British Columbia-based energy company FortisBC has developed an incentive program that is designed to help fleet operators purchase heavy-duty natural gas vehicles (NGVs). The company's initiative has been rolled out in connection with the provincial government's new Greenhouse Gas Reduction regulation.
The $104.5 million in program funding includes $62 million aimed at offsetting the incremental capital cost of purchasing natural gas vehicles. Approximately $30.5 million will go toward liquefied natural gas fueling stations, and $12 million will be invested in compressed natural gas stations.
FortisBC, which has already worked with fleets such as Waste Management and Vedder Transport on their NGV initiatives, will be applying to the B.C. Utilities Commission for a determination on how program costs will be recovered from all gas utility customers.
During the initial phase of the program, FortisBC will provide incentives of up to 80% of the incremental cost of buying a natural gas vehicle. The company's plan is to decrease the funding by 10% each following year as the adoption of NGVs in heavy-duty transportation increases. The program is expected to expire in 2017.
