CNG Fuels has commenced construction of two new public access renewable biomethane compressed natural gas (Bio-CNG) refuelling stations, two of five due to open in 2019 to cater for soaring demand from HGV operators switching from diesel, the company announced today.

The new public access Bio-CNG stations will serve major truck routes and cities, and will be able to refuel up to 3000 HGVs a day

The new public access Bio-CNG stations will serve major truck routes and cities, and will be able to refuel up to 3000 HGVs a day, a near 500% increase on capacity at the company’s existing stations at Leyland, Lancashire and Crewe, Cheshire, which can refuel more than 600 vehicles daily.

100% of the fuel supplied by CNG Fuels is renewable and sustainable biomethane approved under the Department for Transport’s Renewable Transport Fuel Obligation (RTFO) scheme. The gas is sourced from waste feedstocks such as food waste and is the most environmentally friendly and cost-effective alternative to diesel for HGVs. It cuts vehicle greenhouse gas (GHG) emissions by up to 85% and is 35%-40% cheaper than diesel.

At 20 million tonnes of CO2 per annum, GHG emissions from UK food waste are comparable to annual GHG emissions from the entire UK HGV fleet. By capturing methane from organic waste and utilising it as a transport fuel, food waste and transport emissions can be cut simultaneously.

Construction work on a station in Warrington, at Omega South on the M62, has begun. It is expected to be the largest public access gas refuelling station in Europe, catering to several major hauliers based in the area. It will be able to refuel up to 800 HGVs a day and serve 12 vehicles simultaneously.

CNG Fuels has also commenced construction at Erdington, close to the M6 in Birmingham. The station will be able to refuel more than 600 HGVs a day, and will be built on land belonging to Cadent, operators of Britain’s biggest gas distribution network, at its National Distribution Centre in Gravelly Way Industrial Park. Cadent, with whom CNG Fuels have collaborated previously on Leyland CNG station, have committed to convert their entire fleet from diesel to CNG.

These stations have been supported by Ingenious, an investment manager specialising in the infrastructure, real estate and media sectors. They are due to open in the autumn together with a third, previously announced station at the Red Lion Truckstop off the M1 at Northampton, which will be able to refuel more than 350 HGVs a day. The Northampton station is part of the UK’s first large-scale study of how renewable and sustainable biomethane can help slash road transport emissions, supported by the Office for Low Emissions Vehicles (OLEV) in partnership with Innovate UK.

“The spotlight on climate change continues to grow in intensity and the UK haulage sector has for many years been a laggard when it comes to reducing greenhouse gas emissions. Renewable and sustainable biomethane allows companies to achieve deep cuts to greenhouse gas emissions, cut pollution and save money – no wonder demand is soaring. Our customers are already planning to order hundreds of new biomethane fuelled trucks in 2019 and we have interest from companies which run a third of the UK’s HGVs.

We’re making it easier for fleet operators to make the switch from diesel by developing a nationwide network of public access biomethane stations on major trucking routes and at key logistics hubs

Philip Fjeld
CEO

Demand for CNG Fuels’ renewable and sustainable Bio-CNG fuel increased by more than 300% in 2018. CNG Fuels estimates that in 2019, Bio-CNG supplied by the company will reduce UK haulage GHG emissions by more than 35,000 tons, with a multiple of this expected for 2020. The John Lewis Partnership already has more than 50 gas trucks and plans to run its entire 500-strong delivery fleet on gas by 2028, while parcel company Hermes also plans to replace its 200-strong fleet of diesel trucks. Other customers adopting biomethane include ASDA, Argos, Royal Mail, DHL and Cadent.

The company has also launched a new Bio-CNG tractor unit, which will allow trucks carrying loads of up to 44 tonnes to benefit from renewable and sustainable biomethane. The 6×2 unit has been developed in collaboration with Iveco and Agility Fuel Solutions. As a well-established OEM manufactured technology with proven benefits, Bio-CNG is well placed for mass adoption.

CNG Fuels expects to start construction on two more public access stations in the autumn, at Larkhall in Scotland and Knowsley, near Liverpool, and plans to add a further eight in 2020, making renewable and sustainable biomethane fuel available throughout the UK, from Scotland to the south-west. It is also developing the portfolio with support from investment company Ingenious.

Element Energy forecasts the UK will have 10,000 HGVs and buses running on natural gas by 2020 and 60,000 by 2030

The government reinforced their support for biomethane as an alternative fuel in the last budget by extending the fuel duty differential between natural gas and diesel from 2024 to 2032. Element Energy forecasts the UK will have 10,000 HGVs and buses running on natural gas by 2020 and 60,000 by 2030.

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Customers using the refuelling station, which is operated by CNG Fuels and backed by gas network Cadent, include Waitrose, Asda, DHL, Argos and H Parkinson Haulage.

Latest data shows the volume of gas dispensed at the site in March this year was 170 per cent higher than in March 2017.

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Today’s unveiling saw the first major customer, Waitrose, part of the John Lewis Partnership, fill
up at the new facility, as a fleet of branded HGVs rolled onto the forecourt.

The new facility is the first of its kind in the UK and boasts a high-pressure connection, delivered
by National Grid. This key piece of transport infrastructure is capable of refuelling more than five
hundred HGVs per day.

Located near to junction 28 on the M6, the CNG filling station will be accessible around the clock,
365 days a year. The facility also supplies 100% renewable biomethane (Bio-CNG) and is an
important part of the UK’s rapidly growing CNG refuelling infrastructure. The biomethane is made
from waste at anaerobic digestion plants and delivered to the filling station through the National
Grid pipeline system.

Waitrose has a regional distribution centre less than one mile from the new CNG filling station and
will be its anchor customer.

