BP is expanding its renewable natural gas (RNG) supply agreement with Clean Energy Fuels Corp.
As more fleets request RNG, Clean Energy says the agreement enables BP to flow larger volumes of RNG to Clean Energy stations. In turn, Clean Energy will share in the incremental environmental credit revenues generated from the incremental RNG volume.
Clean Energy notes it has grown sales of its Redeem-branded RNG from 22 million gasoline equivalent gallons (GGEs) in 2014, the first full year it was available, to an expected 100 million GGEs in 2018.
“The growth of our Redeem RNG has been astounding as municipalities and companies all over the country are achieving their sustainability and greenhouse gas-reduction goals by switching their fleets,” states Andrew J. Littlefair, Clean Energy’s president and CEO. “This agreement combines BP’s significant investments in RNG projects and supply network with Clean Energy’s vehicle fueling network and will help to create certainty for future RNG project development and continue to accelerate adoption of natural gas vehicle fueling.”
“As one of the largest suppliers of renewable natural gas to the U.S. transportation sector, BP is committed to supporting the transition to a lower-carbon energy future,” adds Sean Reavis, BP’s senior vice president for global environmental products. “Our agreement with Clean Energy reflects that commitment, and we believe today’s announcement will help to accelerate the growth of RNG and promote a more sustainable energy mix.”
Redeem RNG is derived from biogenic methane, biomethane or biogas, which is methane that is naturally generated by the decomposition of organic waste. The methane gas is processed, purified and sent into the interstate natural gas pipeline. It is currently available exclusively to Clean Energy customers.