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Supply Chain–Based Solution to Prevent Fuel Tax Evasion: Proof of Concept Final Report

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Supply Chain–Based Solution to Prevent Fuel Tax Evasion: Proof of Concept Final Report ORNL/TM-2011/132 Supply Chain–Based Solution to Prevent Fuel Tax Evasion: Proof of Concept Final Report November 2011 Prepared by Gary Capps Mary Beth Lascurain Oscar Franzese Duncan Earl David West Timothy McIntyre Shih-Miao Chin Ho-Ling Hwang Raynella Connatser Samuel Lewis ORNL/TM-2011/132 Energy and Transportation Science Division SUPPLY CHAIN–BASED SOLUTION TO PREVENT FUEL TAX EVASION: PROOF OF CONCEPT FINAL REPORT Gary Capps Mary Beth Lascurain Oscar Franzese Duncan Earl David West Timothy McIntyre Shih-Miao Chin Ho-Ling Hwang Raynella Connatser Samuel Lewis Date Published: November 2011 Prepared by OAK RIDGE NATIONAL LABORATORY Oak Ridge, Tennessee 37831-6283 managed by UT-BATTELLE, LLC for the U.S. DEPARTMENT OF ENERGY under contract DE-AC05-00OR22725 CONTENTS Page LIST OF FIGURES .................................................................................................................................... vii LIST OF TABLES ....................................................................................................................................... xi ACRONYMNS AND ABBREVIATIONS ............................................................................................... xiii ACKNOWLEDGMENTS .......................................................................................................................... xv EXECUTIVE SUMMARY ...................................................................................................................... xvii 1. INTRODUCTION ................................................................................................................................ 1 1.1 BACKGROUND ........................................................................................................................ 1 1.2 GOALS AND OBJECTIVES ..................................................................................................... 2 1.3 ROLES AND PARTNERSHIPS ................................................................................................ 3 1.4 OVERVIEW OF TEST METHODOLOGY ............................................................................... 3 2. FUEL MARKER .................................................................................................................................. 5 2.1 FUEL MARKER BACKGROUND ........................................................................................... 5 2.1.1 Fluorescence .................................................................................................................. 5 2.1.2 Marking or Tagging of Fuels ......................................................................................... 7 2.2 SELECTION OF FUEL MARKER ............................................................................................ 8 2.2.1 Required Marker Characteristics: Compatibility as a Fuel Additive ........................... 10 2.2.2 Required Marker Characteristics: Utility as a Tracking Moiety .................................. 11 2.3 AGING AND CHEMICAL STABILITY TESTING ............................................................... 17 2.3.1 IR676 ........................................................................................................................... 17 2.3.2 SiNaph ......................................................................................................................... 23 2.3.3 Sister Dye: 3,3ꞌ-diethylthiatricarbocyanine iodide ....................................................... 27 3. SENSORS ........................................................................................................................................... 31 3.1 GENERAL SENSOR SUITE CONSIDERATIONS ................................................................ 31 3.1.1 Required Functionality ................................................................................................. 31 3.1.2 General Trailer Layout and Operation ......................................................................... 31 3.1.3 General Sensor System Specifications and Constraints on Installation ....................... 32 3.2 HATCH AND VALVE SENSOR DEVELOPMENT AND EVALUATION ......................... 33 3.2.1 Approach and Sensor Selection and Off-Vehicle Evaluation ...................................... 33 3.2.2 Off-Trailer Evaluation ................................................................................................. 33 3.3 LEVEL SENSOR DEVELOPMENT AND EVALUATION ................................................... 34 3.3.1 Approach ...................................................................................................................... 34 3.3.2 Sensor Selection and Off-Vehicle Evaluation ............................................................. 36 3.4 MARKER SENSOR DEVELOPMENT ................................................................................... 37 3.4.1 Approach ...................................................................................................................... 37 3.4.2 Optical Design ............................................................................................................. 37 3.4.3 Mechanical Design ....................................................................................................... 42 3.4.4 Electrical Design .......................................................................................................... 44 3.4.5 Firmware Development ............................................................................................... 44 3.4.6 Off-trailer Evaluation ................................................................................................... 44 iii 3.5 SENSOR SYSTEM LAYOUT AND CONFIGURATION ...................................................... 47 3.5.1 Approach ...................................................................................................................... 47 3.5.2 Off-Trailer Evaluation and Development .................................................................... 47 4. COMMUNICATIONS ....................................................................................................................... 51 4.1 SELECTION OF METHODOLOGY ....................................................................................... 51 4.1.1 Use of Currently Existing Telematics Device .............................................................. 51 4.1.2 Use of ORNL DAS ...................................................................................................... 52 4.2 DESIGN OF THE T2TCU ........................................................................................................ 54 4.3 DATA RETRIEVAL ................................................................................................................ 56 5. GEO-FENCING AND EVIDENTIAL REASONING APPLICATIONS .......................................... 59 5.1 BACKGROUND ...................................................................................................................... 59 5.1.1 Geo-Fencing Basics ..................................................................................................... 59 5.1.2 Fundamentals of Evidential Reasoning Methods ......................................................... 59 5.1.3 Challenges .................................................................................................................... 61 5.2 REAL-WORLD FUEL DELIVERY OPERATION DATA COLLECTION EFFORTS......... 62 5.2.1 Real-World Information Relating to Pilot Tanker Truck Operations .......................... 62 5.2.2 Truck Travel Behavior Data (PeopleNet Fleet Manger Reports) ................................ 66 5.2.3 Service Station, Terminals, and Wholesale Customer Locations ................................ 68 5.3 ANALYSIS OF TRUCK TRAVEL BEHAVIOR DATA ........................................................ 71 5.3.1 Duration of Stops ......................................................................................................... 71 5.3.2 Travel Routes ............................................................................................................... 74 5.4 GEO-FENCING APPLICATION ............................................................................................. 74 5.4.1 Methodologies to Detect Out-of-Fence Travel Behavior ............................................. 74 5.4.2 TRC Roadway Network ............................................................................................... 75 5.4.3 Location Tracking at the TRC ..................................................................................... 77 5.4.4 Geo-fencing Example .................................................................................................. 77 5.5 EVIDENTIAL REASONING APPLICATION ....................................................................... 77 5.5.1 Overview of Concepts .................................................................................................. 77 5.5.2 Development of Detection Rules ................................................................................. 79 5.5.3 Determining Uncertainties in Marker Concentration and Fuel Level Measurements .............................................................................................................. 81 5.5.4 Basic Algorithms ......................................................................................................... 83 5.6 INTEGRATING THE GEO-FENCING AND EVIDENTIAL REASONING RULES ........... 84 5.6.1
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