mid-Atlantic sub-regions. This trend will continue to hit your fuel cards and fuel savings.  The next several months look to be rocky when it comes to diesel fuel prices, the best way to ensure fuel savings as a fleet manager is taking a look at your fuel management.

California, which DOE breaks out separately but is included in the West Coast figures, posted the highest price, at $4.27 per gallon.

Oil prices, the main driver of end fuel prices, have jumped in the past three weeks, from the mid-$80s per barrel in mid-October to the high-$90s this month.

Crude futures finished the trading week Friday at $98.99 a barrel on the New York Mercantile Exchange, the highest closing price since July, Bloomberg reported.

Oil fell 85 cents Monday to finish at $98.14 per-barrel on the Nymex, Bloomberg said

The biggest problem for most fleet manager was making sure that they were going to be able to get fleet fueling for their vehicles and diesel fuel prices weren’t really going to matter as much as normal. 

We had staff last week calling our clients and emailing them updates on the storm.  The plan was to make sure fuel card systems worked, fleet fuel cards worked, backup generators were filled with diesel fuel price that wasn’t over the top but sometimes you have to take what you can get. 

During the weekend, our staff of fuel management experts was getting reports from several sources on the availability of fleet fueling at truck stop locations, card lock locations, power outages, mobile fueling companies.  They communicated this information to a fleet manager in the area with any problems. 

In these difficult fuel management situations, the companies that are best prepared and communicate the most are the ones that have the most positive impact on not have major fleet management and routing disruptions. As the storms begin to clear, it’s time to take stock of how good your fuel management program was during this critical time.  In the days to come, it’s time to get back to diesel fuel prices and fuel saving.  You can always call 267-482-6159 and we will help.

What could happen next?  I think we are going to see low to mid $80 a barrel for crude oil.  This will make all fuel managers happy because the pressure has been on those guys since diesel fuel prices started to increase.  Fuel savings over currrent levels should be enjoyed by all except the major oil companies.  It also is probably a good time to take a look at possibly hedging your diesel fuel price for the future.  Times might get good now but I don’t believe we will continue to enjoy lower fleet fueling prices for long.  Make sure your fuel manager is reviewing all details to put you in a winning position.  Your fuel management system should always be changing.

When was the last time your company reviewed its fleet fuel card, fuel cards, mobile fueling or fleet credit card.  If it hasn’t been in the last couple of months its time that someone in your company starts to look at this.  You need to be proactive and not reactive to fuel card changes, fleet fueling costs and fleet manager ideas.