UPS steps on the renewable gas
In a statement issued yesterday (20 November), UPS said this was its largest investment in RNG to date. The agreement runs through 2024.
Use of RNG yields up to a 90% reduction in lifecycle greenhouse gas emissions when compared to conventional diesel.
In addition to the agreement with Big Ox, UPS signed a five-year agreement earlier this year with AMP energy for 1.5 million gallon equivalents of RNG per year from the Fair Oaks dairy farm in Indiana.
UPS said that the RNG agreements will help the company reach a key sustainability goal: 40% of all ground transportation fleet fuel from sources other than conventional gasoline and diesel by 2025.
“Natural gas is a proven alternative fuel to gasoline and diesel and is a key building block for our goal to reduce greenhouse gas emissions in our ground fleet,” said Mike Casteel, UPS director of fleet procurement. “These agreements add significantly to our investment in the use of RNG and will help put us on track to nearly triple our annual use of RNG. They are also a direct reflection of our ongoing commitment to help shape the renewable natural gas industry.”
UPS fueling stations in Lexington, Ky.; Louisville, Ky.; New Stanton, Pa.; Richmond, Va.; Roanoke, Va.; West Columbia, S.C.; Horsham, Pa. and Doraville, Ga. will use the Bix Ox RNG to fuel UPS delivery vehicles and tractors.
RNG, also known as biomethane, can be derived from a range of renewable sources, including decomposing organic waste in landfills, wastewater treatment and agriculture.
UPS used 61 million gallons of natural gas in its ground fleet in 2016, which included 4.6 million gallons of RNG. The company said it is on track to use 14 million gallons of RNG in 2017. UPS drives more than 5,200 compressed natural gas (CNG) and liquefied natural gas (LNG) vehicles in its fleet of alternative fuel and advanced technology vehicles. Earlier this year, UPS announced a $90m+ investment in natural gas vehicles and infrastructure. This investment included an additional six CNG fueling stations, 390 new CNG tractors and terminal trucks, and 250 LNG vehicles.
