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But yeah, make solid fuel and store it and keep it for rocket fuel
Seconding the solid fuel suggestion. Steam Boilers will also work using solid fuel. In fact you get far more steam, and thus power, from a single piece of solid fuel than you do from a piece of coal. Eventually I phase coal out entirely where I can and end up using exclusively solid fuel to burn in my boilers and power my trains/car/tank.
There's a difference between destoying virtually useless wood and oil. I would never destroy oil. I set up my wiring so I always have 10-20K of each oil product, and the extra gets reduced to slid fuel.
Picking up a tank will destroy its contents. I would NEVER do that. I would build more tanks if it came down to this being my only option.
Yeah, I tend to have like 200k of each oil in store. If not more, since the numbers were multiplied by 10 :D
http://steamcommunity.com/sharedfiles/filedetails/?id=918022118
You can dump unwanted oil into the ocean and set up oil rigs that are extremely prone to oil spillage.
The wildlife is hostile, anyway.
[For best results, a solid triple line of flame turrets behind a sturdy wall is recommended.]