Gaining an Edge with Bioheat® Blended Fuel

Hart Home Comfort has evolved many times over its history. One of its more recent changes is blending heating oil with biodiesel to take advantage of the economic and environmental benefits. 

The Biodiesel Difference

Hart Home Comfort has come a long way from operating a fledgling company in the back of a gas station. Through a blend of patience and industry expertise, Ray Hart Sr. has evolved his business into a leading heating oil company in the country’s largest metropolis — New York City.

Hart was introduced to the heating oil business through part-time COD deliveries. Purchasing a terminal on Long Island then provided an avenue for him into the transportation market.

In 2006, an employee recommended that Hart Home Comfort explore biodiesel. Capitalizing on his existing infrastructure, Hart moved ahead and has never looked back. For heating oil customers, the company began by offering Bioheat® blended fuel, which is a blend of heating oil and biodiesel. Hart Home Comfort started with a B2 blend before quickly moving up to B20. 

“When we started, we were attracted by biodiesel being an American-made fuel. We also felt we had a responsibility to future generations to be proactive in delivering a cleaner fuel for the environment,” Hart says. “Now, Bioheat® also gives us an economic advantage.” 

It also gives their customers an economic advantage in the form of a New York state tax credit. That credit returns to the customer 1 cent for every 1 percent of biodiesel per gallon blended into traditional heating oil. 

“Claiming the tax credit is a very easy process for our customers, and it gives them another reason to embrace Bioheat® blended fuel in addition to the environmental and performance benefits,” Hart says.

Hart Home Comfort only offers Bioheat® blended fuel. From April 2017 to April 2018, the company sold over 8 million gallons, with more than 2 million gallons of that being biodiesel. Its New Hyde Park terminal thru-puts approximately 13 million to 15 million gallons of heating oil annually and another 4 million to 5 million gallons of biodiesel.

“We want to market a good, reliable Bioheat® blended fuel product,” Hart says. “With the introduction of low-sulfur heating oil and the near-zero sulfur content of biodiesel, it gives us a really good marketing edge.”   

The Bottom Line

Economics

Bioheat® blended fuel gives the company a financial advantage

Business

Improved customer satisfaction thanks to:

  • The state tax credit, which puts money back in customers' pockets
  • Offering a cleaner burning fuel

Sustainability Trend Driving Business to Carrier

Biodiesel helps G&D Integrated attract customers as more companies adopt environmental goals.

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G&D Integrated has found that sustainability is not only about its own goals but also what it can do to meet its customers’ goals to be environmentally friendly.

“We’ve noticed that there are more and more customers asking us to participate in their sustainability efforts,” says Vince Buonassi, group manager of transportation programs at the for-hire carrier. “We’ve actually been awarded freight based on our biodiesel usage.”

Those customers are found worldwide and do business in heavy equipment manufacturing and parts fulfillment, agricultural machinery, automotive parts and components, food containers and food packaging. 

Located in central Illinois, G&D Integrated’s services include transportation, warehousing, and distribution and logistics.  On the transportation side, it offers point-to-point hauling, dedicated contract carriage, ocean container drayage and freight brokerage.

Its fleet of 430 vehicles travels up to 26 million miles annually.  The diesel-powered units run year-round on a blend of 20 percent biodiesel and 80 percent petroleum diesel, which is known as B20.

Biodiesel has been key not only in the company’s sustainability efforts but also in growing its business. For instance, biodiesel usage is showing up in some RFPs and, Buonassi says, has been “directly related” to the company winning bids. It also has helped G&D Integrated strengthen its relationship with East Coast ports that want to reduce their carbon footprint.

“Many of our customers analyze their entire supply chain for environmental impact, and some have even gone as far as incorporating sustainability into their purchasing departments,” he says.

 

Significant carbon reduction.

The reduction in carbon dioxide emissions from G&D’s use of biodiesel is equal to nearly 230,000 fewer gallons of gasoline consumed each year. Particulate matter is reduced 2,854 pounds annually. The numbers come from the B20 Club, a program from the Illinois Soybean Association and the American Lung Association.

“We’re talking a material difference here,” Buonassi says.

G&D Integrated started using biodiesel several years ago after its fuel supplier, Ag-Land FS Inc., introduced the company to the fuel.

“They were claiming that this product would not only cost us less money but would not result in any efficiency losses,” Buonassi says.

He has found that to be true and says biodiesel has not caused G&D Integrated to increase its rates.

Fuel that performs.

G&D Integrated started with a B11 blend before quickly moving up to B20. Each time, it rigorously tested the fuel.

“What we observed was there was absolutely zero degradation in performance,” Buonassi says.

In fact, biodiesel added lubricity. It’s also performed well in cold weather.

Buonassi credits partnering with a quality vendor like Ag-Land FS to getting a good product. The fuel comes from REG.

“A company like REG has production facilities that make top-of-the-line, quality-controlled biodiesel,” he says.  “And they’re sourcing different forms of feedstock that go through testing before being converted to the end product.” It’s an end product that Buonassi credits with helping G&D Integrated stay ahead of the curve.

“There’s really no sense in fighting the tide of sustainability,” he says. “A lot of other truck carriers will. At G&D, we feel it is our duty to be good environmental custodians, and it makes business sense for us.”

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