The Benefits of Above-Ground vs. Underground Petroleum Tanks

Selecting the right type of petroleum tank is critical for businesses that rely on fuel storage for operations. The choice between above-ground and underground tanks can impact safety, efficiency, and cost-effectiveness. Each tank type has specific benefits and considerations, making one better suited for certain industries and operational settings over the other. Here’s a closer look at the pros and cons of above-ground and underground petroleum tanks to help you determine the best option for your facility’s needs.

Benefits of Above-Ground Petroleum Tanks

Above-ground petroleum tanks (ASTs) are a popular choice across a wide range of industries, from agriculture to commercial fueling, due to their accessibility, easier maintenance, and lower initial installation costs.

Advantages of Above-Ground Tanks:

  • Ease of Inspection and Maintenance: One of the most significant benefits of ASTs is the ease with which they can be inspected and maintained. Because they are positioned above the surface, these tanks can be visually inspected for leaks, rust, and wear, making it easier to identify and address issues promptly.
  • Lower Installation Costs: Above-ground tanks are typically less expensive to install than underground tanks. AST installations often involve fewer permits and simpler preparation work, which reduces setup costs. Additionally, the absence of excavation makes installation faster and minimizes disruption to the site.
  • Flexibility in Relocation: ASTs can be relocated with relative ease, making them suitable for temporary or evolving operations. Businesses that need flexible fuel storage solutions, such as construction companies or remote field operations, benefit from the portability of above-ground tanks.

Considerations for ASTs:

  • Space Requirements: Above-ground tanks require a significant amount of surface area, which can be challenging in densely populated or compact locations. This limitation can affect site layout and reduce available space for other operations.
  • Environmental Exposure: Because ASTs are exposed to the elements, they are more vulnerable to temperature fluctuations, weather conditions, and corrosion. To combat this, protective coatings, insulation, or weatherproofing can be applied, although these add to maintenance costs.

Benefits of Underground Petroleum Tanks

Underground petroleum tanks (USTs) are commonly used by businesses that prioritize space optimization and wish to avoid environmental exposure. USTs are often preferred for high-volume storage and applications near populated areas where space is limited.

Advantages of Underground Tanks:

  • Space Optimization: One of the primary advantages of USTs is that they are buried below ground, freeing up surface space for other operations or structures. This is particularly valuable for businesses with limited land or those located in urban or densely populated areas.
  • Reduced Environmental Impact: By being underground, USTs are protected from the effects of temperature fluctuations, UV exposure, and storm damage. This positioning also reduces the likelihood of fire hazards and vapor release, making USTs a safer option in certain operational contexts.
  • Aesthetic and Security Benefits: USTs do not impact the visual appearance of a facility, which is advantageous for sites that prioritize aesthetic concerns or public-facing environments. Additionally, because USTs are concealed, they are less vulnerable to vandalism or accidental damage.

Considerations for USTs:

  • Higher Installation and Maintenance Costs: UST installation is generally more complex and costly due to excavation, soil analysis, and additional permitting requirements. Maintenance can also be more expensive, as detecting and addressing leaks requires specialized equipment.
  • Strict Regulatory Requirements: USTs are subject to stringent regulations due to the environmental risks associated with underground fuel storage. Federal and state regulations mandate regular inspections, leak detection, and corrosion protection to ensure safe and compliant operation.

Comparing Safety and Environmental Impact

When choosing between ASTs and USTs, considering safety and environmental implications is critical. Both tank types offer specific advantages, but each requires different safety protocols and compliance measures to mitigate environmental risks.

Safety Considerations for ASTs: Above-ground tanks are easier to inspect visually, which can help prevent accidental leaks from going unnoticed. However, their exposure to outdoor elements increases the likelihood of corrosion and requires proactive maintenance to prevent environmental contamination. Additionally, above-ground tanks are more prone to accidental damage from vehicles or equipment, especially in high-traffic areas.

Environmental Considerations for USTs: Underground tanks, while protected from surface elements, pose a greater environmental risk if a leak occurs, as any undetected spillage can quickly seep into the soil and groundwater. USTs are therefore required to have robust leak detection systems, cathodic protection, and double-wall construction to minimize environmental impact. These safeguards are essential for preventing fuel leakage and ensuring compliance with the Environmental Protection Agency’s (EPA) regulations.

Cost Factors in Selecting Petroleum Tanks

The choice between above-ground and underground tanks also involves a cost-benefit analysis based on installation, maintenance, and operational factors.

Installation and Initial Setup Costs:

  • Above-Ground Tanks: ASTs are typically less costly to install, as they don’t require excavation, and they often involve simpler permitting processes. The ease of setup makes them more accessible for small to medium-sized operations.
  • Underground Tanks: UST installation is generally more costly due to excavation and the need for site preparation, such as soil testing. These additional steps are necessary to ensure safe underground storage and prevent environmental contamination.

Maintenance and Long-Term Costs:

  • Above-Ground Tanks: While ASTs require regular surface maintenance to prevent rust and corrosion, maintenance is generally straightforward and cost-effective compared to USTs. Visual inspection is also easier, reducing the need for specialized equipment.
  • Underground Tanks: USTs require advanced monitoring systems for leak detection, corrosion prevention, and regular inspections. These systems can be costly to install and maintain, particularly in older tanks or those located in environmentally sensitive areas.

Choosing the Best Tank Option with Mills Equipment

Choosing between above-ground and underground petroleum tanks involves balancing installation costs, regulatory requirements, maintenance needs, and operational safety. Above-ground tanks are an economical choice for businesses that prioritize accessibility and ease of maintenance, while underground tanks are ideal for companies seeking to optimize space and protect fuel from environmental exposure.

Mills Equipment offers an extensive selection of both ASTs and USTs, each designed to meet federal and state compliance standards while providing high-quality performance in various climates. From Denver-based companies to nationwide clients, Mills Equipment ensures each tank meets rigorous safety and durability standards, offering peace of mind and operational efficiency.

Explore the range of petroleum tanks available at Mills Equipment and speak with an expert to find the best storage solution tailored to your facility’s unique needs. Secure reliable and compliant fuel storage today.


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