What is Mobile Fueling?
As a technical matter any fuel delivery that you receive at your property as opposed to off-site at a cardlock or gas station could be referred to as mobile fueling because it is delivered by a fuel truck that is mobile. However, the term “mobile fueling” is a term of art in the fuel business that generally refers to direct truck-to-truck or truck-to equipment refueling as opposed to delivery into a bulk fuel tank on-site.
The Benefits of Mobile Fueling
Most fleet operators, both truck fleets and construction companies, recognize that fuel is one of the largest line items on their profit and loss statement, usually the second largest expense behind only labor expense. Insofar as fuel and labor are two of your largest expenses, it’s worth reflecting on ways to reduce your overall cost of fueling your vehicles or equipment.
One way to drive down your REAL COST OF FUEL is to use mobile fueling as your method of fuel delivery. With mobile fueling, you will reduce the labor time associated with fueling your vehicles or equipment and thereby reduce your real cost of fuel. Furthermore, anyone who operates a fleet of commercial vehicles understands that Department of Transportation Hours of Service Regulations severely limit how you can utilize your drivers. If they spend even half an hour each day performing the unproductive task of fueling vehicles rather than delivering your product or service or operating your machinery, you are going to put yourself in a situation where you will limit your flexibility as to who can work and/or pay overtime to other drivers who still have hours available under DOT guidelines. Every minute is precious, and there’s little point wasting precious time on the unproductive and unprofitable task of fueling your vehicles or equipment – not when there is a read- made alternative; mobile fueling.
With mobile refueling, also sometimes called fleet fueling, truck-to-truck fueling, direct fueling, wet hosing, touch fueling or on-site fueling, you get a number of benefits versus sending your drivers to gas stations or cardlocks:
- Reduce labor expense, which usually equates to about $.40 per gallon in cost;
- Increase productivity
- Reduce DOT hours of service compliance headaches
- Reduce fuel theft
- Reduce maintenance expense, DEF consumption, wear and tear on your vehicles or equipment
- Improve data gathering, which assists in IFTA fuel tax reporting
- Eliminate capital expense and liability associated with maintaining on-site storage
- Reduce carbon emissions by reducing idling time and driving back and forth to card-locks
- Reduce fuel costs by using off-road diesel in reefers and other off-road equipment
- Reduce capex because you can make more deliveries from each truck with the time saved
Simply stated, mobile fueling results in reduced expenses, improved efficiency and administrative benefits.
The Economics of Mobile Fueling
Mobile fueling is less expensive than self fueling at a card lock or gas station. Depending on what your fuel supplier is charging you for diesel fuel, off-road diesel fuel or gasoline, the fuel itself may be cheaper when we deliver fuel to you via mobile on-site fueling. But even assuming for the sake of argument that the fuel price was the same, or even $.05 or $.10 per gallon higher, you would save money with mobile fueling. This is because the REAL COST OF FUEL, includes the labor cost associated with fueling your own vehicles, among other factors. To learn more about how the REAL COST OF FUEL is calculated, we invite you to learn more about mobile fueling, also known as wet hosing. You will see that the average cost of labor equates to around $.40 per gallon. Don’t believe it? Ask yourself why FedEx, Yellow Freight, Coca Cola, Pepsi, Brinks, Sysco, the United States Postal Service and virtually all major transportation, distribution and logistics companies use mobile fueling for some or all of their overall fueling requirements. Those companies have sophisticated fuel purchasing departments and they are logistics experts. They have determined that the economics of mobile fueling are compelling. You would save money too. Ask us how by contacting us.