MIAMI, Fla. - The retail fuels market continues to undergo massive changes ?" declining gasoline sales volume, growth in alternative fuels and vehicles, government regulations, to name a few. In between the evolving consumer demand and the shifting legislative landscape are convenience retailers, which sell 80% of the fuels in the nation and rely upon fuel for roughly three-quarters of their gross revenue dollars. Fuel is also an important driver of in-store traffic.
Convenience retailers are more connected to the consumer, with more skin in the game concerning the future of the fuels market than any other stakeholder. As the logical conduit between policy and consumers, NACS has created a non-profit, research-oriented think tank dedicated to evaluating the market issues related to consumer vehicles and the fuels that power them: The Fuels Institute.
NACS Vice President of Government Relations John Eichberger, who will serve as executive director of The Fuels Institute, announced the formation of independent think tank during the Future of Fuels General Session yesterday at the NACS Leadership Forum.
"We need to create a market in which consumers can safely, conveniently and affordably purchase the fuels that they desire," said Eichberger. "Unfortunately, decisions that affect the market are being made in a vacuum, without coordination among the affected stakeholders. The Fuels Institute will rectify this problem by incorporating the perspective of diverse interests, identifying the challenges facing market innovation and delivering fact-based answers to business owners and policymakers."
The Fuels Institute will be managed by NACS. Its governing structure will incorporate a diverse set of stakeholders including, but not limited to, fuel retailers, fuel producers and refiners, alternative and renewable fuel producers, automobile manufacturers, environmental advocates, consumer organizations, academics, government entities and others with expertise in the fuels and automotive industries. Bill Douglass, managing partner of Sherman, Texas-based W. Douglass Ltd. and 2004-05 NACS chairman, will serve as its inaugural chairman.
The Fuels Institute will commission and publish comprehensive, fact-based research projects that address the issues identified by the affected stakeholders. These projects will help to inform both business owners considering long-term investment decisions and policymakers considering legislation and regulations affecting the market.
"This year marks the 100th anniversary of the first purpose-built fueling station," noted Eichberger. "It is our goal that The Fuels Institute, by cutting through the political rhetoric, fostering a collaborative environment and delivering fact-based, credible analysis, will play a huge role in shaping an economically and environmentally sustainable U.S. transportation fuels system for the next 100 years."
The Fuels Institute will engage interested stakeholders in a variety of ways ?" either as official voting members of the organization or as affiliated participants. companies interested in participating in The Fuels Institute have options depending upon the level of financial commitment they wish to make. Details regarding contribution levels and benefits, as well as the research process and current members of the Board of Directors and Board of advisors are available online at fuelsinstitute.org or contact John Eichberger, executive director, at jeichberger@fuelsinstitute.org or (703) 518-7970.