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Panel in Brookfield explores converting vehicles to natural gas
BROOKFIELD
A panel of industry professionals Thursday addressed the advantages and challenges of converting individual vehicles and commercial fleets to natural gas, as Ohio looks to capitalize on its Utica and Marcellus shale plays.
The discussion was part of “The Natural Gas Vehicle Lunch and Learn,” a day-long event organized by state Rep. Sean J. O’Brien of Brookfield, D-63rd, that focused on strategies to better utilize the natural gas being produced in the state.
“The idea is, we don’t want to reinvent the wheel,” O’Brien told a crowd at the Yankee Lake Ballroom on Route 7. “We want to see what’s working, not just for Ohio and in Pennsylvania, but across the country.”
Steve White, business development manager at Clean Energy Fuels, touted natural gas as a cleaner, more abundant and cheaper alternative for commercial fleets and businesses.
“It’s a very, very attractive fuel,” he said.
Sam Spofforth, executive director of the nonprofit Clean Fuels Ohio, said the development of natural gas has led to adjustments in the engines used in some industries. In recent years, that has created a “tipping point” that the refuse and transit- bus industries, in particular, have keyed into.
“We’ve really seen those markets transition more and more over to natural gas,” he said.
He said changes to engines used in large-haul industries over the next couple of years represent real promise for converting vehicles to natural gas.
“That’s a $25 billion gallon diesel-fuel market, or potentially, a natural-gas fuel market now. So, that’s a real game-changer,” he said.
But though natural-gas conversion is promising, panelists acknowledged there also are barriers to developing natural-gas vehicles.
“Maintenance is a big concern,” said Sam Crites, manager of natural-gas marketing for Love’s Travel Stops. “The maintenance network is quickly trying to catch up.”
As opposed to a combustion engine, natural-gas vehicles require a spark- ignite engine, which presents a considerable efficiency problem, he said.
“[It’s] anywhere from 10 to 15 percent less efficient, and we’ll never be able to get over that difference in technology,” he said.
But with compressed natural gas typically costing a dollar less than traditional fuels, Crites said, the savings per gallon of natural gas are very enticing both for businesses operating large fleets and for individuals.
Responding to a growing interest in natural gas, companies such as Love’s are building more stations in the state, but they worry about infrastructure challenges.
For O’Brien, this expansion represents an opportunity to smooth the transition and to “get Ohio up to speed” in capitalizing on the natural-gas boom.
He introduced a bill in the Ohio House of Representatives, modeled on successful efforts in other states, that offers tax incentives for five years to companies to help them cover the cost of switching to natural-gas vehicles. The bill also includes $16 million in grants for local governments and nonprofits, which are not eligible to receive tax credits.
“We’re going to give them these incentives,” he said in an interview. “But once the industry gets going, they won’t need our help anymore. It’s up to the private sector and market forces to dictate where CNG [compressed natural gas] goes.”
HB 336 has 63 bipartisan co-sponsors, and O’Brien said he hopes for it to come to a House vote this spring.
George Wrataric, fleet sales manager for conversion company CNG Solutions of Ohio LLC, said tax incentives would be a boost for companies looking to convert their vehicles to natural gas.
“The infrastructure is the most important aspect for us,” he said.
Thursday’s event also was sponsored by the Youngstown/Warren Regional Chamber, the Lawrence County and Shenango Valley chambers of commerce, the Ohio Clean Energy Alliance, Clean Fuels Ohio and General Motors Co.