Texas CEQ Grants Money for New Kenworth Vehicles Under TNGVGP
As AGL’s Pivotal LNG Publicizes Deal to Supply LNG to UPS in Tennessee
UPS has Texas Commission on Environmental Quality (TCEQ) funding for approximately 130 new liquefied natural gas trucks. The Texas purchases alone will more than double the package and logistics firm’s existing fleet of 112 Kenworth tractors, which operate primarily out of Southern California and Las Vegas.
Separately, the Atlanta-based Pivotal LNG unit of AGL Resources said Tuesday that it has an agreement with UPS to provide LNG for trucks at Nashville and Knoxville, Tenn., where it says UPS is replacing diesel tractors with LNG-fueled units.
“These tractors will operate on high-mile routes in Tennessee and surrounding states,” UPS fleet procurement director Mike Casteel says in a Pivotal-AGL release.
“AGL Resources is providing an economical and secure source of fuel, allowing us to justify the incremental capital investment in LNG infrastructure and vehicles,” Casteel said. A 10-year contract calls for Pivotal LNG to provide UPS with an average of 500,000 gallons of LNG per month for its fueling stations, which UPS will own and operate, the announcement states.
The money for the new trucks in Texas is being awarded via TCEQ’s Texas Natural Gas Vehicle Grant Program.
800 LNG Trucks for UPS by the End of 2014?
“The TNGVGP provides grants to encourage owners and operators of heavy- or medium-duty motor vehicles to repower their vehicles with a natural gas engine or replace them with natural gas vehicles,” TCEQ notes.
The contracts were handled though MHC Kenworth in South Dallas.
The New York Times reported in an excellent summation of the natural gas trucking market yesterday that UPS will shortly announce plans to expand its fleet of LNG trucks to approximately 800 by the end of 2014.
Mack Trucks showed its new LNG-fueled Pinnacle axle back tractor in UPS colors at the Mid-America Trucking Show 2013 in Kentucky last month (F&F, March 22).
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Source: Texas CEQ, New York Times, Fleets & Fuels follow-up