United Parcel Service, Inc. (NYSE: UPS), one of the largest U.S. shipping companies, announced today in a press release that they have plans to build an additional five compressed natural gas fueling stations and more than 700 new compressed natural gas vehicles, including 400 semi-tractors and 330 terminal trucks in an attempt to shift the industry from petroleum burning vehicles to alternative fuels that cause less pollution.
The five compressed natural gas fueling stations are expected to open in 2019 and will be in Goodyear, Arizona; Plainfield, Indiana; Egerton, Kansas; Fort Worth, Texas, and Arlington, Texas. UPS currently has over 50 natural gas fueling stations operating across the U.S., with one in Vancouver, Canada, and one in Tamworth, United Kingdom.
“We strongly believe further investment in our natural gas fleet is a key element to help us achieve our long-term goals for reducing our CO2 emissions,” said Carlton Rose, president, global fleet maintenance and engineering for UPS. “We demonstrated the effectiveness of natural gas vehicles and fuel in 2017 by using 77 million total gallon equivalents in our ground fleet. UPS is a catalyst for wide scale adoption of natural gas vehicles.”
The company set goals on having one in four new vehicles being purchased an alternative fuel or advanced technology vehicle by 2020. It also plans on replacing 40% of all its ground fuel with sources other than regular gas and diesel. This investment brings the company’s total in investing into alternative fuel vehicles and related projects to over $1 billion in the last decade.
Deliveries of the new vehicles will start this summer and be completed by the end of November, Mike Casteel, director of fleet procurement for UPS, said.