UPS Investing $100 Million in CNG Vehicles and Infrastructure

Posted by Lauren Tyler on March 15, 2016 No Comments
Categories : Up Front

UPS has announced plans to build 12 new compressed natural gas (CNG) fueling stations and add 380 new CNG tractors to its growing alternative fuel and advanced technology fleet. The CNG fueling stations and vehicle purchases totaling $100 million are part of UPS’ ongoing commitment to diversify its fuel sources and reduce its environmental impact.

“At UPS, we own our fleet and our infrastructure. That allows us to invest for the long term, rather than planning around near-term fluctuations in fuel pricing,” says Mark Wallace, UPS senior vice president of global engineering and sustainability. “CNG is part of a broad investment in a variety of alternative fuel vehicles. Taken together, all of our alternative fuel vehicles represent 6% of the more than 100,000 UPS global fleet and have driven a 10% annual reduction in use of conventional fuel.”

UPS is working to meet its goal of logging 1 billion miles with its alternative fuel and advanced technology fleet by the end of 2017, using a Rolling Laboratory approach to determine the right alternative fuel solutions to meet the needs of route-specific driving environments.

The 12 new CNG stations will be built by TruStar Energy in Amarillo, Texas; Chattanooga, Tenn.; Columbia, S.C.; El Paso, Texas; Fort Worth, Texas; Kansas City, Kan.; Phoenix; Reno, Nev.; San Antonio; Tifton, Ga.; Trinidad, Colo.; and Willow Grove, Pa. The new CNG tractors to be deployed in these cities will be manufactured by Kenworth, and Agility and Quantum Fuel Systems will provide the CNG storage systems.

This investment builds on the company’s existing 18 CNG fueling stations in Alabama, California, Colorado, Georgia, Kansas, Kentucky, Louisiana, Oklahoma, Pennsylvania, Texas, Virginia and West Virginia. UPS also recently added renewable liquefied natural gas (LNG) to its Texas fleet.

UPS operates one of the largest private alternative fuel fleets in the U.S. with more than 6,840 all-electric, hybrid electric, hydraulic hybrid, CNG, LNG, propane and lightweight fuel-saving composite body vehicles.

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