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Hot fuel emerged as an issue Tuesday in the campaign for a U.S. Senate seat in Missouri.
Claire McCaskill, the Democratic candidate, said that as senator she would support requiring fuel retailers to install new or retrofit existing pumps to automatically adjust for temperature variation to prevent "hot fuel scams" from continuing.
She also criticized her opponent, Republican Sen. Jim Talent, for supporting tax credits and subsidies to the oil industry even as they are making record profits, saying in a statement that Congress "bends over backwards to protect" the energy industry.
"Clearly, someone needs to step forward and take up the cause," McCaskill said. "Now we find out that we're not even getting a gallon when we pay for a gallon."
A spokesman for Talent, who is a member of the Senate Energy Committee, did not return calls seeking comment.
McCaskill's comments were in response to a series in The Kansas City Star describing how gasoline and diesel retailers profit from selling fuel that is hotter than the 60-degree standard agreed to by the industry and government regulators nearly a century ago. The Star estimated that hot fuel was costing consumers in the United States about $2.3 billion annually at recent prices.
At the standard of 60 degrees, a 231-cubic-inch gallon of fuel delivers a certain amount of energy. At 90 degrees, however, the same gallon of fuel expands to more than 235 cubic inches. Because consumers are still buying 231-cubic-inch gallons, hot fuel forces them to spend more to obtain the same amount of energy.
The Star's series estimated that U.S. consumers overall are paying annually for an additional 760 million gallons of gasoline and diesel because of fuel being sold above the 60-degree standard. A study of 1,000 gas stations and truck stops in 48 states and the District of Columbia by the National Institute of Standards and Technology found that fuel is being sold at 64.7 degrees when averaged across the country and year-round.
In Kansas and Missouri, The Star estimated, consumers respectively pay an estimated $12 million and $15 million extra annually buying hot fuel.
In California, where consumers pay an estimated $500 million extra a year for hot fuel, the attorney general's office has launched an investigation of the issue.
The Star's series also described methods that could be used to address the hot fuel problem.
In Hawaii, for example, the state requires that retailers dispense 234 cubic inches per gallon to compensate for hot fuel.
In Canada, where cold, condensed fuel once cost retailers money, the industry has supported a voluntary program to retrofit pumps to automatically adjust volumes to account for temperature change. The Star estimated that such a technological fix would cost $1.4 billion to $1.9 billion in the U.S.
The American Petroleum Institute, which represents the oil industry, opposes temperature adjustment for retail sales of gasoline and diesel. The institute argues that it would cost too much to fix a "negligible" problem, and that consumers would be too confused by pumps that automatically adjust the volume of gasoline pumped to compensate for temperature changes.
Tyson Slocum, director of the energy program for Public Citizen, a consumer advocacy group based in Washington, said Tuesday that hot fuel probably would be an issue when Congress reconvenes after Labor Day. His group supports fixing the problem.
"It's clear that consumers need this," Slocum said. "We'll be raising it along with other issues."
U.S. Rep. Dennis Moore, a Democrat from Kansas, said in a statement Tuesday that Congress should take a hard look at legislation addressing the "hot fuel" problem.
"To me it's a simple matter of fairness," Moore said.
U.S. Rep. Russ Carnahan, a Democrat from Missouri, said pressure also needs to be exerted on state regulators who oversee the country's weights and measures standards.
"This is the first I've read about this," Carnahan said. "There needs to be a fix here."
"Clearly, someone needs to step forward and take up the cause. Now we find out that we're not even getting a gallon when we pay for a gallon."
To reach Steve Everly, call (816) 234-4455 or send e-mail to severly@kcstar.com.
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