The Benefits of Natural Gas Vehicles

Corporate Sustainability is increasingly becoming a priority for many companies for a number of reasons: consumers want to buy from a “green” company, increased efficiencies result in savings to the bottom line, and reduced carbon footprints are good for the environment. As companies implement corporate sustainability initiatives, one strategy they are adopting is the use of natural gas vehicles (NGVs). Transitioning to a natural gas vehicle comes with a number of benefits:

1)      Good for the environment – Natural gas is cleaner than traditional diesel vehicles. NGVs produce fewer pollutants than other fuel options such as diesel, and they also reduce greenhouse gas emissions (EPA). According to Natural Gas Vehicles for America, “In the U.S. alone, NGVs offset the use of nearly 360 million gallons of gasoline in 2011.”

2)     Safety – In the event of an accident, natural gas is safer than other traditional fuels. Because it is lighter than air, it will dissipate into the air, versus leaking onto the ground and increasing the risks of a fire. For this same reason, it also prevents the pollution of any nearby water supply in the event of a spill. The tanks that store natural gas are also stronger than standard gasoline tanks.

3)   Reduced Costs – Companies with large fleets will see a reduction in fuel costs because natural gas is less expensive and the price does not fluctuate as much as diesel. For example, the cost of natural gas can be anywhere from $1.50-$2.00 less per gallon than traditional diesel.

4)   Good for the Economy – The transition to natural gas creates additional local jobs because it needs a supporting infrastructure to maintain. It also brings out-of-state investments.

Despite all of the benefits, adoption has not been widespread. This is due to a lack of infrastructure to support a commercial fleet of NGVs. There is also a very limited number of fueling stations and maintenance facilities in the U.S. that support this type of vehicle. This transition also comes with higher upfront costs in order to acquire the new vehicle technology.

In order to combat these challenges, some states are creating public/private partnerships to aid companies with the costs of transitioning. After all, this kind of support benefits states implementing their own initiatives to reduce their overall carbon footprint.

To learn more about the benefits of natural gas vehicles and which states are already adapting to increase their use, read this article by Scott Perry, VP of Supply Management for Ryder,  about how states can create a model for natural gas vehicle deployment.