Southern California Gas Co. (SoCalGas) has lowered the price of CNG at all of its 13 public access NGV fueling stations by $0.26 per gallon beginning April 1st. Through a California Public Utilities Commission approved program, the utility is able to offer a reduced price by returning revenue generated from the sale of Low Carbon Fuel Standard (LCFS) credits to customers.
The LCFS program is administered by the California Air Resources Board and seeks to reduce greenhouse gas emissions (GHG) from transportation fuels by 20% through 2030. Under the program, fuels that help lower GHG emissions, such as natural gas, generate LCFS credits.
“Natural gas has played a significant role in reducing greenhouse gas emissions under the LCFS program, while also reducing smog-forming emissions by over 90% percent,” said Yuri Freedman, senior director of business development at SoCalGas. “Lowering the cost of this clean fuel increases the benefits for trucking fleets and others that have switched from gasoline or diesel to natural gas.”
SoCalGas also recently announced it will soon begin using renewable natural gas at its fueling stations. Because of its low or even negative carbon intensity, renewable natural gas can generate additional LCFS program credits. When trucks are fueled with renewable natural gas, GHG emissions are reduced by at least 80%.