Alternative Fuel Tool Kit

How to Implement: Compressed

Natural Gas

Contents
Introduction to Compressed Natural Gas (CNG)............................................................................................................. 2
Benefits of Using Compressed Natural Gas .................................................................................................................... 3
Various Applications, Available Vehicles, Vendors in the NC Market .......................................................................... 4
Fuel & Infrastructure Providers .......................................................................................................................................... 6
Crunch the numbers – Vehicle cost calculators .............................................................................................................. 9
North Carolina CNG Case Study ..................................................................................................................................... 10
Trends Looking Ahead ...................................................................................................................................................... 10

This material is based upon work supported by the Department of Energy under Award Number DE-EE0006083.

This report was prepared as an account of work sponsored by an agency of the United States Government. Neither
the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or
implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any
information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned
rights. Reference herein to any specific commercial product, process, or service by trade name, trademark,
manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by
the United States Government or any agency thereof. The views and opinions of authors expressed herein do not
necessarily state or reflect those of the United States Government or any agency thereof.

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Introduction to Compressed Natural Gas (CNG)
What is Compressed Natural Gas?
Compressed natural gas (CNG) is a clean-burning alternative to gasoline or diesel used in transportation.
Made of predominantly methane (CH4), natural gas is the most commonly used alternative vehicle fuel in the
United States.1 It is drawn from wells or extracted during crude oil production. While some petroleum is used in
the production of natural gas, using it as a transportation fuel reduces petroleum consumption by more than
90% compared to gasoline.2 In transportation, natural gas is used either as CNG or as liquefied natural gas
(LNG).

Benefits of this fuel include cost savings,

reduced emissions, ease of vehicle
maintenance, and increased energy security.

Because natural gas has a lower energy

density than liquid petroleum fuels, it is either
compressed or liquefied to store more energy
for increased vehicle range. Therefore, to use
natural gas, vehicles must have a CNG- or
LNG-specific fuel storage and delivery
system installed. The installation can be done
on a vehicle after it has been manufactured
(i.e., CNG aftermarket retrofit) or at the
vehicle factory as part of its original
equipment. In the medium and heavy duty
market, there are engine options that are
designed to run exclusively on natural gas,
as well as conversion options. In the light
Figure 1. Natural gas is a popular choice for use in vehicles duty market, there are a few ‘direct from the
in the United States.2 manufacturer’ CNG options available. There
is also a gaseous prep package option for the
standard gasoline engine, which costs around $300 and includes hardened valves and valve seats. It is
recommended that engines that will use natural gas have hardened valves and valve seats, because as a dry
fuel, natural gas does not have the cooling effect and lubricity of liquid injected petroleum fuels. A “prepped”
vehicle is then ready to be sent to a qualified system retrofitter to be up-fitted with a CNG system, with no
engine modifications required and no impact on the manufacturer’s powertrain warranty.

On CNG vehicles, natural gas must be compressed before being stored on the vehicle. This compression
takes place at the fueling site, using specialized equipment. Because natural gas currently is not as widely
available as conventional fuels, vehicles that regularly return to a fleet yard are ideal for natural gas fueling.

1
http://www.eia.gov/renewable/afv/?src=Renewable-b5
2
http://www.afdc.energy.gov/vehicles/natural_gas_emissions.html. The prices are compiled and reported quarterly by region and then averaged over
each year.
2
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Benefits of Using Compressed Natural Gas

Cost savings:
One advantage of compressed natural gas is that it costs less than gasoline or diesel. While the cost can vary
by year, in 2012 the average cost per gasoline gallon equivalent (GGE) of CNG was about $1.50 less than
gasoline or diesel fuels.3

U.S. Average Retail Fuel Prices

2006-2012
$4.00

$3.50

$3.00
Cost per GGE

Gasoline

$2.50
Diesel

$2.00
CNG

$1.50

$1.00

www.afdc.energy.gov/data/

Figure 2. 2006-2012 US Average Retail Fuel Prices4

A number of factors influence natural gas prices, including the amount being produced, stored, imported and
exported at any given time.5 Transportation fuel prices change often, sometimes dramatically, so while the
graphics in Figures 1 and 2 can provide some insight into longer term fuel price trends, it is best to contact
natural gas providers and local CNG retailers directly for the most current prices in your area.

