The provincial government has given utilities permission to encourage trucking companies to switch to natural gas, a move local MLA Pat Bell says will help reduce air pollution and promote a fuel produced in B.C.
A new regulation, unveiled Tuesday, permits a utility to spend up to $62 million on unspecified incentives aimed at fleets of large vehicles, primarily heavy and medium duty trucks, school and transit buses, boats and ships. Trains are not included in the regulation.
It also allows utilities to spend up to $12 million on compressed natural gas fueling stations and up to $30.5 million on liquefied natural gas stations, for a total of $104.5 million.
Natural gas is 25 per cent to 40 per cent cheaper than gasoline and diesel and because it's cleaner burning, vehicles powered by the fuel produce 20 to 30 per cent fewer greenhouse gas emissions.
Emissions of particulate matter from natural gas are "virtually non-existent," Bell said. Fine particulate is a major concern in Prince George.
"When you can improve cost competitiveness and clean up the air at the same time, it's a huge win-win," Bell said. "And not only that, it means that we'll be relying on a fuel that we produce ourselves in British Columbia instead of a fuel that we have to import from Alberta or other jurisdictions."
The provincial government is also offering incentives up to $2,500 off the sticker price for qualifying compressed natural gas vehicles through the $14.3 million clean energy vehicle program, announced in November.
George Stedeford, chief executive officer of the Prince George-based Carbon Offset Aggregation Cooperative, applauded the move.
"From a carbon standpoint, from a greenhouse gas standpoint, the more that we do as a nation the better," Stedeford said.
He said the key is to get the infrastructure in place so truckers can fuel up at points along their routes and that will take time. Targeting large fleets is a good first step, Stedeford added.
"We're not going to get Chevron and Mohawk and Petrocan and everybody in Prince George all putting in natural gas tanks because there's no demand for it," Stedeford said. "I think this is to try and stimulate large fleets to take them where they can do station-to-station."
The cooperative offers offsets for up to 20 per cent conversion although there are schemes available from other sources for up to 100 per cent conversion, Stedeford said.
Fortis spokesperson Neal Pobron said the company will provide further details today on how it will make use of the regulation.
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