ACT Expo 2018 Takeaways: Natural Gas Continues To Lead The Way But Host Of Other Technologies & Fuels Gaining Traction As Part Of “All Of The Above” Strategy

Posted by on May 24, 2018 in Blog/News

ACT Expo 2018 Takeaways: Natural Gas Continues To Lead The Way But Host Of Other Technologies & Fuels Gaining Traction As Part Of “All Of The Above” Strategy

Following up on many questions we have received about ACT EXPO 2018 we though it would be great to share a well-written summary provided by Graig-Halum Capital Group so that you know what you have missed if you did not attend. In this the 8th year of the conference a main takeaway was greater industry activity levels, higher attendance, and a more broad array of fuels and technologies. While not getting the splashy headlines of some other ACT participants, it is clear that natural gas CNG, LNG, RNG is far and away the most advanced fuel technology and ready to scale with 2018 potentially set to be a record year for the industry led by the CWI ISX12N engine. For emerging technologies, ACT Expo marked a meaningful uptick in electrification, both battery-electric and fuel cell powered, and established fuels such as propane growing in certain areas and applications of the market (most notably school bus). With more stringent emissions requirements, growing sustainability initiatives, and growing demand from corporate and municipal customers, OEMs face a “dynamic fork in the road” in how to get positioned with alternatives as the market seeks to move away from diesel. This OEM strategy is an “all of the above strategy” for energy optionality, with each fuel and technology positioned for different parts of the market and at different stages of development, and China and Europe an example of the path forward. An additional emerging tailwind is rising prices for traditional fuels. All of this will impact numerous companies in our Clean Technology & Industrials coverage universe. Below are some of our key takeaways from the event including some of our checks: Natural gas is the mature fuel/technology and the blueprint for other alternatives While almost under the radar at ACT Expo, which often highlights the newest and emerging technologies (this year’s heavy focus was on electrification), natural gas and renewable natural gas (RNG) is where the majority of OEM and fleet activity is occurring. Aside from propane (an established fuel), the rest of the industry is now going down the development path that natural gas has already gone over the last 10+ years. Other fuels and technologies will eventually get there, but natural gas has a clear technology path with many product improvements and lessons learned. Natural gas also has a developed and expanding fueling infrastructure, widespread maintenance capabilities, and system costs which continue to come down. We heard a common viewpoint that performance issues are largely a thing of the past and stable fuel prices are also an important adoption driver. Significant demand for the CWI ISX12N with industry potentially positioned for a record year Our checks at ACT Expo indicate that there is strong early demand for CWI’s near-zero natural gas product offering (ISX12N, L9N, B6.7N). At the show, Kenworth unveiled the first OEM truck with the ISX12N available for sale. We...

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California to spend $1.5 billion to expand alternative transport fuel

Posted by on Sep 19, 2017 in Blog/News

California to spend $1.5 billion to expand alternative transport fuel

September 15, 2017. A legislative agreement has been reached to direct up to $1.5 billion of revenue from California’s greenhouse gas (GHG) emissions allowance to expand the use of alternative transportation fuels, including natural gas (CNG), according to reports. Earlier this month, a group of California state senators advocated increasing funding by $1 billion to reduce emissions from trucks and buses, the source of more than a quarter of state GHG emissions. The increase to $1.5 billion would come from extra funds held over from last year’s cap-and-trade program, which was extended in July for another decade. In the new legislative deal, $895 million is earmarked for new vehicles, with allocations to the ports ($140), farm vehicles ($85 million), and electric vehicles ($140 million). Another $300 million previously targeted for environmental justice programs would be reallocated to more vehicle programs, according to a report in the Los Angeles Times. For natural gas, low-nitrogen oxide engine renewable natural gas-fueled trucks and buses are among the zero and near-zero emission technologies being advocated, according to CALSTART, an industry group that has advocated for increased revenue funding. Earlier this month CALSTART Senior Vice President Bill Van Amburg said the state and industry had reached a “pivotal point” where technology is emerging to “move toward a future where trucks and buses produce either zero or virtually zero emissions.” State Sens. Ricardo Lara, Richard Pan, Nancy Skinner and Bob Wiechowski have proposed to get the funding from the GHG cap-and-trade system, which last month sold out its quarterly auction at all-time record high prices for the pollution credits. “This would amount to a tripling of the amount of funds spent last year,” a CALSTART spokesperson...