Energy Security:
According to the U.S. Energy Information Administration, about 40% of the petroleum consumed in the United
States in 2012 was imported from other countries.6 In the same year, only 6% of the natural gas consumed in
the United States was imported from other countries, most of it from Canada.7

Vehicle Maintenance:
CNG vehicles can generally be operated longer between oil changes because natural gas produces less soot
and combustion by-products.8 The ideal interval can be determined by sending oil samples to a laboratory (e.g.
Wear Check in Cary NC) to be tested. Gaseous fuels also do not “wash” the lubrication from the cylinder walls,
so cylinder and ring wear are significantly reduced. This increases the engine overhaul interval – some CNG

4
Ibid.
5
http://www.eia.gov/energyexplained/index.cfm?page=natural_gas_factors_affecting_prices
6
http://www.eia.gov/tools/faqs/faq.cfm?id=32&t=6
7
http://www.eia.gov/energyexplained/index.cfm?page=natural_gas_imports
8
http://www.afdc.energy.gov/vehicles/natural_gas_maintenance_safety.html
3
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users have reported engine overhaul intervals two to three times greater than gasoline vehicles running similar
duty cycles.

Emissions Reductions:
Although currently unregulated, natural gas fuel reduces greenhouse gas (GHG) emissions by about 6% - 11%
when compared to gasoline.9 The United States Environmental Protection Agency regulates emissions for all
vehicles. In recent years, the emissions benefits of natural gas fueling have been reduced because all vehicles
are held to higher standards. Using natural gas may reduce some regulated emissions, including
hydrocarbons, oxides of nitrogen, and carbon monoxide. These reductions differ based on the type of vehicle
and its duty cycle. The greatest benefit is achieved when replacing diesel vehicles older than 2007 as emission
standards were significantly tightened for diesel vehicles in 2007 and again in 2010.

Various Applications, Available Vehicles, Vendors in the NC Market

There are now a number of natural gas vehicle (NGV) options for fleets to
consider. Major automakers are adding NGVs to their production lines, and
CNG Fleet Applications there are a number of conversion options for most light and medium duty
in North Carolina vehicles.

 Transit/Paratransit NGVs can be categorized as either compressed natural gas (CNG) or

 Waste & Recycle liquefied natural gas (LNG) vehicles. CNG is made by compressing natural
Haulers gas to less than 1% of the volume it occupies at standard atmospheric
 Delivery & Work Vans pressure. It is stored and distributed in hard containers at a pressure of 200–
 Pickup Trucks 248 bar (2,900–3,600 psi), usually in cylindrical or spherical shapes. LNG is
 Utility Trucks natural gas that has been converted to liquid form for ease of storage or
 Sedans & SUVs transport, and takes up about 1/600th the volume of natural gas in the
gaseous state. LNG is principally used for transporting natural gas to
markets, where it is regasified and distributed as pipeline natural gas. LNG
can be used in natural gas vehicles, although it is more common to design vehicles to use CNG. This
document focuses primarily on CNG as a vehicle fuel, since that is currently the predominant type of NGV
used in North Carolina.

CNG Vehicle types and availability

Compressed natural gas can be used in most light-, medium-, or heavy-duty applications. Dedicated vehicles
operate only on CNG. Bi-fuel vehicles may operate on CNG or gasoline. A bi-fuel vehicle will have 2 fueling
ports and one or more CNG tanks in addition to a gasoline tank. Dual-fuel vehicles use mix of natural gas and
diesel, with diesel injected near the top of the compression stoke as an ignition source. A dual fuel engine can
operate on 100% diesel or a mixture of natural gas and diesel (maximum of 90% natural gas10). In general,
dedicated CNG vehicles demonstrate better performance and have lower emissions than bi-fuel vehicles
because their engines are better optimized for CNG fuel.

