Over 150 new compressed natural gas vehicles to hit the streets across B.C.
FortisBC awards an initial $6 million to convert fleets to natural gas, with
further incentives to follow
SURREY, BC, March 1, 2013 /CNW/ - Communities around the province will soon
see more natural gas-powered vehicles on the road after FortisBC awarded
approximately $6 million in incentives to transportation operators to purchase
compressed natural gas (CNG)-fueled vehicles for their fleets.
"These organizations have shown a commitment to choosing natural gas as a
transportation fuel solution," said Doug Stout, vice president of energy
solutions and external relations at FortisBC. "Building on the initial
successes we've had with natural gas vehicles and the benefits they bring to
the environment and our gas customers, this program is making widespread use
of natural gas for transportation a reality."
The program was made possible following the creation of the Government of
B.C.'s Greenhouse Gas Reduction regulation.
"The government of B.C. is committed to ensuring natural gas is a significant
part of the transportation sector because it is cheaper, cleaner and abundant
in B.C.," said Transportation and Infrastructure Minister Mary Polak. "This
new program will help encourage more transportation companies to use natural
gas as the transportation fuel choice of the future."
A total of approximately $6 million for CNG vehicles was awarded to the
following vehicle fleet operators:
-- BC Transit - $937,500
-- BFI Canada - $937,958
-- City of Vancouver - $1,854,600
-- Cold Star Freight System Inc. - $450,997
-- Emterra Environmental - $745,500
-- School District No. 23 (Kelowna) - $67,893
-- Smithrite Disposal Ltd. - $953,775
The incentives were granted through a public and transparent selection
process. The $6 million awarded is part of a $104.5 million program announced
in May 2012 to assist qualifying heavy-duty fleet operators to purchase
natural gas vehicles. The $104.5 million will help offset the cost of
switching fleets to natural gas, fund training and upgrades to facilities to
safely maintain natural gas vehicles, and to build CNG or liquid natural gas
(LNG) fuelling stations.
In addition to decreased greenhouse gas emissions and noise, refuelling for
CNG vehicles is estimated to be 25 to 50 per cent less expensive than
refuelling traditional diesel vehicles due to the current difference in
Under the program, FortisBC provides funding to offset a percentage of the
incremental capital cost between a qualifying natural gas vehicle and the cost
of an equivalent diesel vehicle. Depending on the agreement, FortisBC could
fund up to 75 per cent of the incremental cost of the natural gas vehicles.
Rounds of funding will continue over the next four years, with the next round
beginning April, 2013. Eligible heavy-duty fleet operators can learn more by
emailing email@example.com to receive updates or by visiting
FortisBC gas utility customers benefit from additional volumes of natural gas
for transportation moving through FortisBC's pipeline system. Better
year-round, utilization of FortisBC's infrastructure, especially during the
summer months when heating requirements are reduced, helps to keep natural gas
delivery rates low for all customers.
FortisBC is a regulated utility focused on providing safe and reliable energy,
including natural gas, electricity, propane and thermal energy solutions.
FortisBC employs more than 2,300 British Columbians and serves approximately
1.1 million customers in more than 135 B.C. communities. FortisBC is
indirectly wholly owned by Fortis Inc., the largest investor-owned
distribution utility in Canada. FortisBC owns and operates four regulated
hydroelectric generating plants, approximately 7,000 kilometres of
transmission and distribution power lines and approximately 47,000 kilometres
of natural gas transmission and distribution pipelines. FortisBC Inc.,
FortisBC Energy Inc., FortisBC Energy (Vancouver Island) Inc., and FortisBC
Energy (Whistler) Inc. do business as FortisBC. Fortis Inc. shares are listed
on the Toronto Stock Exchange and trade under the symbol FTS. Additional
information can be accessed at www.fortisinc.com or www.sedar.com.
Michael Allison Corporate Communications Advisor FortisBC Phone: 604-592-7536
fortisbc.com twitter.com/FortisBC youtube.com/FortisBC
To view this news release in HTML formatting, please use the following URL:
ST: British Columbia
NI: OIL UTI
-0- Mar/01/2013 18:00 GMT
Press spacebar to pause and continue. Press esc to stop.