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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

CASELLA RESOURCE SOLUTIONSrecycling · collection · organics · energy · bio-fuels · landfills

Casella Waste Systems CNG Initiative

Strive for Sustainability, Bolton Landing, New York. May 19, 2014

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Operating Footprint

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Casella CNG Locations

Geneva

Elmira

FortEdward

Williston

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Where does our Natural Gas come from ?

Renewable Sources• Landfills• Dairy Farms• Food Waste

North America Gas Fields• 29 states have reserves• Large reserves off shore

Imports• Russia has 30% of world

reserves

<1% 97% 2%

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Casella’s Path to CNG Power

2006 – Rise in fuel prices and new sustainability objectivesprecipitated a search for alternatives.

2007 – short dance with HD hybrids, investigated fuelcatalysts, some bio-fuels (still used), propane, LNG.

2008 - 2009 –strategic plan, budget, project plan, time line

2010 – first station on line, first 3 trucks purchased,Williston, Vermont.

2011 – 2013 3 more stations in NY; 30 trucks, NY & VT

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

• Produces less CO, VOCs, NOX and PM than gasoline or diesel,equates to 23 - 25% less GHG emissions

• Simpler solution amid forever tightening EPA requirements

• Non hazardous, will not pollute the ground or water

• 15% quieter than diesel trucks (happier drivers, customers, andneighbors)

• For RNG the decomposed waste can be traced back to the organicsource that replenished it; leads to even higher GHG emissionreductions over carbon life cycle

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Environmental Considerations

CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

• Provides positive investment returns andreduced fuel cost volatility. Domestic!

• Maintenance about equal to diesel and canbe lower. No DPF or SCR, installed 3 waycatalyst only.

• Natural gas delivered is one-half the cost ofdiesel fuel

• Natural gas prices historically less volatileand reserves estimated at 120 years??

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Business and Operating

CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Casella’s first CNG front load truck

• Autocar with Cummins-Westport ISL G CNG engine with Agility 63 DGECNG Tank, in service in April 18, 2011.

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

2011 Autocar Bridgeport Split Body Geneva,NY

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CNG makes economic sense for waste trucks

Equipment costs

• CNG trucks cost roughly $40-50k more than a diesel truck (fuel cylindersand system)

• Chassis cost is equal

• CNG time fill fueling station costs $695k to $990k

• Federal and some state grant money available.

CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Transportation Petroleum Dependence

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

GLOBAL COMPETITION FOR OIL INCREASING

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

• Time fill station - $600k – $850k

• CNG waste vehicle incremental - $35k - $40k

• Maintenance facility modifications - $50k - $90k

• Training, maintenance and ops - $10k

Implementation Costs

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Decoupling of natural gas and oil due to the “Shale Gale”

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Price Stability Example

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Cummins Natural Gas Line Up

ISB6.7 G

20162016

ISX12 G ISX 15 G

20162016

Displ:Power:Torque:Cert:

6.7 L~260 hp

~660 lb-ftEPA 13Euro 6

12 L400 hp

1450 lb-ftEPA 13

15 L450 hp

1750 Lb-ft

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8.9 L320 hp

1000 lb-ftEPA 13Euro 6

ISL G

CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Gap Analysis

1) Station load profile, gas and electricity vs demand, time fill fast fill?

2) Adequate gas supply

3) Emergency procedures, emergency power

4) Shop upgrade

5) Vehicle specifications

6) Vehicle fuel capacity, range anxiety!

7) Mileage penalty is a reality, use +- 10%

8) O&M

9) Sighting/permitting

10) CAPEX

11) Training

12) Fueling redundancy26

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PoneyTank

PoneyTank

CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Williston, VT – 2 x 40HP Bauer Compressors

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Elmira, NY - 2 X 50 HP ANGI Compressors, 16 Stanchions

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Geneva, NY- 2 X 50 HP ANGI Compressors, 16 Stanchions

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Williston, VT 8 dedicated CNG

2 dual fuel vehicles

13 stanchion station

Geneva, NY 8 dedicated CNG trucks

16 stanchion station

Ft Edward, NY 10 dedicated CNG

2 dual fuel

16 stanchion station

Elmira, NY 8 dedicated CNG,

16 stanchion station

Fleet-to-Date

CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

Casella Partners

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CASELLA RESOURCE SOLUTIONS: Beyond The Curb…

For more information, please visit:

CASELLA RESOURCE SOLUTIONSrecycling · collection · organics · energy · bio-fuels · landfills

casella.comPeter Vanderhoof

Fleet and Facility Energy Directorpeter.vanderhoof@casella.com

Thanks!

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