The U.S. Department of Energy’s Alternative Fuel Data Center annually compiles a list of available light duty
bi-fuel natural gas vehicles11, light duty dedicated natural gas vehicles12, and medium/heavy duty natural gas
vehicles and engines.13 The North Carolina Clean Energy Technology Center also maintains a listing of CNG
vehicle options.

9
http://www.afdc.energy.gov/vehicles/natural_gas_emissions.html
10
http://www.cleanairpower.com/dual-fuel.html
11
http://1.usa.gov/1d8MXm5
12
http://1.usa.gov/1j8g4e8
13
http://1.usa.gov/1gNAJjL
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North Carolina is fortunate to have two companies involved with the manufacturing or up-fitting of natural gas
engines. CNG upfit company Altech Eco14 in the Asheville area is a Qualified System Retrofitter for Ford.
Cummins Westport15 in Rocky Mount manufactures the ISL G 8.9L engine for medium- and heavy-duty
applications.

Any state agency and local government, as well as some non-profit service agencies, can procure vehicles
from the NC Department of Administration Purchasing and Contracting Division contract. Please refer to the
current state bid calendar,16 which includes available vehicles, bid and contract dates. Currently, Nuovo Energy
Solutions, LLC is listed as the company for natural gas conversions. Fleets may also purchase CNG vehicles
from Honda, Ford, Ram, and GMC/Chevy dealers, as excerpted below from the North Carolina Clean Energy
Technology Center’s “Clean Transportation Technology Industry Directory” (pages 5- 10). In addition to light
and medium duty options below the Directory also includes information on heavy duty CNG and refueling
infrastructure providers that serve the North Carolina market.17
 Honda Civic Natural Gas: http://automobiles.honda.com/tools/dealer-locator/?type=gxc
 Ford: http://www.ford.com/dealerships
 Ram: http://www.ramtrucks.com/en/#ram_1500
 GMC/Chevy: http://www.gmfleet.com/specialty-vehicles/fuel-efficiency.html

Selecting CNG Vehicles

There are three main ways to utilize CNG vehicles in fleet applications:
1. Purchase new, dedicated CNG vehicles. These vehicles may best be used if fueling infrastructure is
plentiful and convenient; e.g., if you plan to install fueling infrastructure on-site, and/or you can find
CNG stations convenient to your driving routes. Heavy-duty applications do not currently offer an option
for bi-fuel, so it is necessary to carefully analyze fuel needs and infrastructure location.
2. Purchase new, bi-fuel CNG vehicles. These vehicles may best be used if fueling infrastructure is less
convenient to the fleet location or driving route. When CNG is not available, an on-board computer
system can switch the fuel to gasoline.
3. Convert existing vehicles to a bi-fuel, dual-fuel or dedicated CNG system. Bi-fuel CNG systems run on
either gasoline or CNG. Dual-fuel CNG systems for long haul trucks, such as Detroit diesel engine
conversions, run simultaneously on CNG and diesel.18 In the medium duty and heavy duty market,
there are companies that will do a diesel engine to natural gas engine conversion, such as NVG Motori,
Omnitek, NVG Repower and Power Solutions International. More gasoline vehicles are becoming
available every year that may be converted to a bi-fuel CNG system. NGV America maintains a
database of engines and vehicles19 eligible for conversion.

