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Clean Energy secures deal with Renewable Dairy Fuels

The Seal Beach-based natural-gas firm helps the national farming company become self-sustaining.

By Sara FerrerPublished: June 16, 2011 02:00 PM

Seal Beach's Clean Energy has partnered with Renewable Dairy Fuels to build and operate a new compressed-natural-gas (CNG) fueling station for the Indiana-based company's milk-hauling vehicles. It's a move that will help the Fair Oaks Dairy affiliate become more self-sustaining, according to Clean Energy.

The station, which is scheduled to open in the fall, will initially fuel a fleet of 42 CNG milk-hauling trucks. These vehicles will transport nearly 90 million gallons of milk per year, requiring a projected 1.5 million gallons of CNG. The station will also have public access, making it available to other farmers in the area.

“Fair Oaks Dairy is a leading proponent of sustainable farming practices, and their use of natural gas and renewable biogas to power natural-gas trucks is a model that can be replicated by dairy operations throughout America,” said James Harger, chief marketing officer of Clean Energy.

Once the station is complete, Renewable Dairy plans to take its alternative energy efforts a step further; the firm will build a facility that will produce its own biomethane from dairy cattle waste. The biogas will pipe directly into the station and convert to CNG fuel. The first conversion site will take longer to build and is planned to open within 12 to 18 months.

Clean Energy's new project is among a number of recent deals for the natural-gas-fuel provider; in May, for example, the company signed agreements to own and operate four new CNG stations at four major airports. The company fuels more than 22,700 vehicles at nearly 240 locations throughout North America.

“We are delighted to have this opportunity to work with Fair Oaks as they move to control fuel costs in a volatile energy environment, reduce dependence on foreign oil and curb the global warming impact of their fleet operations,” said Harger.

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