Renewable natural gas (RNG) is a cleaner alternative fuel option for commercial fleets to reduce their greenhouse gas emissions. With companies such as Amazon, UPS, and Walmart beginning to add RNG-powered vehicles to their delivery fleets, it is becoming an increasingly popular option for the transportation industry, with enormous potential still ahead. The production of RNG involves converting landfill waste into pure methane, which can then be interchangeable with methane obtained from fossil resources and sometimes injected into the local natural gas distribution network.
“Cummins is at the forefront of decarbonizing the commercial transportation sector with its natural gas engines. The L9N and X15N are designed to leverage the potential of RNG. Utilizing RNG from landfills, these engines can achieve carbon negative emissions and help cut fuel costs.”
“Through a series of financial incentives and government programs, fleets can capitalize on the benefits of RNG. One of the most substantial incentives comes from the Inflation Reduction Act (IRA) of 2022. The IRA provides significant tax benefits aimed at encouraging the use of cleaner energy sources, including RNG. Most notable is the multi-year extension of the Alternative Fuel Tax Credit (AFTC). This provision allows a $0.50 per gallon tax credit for natural gas used as transportation fuel, reducing operational costs for fleets converting to RNG.”
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