Additional Considerations: The Three “C’s”

Fleet managers should consider the following when making purchasing
CNG Vehicles can cost an
decisions:
additional $6,000-15,000
1. Cost. Natural gas vehicles (NGVs) cost more than gasoline or diesel
for light-duty vehicles, or
vehicles, whether factory made or converted after market. This is
$40,000-$60,000 for
largely due to the greater expense of high-pressure fuel tanks, which
heavy-duty vehicles
are necessary to store CNG onboard the vehicle.20 However, natural
compared to traditional
gas fuel is significantly less expensive than gasoline in North Carolina
gasoline or diesel
(about $1.50 cheaper in 201221). Maintenance requirements for natural
vehicles.
gas vehicles are different from gas and diesel, costing less for some
things and more for others. Differences in routine maintenance

14
http://www.transecoenergy.com/
15
http://www.cumminswestport.com/models/isl-g
16
https://docs.google.com/a/ncsu.edu/file/d/0B1L uScUZTktnMmd0V2ZvLU9aV2c/edit?pli=1
17
http://nccleantech.ncsu.edu/wp-content/uploads/Clean-Transportation-Technology-Industry-Directory.pdf
18
http://www.landiusa.com/epa-approval-of-dual-fuel-cng-system-for-detroit-diesel-12-7l-s60-engine.html
19
http://www.ngvamerica.org/vehicles/vehicle-availability/
20
http://www.ngvamerica.org/vehicles/consumers/
21
http://www.afdc.energy.gov/fuels/prices.html. The prices are compiled and reported quarterly by region and then averaged over each year.
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 requirements between CNG and diesel are cost-neutral.
2. Certification. The U.S. Environmental Protection Agency (EPA) requires proof that conversion systems
meet emissions and on-board vehicle diagnostics standards. To meet these requirements, use only
certified manufacturers when choosing a conversion system. The database provided by NGV America
is a comprehensive list of certified conversions (see above). The U.S. Environmental Protection Agency
(EPA) also maintains a database of certification documents22, which is updated periodically. Users may
search for a specific vehicle converter and fuel type.
3. Cylinders. Unlike gasoline tanks, CNG cylinders are only certified for a limited period of time before they
expire. Due to improved technology in manufacturing techniques, the NGV industry’s most recent
standards for cylinder life are 20 years, with labeling requirements setting a "Do not use after" date.23

The National Highway Traffic Safety Administration (NHTSA) mandated notices be affixed to all CNG
cylinders for vehicles produced after Dec. 2, 1996. The notices state the cylinders should be inspected
for damage or deterioration every 36 months or 36,000 miles, whichever comes first, or after a fire or
accident.24

Fuel & Infrastructure Providers

Fueling options and availability

There are a number of publicly accessible CNG
dispensers in North Carolina, as shown in Table 1.
Many fleets using natural gas depend on these publicly
available stations for their operation. Much like a typical
gasoline or diesel station, the driver pulls up to the
dispenser and uses a credit card or fuel card to
purchase fuel. Filling the vehicle’s tank is comparable
to filling with a petroleum fuel. No prior scheduling is
required, although some stations are only open during
regular business hours.

One advantage of using publicly available stations is

cost savings. The fleet does not need to install and
maintain its own dispensing equipment. On the other
hand, the fleet may be inconvenienced if the dispenser
goes down for service, if there is a high demand and Figure 3. Public Station in Durham
wait time, or if there are other accessibility issues.
Some fleet managers negotiate a bulk price for fuel when they operate their own stations, but are unable to do
so when using a public station. The table below shows the CNG stations in North Carolina as of February
2014.

City Station Name Street Address Station Phone

Arden NC – CNG 2618 Hendersonville Rd 828-654-8300
Asheville City of Asheville 45 McCormick Pl 828-259-5700
Asheville PSNC Energy 15 Overland Industrial Blvd 877-776-2427
Charlotte Piedmont Natural Gas 112 Verbena St 919-235-6006
Dudley Piedmont Natural Gas 250 Five Points Rd 919-235-6006