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Get ready to claim your $0.50/gallon alternative fuels excise tax credits and $30K alternative refueling infrastructure tax credits for 2014

Posted by on Dec 18, 2014 in Blog/News

Get ready to claim your $0.50/gallon alternative fuels excise tax credits and $30K alternative refueling infrastructure tax credits for 2014

On Tuesday night, the U.S. Senate passed the Tax Increase Prevention Act of 2014, which holds among its dozens of provisions an extension of the federal $0.50/gallon alternative fuels excise tax credits and a return of the 30% alternative refueling infrastructure tax credits. The House passed the bill, H.R.5771, on Dec. 3. President Obama is expected to sign the legislation. The excise tax credits cover compressed natural gas (CNG), liquefied natural gas (LNG), propane autogas and other alternative transportation fuels. The incentive last expired at the end of 2013, and it had not been extended this year. H.R.5771 extends the measure through 2014, so all alt-fuel purchases made this calendar year are eligible for the credit. However, the lame-duck Congress did not opt to extend the credits into 2015 and beyond, and the many industries whose tax credits received only a one-year bump are hoping that the new Congress takes up more comprehensive, long-term tax incentives in 2015. For its part, the 30% alternative refueling infrastructure tax credit is an incentive designed to promote the buildout of CNG and other refueling stations. The credit is capped at $30,000. Additionally, H.R.5771 reinstates the $1,000 home refueling tax credit for 2014. We have called and personally informed about this development as well as the right way to capture those credits those clients that have purchased equipment through CNG Center. If you end up buying CNG fueling equipment from someone else or was operating public access CNG fueling station in 2014 please keep an eye on this development as it may help you to put thousands of dollars back in your...

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Trying to make sense of CNG terminology? Here’s a CNG glossary to help you.

Posted by on Sep 24, 2013 in Blog/News

Trying to make sense of CNG terminology? Here’s a CNG glossary to help you.

Many of our callers are confused with the common CNG terminology. Please refer to this page as guide for your CNG glossary to better understand what those abbreviations stand for. Btu (British Thermal Unit) Btu corresponds to the amount of energy required to raise the temperature of one pound mass of water by 1° F DGE (Diesel Gallon Equivalent) DGE corresponds to the amount of CNG containing the same energy content as one gallon of diesel. Ultra-low sulfur diesel has slightly less energy than traditional diesel, so 1.35 therms per DGE is commonly cited conversion rate. GGE (Gasoline Gallon Equivalent) GGE corresponds to the amount of CNG containing the same energy content as one gallon of gasoline. The typical conversion rate is 1.25 therms per GGE. Inlet or Suction Pressure Both inlet and suction pressure refer to the incoming pipeline gas pressure that supplies the CNG station. Inlet pressure is one of the main factors that determines the overall flow rate of a CNG station. LNG (Liquefied Natural Gas) LNG is natural gas that has been cooled to -259 degrees Fahrenheit (-161 degrees Celsius) and then condensed into a colorless, odorless, non-corrosive and non-toxic liquid. LNG is characterized as a cryogenic liquid. Methane Methane (CH4), commonly known as natural gas, is an abundant, colorless gas that burns efficiently without many byproducts. As methane is naturally odorless, it has a distinctive odor added as a safety measure. MMBtu One Million Btu. PSI (Pounds per Square Inch) PSI refers to pressure measured with respect to atmosphere pressure. Pressure gauges are adjusted to read zero at the surrounding atmospheric pressure. SCF (Standard Cubic Foot) Contains approximately 1,000 BTU. SCFM (Standard Cubic Feet per Minute) SCFM is the standard measurement for the flow rate of gas. A CNG station with a flow rate of 125 SCFM equates to 1 GGE per minute. Therm 100,000 British thermal units (BTU). A common measure of gas as sold by utilities. Attached is a unit conversions fact sheet for most of the units used in Energy...

