Case Studies: Patterson Fuels
Jason Harvey
Patterson Fuels
Richmond, Vermont
When Moe Harvey (Jason Harvey's father) opened Patterson Fuels in 1973, he had one truck and thirty customers in Colchester, VT. In the 32 years since then, the company has purchased four oil businesses and one propane company, and distributes fuel to 6,000 customers in all of Chittenden and part of Addison counties. Jason is Vice President and oversees much of the business.
Jason began researching biodiesel in 2004, but had many questions about it until he attended the June 2005 Vermont Biodiesel conference at the Vermont Law School. He came away from that conference convinced there was a growing market demand for biodiesel that Patterson Fuels could meet. He immediately followed up on contacts with suppliers, and made arrangements to purchase his first load of biodiesel. Advertising was established as soon as Patterson set up two B20 retail pumps in Chittenden County. Drivers where not initially informed when seven delivery trucks in the fleet were switched over to B20 fuel. The idea was to avoid any preconceived notions the drivers might have about it, and to obtain objective results about performance in those vehicles. There were no detectable changes in any of the trucks.
Patterson Fuels now has a 10,000-gallon tank for storing B20. Currently there are two steps to the pick up in Albany; the first is receiving a measured amount of biodiesel (into an empty transport truck), the second is topping it off with petrodiesel to arrive at a B20 mix. The product is splash blended on the return trip to Richmond. Jason has also been getting B100 and storing it in a 1,500 gallon tank in the garage, which is heated in winter. He notes the need for heated warehouse facilities in Vermont where B100 could be stored in large quantities.
Patterson Fuels is now selling B20 at two filling stations in Chittenden County. It also delivers B20 for farm or other off-road use, and plans to deliver B100 in the warm months. At first there was some experimentation with different blend levels but the company decided to stick with B20. A plan is in the works to deliver B20 for residential heating during winter 2005-2006. An advertising campaign in the area was launched followed by an immediate spike in the number of customers asking for it. As Jason sees it, all of these steps align and position Patterson to become a major distributor of biodiesel in the area. "We're putting our name and reputation to it," he adds. Over the next 12 months, if things continue in the direction they're heading, Patterson plans to put its entire fleet on B20 and projects sales of 100,000 gallons of B20 in its first year.
In regards to the volume of petroleum being used around the world, Jason says, "It's going to come to an end eventually; biodiesel just feels right, we can produce it in the U.S. and support our farmers at the same time." His concern about the many repercussions of this country's reliance on foreign sources of oil is a significant motivating factor for him, and he's pleased to offer a positive alternative. Though it will certainly be good for the business name, equally important to Jason is the excitement and satisfaction he feels about being on the leading edge of bringing renewable fuels into the industry.
Jason says that the experience has been entirely positive so far and enjoys talking about it widely with friends and associates. Jason has recently been a regular contributor to the online forum, BiodieselNow.com, where he is known as "Oil Man Gone Green." He's looking forward to more workshops and would like to see one specifically for distributors.