Pearson Fuels is Major Recipient of California Air Resources Board Grant Funding to Support Building Ethanol Infrastructure Throughout the State

SAN DIEGO--Pearson Fuels announced that it has become a major recipient of grant funding from the California Air Resources Board (ARB). Under the grant, ARB has agreed to work closely with Pearson Fuels and financially support the company’s building of Ethanol (E-85) infrastructure throughout the state of California, according to Mike Lewis, general manager of Pearson Fuels, the nation’s first Alternative Fuel Station located at 4067 El Cajon Boulevard in San Diego.

Lewis said that Pearson Fuels has created a model to install an Ethanol (E-85) tank and dispenser into existing gas stations throughout California for little or no cost to the station owner. “Pearson was selected by ARB to implement this plan because of the uniqueness of our business model and our proven ability to work with ARB and the myriad other public agencies that are involved in the permitting and construction of an E-85 station in California,” he said.

As the first applicant in California to apply for and receive a Research and Development permit from ARB to dispense E-85, Pearson Fuels has more experience than any other organization in constructing an E-85 fueling station and dispensing that fuel to the public in California.

Pearson Fuels’ model for installing the E-85 system involves contracting with an existing gas station owner to bring to their site a new E-85 tank and dispenser. The actual cost to bring the equipment to an existing site varies from $100,000 to $200,000. It has been extremely difficult to get an Ethanol station built in California as evidenced by the fact that the state of Minnesota has over 300 public ethanol stations. California has only one, Pearson Fuels.

Additionally, the permitting process has made it almost impossible for a station owner to install E-85 without proven outside assistance. “Pearson brings to the table a long-standing relationship with ARB as well as their financial backing to help bring E-85 to the general public. The interested station owner will contract with Pearson to install the E-85 dispenser at little or no cost,” Lewis said. ”In exchange for Pearson installing the dispenser and tanks to the existing station, the owner signs a fuel supply contract with Pearson for the delivery of the E-85 fuel.”

Pearson does not generate any income from the station construction and the station owner will have the E-85 equipment deeded to them at the end of construction.

Lewis said there is significant interest from fuel station owners throughout California to participate with Pearson Fuels in this program. Pearson’s model requires all the new E-85 sites to be in existing or under-construction gasoline or diesel fueling stations. Site selection will be determined at Pearson Fuels’ discretion and will be determined based on some of the following factors: current fuel volume, station location, station amenities, demographics, available space, site control issues, commitment from the local air district to E-85 fueling and commitment from the local community, including the commitment of local private and municipal fleets to use the facility.

Pearson is currently interviewing interested candidates for the E-85 stations while it finalizes plans for capitalization of the new venture. Interested applicants for the E-85 funding should apply through Pearson’s online portal at www.pearsonfuels.com.