Florida fuel stations are experiencing fuel depletion. Potential havoc could ensue from Hurricane Milton, exacerbating the situation.
Gas demands are skyrocketing as folks in Milton's path are hurrying to fuel up prior to evacuation. Those intended to stay put are trying to stock up on gas to run their generators in case of prolonged power outages.
According to GasBuddy's gas price monitoring service, as of Tuesday morning, around 14.5% of gas stations across the state were out of fuel. This is a significant leap from the mere 3% reported on Monday. The predicament was especially severe in regions under mandatory evacuation orders. In Fort Myers, a city on the Gulf Coast, an alarming 70% of gas stations were devoid of fuel as of Monday night.
Patrick De Haan, an energy analyst at GasBuddy, commented, "It's a testament to how rapidly the storm is advancing and how severe it is. It's a game-changer."
Florida Governor Ron DeSantis attempted to quell panic buying and drivers topping off tanks, which can exacerbate the shortages. During a press conference on Tuesday morning, DeSantis assured residents that the state is making efforts to supply emergency gasoline to stations that have run dry.
He stated that the state's reserves contained 110,000 gallons of gasoline and 268,000 gallons of diesel fuel. He added that while these reserves are dwindling due to distribution, there are currently 1.2 million gallons of both fuels en route to the state. DeSantis mentioned that 27 fuel trucks were escorted by the Florida Highway Patrol to deliver fuel to stations in the storm's anticipated impact area.
"We've been dispatching fuel over the past 24 hours as gas stations have run out," he said at a press conference early Tuesday. "There is no fuel shortage. Fuel continues to arrive in Florida. However, gas station lines have been long, and stations are running out faster than usual."
Issues may persist post-Milton
Once the storm has passed, issues related to procuring gasoline in the state could persist if there is damage to the Port of Tampa from the hurricane. The port is a vital entry point for much of the gasoline that enters the state, either via tanker or barge.
From the port, gasoline is further distributed throughout the state by tanker trucks and a pipeline leading to the Orlando area. However, there are no pipelines transporting gasoline from Gulf Coast refineries or northern states since fuel is largely moved around the rest of the country.
Tom Kloza, global head of energy analysis for OPIS, which monitors gasoline prices for AAA, stated, "The Port of Tampa is critical to supply for much of the state. It is one of the most crucial pieces of fuel infrastructure in the country. I'd be hard-pressed to find a market more dependent on waterborne supply and more susceptible to hurricane and storm surge."
The port has currently been closed due to the storm, although DeSantis asserted that it has fuel at its gasoline terminals and is still operational before the storm. It may take some time for the port to reopen to tankers and barges once the storm has passed, according to Andy Lipow, an oil analyst with Lipow Oil Associates.
"They will not return until the storm has passed and the Coast Guard has checked for debris in the channel and replaced the navigation buoys," he said.
The biggest concern is that the hurricane and storm surge could cause substantial damage to the port.
"We are assuming, it doesn't mean it will happen, but we are operating as if there will be significant damage to the Port of Tampa, so we're planning for a significant interruption in their ability to receive fuel," said DeSantis. He mentioned that state officials are making alternate arrangements to bring fuel into the state.
Businesses in the affected areas are preparing for potential disruptions, as they might struggle to receive deliveries if the Port of Tampa sustains damage. The storm could impede the distribution of fuel, affecting their operations and possibly leading to temporary closures.
Amidst the situation, some local businesses are exploring alternative means of sourcing fuel, recognizing the critical role it plays in maintaining their operations during the recovery period.