22
http://iaspub.epa.gov/otaqpub/
23
Older CNG cylinders manufactured in the early 1990’s expired after 15 years.
24
http://www.government-fleet.com/channel/green-fleet/article/story/2010/05/what-happens-when-your-cng-tanks-expire.aspx?prestitial=1
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 Durham PSNC Energy 2541 Whilden Dr 877-776-2427
Fayetteville Piedmont Natural Gas 1069 Wilkes Rd 919-235-6006
Gastonia PSNC Energy 800 Gaston Rd 704-810-3282
Greensboro Piedmont Natural Gas 2611 Greengate Dr 919-235-6006
Hendersonville Henderson County 320 Williams St 828-697-4809
Hickory City of Hickory 1441 9th Ave NE 828-323-7573
High Point Piedmont Natural Gas 2623 Uwharrie Rd 919-235-6006
Lexington Davidson County 925 N Main St 336-242-2250
Raleigh PSNC Energy 2712 Discovery Dr 877-776-2427
Raleigh City of Raleigh 4120 New Bern Ave 919-996-2733
Raleigh PSNC Energy 4211 Global St 919-836-2428
Troutman PSNC Energy 121 Houston Rd 877-776-2427
Winston-Salem Piedmont Natural Gas 2300 Lowery St 919-235-6006
Table 1. Listing of Publicly Available Fuel Stations in North Carolina.

For current NC CNG refueling/station availability, the Alternative Fuels Data Center has a nationwide
alternative fueling station search tool.25 This tool will display the hours of each station, as well as options for
payment.

Figure 4. Alternative Fueling Station Locator26.

The National Renewable Energy Lab has developed an iPhone application for users to locate the 20 closest
alternative fueling stations within a 30-mile radius of any specified address. The app is available for free
download at Apple’s App Store and can be found by searching “Alternative Fueling Station Locator.”

Establishing a CNG fuel dispensing facility in North Carolina

If you are a fleet that currently operates or wants to manage your own fueling, there are a number of
considerations regarding CNG fueling infrastructure. The Alternative Fuels Implementation Team has created a
guide to installing natural gas fueling stations in North Carolina, called the Natural Gas Station Installation
Guide. This guide includes information on site selection, permitting, working with the fire marshal, and other
valuable information.

25
http://www.afdc.energy.gov/locator/stations/#results?utf8=%E2%9C%93&location=North+Carolina&filtered=true&fuel=E85&owner=all&payment=all&ev
_level1=true&ev_level2=true&ev_dc_fast=true&radius_miles=5
26
Image links to http://www.afdc.energy.gov/locator/stations/
7
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 There are two types of dispensers: time-fill and fast-fill.
The following sections provide more information on these
types of dispensers. The cost of installing a fueling station
will vary based on the amount of fuel to be dispensed, the
amount of compression required, storage needs, and
other factors. Installation of a natural gas fueling station is
an investment with a wide cost range depending on
needs and circumstances – small, time-fill stations
average $10,000, while fast-fill stations could cost from
$400,000 to $2 million depending on size and other
factors.27 The lower price of natural gas compared to
conventional fuels (along with reduced maintenance
costs) will allow the fleet to recoup money on their
investment in infrastructure. Fleets that use a significant
amount of fuel will see a faster rate of return than fleets
that use less fuel.
Figure 5. Public Station in Goldsboro

Time-Fill Dispensers
Vehicles that return to a central location with long
periods of down time can utilize a time-fill dispenser.
Time-fill dispensers allow the use of smaller Barrier Busters – Infrastructure
compressor systems compared to a fast-fill system,
and deliver the fuel directly from the compressor to the  Refer to map of existing and planned
tank on each vehicle. As a result, this type of fueling natural gas stations that are available for
infrastructure is typically less expense to install than public use, or private stations which may
fast-fill stations. Therefore, this is a good fueling provide an opportunity to form a fueling
strategy for vehicles with large tanks that return to a partnership
central location and remain there for several hours. For  Inquire about infrastructure-supplier
example, a refuse vehicle fleet usually returns to a lot agreements, wherein fuel provider pays for
at the end of the day, when vehicles can be filled the fueling station in exchange for long-term
overnight. fuel purchase contracts
 Consider partnership with nearby ‘anchor’
Fast-Fill Dispensers fleets to share infrastructure costs
Fast-fill dispensers operate more like a traditional  Carefully scrutinize fueling needs (current
gasoline or diesel dispenser. A vehicle can be fueled in and future) to avoid overspending on
minutes while the driver waits. This is possible compressor size, on a more expensive “fast
because the natural gas is compressed ahead of time, fill” station when “time fill” station may be
then stored on-site. Because of the storage adequate
capabilities, this type of infrastructure is more
expensive than time-fill stations.

