States Continue to Declare States of Emergency as Sandy Approaches; Northeast Refineries Shut Down

October 29, 2012

A total of six states and the District of Columbia now have declared states of emergency in anticipation of Hurricane Sandy: New York, New Jersey, New Hampshire and Delaware now have joined Maryland and Virginia, which declared states of emergency early last Friday.

In many states, the declaration of a state of emergency automatically triggers price gouging laws and waives Federal hours-of-service (HOS) requirements for commercial vehicles transporting emergency equipment, supplies or personnel.

In addition, nearly 70 percent of the East Coast’s refining capacity shut down on Monday morning ahead of Hurricane Sandy, bracing for power outages and flooding, according toReuters.  Hurricane Sandy was expected to make landfall today near Delaware.

Philadelphia Energy Solutions closed key units at its 330,000 barrel-per-day (bpd) Philadelphia refinery, the biggest in the region, according to Reuters.

Hess Corp said it was closing its 70,000-bpd refinery in Port Reading, N.J.; and PBF Energy's 180,000-bpd Paulsboro plant in southern New Jersey was also closing.

An additional Bayway, N.J., refinery, which operator Phillips 66 and produces 238,000 barrels per day, began shutting on Sunday evening.

Gov. Dannel P. Malloy has asked a task force preparing for Hurricane Sandy to ensure that fuel suppliers are fully supplied in Connecticut to avoid shortages.

Eugene A. Guilford Jr., president of the Independent Connecticut Petroleum Association, says 1 million drivers arrived at 1,400 gas stations within a few days of the storm. That number is about three times the normal demand, creating inevitable spot shortages in Connecticut, he said. However, running out of fuel will be temporary, with gas stations resupplied each day.

Shortages have also been reported in Massachusetts and New Jersey.

NATSO's Virginia office is currently closed. However, NATSO staff will continue working remotely to provide updates as long as we are able to do so.

 

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