This document discusses the use of compressed natural gas (CNG) and liquefied natural gas (LNG) for heavy duty trucking. It notes that Clean Energy is the largest alternative transportation fuel provider, fueling over 30,000 vehicles daily. It discusses their fueling services for CNG time fill, CNG fast fill, and LNG. It also discusses the current and planned natural gas fueling infrastructure across the United States. The document outlines the benefits of using natural gas vehicles for fleets, including lower operating costs and reduced greenhouse gas emissions compared to diesel. It provides examples of economic models fleets can use to evaluate the costs and savings of adopting natural gas vehicles.
12. NatGas Vehicles Have A Lower Carbon Footprint
CO2
CO
GASOLINE
DIESEL
GREENHOUSE GAS
EMISSIONS
2
CO2
CO2
CO2
CO2
28%
LOWER
23%
LOWER
LNG
CNG
84%
LOWER
LANDFILL GAS
88%
LOWER
LANDFILL GAS
12
13. Private & For-Hire Carriers
Deploy Natural Gas Trucks
HEAVY DUTY
TRUCKING
REFUSE
FLEETS
13
14. Assumptions
1. Should cost less to operate
2. Shouldn’t impact operations
3. Make money for the carrier
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15. Lower total cost of operation
• Spec only the needed daily fuel capacity
• Payback: 18 to 30 months @ $1/gallon
- Depends on truck’s incremental cost, fuel
consumption and fuel spread
Lower total cost of fuel
• Energy equivalency (GGE to DGE)
- $2.20/GGE is really $2.45/DGE
• Consider impacts of time, weight and cost
Maintenance costs wash
• Increase cost of spark plugs
• Oil intervals the same
• Loss of DPF and DEF
Incremental
Cost
$60,000 $45,000 $30,000
Range (miles) 700+ 550+ 400+
Fuel Spread $1.00 $1.00 $1.00
Fuel
Consumption
20,000 20,000 20,000
Payback 36 Months 27 Months 18 Months
Costs Less
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16. US Natural Gas Shale Plays
As reported by the American Petroleum Institute in 2014
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18. Fueling time impacts HOS
• LNG same as diesel
• CNG is half as fast at its best
Fueling infrastructure
• Public access CNG & LNG networks expanding
• Private backlot station solutions exist
- Fast-fill CNG, Time-fill CNG and LNG
NGVs as differentiators in recruiting
• Drivers love NGVs
- Quieter, cleaner, and no diesel smell
• Shippers diversifying fuel spend
• Private fleets realizing bottom line savings
- Budweiser, FedEx, Frito Lay, Kroger, MillerCoors, Pepsi, SuperValu, UPS and US
Foods
Operations Improving
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19. Use NGVs as competitive advantage
• Cost savings per mile
• Attract new customers and build revenue
Green House Gas (GHG) reductions
• 100,000 miles on diesel at 6.5 MPG is 200 MT GHG/year
• Same miles on ISX12 G using conventional NG is
150MT GHG/year and <50 MT when using 100% Redeem
Defend existing business
• Insulate existing business (revenues and margins) from competitive threat
Make Money for the Carrier
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20. Several Economic Models
• Value Simulator (cents/mile)
- Over 30 input variables (finance, operation, insurance, etc.)
• IRR
• Simple Payback (years)
• Weight, Time and Incremental Cost
- Determines best fit, CNG or LNG, for the application
• Lease versus Purchase
- FMV through GE Capital
• CNG & LNG Tank packages
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We have over 400 public and private stations across the country.
Natural Gas has a lower carbon footprint. In fact, vehicles powered by Natural Gas is up to 30% cleaner than gasoline… or diesel.
Even more – almost up to 90% for renewable natural gas.
Natural gas is Methane. CH4.
Pipeline gas
CNG
LNG
Renewable Natural gas
From landfills, water treatment facilities and dairies
Naturally occurring methane.
We harvest, clean, and inject into the pipeline for use in transportation
Pros and cons
We can go into that separately or send you some white papers. Just leave us a card.
Natural gas is Methane. CH4.
Pipeline gas
CNG
LNG
Renewable Natural gas
From landfills, water treatment facilities and dairies
Naturally occurring methane.
We harvest, clean, and inject into the pipeline for use in transportation
Pros and cons
We can go into that separately or send you some white papers. Just leave us a card.
The latest research shows that we have more than enough to last us through the next century and Energy experts continue to find more evidence for even more natural gas.
Natural gas is Methane. CH4.
Pipeline gas
CNG
LNG
Renewable Natural gas
From landfills, water treatment facilities and dairies
Naturally occurring methane.
We harvest, clean, and inject into the pipeline for use in transportation
Pros and cons
We can go into that separately or send you some white papers. Just leave us a card.
Natural gas is Methane. CH4.
Pipeline gas
CNG
LNG
Renewable Natural gas
From landfills, water treatment facilities and dairies
Naturally occurring methane.
We harvest, clean, and inject into the pipeline for use in transportation
Pros and cons
We can go into that separately or send you some white papers. Just leave us a card.