Three Dozen Natural Gas Fueling Station for Customers This Year
As Facilities Modifications Emerges as Refuse Business Sub-Sector
Clean Energy Fuels completed 14 natural gas fueling station construction projects for refuse customers in the first six months of the year, and said last week that it expects to complete another 22 by year-end.
The various Clean Energy stations support the country’s largest waste companies such as Waste Management, Republic Services and Progressive Waste Solutions, the company said, as well as regional companies like Knight Waste Services (in Texas) and municipalities including the City of Medicine Hat in Alberta, Canada.
Clean Energy refuse revenues come via the construction of new stations and the expansion of existing ones, from recurring revenues from fuel sales and from operating and maintaining stations for long-term refuse customers, and, increasingly, facility modifications. Clean Energy says it’s been contracted “by Waste Management, Republic Services and others to upgrade vehicle maintenance facilities to comply with all local and national code requirements.”
Second Half Typically Stronger
“Despite being the first market to fully adopt natural gas years ago, the refuse industry continues to provide Clean Energy with very healthy growth,” Clean Energy president and CEO Andrew Littlefair said in a release.
“The second half of each year typically provides the most robust activity in station construction for our refuse customers as this is when their new trucks arrive and we believe 2015 will be no exception,” Littlefair said.
Over 60% of the new refuse trucks sold in the United States today are powered by natural gas with some companies reaching 90%. Clean Energy has relationships with over 125 individual waste companies and municipality waste divisions in North America, and over 9,400 refuse trucks fuel at a Clean Energy built or maintained station daily.
‘Almost a Requirement for Refuse Companies’
“It has become almost a requirement for refuse companies to convert at least part of their fleets to natural gas in order to stay economically and environmentally competitive,” business development (solid waste) VP Ray Burke says in the refuse business announcement.
“Clean Energy works with each of our customers to assess their individual needs to make the transition or expansion to natural gas seamless so that they can begin to enjoy the benefits of natural gas fueling without a hiccup,” Burke said.
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Source: Clean Energy Fuels with Fleets & Fuels follow-up