These days, it seems that a majority of trucking news is doom and gloom. Higher diesel prices and tighter regulations are strangling the industry and the drivers. Drivers in California will soon see that crunch get even tighter.
“Californians could face even higher gasoline and diesel costs when new low carbon fuel regulations gain traction Jan. 1, warn fuel experts at the Oil Price Information Service, which says studies show price hikes of as much as $1 per gallon for gasoline and $2 per gallon for diesel could be on the way,” Trucking Info reported.
The expected hike can be blamed on the California Low Carbon Fuel Standard which proposes to cut cut greenhouse-gas producing emissions in fuel by 10%.
To reach this goal, a cap will be placed on the carbon emissions released from fuel that can be sold in the state.
“Alternative fuels such ethanol or biodiesel are assigned Carbon Intensity (CI) scores based on the amount of carbon dioxide they pout out. Fuels that fall below CARBs cap generate credits and those who have a CI higher than the cap generate a deficit,” Trucking Info reported.
To read more about the projected fuel hike and who may benefit from the cap, follow this link to Trucking Info.
Sign up for the CDLLife Newsletter
Subscribe to our mailing list and get today's top trucking news delivered to your inbox.