Blockchain: The Key to Modern Fuel Control Systems
STORY INLINE POST
Q: Why should companies trust in GED to become their trusted partner in their fuel efficiency and emissions reduction efforts?
A: No other competitor in the industry offers such a complete solution that incorporates all steps, from fuel loading to the entire consumption process. Our strength lies in providing a comprehensive solution, combining technology with mechanical processes to connect all links. We also have expert human capital, which is key to avoiding human errors, especially when managing drivers and dispensers at self-service stations.
Q: How has your relationship with the National Chamber of Cargo Transportation (CANACAR) helped you boost your position in the transportation market?
A: The first strategy we implemented with CANACAR targeted small transporters, also known as owner-operators. Our business model focused on this sector due to its significant need and because we considered it the most underserved market. However, we faced many challenges regarding regulatory matters. Another challenge was that these micro-entrepreneurs do not prioritize fuel control, which led us to change our business model. Eventually, we want to revisit that business model, which involved a showroom, but with a different approach. We plan to establish a service station open to the public and targeted to small and medium transporters, democratizing the benefits that large transporters now enjoy with self-service stations at their depots. This democratization would allow small transporters, who have no other option but to go to the gas station and are thus more vulnerable to fuel theft, to access these same benefits.
CANACAR featured us in several of its publications, allowing us to secure partnerships with small transporters. While that effort did not work out as expected, we successfully launched a mechanical system to eradicate fuel theft during events held by CANACAR. This is an accessible product that is easy to install and provides results within a week.
Q: Beyond price, what advantages does GED offer as a fuel supplier for fleets?
A: For large fleets, we offer a service similar to outsourcing their procurement department. We work with several diesel suppliers and can handle the bidding for fuel replenishments. We can also offer this same service to small and medium transporters, which would be an advantage for both niches. However, this service has not been popular due to corruption within medium and large companies that already have self-service stations.
Q: What strategies do you employ to mitigate risks such as delays, regulatory changes, or geopolitical issues that could impact your supply chain?
A: A potential solution to eradicate these problems could be the blockchain. Combined with sensors installed on trailers, a blockchain could connect the dots between various technologies that already exist. For example, at a service station, both the pumps and the tanks are already equipped with many sensors. By connecting them to the cloud, it is possible to know how many liters of gasoline and diesel are at each gas station. A similar solution could allow transporters to monitor the fuel in their self-service tanks and receive real-time information from the sensors we place on the trucks. We can know exactly how much fuel they have, if someone is siphoning it off, and where the theft occurs.
The cost of data plans has also decreased, making it feasible to receive real-time transmissions from the trailer. For example, if the trailer stops in a place where no one should be near the tanks, the cameras can automatically activate to check if someone is approaching the tank.
We initially considered having a monitoring center where a person would observe when tanks are filled at our stations, ensuring that the pump actually filled the tank. We explored other possibilities, and decided to use smart cameras that can detect patterns. For example, AI can identify if the fuel is being diverted into a drum or bucket instead of going into the tank. We are analyzing how to apply this technology to be more efficient, while also reducing the cost of implementation and operation. The most expensive part would be relying on people due to high turnover, human error, and the risk of corruption.
Q: How does GED customize fleet efficiency and fuel storage solutions for different clients?
A: We start from the specific needs of each client and adopt the technology that best suits them. This depends heavily on the size of the operation, the location, and the type of vehicles they operate. For example, we are seeing significant growth in the cold transport sector. In the end, our approach is to gather detailed information from each client and develop a turnkey solution, using as much technology as possible.
Q: What role will alternative fuels like biodiesel, natural gas, or hydrogen play in the Mexican market?
A: We are strong advocates for the use of compressed natural gas (CNG) for vehicles, which is the most environmentally friendly technology available today. Using green or blue hydrogen will be challenging in the medium term, especially in Mexico’s transportation industry. Its implementation is more feasible for electricity generation in industrial parks. However, it has been difficult to convince transport operators to take the preliminary step before hydrogen, which is adopting natural gas. There is a great deal of resistance to this technology in Mexico.
It is essential for transport operators to see more success stories in the United States, Canada, and the European Union to trust the technology. We have a partnership with GASCOM, the only company in Mexico certified by the US Environmental Protection Agency that can guarantee the quality of natural gas.
While hydrogen would be the best technology for vehicles, the poor reception of natural gas among medium and heavy-duty vehicles suggests that advancing to hydrogen will be difficult. Natural gas must first become more popular in light-duty vehicles, followed by hydrogen.
Q: What changes do you expect from the next administrations and how can it shape the industry?
A: There has been uncertainty since President Andrés Manuel López Obrador took office. There has also been a significant decrease in the issuance of new permits. Instead of canceling permits, the right approach would involve the proper regulation of self-consumption and ensuring compliance.
As CRE moves to become part of the Ministry of Energy, it will hopefully be able to expedite processes. We hope that President-elect Claudia Sheinbaum’s new policies support renewable energy and the energy industry as a whole. The private sector will hopefully be allowed to once again develop the energy industry, as it is the only one with all the necessary elements to do so.
Q: What are GED’s expectations and expansion plans for 2025?
A: Our plan is to implement blockchain technology in most of our processes. A sister company of GED focuses on real estate investments and is testing an investment platform that can issue tokens. We aim to tokenize some of GED's stations and, by 2025, our goal is to use this technology to fund and finance one of these stations.
We plan to continue developing our integrated fuel control system with a medium or large company. We have been eyeing Estafeta for a long time as it has been an excellent client. It is being acquired by UPS, but we hope that Estafeta’s environmental policies will remain in place. We anticipate new opportunities following this merger, allowing us to implement one of our integrated fuel control stations on one of their routes, ideally transitioning to natural gas and hydrogen in the near future. Our goal for the next year is to have one integrated station operational with a single medium or large client, rather than with several small clients.
Green Energy Development (GED) offers diesel self-consumption and anti-extraction control solutions, supply of ultra-low sulfur diesel, and legal and technical advice for self-consumption stations and service stations.








By Sergio Taborga | Journalist & Industry Analyst -
Wed, 08/28/2024 - 10:02