This type of fueling infrastructure is ideal for vehicles that can regularly access the fueling location, but that
might not return to the same location overnight. “Hot-seat” duty cycles, where the vehicle is used continuously
through day and evening shifts are also a good fit. All publicly accessible CNG stations in North Carolina use
fast-fill dispensers, for the convenience of their customers.

27
http://www.afdc.energy.gov/fuels/natural_gas_infrastructure.html
8
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Manufacturers and Options
There are many vendor options for designing and installing natural gas fueling systems. The North Carolina
Clean Energy Technology Center maintains a list of technology providers in the Clean Transportation
Technology Industry Directory.28 The natural gas infrastructure options can be found on page 8.

Crunch the numbers – Vehicle cost calculators

Another helpful tool for selecting a natural gas vehicle is the
Vehicle and Infrastructure Cash-Flow Evaluation Model, or Barrier Busters – Vehicle Costs
“VICE.” It can be accessed from the Alternative Fuel Data
Center.29 This tool will determine the payback period of natural
 Utilize available cost calculators
gas projects, as well as the petroleum displacement and
to select best vehicle options to
greenhouse gas savings.
match operational needs
 Ensure adequate CNG vehicle
The North Carolina Clean Energy Technology Center (NCCETC)
tank size or consider using bi-
also offers a Vehicle Cost Calculator that can be used to compare
fuel systems to accommodate
a baseline fleet to a potential alternative fuel replacement fleet.
range needs
Inputs include average vehicle miles per gallon, fuel costs, vehicle
costs, infrastructure costs, and training costs. It also offers the  Upgrade maintenance facility
option to include vehicle and/or infrastructure financing. This and train staff mechanics to
calculator returns fuel cost per mile, net present value (based on enable in-house work on CNG
cost of capital rate), cumulative savings, return on investment, vehicles
and payback period.

Using this NCCETC vehicle calculator for a hypothetical fleet, the following is a summary comparison of five
new 2014 pickups running on CNG versus gasoline. The assumptions and inputs for this scenario used
include:

 Public fleet using public fueling infrastructure for gasoline and CNG (no infrastructure costs were
included, no rebates or tax incentives were applied).
 Average public fuel prices in Raleigh NC March 2014 ($3.39/gallon for gasoline, $1.71/gge for CNG)
 Average of 15,000 miles driven per year
 Average fuel efficiency of gasoline pickups of 12 miles per gallon
 CNG conversion cost of $8,000 per vehicle
 Technician/driver training cost of $1,000

28
http://nccleantech.ncsu.edu/wp-content/uploads/Clean-Transportation-Technology-Industry-Directory.pdf
29
http://www.afdc.energy.gov/fuels/natural_gas_infrastructure.html
9
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 Vehicle Cost Calculator Results for Return on Investment Estimate
Hypothetical 5-truck Fleet New CNG vs. Gasoline Pickup Trucks
150%
 Payback period: 5 years
 Annual fuel savings: $9,313 100%
($1,862 per vehicle)
 10-year cumulative savings: 50%
$52,125
 10-year ROI: 127% (see Figure 1) 0%
0 1 2 3 4 5 6 7 8 9 10
-50%

-100%

Figure
-150%1. Hypothetical ROI for 5 pickup CNG fleet.

