Fed: Low sulphur diesel rollout starts in NSW
By Miranda Korzy
SYDNEY, Aug 8 AAP - Oil companies today began pumping out a new, cleaner diesel fuelin NSW and Western Australia, promising less smog and sickness.
Truckies and asthma experts welcomed the change, but said the federal and state governmentsneeded to do more.
Shell spokesman Ian McKenzie said the company's Clyde Refinery, in Sydney's west, wasnow producing 100 per cent ultra low sulphur diesel (ULSD) with only 10 per cent of regularlevels.
The new fuel had 50 parts per million sulphur, compared with 500 parts per millionfor regular diesel.
BP confirmed it would supply the Shell-produced ULSD to all its Sydney service stationswithin two weeks.
In Perth, a BP-produced ULSD would be available from today, and the company would progressivelyextend supply to other capital cities and regional areas.
BP began marketing ULSD to the Brisbane market last month.
"This is the cleanest diesel fuel you can buy in Australia today," BP Australia managingdirector Garry Hueston said.
"The change to ultra low sulphur diesel will reduce airborne pollution and smog whichcontribute to (a reduced) incidence of asthma and other respiratory illnesses."
Mr McKenzie said all Shell customers supplied by Sydney refineries would now receiveULSD, amounting to about 40 per cent of the NSW diesel market.
It would take about two weeks for the new diesel to flush through depots still holdingthe regular diesel, he said.
Federal regulations stipulate that all diesel must meet the 50 parts per million standardby January 1, 2006.
Mr McKenzie said the government had also created a tax incentive to introduce the cleanfuels earlier - a diesel sulphur excise differential, by which producers pay one centper litre less tax on low sulphur fuel.
National Asthma Council spokesman Charles Mitchell welcomed the move.
"Less air pollution caused by particulate and sulphur emissions from diesel will reducethe risk of triggering respiratory conditions such as asthma," Professor Mitchell said.
"An equally important contribution would be if state governments were to bite the bulletand introduce rules that insisted diesel engines were adequately maintained, because thataffects the total amounts of particles emitted."
Truck drivers said the low sulphur fuel was good news for their industry.
But Australian Trucking Association chief executive Chris Althaus said they were concernedthe federal government had promised that a lot more of the fuel would be available thanthere was at present.
"The government increased fuel excise on regular diesel in July, so for members themore they can use the new fuel the better," Mr Althaus said.
A Caltex spokesman said the company was also marketing a small amount of the new fuelintermittently, depending on its refinery's capability at the time.
AAP mk/jh/ak/de
KEYWORD: FUEL
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