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Jet A Conversion in the United States

Jet A Conversion in the United States. MSgt Greg Carrow Air Force Petroleum Agency Jet A Program Manager May 2012. Bottom Line Up Front. Energy Security. Efficiency Initiative — Supports Energy Strategy — Saves Money.

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Jet A Conversion in the United States

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  1. Jet A Conversion in the United States MSgt Greg Carrow Air Force Petroleum Agency Jet A Program Manager May 2012

  2. Bottom Line Up Front Energy Security Efficiency Initiative — Supports Energy Strategy — Saves Money • Approved AFSO21 Initiative to convert from standard mil spec JP-8 jet fuel to commercial grade fuel in CONUS • Demonstration with transport aircraft began in 2009 • The Jet A conversion is about: • Operational Flexibility • Increasing Supply Sources • Procurement and Supply Chain Efficiencies • Also compliments: • DoD Strategic Alliance with the Airlines using Alternative Fuels and commercial Jet A Blends

  3. Leadership Direction • “Keep safety of flight at the forefront of every decision”

  4. Overview • What, Why, and Why Now • Consumption Data • Conversion Roadmap

  5. Program History • Since Nov 09, shown flexibility to move from milspec to commercial fuel (Jet A w/ additives) • Logistics demonstrations at Dover, Little Rock, McChord, Minn St. Paul • Conducted research on fuel additives and flight profile impacts when using Jet A • Demonstrated capability to inject additives at several points in supply chain (FSII, SDA, CI/LI) • Initiative expanding to a total of 24 Air Force locations by end of 2012 Why? To Save DoD Money—Fuels Nearly Identical

  6. Fuel Specifications No Spec difference in Energy Content/Density between JP-8 and Jet A

  7. Logistics DataActual Freezing Point Readings by Base - 57.8 JP-8 Jet A - 41.8 JP-5 - 48.3 C 2,309Samples as of: 30 Apr 12 92% meet JP-5 Spec & 75% meet JP-8 (Nov 09 – Apr 12)

  8. Why Jet A • Jet A primary fuel for commercial aviation in CONUS– volume and competition drive market • Jet A vs JP-8 production ratio is dependent on demand • 24.4B gallons of Jet A produced in CONUS during 2007 versus only 1.6B of JP-8 • Jet A allows same additives found in JP-8, although they are generally not used Jet A represents 94% of the CONUS production versus 6% for JP-8 Entering Larger Jet A Market Enables More Competition—Reduces Cost

  9. Why Now? Escalating DoD fuel costs Technical evaluation supports conversion Operational, Safety, Suitability and Effectiveness (OSS&E) technical evaluation complete DLA Energy indicates it is becoming more difficult to support JP-8 CONUS requirements Suppliers opting as an overall business decision not to produce specialty fuels like JP-8 but instead produce more common Jet A 2009-2010 Inland East/Gulf Coast procurement resulted in no offers for a 54M gallon JP-8 requirement Research, Savings, Shrinking Availability of JP-8—Time is Now!

  10. DoD Savings Opportunities Since Jun 11, Jet A $.02 less than JP-8--$2.1M savings to date • Product Cost Savings • More competition, less handling costs = reduced price • Supply Chain Savings • Remove/reduce specialty product supply chain • More use of commercial pipelines—fungible product • Reduction/consolidation of Defense Bulk Fuel Terminals • Shared transportation and inventory storage costs • Operational Savings • Allows expanded use of commercial fuel capability (simplifies aircraft relocations, reduces logistics footprint)

  11. Air Force Jet A Locations McChord C-17s Minn. St . Paul C130s Going Forward Harrisburg C130s Grant County IAP Fairchild KC-135s Spokane IAP Fairchild KC-135s • Jun/Jul • Savannah • Fairchild • Kingsley Fld • Portland • Cusick • Aug/Sep • Dyess • Ellsworth • Laughlin • Lackland • Sheppard Martin Aprt A10 & C27s New Castle C130s Standiford C130s Dover C5 & C17s Tulsa F16s Martinsburg C-5s Key Prior to Current Initiative During Runway Closure (Aircraft now back at Fairchild) Additional Locations Since Nov 09 Will Rogers C21s McEntire F-16s Shaw F16s Charleston C-17s Little Rock C130s 14 Locations to date, 10 more planned for 2012

  12. Total Jet A w/ Additives Issued by AF (2 ½ yrs) Original Conversion Dates Tulsa: 1995 Standiford: 1995 Will Rogers: 2008 Note: Dates reflect month began issuing Jet A after start of demo Over 312M gallons issued from AF locations/relocations (Nov 09 – Apr 12)

  13. Jet A PurchasesCommercial Airports (2 ½ yrs) 288M Gallons of Jet A Purchased by 359 Aircraft Types (Oct 09 – Mar 12)

  14. Jet A Conversion Road Map • Current : • Continue Jet A use at current locations (14) • Expand to 10 additional bases in 2012 • AF implementation plan approval in 2012 • Plan for 60 additional bases in 2013 • Continue to partner with DLA Energy and Services • Mid-Term: (CY13-17) - Convert remaining locations in CONUS • Long-Term: Expand conversion to commercial specification product worldwide

  15. Remaining Items in Work… • Army • National Security Exemption to use Jet A in vehicles • Navy • Freeze point (V-22, P-3, EA-6) • Air Force • B-52 • Flight profile modeling for freeze point • Mercaptan Sulfur • Global Hawk • Update flight manual listing Jet A as a restricted fuel to account for when aircraft are diverted • CV-22 – Freeze point study—Navy has the lead

  16. DLA Energy Jet A Fuel Procurement Projections • Two Annual DLA Energy Fuel Procurement Cycles • Rocky Mountain West Coast (RMWC) • Requirements: Apr • Fuel Flows: Jan following year • Inland East Gulf Coast (IEGC) • Requirements: Jul • Fuel Flows: Apr following year Requirements for CY 13 Conversions Edwards Isolated Supply Chains Complete Supply Chains Limit Impact on other Services CY12 IEGC Conversions CY12 RMWC Conversions Fairchild Portland ANG Kingsley Field ANG Cusick Training Site Ellsworth Dyess Sheppard Laughlin Lackland Harrisburg ANG Baltimore ANG Planning Underway Estimated Aug/Sep 12 Estimated Jun/Jul 12

  17. Jet A with Military Additive Package Product Markings M M M Consensus amongst Service Control Points

  18. Take Away = Energy Security Changing the Culture: JP-8 to Jet A – Smart for the 21st Century • The Jet A conversion effort is about: • Operational Flexibility • Increasing Supply • Procurement and Supply Chain Efficiencies

  19. Air Force Petroleum Agency

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