November Energy News

Nov 01, 2024


Propane Tank

November 2024

I hope you got more treats than tricks on Halloween. It was uneventful at my house. I guess I must live too far out in the sticks to be worth messing with.

Regardless how far out in the sticks you live and if we’re not already, we’re prepared to serve you with diesel and gasoline delivery. We don’t have the ability to deliver from our Dodge location, but our Cobb, Lancaster, Mt. Horeb, Waupaca and Westby locations are willing and able. Westby continues to deliver fuel the conventional way, with a bulk plant and a refined fuel truck.

In the other locations, we have AFD. This stands for Automated Fuel Delivery. It uses an electronic monitoring device to track your fuel levels. When the fuel gets to a preset point, an order is generated, the fuel is loaded on the next truck at the Cenex fuel terminal in McFarland and delivered to your farm or business. It alleviates the need for a bulk plant as the storage is in McFarland, saving the costs of maintaining a bulk plant of our own.

Other benefits of the AFD program are deferred billing and average monthly pricing. Deferred billing is the most popular benefit. That means you don’t pay for the fuel until you use it. The monitor tracks the fuel consumption and reconciles it with the deliveries. Average monthly pricing means exactly that. You’ll be billed at the average price for the month but only for the fuel you use.

If you want to be billed at delivery for the fuel because you think fuel prices are going to go up, you have that option. If you like to forward contract your fuel, that is still an option with AFD.

On a related subject, I understand there are storage concerns related to biodiesel. I’ve heard a dirty little rumor that we are delivering biodiesel. To be clear, biodiesel is not available from the McFarland terminal so there is no merit to that speculation. Cenex fuel is injected with the top additive package in the industry at the terminal in McFarland, which assures you of a consistent level of quality. Do you know if your current supplier is hand blending a ‘premium’ product at the correct rate or are you possibly getting fuel oil? If you’re having injector or fuel pump issues, chances are you’re not getting a true premium product.

In addition, to back up their quality diesel and lubricants, Cenex offers the Total Protection Plan Warranty Program for both new and used farm equipment. To learn more about the AFD program, the warranty program or our Cenex lubricant line, give Shane McCully a call at 608-504-6281. Give us a shot at earning your fuel and lubricant business. You won’t be disappointed.

Have a great Thanksgiving with your families, a successful hunt (if you’re into that), a bountiful harvest, and thank you for your business. For my fellow veterans, enjoy Veterans Day. That’s an order.

Tim Lease

Division Manager

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We had a good ending to our energy division fiscal year, so I’m glad I’m still here this month to write this newsletter article.

Since 2020, we have increased our delivery efficiency (gallons per mile) by 17.4%. We’ve also dropped the number of miles driven by 21% comparing 2025 to 2020. That equates to 66,776 less miles this year than in 2020. In other words, we saved about 2.7 circumnavigations of the globe, conserving over 13,000 gallons of diesel fuel we would have used to power our propane delivery trucks. Less diesel consumption means less pollution. Heck, we’re saving the planet without even trying.