Natural Gas Vehicles and Engines Update

Ian Skelton

Director, Natural Gas Vehicles

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Southern Company Gas

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Atlanta Gas Light CNG Experience

• Atlanta Gas Light has been

building and maintaining CNG

stations for fleet customers in

Georgia since the early 1990s.

• We install CNG stations on

customer premises (transit,

trucking, municipal, forklifts, etc.)

and provide maintenance for

customers who install their own

stations.

• We have a department of full time

technicians, parts inventory, 24-

hour emergency dispatch,

portable backup fueling

equipment, etc.

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Southern Company Gas CNG Fleet

Ford E250

Ford F250

Ford Transit Connect Dodge Ram 2500

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Replacement YearOwner Thru 2015 2016 2017 Total

Atlanta Gas Light 162 28 38 228

AGL Services Co 12 1 1 14

Chattanooga Gas Co 11 11

Elizabethtown Gas 61 7 11 79

Florida City Gas 49 16 11 76

Nicor Gas 23 1 24

Renewco, Sequent, SouthStar 3 3

Virginia Natural Gas 43 5 10 58

364 58 71 493

Ford F150

Ford F350

Chevy Impala

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Increased Domestic Supply

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Natural Gas Provides Fuel Price Stability

Diesel:• History of volatile price swings• Crude oil sourced fuel from

high-conflict regions• Commodity cost makes up 60%

of sales price

Natural Gas:• Decades of affordable domestic

reserves

• Natural gas sourced from North America

• Commodity cost makes up 23% of sales price

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Renewable Natural Gas (RNG)

• Reduces GHG

emissions up to 90%

compared to diesel

• Some anaerobic

digesters reduce

GHG by 115%

(carbon negative!)

• RNG production

expected to be 500M

DGE/year by 2018

• 25 – 35% of natural

gas used in vehicles

is now RNG

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Recent Developments Taking CNG Mainstream

Agility, a leading manufacturer of CNG fuel systems, has

introduced Blue IQ “Smart Gauge” - displays temperature

compensated fuel level, distance to empty, etc.

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Gilbarco, a

major

manufacturer of

gasoline/diesel

dispensers ,

has purchased

ANGI, a leading

CNG

compressor

packager

Rush

Enterprises, the

country’s largest

truck dealer

network, has

formed

Momentum, a

new CNG fuel

systems

company

Loves Truckstops is installing CNG at their

stations and recently purchased CNG company

Trillium. Love’s now has 65 retail CNG stations.

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Agility Fuel Systems Launches High-Capacity

Behind-the-Cab CNG Fuel SystemThe updated system from Agility Hexagon joint venture now

holds 160 Diesel Gallon Equivalent (DGE) and weighs 500 lbs.

less than previously.

New Tailgate CNG Tanks for Refuse Trucks Companies like Heil and McNeilus have developed rear-

mounted CNG tanks allowing for a lower vehicle profile and

improved weight distribution.

Mainstay to Use All-composite Type IV

CylindersMainstay Fuel Technologies will source exclusively from Luxfer

Gas Cylinders to reduce weight and “help meet industry price

points”.

Advances in CNG Tank Packages

10ANGI PROFILE • Smith Dairy Trucking • April 18, 2012

Cummins-Westport, Inc.

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50/50 joint venture Cummins and Westport Fuel Systems (established 2001)

2016

2017

Cummins-Westport, Inc.

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Reliability / Durability / Uptime

Goal… same as diesel or better

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Near Zero Emissions Technology

Spark-ignited combustion

• Stoichiometric combustion

• Computer controlled combustion

across all operating conditions

• NZ has same engine footprint as

current for easy vehicle integration

• NZ still built in Cummins factories

with 80% diesel parts commonality

• NZ parts, service, training still

through Cummins Distribution

Cooled Exhaust Gas Recirculation

• Computer controlled Air/Fuel mixing across all conditions

Three Way Catalyst

• Increased efficiency

• A little larger size

• Tighter integration between

engine and after-treatment

• Still passive – no DPF, SCR

• Fuel agnostic - CNG, LNG, RNG

• NOx emissions from NZ certified

as equivalent to an electric

vehicle according to CARB and

EPA definitions

Closed crankcase ventilation

• Current ISL G has an open breather system

• NZ captures any unburned hydrocarbons and

reintroduces them to the engine – gas into the

fuel system and oil into lube system

• CCV filter change at 2,000 hrs

• Methane reductions combined with fueling

RNG can make NZ lower carbon emissions

than electric… ‘carbon negative’

