Knowledgebase

Managing Stock and Measurement in Fuel Operations Print

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Where losses occur.

WHY IT MATTERS

Fuel is high value, easily diverted, and losses are substantial when uncontrolled.

WHAT CAUSES LOSSES

Short delivery Theft Measurement error Evaporation and temperature variation Leaks

WHAT TO ESTABLISH ON DELIVERY

Independent measurement before and after discharge Documentation matching Seal integrity on the delivering vehicle

WHY SEALS

Broken or missing seals indicate interference during transport.

WHAT TO DO ABOUT DISCREPANCIES

Record them immediately and raise them with the supplier.

WHY IMMEDIATELY

Claims after acceptance are not entertained.

WHAT TO RECONCILE

Opening stock, plus receipts, less dispensed, against closing stock.

HOW OFTEN

Daily.

WHY DAILY

Losses identified after weeks cannot be traced.

WHAT DIFFERENCES INDICATE

Theft, measurement error, or leakage.

WHY LEAKAGE MATTERS BEYOND THE LOSS

Underground leaks contaminate soil and groundwater and they are expensive and serious.

WHAT TO ESTABLISH

Tank integrity testing on a schedule.

WHAT TO MONITOR

Water in tanks, which indicates ingress.

WHAT CALIBRATION REQUIRES

Verification of dispensing accuracy by the competent authority Regular internal checks

WHY INTERNAL CHECKS

Drift occurs between official verifications, and both under and over dispensing are problems.

WHAT TO ESTABLISH ABOUT CASH

Reconciliation of sales against dispensed volume.

WHY

It is the check that identifies unrecorded sales.

WHAT TO RECORD

Every delivery, reconciliation and calibration.


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