DFS: how LNG can bring fleets benefits
Dover Fueling Solutions (DFS) has outlined its perspective on the advantages of liquefied natural gas (LNG) as an alternative fuel for commercial vehicle fleets.
In an era dominated by discussions around electric and hydrogen-fuelled vehicles, says DFS, fleet managers and business owners find themselves at the crossroads of deciding on the most efficient and sustainable fuel option for their operations.
“Among the above mentioned, there’s another contender making waves on the market – LNG,” said Joost Jansen, business development manager at DFS (pictured, right).
“Ultimately, consumers seek energy that is affordable, reliable and environmentally friendly. LNG meets these criteria, and its competitive costs make it a promising choice for commercial transportation.”
As the continent transitions towards net zero, buyers and governments are now refocusing their efforts on lowering CO2 emissions to meet decarbonisation goals, DFS observes.
“LNG is a natural gas that has been reduced to a liquid state through a process of cooling, and it is the cleanest fossil fuel, as it produces 40 per cent less carbon dioxide than coal and 30 per cent less than oil,” said the company.
“Its primary component is methane (85-89 per cent), which releases fewer pollutants during combustion, making it a sustainable choice that improves air quality.”
Another key player on the market is Bio-LNG, says DFS, which emits 85 per cent less CO2 than diesel.
“LNG manufacturing has another advantage in the race to net zero,” it continued.
“During the production of LNG, boil-off gas (BOG), which causes the pressure inside the LNG storage tank to rise, is continuously evaporated. However, venting BOG into the atmosphere is extremely dangerous and will become illegal as part of the Europe (Green) Deal.
“In order to rectify this, Gasrec implemented DFS’ patented Liqal BTU Boil-off Gas Treatment Unit that converts BOG back into liquid form, avoiding venting and preserving LNG stock, thus reducing losses – both financial and environmental.
“Moreover, the Liqal BTU system offers unlimited holding time for LNG with no need for active management of LNG tank storage pressure, posing a significant opportunity for the reduction of costs.”
During the first half of 2023, LNG imports in Europe were predominantly led by nations in East Asia and Europe, explains the firm..
“China, Japan, and South Korea emerged as the top three global importers, followed by the UK, France, and Spain, where the majority of European regasification capacity is housed.
“Access to a diversity of suppliers can not only reduce prices but can also give us the flexibility to move to more reliable shippers or avoid geopolitically sensitive markets.
“The affordability of vehicles powered by LNG is on the rise, supported by an expanding infrastructure catering to the specific fuelling requirements of fleets.
“Furthermore, LNG engines typically incur lower maintenance costs, yielding long-term savings for businesses. Unlike electric vehicles, which often demand substantial upfront investments in charging infrastructure, LNG presents a more gradual transition without the necessity for a massive initial financial commitment.”
DFS cites a recent study that highlighted the effects of ongoing advancements in liquefaction and shipping technologies on the reduction in production, transportation, and regasification costs, fuelling the swift expansion of the global LNG industry.
“The purification and liquefaction costs of natural gas have seen a decrease of 35 to 50 per cent, while the transportation cost per unit of LNG has declined by 40 per cent, making LNG a price-competitive solution for today and for the future.”
Joost Jansen added: “Businesses have the opportunity to invest in LNG dispensers that provide truck drivers with an intuitive refuelling experience and exceptional uptime.
“When paired with the Liqal BTU Boil-off Gas Treatment Unit to ensure consistent performance, businesses can upgrade their fuel sites with a low total cost of ownership (TCO) while embracing the latest clean fuel technology.”
Transitioning to LNG can positively impact businesses in several ways, DFS contends.
“Firstly, LNG engines often boast a longer lifespan than traditional diesel engines, enhancing the overall durability of a fleet. The gas is also readily available, with a growing network of LNG refuelling stations worldwide, ensuring operations are less likely to face disruptions due to fuel shortages. “
In an interview for Fuel Oil News, Lise-Lotte Nordholm, vice president and general manager of clean energy and global platforms at DFS, said: “LNG infrastructure may be embryonic, but it is fast growing.
“There are around 635 LNG stations on the continent, with the bulk concentrated in Western Europe, and its cost-competitive benefits means it has strong potential for commercial transport.”
LNG is especially well-suited for long-distance road freight transport, says DFS, given the limited availability of alternatives to diesel in this case.
“Moreover, its familiar refuelling method should appeal to drivers. With the emergence of reliable and convenient refuelling units, such as the compact Liqal LNG Mobile Refueling Unit (MRU) that Gasrec incorporated to suit numerous locations, it becomes easier for fuel retailers to implement clean energies with minimal work or additional costs – this can even be in addition to conventional fuel dispensers at larger service stations, to cover a multitude of drivers.”
As the EU transitions towards its intermediate target of a 55 per cent reduction of net-emissions by 2030, ‘transitional fuels’ will likely play a big part in everything from long haul transport to powering home deliveries, DFS contends.
“A transitional fuel, in contrast to conventional fuels such as oil-derived petrol and diesel, are any types of fuels which contribute to FIT reduction targets. As the cleanest of all fossil fuels, natural gas is the cleanest burning of all transitional fuels and emits significantly less CO2 than its traditional counterparts.
“In comparison to other clean energy sources such as EV, LNG requires minimum investment in infrastructure, which means it’s a perfect bridge until the world transitions to a fully emissions-free society.
“LNG, especially BioLNG, is not only a cost-effective solution, but it also has the ability to reduce emissions, and that’s highly attractive to the heavy-duty transport industry and other adjacent carbon-intensive sectors.”