ECM

• Emissions

• OBD compliance

• Accuracy

• Robustness

• Reliability

• Durability

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Initial cost coming down

Product reliability going up (Mad Money spot with WM CEO)

Maintenance costs coming down (Mad Money spot with WM

CEO)

Infrastructure growing

Vehicle range expanding

NG and RNG is abundant, stable, clean, domestic

Only one direction for diesel prices to go

Increasing community, shipper and fleet awareness

of air quality opportunities from mobile sources

Broad NGV availability, and NZ easy fit

BOTTOM LINE

– no better time for NG than right now

– diesel-like performance and total cost of

operation with electric-like emissions

Market trends

Yes

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vv

vv

Source: South Coast Air Quality Management District Science & Technology

Advancement Department

electric equivalent NOx

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sub-zero carbon intensity

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CWI Emissions Calculator Users input fleet information - location, application, model year, fuel

usage, etc.

Users input fuel type – CNG, LNG, RNG

Calculate results:

Annual total Well to Wheel GHG savings with NGVs

Reduction relative to current fleet

Number of near-zero emissions vehicles to generate GHGs of current fleet

Tailpipe NOx emissions reductions

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www.cumminswestport.com

More info…

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California Riverside’s CE-CERT Study

• Found the ISL G natural gas engine emitted lower NOx than its EPA

certification standard. Emissions decreased as duty cycles decreased.

• 2010 diesel engines with SCR emitted up to 5 times higher NOx.

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VW Settlement Funds

Dollar for dollar, natural

gas vehicles are the

most cost effective use

of the VW settlement

funds for their intended

purpose of reducing NOx

emissions.

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• In 2014, UPS added 900 new LNG trucks

to its existing fleet of 1,000 natural gas

vehicles (Pivotal LNG is supplying the LNG

for their private stations in Knoxville,

Nashville, and Jacksonville)

SUUPS adding New LNG and CNG Vehicles

• In 2015, UPS

added 1,400 CNG

Class 8 tractors

and package cars,

and built 15 new

CNG stations

• In 2016, UPS invested another $100 million to add 380 more CNG Class 8

trucks in the U.S. and building 12 more new CNG stations

• UPS is now the largest user of Renewable Natural Gas (RNG) in U.S.

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Waste Management Celebrates Milestone

• WM now operates 6,000 CNG

trucks, the largest heavy duty

CNG fleet in US

• This is 45% of WM’s total fleet

and they plan to continue

replacing diesels with CNG

wherever feasible

• Waste Management (WM) opened

its 100th CNG station in Oklahoma

City this year.

• WM has just completed their

third station in the Atlanta area,

off Forest Pkwy in Lake City.

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MARTA Hamilton Blvd. CNG Station

• MARTA began transition to CNG in 1996

and currently operates 440 CNG buses

• Replacing their remaining 160 buses

with CNG in 2018

• Building a third CNG fueling station at

their Hamilton Blvd. garage

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• The City of Albany’s (Georgia) Transit System

officially unveiled their new CNG transit buses

in December 2016

• They contracted with Atlanta Gas Light to build

a CNG station at their bus maintenance facility

• Two Bauer C-26 “X-Fill” Compressors

• Atlanta Gas Light is maintaining this CNG

station for Albany Transit

Albany Transit CNG Station

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City of Augusta 2nd CNG Station

• City of Augusta contracted with Atlanta Gas

Light to build this new station, now open!

• Located just off I-20/Bobby Jones Expy.

• Primarily for the City’s refuse haulers but

also public access

• AGL will provide CNG station maintenance

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Virginia Transportation CNG Car Haulers

• Operating 35 car haulers in Talladega, AL

delivering new Honda cars to CSX rail yard

• https://www.youtube.com/watch?v=KnZ5Ww1ohrI

• Station built by Trillium, AGL does maintenance

• GTM storage trailer back up fuel supply

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For More Information

Ian SkeltonDirector, Natural Gas VehiclesSouthern Company Gasiskelton@southernco.com404-584-4626

https://www.atlantagaslight.com/natural-gas-vehicles