United States
                                      Environmental
                                      Protection Agency
                                                  Office of Enforcement
                                                  and Compliance
                                                  Assurance (2201 A)
                                         EPA 325-F-07-001
      \
SJ       Enforcement   Alert
       Volume 9, Number 2
                                Office of Civil Enforcement
                                             July 2007
  EPA Enforcing Diesel Fuel Pump Label Requirements
 Hundreds of Ultra-Low Sulfur Diesel Pump Label Violations Documented
   The quality of the air we breathe has
improved tremendously in the 20 years
since the Clean Air Act became law. Yet
problems remain, including the amount of
sulfur particulates emitted in exhaust from
diesel vehicles.  This air pollutant helps
trigger serious respiratory illness and ag-
gravates existing heart disease.

   EPA's Clean Diesel Program is the
Agency's most ambitious strategy to date
to reduce air pollution from diesel ve-
hicles, pairing cleaner fuel with new en-
gine technology. Central to this program
is the requirement that ultra-low sulfur die-
sel (ULSD) fuel be used for model year
2007 and newer diesel vehicles. A limited
volume of low sulfur diesel (LSD) can also
be produced until 2010.

   Refiners, pipelines, terminals and dis-
tributors have been very successful in
producing  and transporting both diesel
fuels to retail stations. This now makes
proper pump labeling critical. To prevent
damage to their vehicles from the wrong
fuel, operators of 2007 diesel vehicles must
be  able to identify pumps dispensing
ULSD. If LSD is used in a 2007 diesel
vehicle, the emission of harmful gases can
increase significantly and the emission
control equipment can be permanently
damaged.  Unfortunately, a significant
portion of retailers receiving and selling
ULSD have not properly labeled their
pumps as dispensing ULSD.

   The ULSD regulations prohibit retail-
ers from selling diesel fuel from pumps
that are unlabeled or are improperly la-
beled. As a result, EPA has sent warning
letters and Notices of Violation, with pen-
alties, to hundreds of retailers found to
have violated the ULSD pump labeling re-
quirements.
                              T
This  Enforcement  Alert
provides  information about
ultra-low sulfur diesel pump
labeling   requirements,
describes   pump  labeling
violations  that have  been
found and explains EPA's
enforcement  response.
                               ULTRA-LOW SULFUR
                              HIGHWAY DIESEL FUEL
                               (15 ppm Sulfur Maximum)
                              Required tor use in all model year
                                2007 and later highway diesel
                                   vehicles and engines.

                              Recommended for use in all diesel
                                   vehicles and engines.
                               Sample Pump Label


                            Ultra-Low Sulfur Diesel Regulations
                              Under the Clean Diesel Program, new
                            diesel engines must be equipped with sul-
                            fur-sensitive emissions control technolo-
                            gies that require diesel fuel with signifi-
                            cantly reduced sulfur levels to function
                            properly. The sulfur limit for ULSD is 15
                            parts per million (ppm), while the sulfur
                            limit for traditional highway diesel fuel.
                            LSD, is 500 ppm.

                              To prevent misfueling of 2007 diesel
                            vehicles, ULSD regulations require high-
                            way diesel pumps be labeled to inform the
                            user of the type of diesel fuel (ULSD or
                            LSD) being dispensed.
Refiners are Producing ULSD,
But Many Retail Pumps are Not
Properly Labeled
   Since June 2006, about 90 percent of
the highway  diesel fuel produced has
been ULSD. As a result, about 90 percent
of the highway diesel pumps at retail sta-
tions  should have been labeled as dis-
pensing ULSD. However, a significant
portion of the retail stations that have re-
ceived ULSD do not have pumps that are
properly labeled. Through December 2006.
22 percent of the pumps that were dis-
pensing ULSD were incorrectly labeled as
LSD pumps.  An additional 9 percent of
the pumps were not labeled as  either
ULSD or LSD pumps, even though most
of these were dispensing ULSD.

Some Operators of ULSD Vehicles
Are Unable To Find ULSD-Labeled Pumps

   Many operators of 2007 diesel cars
and trucks are complaining that they can-
not locate stations with diesel pumps that
are labeled ULSD. This is of significant
concern to motor vehicle operators and
EPA because 2007 and newer diesel-pow-
ered highway trucks are designed to op-
erate only with ULSD fuel. Use of other
diesel fuel can result in serious problems
for the vehicle. In addition, it is illegal to
fuel a ULSD vehicle from a pump that is
not labeled as dispensing ULSD.

