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PECO Pursues Three-Prong Strategy To Deal With Rising Fuel Costs

Thus far, PECO has reduced its total fuel consumption by nearly 14,000 gallons as compared with last year at this time with an ultimate goal of a five percent reduction. PECO's fleet used over 1.4 million gallons of fuel last year.
by Staff Writers
Philadelphia PA (SPX) Jul 15, 2008
With more than 1,200 vehicles on the road across the Greater Philadelphia region, PECO said it is pursuing a three-prong strategy to deal with spiraling fuel costs. Through June, the utility said its fuel costs are more than $400,000 more than it planned for the year and expects to spend more than $7 million, or 26 percent, for fuel for the year.

Bill Flemming, PECO fleet services manager, said the utility hopes to use new technology to reduce its driving mileage, educate employees about the need to cut back on engine idling, and expand its use of alternative vehicles.

Flemming said the strategy would have a duel benefit - decreasing both fuel consumption and associated costs and reducing the company's greenhouse gas emissions from vehicles. GHG emissions are known to contribute to global warming.

Like so many motorists, PECO said its price for both gasoline and diesel fuel has increased by more than a dollar per gallon since its budget was drafted for this year. As spending for fuel increases, it impacts overall operating costs.

Flemming said PECO's use of mobile data terminals in some fleet vehicles and GPS technology used by field personnel will allow for more efficient dispatching of the utility's electric and gas crews. Presently, about 100 PECO vehicles have mobile dispatch with more units to be equipped later this year and during 2009.

Thus far, PECO has reduced its total fuel consumption by nearly 14,000 gallons as compared with last year at this time with an ultimate goal of a five percent reduction. PECO's fleet used over 1.4 million gallons of fuel last year.

Secondly, Flemming said he is aggressively implementing an anti-idling campaign, educating employees on the impact of unnecessary idling for extended periods of time both on fuel costs and emissions.

Oftentimes, crews remain at a single location for an extended time as work is coordinated with system dispatchers, paper work is completed, and the next job assignment is received.

PECO's fleet services group also will be looking to expand its use of alternative vehicles. PECO now has 44 hybrid electric Ford Escapes and a demonstration hybrid electric utility lift truck. Since their introduction to the fleet in June 2005, the Escapes have logged more than 1.5 million miles with an average fuel economy of 25.8 miles per gallons.

"This is much better than their older counterparts, and we are very pleased with their performance. The hybrids and our reduced mileage overall cuts our fuel costs and greenhouse gas emissions," Flemming said.

PECO also uses bio diesel fuel for its 250 lift bucket trucks used by its electric line mechanics, which it introduced to the fleet last fall.

The company started using soy based bio diesel but switched to a blend that recycles fry grease and animal tallow at a reduced incremental cost for the bio diesel fuel. Despite higher costs, PECO has made a companywide commitment to reduce its fleet and other sources of greenhouse gas emissions.

PECO fleet facts:

- 1,350 total vehicles, including SUVs, utility trucks, and bucket trucks.

- 11.5 million miles driven in 2007,

- fleet includes compressed natural gas vehicles, hybrid electrics, bio diesel fueled trucks, and traditional gasoline powered vehicles,

- $5.6 million fuel budget in 2007, anticipates in $7 million in costs this year goals: reduce fuel consumption by 5 percent, reduce unnecessary idling, expand alternative vehicle use

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