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The “ Golden Age ” of Natural Gas. ACCA Presentation – Austin, TX October 2, 2012. What is a “ Golden Age ”?. A “ Golden age ” is a period in a field of endeavor when great tasks were accomplished... Familiar Golden Ages … The Golden age of Radio, 1920 to 1940’s
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The “Golden Age” of Natural Gas ACCA Presentation – Austin, TX October 2, 2012
What is a “Golden Age”? • A “Golden age”is a period in a field of endeavor when great tasks were accomplished... Familiar Golden Ages … The Golden age of Radio, 1920 to 1940’s The Golden Age of Television, 1950’s The Golden Age of Motion Pictures The Golden Age of Oil , 1920’s and 1960 to 1970’s domestically. The NEW Golden Age of Oil, 1980’s to present. .
“Golden Age” of Natural Gas - The Golden Age of Natural Gas, 2007 to present • Abundant, 98% of the natural gas we use is domestic, estimated now well over 200 yrs supply and growing • Cheap there is an abundant supply at lower cost • Decoupling of oil and gas prices • 2008 price in the $13.00-$15.00/Mcf range, today $3.80- $5.50 Mcf • Clean burning • Natural gas is driving change in transportation, currently 1,100 CNG stations nationwide
Texas Triangle Growth and Demand Impact Texas Legislation Established Natural Gas Transportation Corridor in the 2010 Legislature. • Senate Bill 20 establishes a natural gas transportation corridor in the rapidly expanding Texas Triangle, which encompasses Austin, Dallas/Fort Worth, Houston and San Antonio, by increasing the number of natural gas-refueling stations, supporting the use of natural gas-powered trucks across the state.
Texas Triangle Progress Source: American Natural Gas Association (ANGA)
2010-2012 Growth: NGVs in Texas Source: American Natural Gas Association (ANGA)
2010-2012 Station Progress in Texas ***As of September 16, 2012 there is a total of 1102 CNG stations nationwide with 59 existing LNG stations. Additional stations now planned 101 CNG stations and 96 LNG stations. 1Source: AFDC Data, July 2012 Report
Stations: Scoping Plan and Progress Snapshot August 2012 Progress 2010 Scoping Plan
Next Steps: Near-Term Implementation • Phase 3 Infrastructure Plans: Beyond the Triangle • Connect West to El Paso, East to Haynesville Shale, North to OKC (and onward to Canada), South through Laredo (and onward to Mexico City) • I-10 Connectivity from Houston to Los Angeles and Houston to Atlanta
Texas Fleets Turning to NGVs Texas-based fleets such as Central Freight (Waco), Sysco (Houston), Frito Lay (Plano), Waste Management (Houston) and other Fortune 100 fleets like UPS are now investing in natural gas vehicle programs in Texas. ANGA’s efforts spurred increased coordination for public infrastructure sharing and directly led to grant submittals and NGV program growth. Texas fleets overall are becoming leaders in NGV program efforts. UPS was awarded two natural gas stations in Texas (Houston and San Antonio) through SB 375 funding, and is coordinating with a partner for another station project in the Dallas area Houston-based WM announced it will convert 100% of its nationwide fleet to CNG (18,342 trucks). It recently opened a public-access full retail station in Conroe, TX along the CTT. Source: American Natural Gas Association (ANGA)
Emissions Reduction Incentive Grant - TCEQ The Texas Commission on Environmental Quality (TCEQ) offers a variety grants periodically to help offset first dollar costs of conversion from gasoline or diesel fuels to CNG. One particularly of interest to this group is: • Emissions Reduction Incentive Grant (ERIG) was released the first week in September. Under this program, the customer can submit any number of vehicles for replacement, there is no limit. Some of the requirements are that trucks must have a minimum gross vehicle weight rating of 8,500 lbsand could go as high as 80,000 lbs, i.e., haul trucks, dump trucks (registered up to 80,000 lbs), street sweepers, garbage trucks, delivery trucks, you name it! This program is not only limited to On-Road vehicles, but it includes Non-Road equipment, from agricultural tractors to heavy construction vehicles. • Contact www.terpgrants.orgfordetails. Source: Texas Commission on Environmental Quality
Single Pump CNG Station Clean Energy Station – Bush International - Houston
CNG Storage Tanks Clean Energy Station – Bush International - Houston
CNG Compressor Clean Energy Station – Bush International - Houston
Bold 10 Year NGV Adoption Goals: Demand Growth Projection TOTAL 2012-2022 Projected BCF Creation: 226.63 Source: American Natural Gas Association (ANGA)
Local Financial Help • Texas Gas Service • $3000.00 Rebate for a conversion • $2000.00 Rebate for an OEM like Honda Civic • Contact www.texasgasservice.com for more details. For qualified customers. • Clean Energy has potential vehicle and conversion financing.
Questions? Contact Wayne Snead Texas Gas Service 5613 Avenue F. Austin, TX 78751 512-407-2014 512-276-0215 Cell wsnead@txgas.com