About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

RCED-94-276R 1 (1994-08-24)

handle is hein.gao/gaobackqk0001 and id is 1 raw text is: (3 United States JG k) General Accounting Office Washington, D.C. 20548 Resources, Community, and Economic Development Division B-257955 August 24, 1994 The Honorable Peter W. Barca House of Representatives Dear Mr. Barca: This responds to your March 10, 1994, request that we provide you with information on a recent Environmental Protection Agency (EPA) requirement that trucks use low- sulphur diesel fuel instead of high-sulphur diesel fuel and on whether the requirement leads to a difference in fuel costs that affects the competitiveness of trucks with railroads, which were not covered by the new EPA requirement. In summary, as part of the Clean Air Act, EPA promulgated a requirement that low-sulphur diesel fuel be used on highways to comply with stricter emissions standards for diesel engines. Concerns were raised by the trucking industry that the expected price difference between low-sulphur and high-sulphur diesel fuel would cause trucking rates to increase and cause traffic to be diverted from trucks to rail. However, EPA proceeded with the requirement after finding in a number of studies that the use of low-sulphur fuel might increase engine life and that a small difference in fuel prices would not compromise the competitiveness of truck transportation. In October 1993, the month that the new EPA requirement took effect, the price of highway diesel fuel, required to be low-sulphur, began to rise. In most areas of the country, the price per gallon of truck diesel fuel quickly rose approximately 11 percent, and in a few places the price rose considerably more. Factors that contributed to the sudden increase included the scarcity of the new low- sulphur fuel as refiners switched over to meet the new demand. This scarcity was exacerbated by a pipeline rupture in the Midwest and additional regulations imposed on fuel sold in California. However, since that time, the average price of highway diesel fuel, all of which is now low-sulphur, has decreased and has stabilized at approximately the same level as prior to the imposition of GAO/RCED-94-276R, Highway Diesel Fuel Prices

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most