ALTERNATIVE FUELS
Ports are expanding their propane usage By Gordon Feller
U
.S. ports are shifting more of their energy consumption to propane, a trend not likely to decline anytime soon. Those using propane embrace this fuel because it has three unimpeachable virtues: it’s affordable; it’s clean; and it’s produced entirely in the U.S. Propane is commonly used in 48 million households for space and water heating, cooking, and as an engine fuel. It’s also widely used on farms (approximately 800,000 of them), and in more than 500,000 forklifts. For ports, the long list of applications includes powering forklifts, port tractors, and backup power generators, as well as for cold ironing, and as fuel for barges and large carriers of LPG. In the near future, ports will be able to shift to propane in some applications where diesel is used today. The long list of settings where propane will be extending its reach incudes reach stackers; port-to-rail equipment; empty container handlers; rubber tyre gantry cranes; drayage trucks. Why exactly are ports making the transition from dirty fuels to a clean fuel such as propane? The most basic answer is a simple one: propane helps improve air quality. When measured by scientists, propane does better than gasoline on GHGs: 12 percent less with terminal tractors, and with light duty vehicles (based on medium-duty applications). It is noted that any GHG reductions need to be quantified as “compared to older diesel engines”. All modern compliant MD & HD diesel engines meet the same emissions levels (GHG, HC, NOx, etc.) as their spark ignited counterparts. Propane is being used to fuel resilient, low-NOx generators for backup and in prime power for cold ironing, charging and other large industrial applications. 26 — PACIFIC PORTS — May 2022
Those using propane embrace this fuel because it has three unimpeachable virtues: it’s affordable; it’s clean; and it’s produced entirely in the U.S. One key factor that makes propane attractive is that it can also come from organic and renewable sources. It’s nontoxic and does not contaminate air, soil, or water resources. There are a host of environmental benefits which are top-of-mind for ports. Three of the most important such advantages are lower particulate matter (PM); lower nitrogen oxide (NOx) emissions; and lower sulfur oxide (SOx) emissions. Forklifts powered by propane emit 76 percent less SOx than the electricity drawn from the grid. With the onslaught of climate change, the choice has become clearer, especially when the facts about propane emissions are compared with the total emissions generated by diesel, or by gasoline, or by electric power that’s generated in a coal-fired or gas-fired power plant. Sensing the pressing need for the change at ports, the US Environmental Protection Agency (EPA) published “The National Port Strategy Assessment” in 2016. The document is important because it was hyper-focused on the goal that the EPA described in the report’s subtitle: “Reducing Air Pollution and Greenhouse Gases at U.S. Ports”. By far, the biggest challenge described in that report is the exact same one which the EPA is still focused on today: “current and future emission trends from diesel engines in port areas”. Ports are also making the transition because of the very real economic benefits. First, propane is consistently less expensive than diesel, especially considering comparative maintenance
costs. The up-front capital costs associated with electric vehicles at the port can be as much as $200,000 per vehicle. Keep in mind that, at the warehouse districts which surround a port, the average port tractor fleet is only three vehicles. Electric is cost prohibitive for the independent warehouse. The cost difference here means that ports adopting propane solutions find that they can afford to replace more of their fleet and, at the same time, achieve their carbon reduction goals faster. The bottom line is this: When compared with gasoline-powered vehicles or diesel-powered vehicles, propane delivers a lower total cost of ownership. This is made possible by a menu of advantages — a low-cost refueling infrastructure; competitive upfront costs; low maintenance costs; and low operating costs. Propane-powered ultra-low NOx engines are now commercially available, thanks to a major move by Cummins Engine Corp. On-site refueling at ports is an expensive business. The good news is that propane typically costs less than conventional and other alternative fuels. Construction cost estimates for a 1,000to 3,000-gallon propane tank station are US$30,000-$50,000. This budget includes crash posts, seismic engineering and installation. An 18,000-30,000-gallon propane tank station costs US$100,000-$150,000. This kind of infrastructure budget is considerably less than other alternative fuel sources. Plus, propane has an additional advantage: a minimal footprint within a facility, with no utility service upgrades.