There is a new innovative option available for companies with vehicle fleets to capitalize on the cost advantages of converting fleets to Compressed Natural Gas (CNG). With no upfront capital costs on refueling infrastructure, fleet operators can significantly reduce fuel costs per mile, quickly pay back the incremental cost of any necessary conversion of its fleet to CNG and accelerate the achievement of environmental and sustainability goals.
And, through an integrated natural gas price management program, companies can obtain fuel price-assurance and avoid the traditional week-to-week volatility of diesel or gasoline prices.
Using our CNG program, fleet owners can utilize CNG with no captial investment or external financing. Our team works with CNG station developers to design and build a fueling station either "behind-the-fence" for exclusive customer fleet use or in a common location for joint use with the public or multiple fleets. The stations can be 'fast fill' or slower 'time fill' styles and would be owned, operated and maintained by our team. The stations can be branded with our brand or co-branded with the customer's brand.
Facilitating a faster payback on fleet conversion to CNG is important to many fleet owners. To help offset incremental CNG vehicle costs, we would assist in identifying any available federal or state government incentives. And, stable multi-year fixed natural gas energy rates can be achieved through supply contacts with a leading supplier of natural gas to businesses across the country.
The process starts with our team and qualified CNG station developers working with the customer to design a customized CNG refueling plan. The team will examine the customer's current needs and future goals to ensure stations strategically designed and located along transportation routes.
Design, engineering and construction project management are in the DNA of our company.
The customer and our team will agree on a multi-year offtake agreement where our partner will secure a CNG price in a dollar per Gallon Equivalent (GGE) for a specific time period and the customer will commit to a minimum offtake amount for a specific period of tiem. Our partner is able to supply long-term gas supply price assurance by utilizing our industry-leading natural gas market expertise.
Our ability to fix the CNG fuel supply costs lets fleet operators better manage budgets and avoid week-to-week price volatility associated with fuel commodities.
Our partner sells GGEs to the customer so fleet operators can focus time and capital budgets on their core business, not on financing and running a CNG station. The customer is simply billed on a monthly basis for the fuel purchased the previous month. The CNG dispenser will accept our fleet cards and approved industry-standard fleet cards.
Since the fleet operator does not own the facility, they do not bear any maintenance, operations, taxes or leasing responsibilities for the facility itself. Our partner manages and maintains the CNG station and technologies for the term of the agreement.