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CNG vs Diesel and ROI Calculator

Posted by on Aug 9, 2013 in Blog/News

CNG vs Diesel and ROI Calculator

Natural gas vehicles help fleets go green and add green to the bottom line. While the cost of diesel continues to rise, the cost of natural gas remains steady and significantly cheaper. Use this CNG vs Diesel calculator below to find out how much money you can save by choosing Natural Gas fuel for your vehicles. CNG vs Diesel 1. CNG prices are typically listed in gasoline gallon equivalent (GGE). For comparison purposes, all CNG prices and cost calculations include a conversion into diesel gallon equivalent (DGE). DISCLAIMER: Calculated savings based on testing performed by DTNA and customer input. Calculation includes numerous assumptions please click assumptions button in a player. Actual savings may vary and will depend on a variety of factors including load equipment type, driver performance, distances traveled, road conditions, vehicle speed, idle time, PTO time, etc. CNG ROI Calculator This payback depends on the efficiency of the vehicles and the mileage a company puts on its regular gasoline fuel truck fleet. The lower the efficiency and the higher the mileage, there will be a quicker return on investment.   Unit Conversion The purpose of this tool is to help you with converting whatever you want converted into units you understand. From the common feet to meters and gallons to liters, to more sophisticated measurement units, we have it all here in one...

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More grants in Texas for CNG equipment in 2013

Posted by on Jun 19, 2013 in Blog/News

There are plenty of grants in Texas for CNG ! In Texas and across the nation, air pollution is a problem. Many cities and communities in the eastern half of Texas, along with El Paso, are not meeting the air quality standards that have been established by the United States Environmental Protection Agency (EPA). Other cities in the eastern region of our state are on the verge of failing to meet these EPA standards. Everyday activities, such as driving a vehicle and operating industrial equipment, contribute to the creation of two types of pollutants—nitrogen oxides (NOx) and volatile organic compounds (VOCs). These pollutants combine readily in hot, stagnant air to form ground-level ozone, which, in high concentrations, can cause shortness of breath, coughing, wheezing, headaches, nausea, and throat and lung irritation. Texas strongly support the implementation and promotion of Alternative Fuel Infrastructure development and have committed serious money through a number of TERP programs like Alternative Fueling Facilities Program, to offset the initial price tag. We see lots of grants in Texas for CNG equipment purchase and CNG fueling station development. The Texas Emissions Reduction Plan (TERP) was established by the 77th Texas Legislature in 2001, through enactment of Senate Bill (SB) 5 . The TERP includes a number of voluntary financial incentive programs, as well as other assistance programs, to help improve the air quality in Texas. The goals of the TERP, as set forth in SB5, are to: assure that the air in this state is safe to breathe and meets minimum federal standards established under the Federal Clean Air Act (42 U.S.C. section 7407); develop multipollutant approaches to solving the state’s environmental problems; and adequately fund research and development that will make the state a leader in new technologies that can solve its environmental problems while creating new business and industry in the state. In addition to these general goals, a primary purpose of the TERP is to replace, through voluntary incentive programs, the reductions in emissions of oxides of nitrogen that would have been achieved through two mandatory measures that SB5 directed the TCEQ to remove from the State Implementation Plan (SIP) for the Dallas–Fort Worth (DFW) and Houston-Galveston (HGA) ozone nonattainment areas. Those reductions totaled 35.2 tons per day (tpd), to be achieved in 2007. Besides TERP funds for CNG fueling stations and CNG conversions local organizations introduce grants to stimulate the interest which can greatly help to get a shorter term ROI on your investment. If you are looking for a grants in Texas for CNG equipment purchase and station development please give us a call so that we can advice availability of State and Federal government funding in your area. Other States also have numerous inventive programs to stimulate CNG station development and we can assist you with properly locating all that may be applicable for your project. See the latest list...

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