SPECIAL REPORT: US diesel use rising in ultralow-sulfur era

While US demand for ultralow-sulfur diesel (ULSD) is expected to escalate, no industry or government organization has solid data on how much of the fuel will be available or needed.And no one seems concerned. Unlike in the period prior to the 2006 deadlines for refiners to reduce highway diesel sulfur to 15 ppm from 500 ppm, government and industry officials interviewed for this report said they are confident the market will function smoothly while meeting new deadlines in 2007 and beyond. Refiners approached last year’s changes confident that they could meet demand for ULSD but worried about logistics they couldn’t control, especially the possibility of downstream contaminati...

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