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Ultra Green Energy Services LLC, a Bioheat heating oil dealer in the Northeast, has begun to distribute biodiesel in the New York metropolitan area from terminals in New Hyde Park and New Rochelle, N.Y.; and Elizabeth, N.J. The facilities will offer high-quality, domestically produced biodiesel to wholesale fuel buyers and blenders in New York, New Jersey and Connecticut.
"We have major advantages," said Michael Cooper, vice president and director of sales and trading. "Our biofuel trading services facilitate the sale of bulk biofuels, including contracts indexed to [the New York Merchantile Exchange, the Oil Price Information Service] or Platts. Our hedge programs offer flexible payment terms with indexed, fixed and capped price contracts. UGES' internal quality-assurance protocols guarantee that our fuels meet all specifications. In fact, UGES exceeds standard industry protocols by sampling and testing each shipment utilizing premier independent laboratories.”
On Jan. 24, New York Gov. Eliot Spitzer provided a home heating fuel (Bioheat) tax credit in his proposed 2008-2009 executive budget. By providing a credit of up to 20 cents per gallon, this tax credit provides a necessary financial incentive to the market for cleaner-burning bioheat in New York. “Thanks to Governor Spitzer’s budget, biodiesel economics have changed," said Wholesale Manager Danny Falcone to the New York City Council when he discussed the availability of biodiesel for blending. "Consumers will demand Bioheat blends because they want a cleaner-burning, domestically produced, renewable product that now can be priced more competitively [compared with] conventional heating oils.”