North Carolina CNG Case Study

There are a number of fleets successfully using compressed natural gas throughout North Carolina. Details
regarding motivation, factors tied to the decision, lessons learned and the overall experience for select fleets
can be found at “CNG Case Study”. Additionally, the Alternative Fuels User Database includes an online,
searchable map that allows website visitors to learn more about some fleets that are already using alternative
fuels, including natural gas. A few North Carolina fleets that use natural gas and are in the Database include:
 BuildSense in Durham, NC
 City of Charlotte Solid Waste Services
 FL Transportation in Charlotte, NC
 Waste Industries across NC
 Public Service North Carolina-Asheville

Trends Looking Ahead

Heavy-Duty Vehicle Fleets
North Carolina’s biggest trend in natural gas vehicles is the adoption of this fuel in heavy-duty fleets. Refuse
haulers in particular have been popular natural gas applications. This is due to the large amount of fuel used in
these vehicles, offering opportunities for excellent cost savings. A single refuse truck traveling 10,000 miles a
year, for example, could save about $9,000 on fuel in that time assuming a fuel efficiency of 2.5 miles per
gasoline gallon equivalent using CNG. Refuse haulers also return to a central location each night, making them
ideal for [usually less costly] time-fill infrastructure. Public and private refuse fleets alike have adopted natural
gas for some or all of their vehicles. The Cities of Charlotte, Greensboro, and Hendersonville, and the Town of
Rocky Mount all deployed natural gas refuse vehicles through the Carolina Blue Skies and Green Jobs
Initiative.30 Waste Industries of Durham and Waste Management in Gastonia are examples of private heavy-
duty fleets adopting natural gas.31

Hydraulic Fracturing
Natural gas reserves in the United States are expanding supply in the United States.32 These reserves can be
extracted using horizontal drilling and hydraulic fracturing, a process also known as “fracking.” At time of
publication, the effects of hydraulic fracturing on the environment and public health are unknown. The U.S.

30
Carolina Blue Skies Program: http://carolinablueskies.net/
31
http://www.wasteindustries.com/News/CNGStationLaunch.pdf
32
http://www.eia.gov/pressroom/releases/press375.cfm
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Environmental Protection Agency is conducting a study on these effects and anticipates its release in 2014.33
The concerns around hydraulic fracturing include the large amount of water used in the fracking process, as
well as the effects of hazardous chemicals mixed near the wells and injected into the fracking water. Currently,
federal regulation exempts hydraulic fracturing chemicals from regulation in the Safe Water Drinking Act and
the Clean Water Act. Another concern with natural gas production is methane leaks during the extraction and
distribution process. Methane is a greenhouse gas 30 times more potent than carbon dioxide and is currently
not a regulated emission under federal law.

Biogas
Renewable natural gas, also called biogas, is captured from the decomposition of organic matter.34
Wastewater treatment, solid waste, and agricultural facilities produce this gas as a byproduct during normal
operation. In order for this gas to be used as a vehicle fuel, it must first be purified and then distributed. The
recaptured gas can be used to generate electricity, heat homes, or fuel vehicles. Examples of landfill gas to
CNG include the Sanitation Districts of Los Angeles County, and a facility in DeKalb County Georgia.35, 36 In
DeKalb County Georgia a U.S. Department of Energy County grant helped install a CNG station fueled by
biogas produced at the county landfill that is expected to save $3 million dollars in fuel costs over several
years. In North Carolina, refuse facilities such as landfills could capture methane and use it to fuel vehicles.
Additionally, as the second-largest hog farm producer in the United States, North Carolina could produce 169
million gasoline gallons equivalent of CNG from hog farms alone.37

33
http://www2.epa.gov/hydraulicfracturing
34
http://www.afdc.energy.gov/fuels/emerging_biogas.html
35
http://www.lacsd.org/solidwaste/swpp/energyrecovery/default.asp
36
http://www.co.dekalb.ga.us/greenfocus/energy.html
37
http://fuelsfix.com/ezines/FuelsFix_Fall13-Final.pdf, page 28, “Feces to Fuel”
11
6/2015