Saturday, November 29, 2014
Tesoro Corp. (San Antonio, Texas) has released a plan for a cap-and-trade assessment line item on all invoices for LPG sales in an effort to provide greater transparency, reports the Western Propane Gas Association. The amount will be linked to the prior-day OPIS California cap-at-the-rack assessment.
Beginning Jan. 1, the California cap-and-trade program, which previously targeted only large emitters such as refineries, will extend to the sale of highway fuels. Tesoro spokeswoman Elizabeth Watters said, “Consistent with our handling of other taxes, fees, and assessments, Tesoro will reflect the cost of compliance with the new phase of California’s AB 32 cap-and-trade regulation effective Jan. 1, 2015, as a separate line item on all California invoices for gasoline, diesel, and LPG sales, whether rack or dealer invoices.”
Watters added, “This was shared most recently during Tesoro’s quarterly earnings conference call with analysts. Tesoro believes this approach to compliance is the most transparent to our customers and consistent with the intended effect of the regulation.”
Beginning Jan. 1, the California cap-and-trade program, which previously targeted only large emitters such as refineries, will extend to the sale of highway fuels. Tesoro spokeswoman Elizabeth Watters said, “Consistent with our handling of other taxes, fees, and assessments, Tesoro will reflect the cost of compliance with the new phase of California’s AB 32 cap-and-trade regulation effective Jan. 1, 2015, as a separate line item on all California invoices for gasoline, diesel, and LPG sales, whether rack or dealer invoices.”
Watters added, “This was shared most recently during Tesoro’s quarterly earnings conference call with analysts. Tesoro believes this approach to compliance is the most transparent to our customers and consistent with the intended effect of the regulation.”
