Paratransit is one of the most expensive and least efficient mass transit services offered, and as a result, cost control is the number one priority for fleet managers. In fact, paratransit contracts are often awarded to the lowest bidder.
There are a number of ways to approach the cost control challenge with paratransit fleets. Many fleet managers focus on maintenance costs and increasing reliability, but one solution that’s gaining in popularity is converting vehicles to dedicated propane autogas or propane bi-fuel systems.
By using EPA-certified, aftermarket conversion kits, fleet managers can transition all or part of their fleet to cleaner-burning, cost-effective propane for vehicle models ranging from as small as eight-passenger vans to 84-passenger school buses. Bi-fuel kits are advantageous because vehicles can run independently on either propane autogas or gasoline with just the flip of a switch, which can actually extend a vehicle’s time in service during the day. With bi-fuel vehicles, operators don’t have to return as often to refuel, or can use a gasoline station if there isn’t time to return to a centralized propane refueling station — an important distinction to passengers who may rely solely on paratransit to get to jobs, appointments, grocery stores and pharmacies.
Using propane autogas as part of a larger cost reduction strategy can be game changing for a paratransit fleet, but many fleet managers are still skeptical of alternative fuels. Among the chief concerns are upfront costs of conversion, costs of refueling infrastructure, and overall performance and reliability.
Why propane?
Propane autogas is abundant, infrastructure is low-cost to install and propane offers the lowest total cost-of-ownership. In several cases, drivers have indicated they prefer driving with propane when in a bi-fuel vehicle because the performance differences are so prounounced with propane’s smoother, faster acceleration. Also, because propane is an approved clean fuel under the Clean Air Act of 1990, there may be government tax credits and incentives that can help offset the cost of conversion, providing an even faster ROI. For more information on local and national incentives, visit AFDC.com.
To look at a specific example, in 2014, the Willamette Valley Medical Transport in Salem, Oregon, converted 14 vehicles to run on propane. With each vehicle traveling approximately 30,000 miles per year, the company was able to save $60,000 per year in fuel costs alone. The fleet also saw reductions in maintenance costs over time with less frequent oil changes and extended engine life.
The benefits of propane autogas for paratransit fleets really break down into four major categories:
- Reduced fuel cost: The ability to reduce the cost of fuel versus diesel and gasoline cannot be overstated in the paratransit market. Even without tax credits or incentives, propane autogas has consistently lower prices than gasoline and diesel — up to 50 percent in some locations. Fleet managers will see even greater savings if gasoline and diesel costs increase. Prices for American-made propane have been historically more stable than traditional fuels, too, especially with the option presented by many propane retailers, including Blue Star Gas, for contracts that commit to a set price for a year or more. This allows fleets to avoid any fluctuations in the fuel market for extended periods.
- Low-cost infrastructure: Setting up a propane autogas fueling station is more cost-effective compared to other alternative fuel options. Fleets with a centralized facility can work with a propane retailer to purchase or lease on-site refueling infrastructure, including a storage tank, pump and fuel dispenser. The benefit of propane is that infrastructure can easily grow with a fleet, as the same pump and motor can handle multiple tanks and dispensers without changing the electrical requirements. In addition to onsite fueling, fleets in the Western United States are beginning to take advantage of a growing network of public refueling stations, a good option for fleets with limited space or with extensive routes. All public stations offer the advantage of 24/7 access, likely through a card-lock system that allows fleets to identify and maintain refueling records.
- Reduced maintenance: Bi-fuel vehicles that consistently use propane will see differences in necessary maintenance compared to conventional vehicles. Because propane is a low-carbon fuel, it runs cleaner through engines and fuel systems, and can actually extend the life of the system. Engine technicians often note that propane vehicles need fewer oil changes because oil stays cleaner longer. There is also a reduced risk for downtime because propane systems don’t require the additional fluids and filters that often cause trouble for diesel paratransit fleets, but are imperative for fleets to meet emissions regulations.
- Environmental benefits: With transportation emissions becoming a frequent talking point in many municipalities, running a paratransit fleet on a clean fuel such as propane has added benefits. Propane autogas reduces carbon emissions by up 11 percent compared to gasoline and cuts smog-producing emissions by 40 percent. Propane vehicles can also operate during Ozone Action Days when use of other fuels may be limited.
Fleet Conversion
In many municipalities, the environmental benefits are becoming just as important as the cost savings. Mercy Transportation in Everett, Washington, converted 10 of its Ford E-150 wheelchair vans and five Ford Transit 150 wheelchair vans to propane autogas in 2013. To date, Mercy Transportation reports saving $187,069 in fuel cost, eliminating more than 120 tons of CO2 emissions and displacing more than 90,000 gallons of gasoline. In states like Washington, where vehicle emissions are a top issue, propane autogas can prove to be a very effective solution for fleets.
Les Allen, the fleet manager for Mercy Transportation said his cost savings and efficiency strategies aren’t limited to simply using alternative fuels.
“In addition to converting our vehicles to propane autogas, we’re also using computer dispatch scheduling with GPS tracking to manage our daily trip volume,” he said. “Taking control of our daily trip management and our fuel cost is making a big difference for our fleet.”
Other cost-saving strategies that can boost the benefits of switching to an alternative fuel include standardizing fleet vehicles and using a fuel management system.
For paratransit fleets that have struggled continually to control costs, propane autogas has delivered proven results, even in this challenging fleet environment. Considering propane autogas as a solution to control cost and reduce emissions can help managers operate a more efficient and clean paratransit fleet.
Darren Engle is director of governmental relations with Blue Star Gas, one of the West Coast's largest propane distributors, and lobbies for propane autogas and other alternative fuels throughout the Pacific Northwest.
