Government Affairs Brief

ILTA is delighted to welcome Shell Pipeline Company LP as our newest terminal member! Shell is a proud midstream operator owning eight tank farms across the United States.

As Traci L. Johnson, PE was nearing the end of her freshman year at Tulane University in New Orleans where she was studying chemical engineering, she didn’t know how she was going to spend her summer, but she knew it involved getting a job.

“At a family gathering, I learned that an aunt worked at a company that ‘hired engineers,’” Johnson recalled. “Soon thereafter, I was hired as summer help at International-Matex Tank Terminals (IMTT) answering phones and filing papers in what used to be known as the Engineering and Environmental Department of the company—not exactly technical work, but it beat working as a cashier at the school bookstore!”

Thankfully, Johnson was eventually given the opportunity to do more technical work under the supervision of the Environmental Manager.

“At that point, I was hooked and never looked back.”

A global push for decarbonization of the aviation sector, which accounts for over 2% of global energy emissions, has led to a considerable increase in demand for sustainable aviation fuel (SAF). SAF is a “drop-in” liquid hydrocarbon fuel made from renewable or waste resources which has lower greenhouse gas emissions than petroleum-based jet fuels and can be used in existing airplanes and engines.  Just last month Boeing announced that it will purchase 5.6 million gallons of SAF in 2023. To put this purchase in perspective, it is equivalent to 25% of all jet fuel used by Boeing in 2022. Similarly, United Airlines, along with 5 corporate partners, announced the creation of a venture capital fund focused on SAF production, accompanied by an initial $100 million investment. In response to the goal set by the Sustainable Aviation Fuel Grand Challenge (launched by the DOE, DOT, and USDA) of supplying enough SAF to meet 100% of aviation fuel demand by 2050, the Federal Government has also moved to increase SAF supply through several measures, including the creation of a SAF-specific tax credit in the Inflation Reduction Act of 2022. All of these efforts feed into a market trend that present an opportunity for liquid terminals.

ILTA’s Board of Directors convened in Washington D.C. March 1-3 for the yearly spring Board meeting. After a successful Hill Day on March 1, the Board and ILTA staff held internal meetings on March 2 and 3 over organizational operations, finances, the annual Conference & Trade Show, and beyond.

ILTA’s Board of Directors and staff held an advocacy-filled day on Capitol Hill on March 1. The Hill Day (or Fly-in) focused on three main objectives: (1) Raising ILTA’s profile with elected officials; (2) Discussing the impact of Per- and Polyfluoroalkyl substances (PFAS) in firefighting foams at liquid terminals; and (3) urging Congress to support final action on the U.S. Department of Homeland Security’s (DHS) 2016 Chemical Facilities Anti-Terrorism Standards (CFATS) gasoline mixture guidance.