Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Proposed Settlement Would See Costco Address 'Hot Fuel' Issue

To settle a lawsuit, Costco has agreed to change pumps in the hottest regions of the country so they compensate for the fact that fuel at higher temperatures offers consumers less energy for their dollar

by Staff
April 23, 2009
3 min to read


To settle a lawsuit, Costco has agreed to change pumps in the hottest regions of the country so they compensate for the fact that fuel at higher temperatures offers consumers less energy for their dollar.


The Kansas City Star, which has been following this "hot fuel" issue for some time, reports that the "precedent-setting plan ... which still needs court approval, also would end what had been unanimous opposition by the oil industry and retailers to selling U.S. consumers temperature-adjusted fuel."

The Star reports that Costco will change its gas pumps to make the adjustment in the warmest states where it has stores, including California, Texas and Florida. The wholesale fuel that Costco buys in those states is temperature-adjusted.

In Missouri, Kansas, Maryland, Indiana, New Jersey, Oregon and Pennsylvania, the Star reports, Costco stores would not make changes to their pumps in those states, where the company doesn't buy temperature-adjusted fuel at wholesale, and therefore isn't pocketing any profit in the difference caused by the temperature differential.

While Costco sells gasoline, not commercial diesel fuel, this settlement could set a precedent and prompt other retailers to do the same. Another group that has been advocating for a change is the Owner-Operator Independent Drivers Association, which has a web site, www.turndownhotfuel.com, addressing the issue.

As that web site explains, the phrase "hot fuel" refers to expanded diesel fuel or gasoline that is sold at retail pumps at temperatures higher than the century-old government standard of 60 degrees. That is the temperature/volume used in the petro-chemical industry to measure all petroleum liquids at the refinery and every point after the refinery, except at the retail pump.

At the 60-degree standard, a gallon of fuel delivers a certain amount of measurable energy, referred to as Btu. But when expanded by higher temperatures, that same amount of fuel actually delivers less energy. The warmer the fuel, the less measurable energy and fewer miles to the gallons a vehicle will receive. For example, if a vehicle averages six miles per gallon, 200 gallons of 98-degree fuel is going to take that vehicle 36 fewer miles than 60-degree fuel.

There are devices that can be installed on retail pumps to make up the difference in price, called automatic temperature compensation retrofit kits.

OOIDA has been challenging the National Conference on Weights and Measures to require fuel retailers in all 50 states to install temperature-compensation devices as a solution to this problem. Unchecked temperatures at the pump have meant a discrepancy for decades between what consumers pay and what they actually get when filling their tanks.

Some states have already begun the legislative process to try to put an end to retailers' practice of selling fuel warmer than 60 degrees. The 60-degree standard was established a century ago by regulators and the refineries. During warmer weather, the temperature of gasoline or diesel fuel can reach as high as 90 degrees, expanding the volume, but decreasing the amount of energy per cubic inch. The result is less energy per gallon, and therefore consumers are getting fewer miles per gallon.

More Drivers

Line of gray semi trucks with Fraley & Schilling logo
Safety & ComplianceJuly 15, 2026

How Fraley & Schilling Improved Logbook Compliance by Over 50%

Fraley & Schilling needed a way to close a compliance workflow gap in its ELD system without adding more work from driver training, reminders, and back-office follow-ups. It found the answer in a custom driver app.

Read More →
Volvo American Truck Simulator.
Driversby News/Media ReleaseJuly 8, 2026

Volvo Goes Gaming

Volvo has roared into American Truck Simulator with two new flagship trucks.

Read More →
Two black men in safety vests walking together laughing in a truck fleet yard
Driversby Deborah LockridgeJuly 6, 2026

What the Best Fleets to Drive For Teach About Driver Retention

Survey fatigue, AI-powered routing, owner-operator expectations, and the decline of social media all emerged as themes from this year's Best Fleets to Drive For program.

Read More →
Ad Loading...
Podcast thumbnail showing Jane Jazrawy, the words "When Drivers Tune Out," and a line drawing of a truck.
DriversJuly 2, 2026

Driver Retention Lessons From the Best Fleets to Drive For

What separates trucking's best workplaces from the rest? Jane Jazrawy shares the biggest lessons from this year's Best Fleets to Drive For program on driver retention, communication, AI, and workforce trends on the HDT Talks Trucking podcast.

Read More →
Man standing beside tractor-trailer in sepia tone with the words "Farewell CDL" superimposed on top
Driversby Jack RobertsJuly 1, 2026

Farewell, CDL: Why I'm Giving Up My Commercial Driver's License

After more than 20 years as a CDL holder, HDT Executive Editor Jack Roberts is letting his commercial license expire. Not because he wants to — but because trucking's nuclear verdict crisis has made the risks of public-road test drives too great for editors, manufacturers, and everyone involved.

Read More →
HDT Talks Trucking thumbnail with photo of Jane Jazrawy and the text,, "When Drivers Tune Out"
Driversby Deborah LockridgeJune 24, 2026

How Top Trucking Fleets Improve Driver Retention [Video]

What do healthy snacks, optimized routing, and just picking up the phone have in common? They're all strategies the Best Fleets to Drive For are using to retain truck drivers.

Read More →
Ad Loading...
Trucker Path Cargo Net theft overlay.
Driversby News/Media ReleaseJune 23, 2026

Trucker Path Adds Verisk CargoNet Theft Data to Navigation Platform

Trucker Path’s new cargo theft risk overlays give drivers and fleets visibility into high-risk areas, stolen commodity trends, and theft hotspots.

Read More →
Man seated in front of computer with inset of insights generated for a truck driver

Netradyne Intelligence Uses New AI Agents to Automate Response to In-Cab Camera Data

The company called the next-generation in-cab camera safety platform "a fundamental shift from systems that report on what happened to systems that actively drive what should happen next."

Read More →
Illustration of hourglass and trucks backed up to a dock
DriversJune 15, 2026

Why Truck Detention Keeps Costing Fleets Time and Money

A 2024 ATRI study found detention affects nearly 40% of truckload stops and costs the industry more than $15 billion annually. Despite the toll on drivers, fleets, and supply chains, the problem remains stubbornly persistent.

Read More →
Ad Loading...
Artist rendering of dealership with trucks and trailers parked outside
Equipmentby News/Media ReleaseJune 2, 2026

Prime Inc. to Open $7.9M Flagship Used-Truck Dealership

A new driver-focused facility to sell Prime Inc's used trucks and trailers will be the first purpose-built location in the company's history.

Read More →