With increasing supply, ultra-low-carbon fuel will be a ‘game changer’
Propane, with its low carbon content and much lower harmful emissions than diesel and gasoline, has become a key tool for decarbonization and cleaner air around many of the United States’ more than 300 ports. From terminal tractors and Class 7 forklifts to generators and light- and medium-duty vehicles, propane-powered equipment is a good fit at both seaports and inland ports. Looking ahead to an even greener future, the next step in decarbonization for these key facilitators of American economic growth is renewable propane. As progress continues on ports’ path to zero carbon emissions, developments in renewable propane are poised to provide a big boost.
Renewable propane is molecularly identical to conventional propane, and is made from a variety of feedstocks, including camelina seed oil, vegetable oil, animal fats, and used cooking oil. It is a drop-in replacement for conventional propane, meaning customers can use renewable propane without additional infrastructure or costly new equipment.
That’s why propane providers like Jeff Stewart, president of Blue Star Gas in Santa Rosa, California, are bullish about renewable propane. Blue Star Gas is located in the state with two of the largest and busiest ports in America, the Port of Los Angeles and the Port of Long Beach, and a state with aggressive goals for decarbonization. For Blue Star Gas’s customers, Stewart says renewable propane will be “a dramatic game changer” as supply continues to increase.
Stewart reports that 20 percent of Blue Star’s volume is renewable propane autogas — a form of propane used in vehicle applications and material handling. At the port, material handling remains the primary focus.
Increasing capacity of renewable propane
According to the U.S. Department of Energy Alternative Fuels Data Center, U.S. renewable propane production capacity is more than 4.5 million gallons per year. Stewart said that number is bound to increase, and perhaps significantly. The World Liquid Gas Association adds that renewable propane could meet half of the world’s propane demand by 2050. With propane distribution infrastructure already in place, it will be easy for ports of all sizes to adopt renewable propane.
“It’s not difficult to get renewable propane physically to a port,” he said. “It uses the same exact infrastructure as conventional propane. The challenge at this point is really in the volume and production. But we are starting to see new producers coming into the marketplace, and as the volume grows, there will be more supply available for ports.”
According to Stewart, renewable propane in the marketplace today is primarily a byproduct of the refining process for renewable diesel and sustainable aviation fuel. While a good portion of renewable propane is generated at a refinery in Louisiana, refineries in California have recently become bio-refineries, and they aren’t using any crude-based feedstock.
Progressing toward zero emissions with renewable propane
The U.S. Environmental Protection Agency (EPA) Ports Initiative is an incentive-based program designed to reduce emissions by encouraging port authorities and terminal operators to retrofit and replace older diesel engines with new technologies and use cleaner fuels, such as conventional and renewable propane.
Renewable propane has a carbon intensity score of between 20 and 43. This compares to 80 for conventional propane and natural gas, both of which are 20% cleaner than gasoline and diesel (both 100). At 130, the average score of the U.S. electrical grid is the highest among all options.
Because renewable propane offers the same reliability and power as conventional propane, it can dramatically accelerate a port’s progress toward decarbonization while still being able to run efficient operations and meet tight deadlines for tasks like offloading ships.
For ports that want to step into the realm of renewable propane, which is typically blended with conventional propane, the process should be planned and calculated. That’s why Stewart said working with a propane provider with experience in renewable propane is a must.
“If you want to start a trial, that trial can be supported right now,” he said. “Depending on the volume and the eventual rollout, I think it will line up with the growth of the product.”
Learn more about how renewable propane is making the path to zero easier for ports at propane.com/ports.