The transportation sector is one of the largest contributors of greenhouse gas (GHG) emissions in the United States. As more companies focus on the goal of becoming net zero, trucking fleets have an opportunity to make a substantial impact on the environment by transitioning to alternative fuels. While there are many technologies to consider and exciting innovations in development ranging from ubiquitous electric vehicles to hydrogen fuel cell technology, renewable natural gas (RNG) remains a readily available, low-carbon solution that fleets can implement now. Further, the transition to RNG as a fuel source might be easier than expected.
Creating a successful alternative fuel program requires finding the right mix of sustainable technologies for your fleet. Here are four reasons to consider RNG.
1. ENVIRONMENTAL IMPACT
On average, RNG reduces GHG emissions by 80-plus% when compared to diesel. Also known as biogas or biomethane, RNG is produced by capturing the methane that is released during the decomposition of organic materials found in landfills, wastewater, agricultural waste, food waste, and livestock manure. As the second-largest contributor to global warming, accounting for 30% of all GHG emissions—according to McKinsey Sustainability—methane is harmful when released into the atmosphere. In RNG production, the methane is captured, processed, and repurposed into a sustainable, clean energy source with the lowest carbon intensity of any alternative fuel available on the market today. In some instances, it even has the potential to be carbon negative. One great example is RNG derived from livestock manure.
2. FUEL SAVINGS & CREDITS
RNG offers a one-to-one replacement for diesel with significant savings on fuel costs. Rates vary by state, but in general, fleet owners and operators can expect to save anywhere from 50% to 70% per gallon with RNG over diesel. According to NGV America, natural gas provides long-term fuel savings with limited volatility because approximately 25% of the pump price is related to the commodity cost compared to 50% for diesel. The outlook for continued price stability with natural gas is encouraging for fleet owners when it comes to recouping the upfront investment required to convert commercial vehicles from diesel to natural gas.
In addition to savings captured at the pump, fleets that use RNG can benefit from federal and state programs that offer credits to end-users and consumers to help further reduce the cost of alternative fuels. These programs include the Renewable Identification Number (RIN) credits and the Alternative Fuels Tax Credit (AFTC), which was recently extended for three years by the federal government to provide consumers with a 50 cent per gallon tax credit for RNG. There are also state programs available, such as California’s Low Carbon Fuel Standard (LCFS) Program, which offers credits for alternative fuel consumption based on the amount of carbon dioxide reduced.
3. INFRASTRUCTURE
Another important consideration when evaluating alternative fuel solutions is accessibility. Is there infrastructure in place that supports the use of the fuel or technology in consideration that makes it easily accessible to fleets? While the trucking industry is focused on the future with the push toward electric vehicles, a nationwide infrastructure of readily accessible charging stations is still several years away.
There are millions of miles of natural gas pipeline throughout the US and a nationwide network of more than 1,800 natural gas fueling stations, making RNG a readily available option for fleets. Fleet companies also have the option to partner with one of the many RNG producers throughout the country to establish on-site fueling stations for their vehicles.
4. PROVEN PERFORMANCE
RNG has served as an alternative fuel for more than a decade. With testing and adaptation over the years, the operational performance of RNG vehicles has proven to be as efficient as diesel with comparable power, torque, load, and range capabilities. In addition, the life span of natural gas engines is equivalent to diesel engines, assuming regular maintenance is performed as recommended by the manufacturer.
As high diesel prices remain a consistent trend and environmental concerns continue to drive the transition to more sustainable solutions, RNG offers one of the most affordable, accessible, and low-carbon alternative fuel options available today. Weighing the benefits of implementing RNG is an important consideration for achieving a near-term solution to overall long-term sustainability goals.
NGV GLOBAL’S ALT FUEL FLEET
NGV Global Group, a global manufacturing, technology, and logistics company, debuted a line of EPA-approved F-650 box trucks. The trucks operate on compressed natural gas (CNG) and renewable natural gas (RNG). With more than a decade of experience, NGV Global Group has inspected, serviced, repaired, and converted more than 15,000 natural gas engines.Find out about how to purchase or lease a 7.3-L CNG/RNG F-650, visit www.wingpowersystems.com.
TRUCK FEATURES
- 2022 7.3-L CNG/RNG engine
- EPA approved
- Certified to Ford Q185 calibration standard (does not void manufacturer warranty)
- Operates on natural gas exclusively up to 500 miles; bi-fuel options available (natural gas and gasoline)
- GVWR up to 25,999 lbs
- Does not require a CDL to operate
- Up to a 26-ft box
- 3,300-lb lift gate
- Stainless steel lines, fittings, and injector rails
- Wing Power System™ Warranty
- Nationwide network of trained service technicians
ABOUT THE AUTHOR
Fury Zaidi is the CEO of Dallas-based NGV Global Group, a global manufacturing, technology, and logistics company dedicated to helping customers achieve their carbon reduction goals in transportation through alternative fuel solutions. Zaidi launched NGV Global’s legacy company (NGV Texas, Inc.) in 2008 with a vision to provide natural gas technologies both domestically and globally. To date, the company has inspected, serviced, repaired, and converted more than 15,000 natural gas engines. Zaidi also serves as CEO of NGV Global subsidiary GreenPath Logistics, a 100% alternative fuel fleet with about 200 medium- and heavy-duty trucks, including natural gas, hybrid, and—deploying in 2023—electric vehicles. Find out more, visit www.ngvglobalgroup.com and www.greenpathlogistics.com.
