Progressive Waste Solutions Ltd., which already has Canada's largest waste and recycling collection fleet of natural gas powered vehicles, plans to significantly increase the number of natural gas powered trucks it purchases. The company made the announcement on the first day of the Federation of Canadian Municipalities annual conference, held in Vancouver, British Columbia.
"This is a business decision that supports our Company's commitment to sustainability," said Joseph Quarin, vice chairman and CEO, Progressive Waste Solutions. "Compressed natural gas ("CNG") is a cleaner source of fuel from well to wheel and, by converting to it, we offer our customers a more environmentally friendly approach to collecting residential and commercial waste and recyclable materials."
Currently, Progressive Waste Solutions has more than 110 natural gas powered vehicles on the road in Canada, including fleets in Surrey, British Columbia, and Simcoe County, Ontario. This represents approximately 10 per cent of its Canadian fleet. The company expects to have nearly 150 natural gas powered vehicles in Canada by the end of 2013, with the addition of trucks in markets such as Montreal, Quebec. In 2014, Progressive Waste Solutions expects 50 to 55 percent of the total number of vehicles it purchases in Canada and the U.S., through the normal course replacement of its fleet, will be fuelled by CNG.
A new waste or recycling collection truck powered by natural gas typically costs about 15 percent more than a conventional diesel powered truck. As natural gas costs less than diesel, Progressive Waste Solutions expects a return on this investment within an attractive timeframe. In addition, government programs in areas such as British Columbia offer incentives for companies investing in the greening of their fleets.
In British Columbia, FortisBC offers incentives for operators to convert diesel trucks to compressed natural gas to promote the use of domestic B.C. natural gas as a transportation fuel, and generate both environmental and economic benefits. The incentives encourage the conversion of heavy duty fleet vehicles and the implementation of related natural gas fuel infrastructure. The program was made possible following the creation of the Government of B.C.'s Greenhouse Gas Reduction regulation.
"Converting our fleet to natural gas helps municipalities meet targets for reducing greenhouse gas emissions and reduces pollution in the neighbourhoods we serve," said Dan Pio, vice president and Canadian CEO, Progressive Waste Solutions. "We're on the brink of a monumental industry shift. Progressive Waste Solutions is leading the conversion to natural gas fleets in Canada."
For short haul fleets - trucks that operate in a limited, local geographical area - the switch to natural gas is simpler, as companies can build their own refueling stations, as Progressive Waste Solutions did in Surrey, B.C., in partnership with FortisBC. Progressive Waste Solutions plans to build natural gas fueling stations in Canadian markets such Montreal, Quebec, as it converts its fleet.
Natural gas is an economical and environmentally friendly fuel choice for transportation. Ideal for return-to-base fleets like waste haulers, courier trucks, buses, tractor trailers and marine vessels, its benefits include:
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Carbon emissions, the principal greenhouse gas that contributes to global warming, are reduced by more than 20 percent compared to older diesel trucks.
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Natural gas fuel costs have historically been 25 to 50 percent less than diesel.
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Reduced dependency on foreign oil.
The vehicles used by Progressive Waste Solutions are Mack trucks with natural gas engines powered by Cummins Westport of Vancouver, B.C., and use fueling technology from IMW Industries of Chilliwack, B.C., a leading supplier of technology for CNG equipment for vehicle fuelling and industry.