– CNG Fuels and National Grid unveil the UK’s first high-pressure grid connected
compressed natural gas (CNG) filling station, off junction 28 of the M6, near
Leyland, Lancashire

– The John Lewis Partnership is the first major customer to sign up to use the new
facility

– 100% renewable CNG, made from organic waste, dispensed from the highpressure
local transmission system has the lowest carbon footprint of any truck
fuel

Philip Fjeld, director at CNG Fuels, said: “Even though the price of diesel and petrol has
recently plummeted, the wholesale price of natural gas has also dropped, and our customers can
still enjoy a pump price of CNG at our Leyland station that is more than 30% cheaper than the
equivalent price of one litre of diesel.

“Using natural gas also cuts CO2 emissions by more than 20% and if fleets choose to fuel their
trucks with Bio-CNG, they will be running on 100% renewable gas.”

National Grid’s network strategy director, David Parkin, said: “Today’s launch is a proud
moment for National Grid and its partners. Located just off junction 28 of the M6, this new facility
is ideally located for the transport sector and we expect it to be extremely popular.

“CNG dispensed from a station connected to the local transmission system, is the cheapest fuel
available to HGVs, as well as having the lowest well-to-wheel emissions of any fossil-based HGV
fuel.

“Whether it’s CNG or Bio-CNG, the benefits for HGVs are clear; lower emissions, quieter engine
noise and competitive fuel prices, compared with traditional liquid fuels.”

Justin Laney, central transport general manager for the John Lewis Partnership, added:
“John Lewis Partnership is committed to running a sustainable logistics operation, and the use of
low carbon fuels in our vehicle fleet is a key element of that.

Our strategy is to displace diesel with bio-methane where practical, and we run one of the largest alternatively fuelled heavy truck
fleets in the UK to enable us to do that. This filling station is an important step that will help us
continue to improve our fleet sustainability.”

Supplying Biomethane or Bio-Gas
Using the Green Gas Certification Scheme (GGCS) each unit of green gas injected into the grid
displaces a unit of conventional gas. So the GGCS tracks each unit of green gas from its injection
into the distribution grid to its sale. It tracks the contractual rather than physical flows to ensure
there is no double-counting from production to end use.

Leyland CNG Filling Station technical details:
The Leyland CNG station will be accessible around the clock every day of the year.

The station will be equipped with:
– 2 compressors with a combined capacity of close to 4,000 kg/hour
– Cascade storage to ensure fast-fill (typically 3-4 minutes for a full CNG fill)
– 2 HGV refuelling lanes with 4 independent fast-fill refuelling dispensers (2 dispensers to be
installed initially, with another 2 to be installed as demand increases)
– 2 dedicated fast-fill CNG trailer loading bays
– Unmanned facility, with CCTV monitoring and remote diagnostics
By utilising the LTS natural gas grid the following benefits are achieved:
– CNG dispensed has the lowest carbon footprint of any natural gas fuel in the UK as the
higher pressure in the LTS pipeline, compared to pipelines usually used for CNG stations,
mean less electricity is used for compression
– Lower OPEX and maintenance costs at the CNG station, compared to CNG stations
operating off the lower pressure natural gas grid, means cheaper CNG for customers
– The use of the local transmission system helps to reduce the emission of greenhouse gas.

The John Lewis Partnership
The John Lewis Partnership operates 43 John Lewis shops across the UK (31 department stores, 10
John Lewis at home and shops at St Pancras International and Heathrow Terminal 2),
johnlewis.com, 347 Waitrose shops, waitrose.com and business to business contracts in the UK
and abroad. It is the UK’s largest example of worker co-ownership where all 93,800 staff are
Partners in the business.

Green Gas Certification Scheme
The Green Gas Certification Scheme (GGCS) tracks biomethane, or ‘green gas’, through the supply
chain to provide certainty for those that buy it.

Each unit of green gas injected into the grid displaces a unit of conventional gas. So the GGCS
tracks each unit of green gas from its injection into the distribution grid, to any trades, to its sale
to a consumer, or group of consumers. It tracks the contractual rather than physical flows to
ensure there is no double-counting from production to end use.

The GGCS is run by the Renewable Energy Association’s subsidiary, Renewable Energy Assurance
Ltd. GGCS participants oversee the way it is run, on a not-for-profit basis.
www.greengas.org.uk/

National Grid
National Grid is one of the largest investor-owned energy companies in the world and was named
Responsible Business of the Year 2014 by Business in the Community. This accolade acknowledges
all of our efforts in getting involve with the things that really matter to us and to society. We own
and manage the grids that connect people to the energy they need, from whatever the source. In
Britain and the north-eastern states of the US we run systems that deliver gas and electricity to
millions of people, businesses and communities.

In Britain, we run the gas and electricity systems that our society is built on, delivering gas and
electricity across the country. In the North Eastern US, we connect more than seven million gas
and electric customers to vital energy sources, essential for our modern lifestyles.

National Grid in the UK:
– We own the high-voltage electricity transmission network in England and Wales, operating
it across Great Britain
– We own and operate the high pressure gas transmission system in Britain
– Our gas distribution business delivers gas to 10.9 million homes and businesses
– We also own a number of related businesses including LNG importation, land remediation
and metering
– National Grid manages the National Gas Emergency Service free phone line on behalf of
the industry – 0800 111 999 (all calls are recorded and may be monitored).
– Our portfolio of other businesses is mainly concerned with infrastructure provision and
related services where we can exploit our core skills and assets to create value. These
businesses operate in areas such as Metering, Grain LNG Import, Interconnectors and
Property. National Grid Carbon Ltd is a wholly owned subsidiary of National Grid. It
undertakes Carbon Capture Storage related activities on behalf of National Grid.

Find out more about the energy challenge and how National Grid is helping find solutions to some
of the challenges we face at www.nationalgridconnecting.com

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