CNG is Now a More Popular Choice for Commercial Fleets

According to Navigant and Market Research, Compressed Natural Gas (CNG) is driving medium/heavy fleet sales, and the future looks to be quite bright for those commercial operating segments. Statistics provided by both research groups suggest an aggregated 60% growth pattern between now and 2035, with specific movement jumping from 4.1 million to 7.3 million units when applied across both vehicle segments.

The spike is being generally driven by use patterns that currently depend on commercial light oil-based gasoline and/or diesel blends. According to Navigant, The MHDV markets’ dependency on oil has pushed governments to examine programs that will speed the adoption of alternative fuel technologies. Less expensive alternatives to petroleum-based fuels, such as natural gas, liquefied petroleum gas, and electricity are beginning to make inroads as fleet managers can see a return on investment in as few as three years given the right circumstances. Natural gas has significant advantage over most alternative fuels, the group concluded.

Currently DOT and EPA regulations are driving the cost of traditional fuels higher, since additional mileage and emissions have been tightened during the last 6 years. The most obvious changes involve California’s call for an overall 20% reduction in fuel consumption for over the road or heavy transportation utilizing semi-truck and other vehicles, along with specific requirements being levied on medium-sized commercial vehicles of up to 15%, and urban utility vehicles like trash and other municipal transit vehicles of up to 10%.

Along with the downward pressure caused by regulatory issues, commercial CNG infrastructure development has continued to expand as economies-of-scale price off-sets begin to apply, particularly in states other than California; these include new utility growth in, Oklahoma, Texas, Tennessee, Kentucky, Pennsylvania and Florida. All in all then, the application of compressed natural gas, looks to be running in the fast lane on the current short list of preferable fuels that offer both environmentally sound and cost sensitive operation.

Recent Articles

Cars of the Future: Promising Alternative Energy Sources

Eco-conscious drivers and scientists are looking for cleaner ways to power their cars. Here are some of the most promising alternative energy sources for the automotive industry

ABB and Volvo Electrifying Public Transportation in Gothenburg

Volvo and ABB are set to introduce eco-friendly electric buses in the streets of Gothenburg, Partille, and Molndal in 2020.

Electric batteries: the future of transportation

How do we tackle climate change and global warming? One way could be adopting newer technologies especially in one major area: Transportation. Here's a look at some of the best electric battery technologies.

Electric Vehicle Start-Up Faraday Future Receives $2B in Funding

Towards the end of last year, Faraday Future was said to have secured some fresh source of funding. The electric car start-up has now confirmed receipt of $2 billion to aid in the construction of its first EV by the end of the year.

Hyundai Will Use “Second Life” EV Batteries to Store Energy

Hyundai is partnering with Wärtsilä, a Finnish energy storage firm, to make use of the so-called second life electric car batteries for stationary energy storage.

Related Stories

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay on op - Ge the daily news in your inbox

shares