   The difficulty in locating ULSD-la-
beled pumps is largely the result of ULSD
pump labeling violations.

Retailer Pump Labeling Requirements
   Pump labeling as ULSD orLSD, as ap-
propriate, is required for all highway die-
sel pumps at retail stations and fleet fuel-
ing facilities.  In addition, pumps used to
dispense diesel fuel for use in non-high-
                 http:/Awww.epa.gov/compliance/resources/newsletters/civil/enfalert/index.html

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                                                Enforcement Alert
way equipment, such as construction or
farming equipment, must be properly la-
beled as such.
   Diesel pump labels must be affixed in
a conspicuous manner, must be of a color
that contrasts with the pump and must be
printedwithaminimumprint-size. Sources
of information about the specific diesel
pump labeling requirements and copies
of compliant labels can be found in the
Compliance Assistance section of this En-
forcement Alert.

Product Transfer Documents
   The ULSD regulations  require  that
each transfer of diesel fuel  must be ac-
companied by documents (product trans-
fer documents) that identify the type of
fuel product being transferred.  This ap-
plies to transfers from a terminal to a truck
distributor, and transfers from the truck
distributor to a retailer or fleet fueling fa-
cility.
   Information obtained by EPA shows
old or confusing product transfer docu-
ments are causing unintended reclassifi-
cation of ULSD as LSD. For example.
some product transfer documents iden-
tify the product as being both ULSD and
LSD. Another example is a truck distribu-
tor using old pre-printed product transfer
documents that do not include a category
for ULSD, so that all diesel fuel is classi-
fied as LSD even when ULSD was ob-
tained at the terminal. In both of these
examples, the product transfer documents
provided to the retailer do not clearly iden-
tify the diesel fuel as being ULSD, as is
required by the regulations.

   Terminal operators should ensure their
product transfer documents clearly  and
unambiguously identify ULSD they dis-
tribute. Truck distributors should ensure
that all ULSD received from a terminal is
clearly identified as ULSD on the product
transfer documents provided to the re-
tailer, unless the distributor believes the
diesel fuel has become contaminated.

 EPA Enforcement of ULSD Regulations
   EPA normally initiates  an enforce-
ment action when violations of the
ULSD requirements are found. Penalties
for violations of the ULSD regulations are
a maximum of $32,500 per day plus the eco-
nomic  benefit  obtained  by   non-
complianced. Over 300 violations of the
ULSD pump labeling  requirements have
been documented at retail stations since
October 2006. During the initial months of
the program, EPA sent warning letters to
about 150 of the operators of these retail
stations found with diesel pump label vio-
lations.
   EPA now is issuing Notice of Violation
letters, with  penalties,  to the operators of
stations found with ULSD pump label vio-
lations. Over 100 NO Vs have been issued
for ULSD pump label violations.

Compliance Assistance
   EPA is committed to providing compli-
ance assistance and  outreach to the regu-
lated community so that the public and the
environment can be protected from the
harmful health effects  of emissions from
diesel engines.  Information about the
ULSD pump labeling requirements, and the
Clean Diesel program generally, can be
found at: www.epa.gov/ cleandiesel and
www.clean-diesel.org.
   For more information on the health ef-
fects of common air pollutants from cars
and other sources, visit www.epa. gov/oar/
urbanair.

EPA's Air Enforcement Office
   ErvPickell  (303)236-9506
   pickell.erv(@,epa.gov
   JohnConnell (303)236-9507
   connell.iohn(@,epa.gov
    Disclaimer: This document attempts to
   clarify in plain language some EPA
   provisions. Nothing in this Enforcement
   Alert revises or replaces any regulatory
   provision in the cited part, any other part
   of the Code of Federal Regulations, the
   Federal Register, or the Clean Water Act,
   as amended. For more information  go to:
   www.epa.gov/compliance
Enforcement
Alert
Enforcement Alert is published
periodically by EPA's Office of
Enforcement and Compliance
Assurance, Office of Civil
Enforcement, to inform the public and
regulated community about
environmental enforcement issues,
trendsand significantenforcement
actions.

This information should help the
regulated community avoid violations
of federal environmental law.
Please reproduce and share this
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Director, Office of Civil Enforcement:
Walker B. Smith

Editor, Office of Civil Enforcement:
Melissa Page Marshall

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Document Number:
EPA325-F-07-001
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 reporting potential
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 www.eDa.gov/coniDliance

July 2007

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