04.30
2019

Can Natural Gas Fleets Save Money?

Managers of any business that owns a fleet of vehicles are always on the search for options that will save money. It’s crucial to always be on the cutting edge of technology. Especially with fuel prices steadily climbing, finding thrifty fuel alternatives is a must. Perhaps a company could save some green by converting their fleet to go green.

In recent years, Ford started to offer compressed natural gas and propane-ready gaseous prep packages for V8 engines in its F-150s. According to FleetOwner, this was done as a response to customers reaching out to Ford requesting alternative-fuel capabilities, even for its larger 5.0-liter V8 engines.

But what does this mean money-wise? Can natural gas vehicles actually save companies money?

Manufacturers for the vehicles estimate up-fitting for pickups and vans can cost up to $13,000 per vehicle. In the short run, alternative fuels are an investment. Reports by The Tulsa World and FOX 13 of Salt Lake City see that about three cents per mile driven is saved for a vehicle.

The vehicles in the Tulsa World and FOX 13 reports (transit buses and a news van) are a bit different than the Ford vehicles, which will come with the upgrades and the costs included in the vehicle price. But at three cents per mile, it may take a while to offset the estimated $13,000 of costs and start saving money. For a vehicle that drives 25,000 miles per year, it would take nearly 18 years to begin saving money.

Alternative fuel might not be the best option to save money at the moment, but as technology improves it will become a more realistic option. FleetOwner’s article urged that performance doesn’t drop off with these alternative fuel vehicles, which will be able to tow the same amount of cargo as a traditional gasoline vehicle.

Alternative fuel may not save money for your fleet of vehicles this year or next, but natural gas fleets are a growing trend that fleet owners will want to keep an eye on.

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