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UPS expands renewable natural gas usage as it seeks 40% alternative fuels target

UPS

UPS has entered new agreements with two companies to expand its usage of renewable natural gas (RNG).

The company is procuring up to 80 million gallon equivalents (GEs) of the fuel over several years from Kinetrex Energy and TruStar Energy.

The RNG will power UPS vehicles in Chicago, Columbus, Indianapolis, St. Louis and Toledo, as well as in Visalian and Moreno Valley in California.

UPS has agreed to purchase a total of 250 million GEs of RNG over the next seven years, as well as 6000 natural gas trucks by 2022. The vehicles can interchangeably use conventional natural gas and RNG.

The company aims to have alternative fuels account for 40% of its ground fuel purchases by 2025.

Mike Whitlatch, vice president of global energy and procurement, UPS, said: “We are using both liquid natural gas (LNG) and compressed natural gas (CNG) as bridging fuels to increase our use of RNG.

“This will have a measurable impact as RNG yields up to a 90% reduction in lifecycle greenhouse gas emissions when compared to conventional diesel. Using RNG is what will ultimately help UPS meet its 2025 sustainability goals.”

RNG is a form of natural gas produced naturally by livestock. It is one of several alternative fuel types covered in our new sustainability report, available here.

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