HARRISBURG – PennDOT Secretary Barry J. Schoch today announced that four teams will be invited to submit proposals for a program to develop clean-burning compressed natural gas (CNG) fueling stations at public transit agencies around the state that would also be available for use by the public.
“With Pennsylvania now a leading natural gas producer, this project creates opportunities for transit providers and the public to have better access to this fuel for vehicle operations,” said PennDOT Secretary Barry J. Schoch. “This project will help the people of Pennsylvania realize the benefits this resource is delivering.”
The teams were scored and selected based on criteria including their financial capability to carry out the project; their background and experience in managing comparable projects; and, each team’s understanding of the project.
The teams invited to submit proposals are:
•Clean Energy, Newport Beach, Calif.
•GP Strategies, Escondido, Calif. (L.R. Kimball, Ebensburg/McCrossin, Bellefonte/Gladstein Neandross & Assoc., Santa Monica, Calif.)
•Spire, St. Louis, MO (Institute of Gas & Technology, Des Plaines, Ill. / Raymundo Engineering Co., Walnut Creek, Calif. / Parsons Brinckerhoff, Pittsburgh, Lancaster, Camp Hill, Philadelphia / Dual Fuel Services, Inc., Batavia, Ill.)
•Trillium CNG, Salt Lake City, Utah (Larson Design Group, Williamsport)
PennDOT soon will issue a draft Request for Proposals that the selected teams will review before a final RFP is issued in the spring. PennDOT expects proposals will be required to be submitted by summer, with an award to be made in late summer or early fall.
The selected private partner will design, build, finance, operate and maintain CNG filling stations at up to 37 transit facilities. Each fueling site must provide access to CNG for public transit and other CNG vehicles.
In addition, PennDOT will enter into a CNG supply contract with the selected partner as well as purchase agreements with each of the transit agencies. PennDOT would receive a portion of the fuel sales revenue, with the money being returned to transit agencies to assist with future capital projects.
The project was approved by the state’s P3 Board on Sept. 29 and PennDOT hosted an industry forum to educate potential, private-sector stakeholders on the scope and requirements.
In July 2012, Gov. Tom Corbett signed into law the Public and Private Partnerships for Transportation Act, which authorized P3 projects in Pennsylvania. This law allows PennDOT and other state agencies, transportation authorities and commissions to partner with private companies to participate in delivering, maintaining and financing transportation-related projects.
As part of the P3 law, the seven-member Public Private Transportation Partnership Board was appointed to examine and approve potential public-private transportation projects. If the board determines a state operation or project would be more cost-effectively administered or delivered by a private company, the department or appropriate transportation agency can advertise a competitive RFP and enter into a contract with a company to completely or partially deliver the transportation-related service or project.
To learn more about P3 in Pennsylvania, visit www.P3forPA.pa.gov.
In 2013, Pennsylvania became the second-largest natural gas producing state in the nation. The abundance of low-cost natural gas has driven electric and natural gas prices down nearly 40 percent since 2008, saving the average Pennsylvania resident nearly $1,200 annually in lower energy costs. After importing 75 percent of its natural gas just five years ago, Pennsylvania has become a net exporter of gas for the first time in more than 100 years.