Is CNG in Your Future?

Alabama Clean Fuels Coalition
October 6, 2011

Compressed Natural Gas (CNG) is one of the alternative transportation fuels outlined in the 1992 Energy Policy Act that may help America reduce its dependence on foreign oil. Please read Bob Strickland's opinion piece below that appeared on TruckingInfo.com in September. It is a great overview of the benefits of CNG!

Is CNG in Your Future?

With the advent of hybrid cars, more and more people are rethinking American energy dependence and choosing alternative energy. While we still have a long way to go toward true energy independence, most of our gasoline and diesel vehicles could be replaced by vehicles fueled by compressed natural gas (CNG).

We need to find ways to reduce our dependence on foreign oil and use our own natural resources in order to ensure energy security for our country. The use of CNG in natural gas vehicles (NGVs) can play an important role in addressing these challenges.

Corporate America continues to look for ways to balance the social, economic and environmental needs of all stakeholders by rethinking the use of alternative energy in its fleets such as taxis, buses, and delivery vehicles.

Economic Benefits to NGV Fleets

Any business with a fleet of vehicles is a good candidate for natural gas vehicles - transit, garbage, laundry supply, and food and beverage trucks are common users of natural gas.

While there are upfront costs to buying or converting to a natural gas fleet, the fuel costs are considerably lower making them much more affordable over the long run. In the U.S., we are paying more than $3.60 per gallon for gasoline. The price of natural gas ranges from just over $1.00 to around $2.00 per equivalent gallon.

That's why AT&T, UPS, Verizon, Waste Management and others are switching to natural gas; they can save millions on fuel costs.

Reduced Maintenance Costs & Emissions

Gasoline and diesel engine lives are shortened because of the build-up of carbon. Natural gas engines, on the other hand, have virtually no carbon build-up, so ring wear is reduced and engine life is extended.

Tune-ups and oil changes for natural gas vehicles aren't needed as frequently because compressed natural gas burns so much cleaner than gasoline or diesel. Some fleet owners report service lives two to three years longer than gasoline or diesel vehicles.

According to Mitchell Pratt, chief operating officer, Clean Energy, their CNG-powered taxis measure near zero emissions at the tailpipe and will reduce greenhouse gases by almost 30 percent when compared to petroleum powered vehicles.

CNG Availability Regionally

At the end of 2010, there were nearly 1,000 natural gas stations in the U.S., and there are efforts underway to build more. There are five regional corridors where public and private entities are working hard to get stations built near intersections of major interstates and highways:

1. Texas Triangle - Dallas to San Antonio to Houston
2. Colorado Rockies Corridor - Colorado, Wyoming, Utah
3. Southeastern Corridor - Georgia, Florida, Alabama, North Carolina, South Carolina, Kentucky, Tennessee, Florida, Mississippi, Arkansas, Virginia
4. Eastern Corridor - Runs north of Virginia into the New England States
5. I-75 Corridor - Runs along I-75 from the northeastern U.S. down toward the southeastern states

In Alabama, the goal is to have as many as 12 public stations by the end of 2012. We're building natural gas stations primarily for Alagasco's fleet for now, but will be opening stations to the public as well. This means that if all the planned public stations are open for business, you could drive across Alabama from the Tennessee line all the way to the Florida coast in a natural gas vehicle.

Recently, California's first CNG-powered Ford Transit Connect taxis have gone into service in the greater Los Angeles area and, since 2001, the number of CNG filling stations in Orange County has tripled to about 30.

CNG & Natural Gas Vehicles Good for Economy

Americans spend about $1 billion dollars each day on foreign oil. In addition to taking advantage of the numerous benefits of running our vehicles on natural gas, keeping our dollars in the U.S. should also be a priority.

Certainly we will create additional jobs as we produce more NGVs and stations, but we can also reduce our trade deficit and benefit our economy significantly by reducing our foreign oil imports and using the money saved by keeping it here at home. As an example, the money we spend on oil imports in an average month, around $30 billion dollars, could be used to hire 443,000 teachers, fund highway repairs for eight years, or build 39,500 new elementary schools.

Since the beginning of the current economic recession, American citizens and corporations alike are seeking a more balanced and sustainable co-existence. We think natural gas will play a large role in our overall economic recovery and financial independence.


Bob Strickland
Manager of Clean Transportation
Alagasco

bstrickl@energen.com

Thank you for considering CNG in your mix of alternative transportation fuels to help us reduce our dependence on foreign oil, increase economic development (JOBS) and improve our air quality!

If you have questions regarding CNG or any alternative fuel or advanced technology vehicle please contact us.


Sincerely,
Mark

Mark Bentley
Alabama Clean Fuels Coalition
mark@alabamacleanfuels.org
205.402.2755