The utility is working to replace 50% of its over-the-road fleet with clean fuels by 2025 and operate 100% zero-emissions fleet by 2035
LOS ANGELES, Aug. 15, 2022 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today announced it is working with Ford Motor Company on a demonstration project to reduce commercial fleet emissions by developing a F-550 Super Duty Hydrogen Fuel Cell Electric Truck. This collaboration is part of the U.S. Department of Energy's (DOE) SuperTruck 3 program, which aims to significantly reduce emissions in medium and heavy-duty trucks. The utility's participation is another step toward its ASPIRE 2045 sustainability goals by working to replace 50% of its over-the-road fleet with clean fuel vehicles by 2025 and operate a 100% zero-emission fleet by 2035.
Ford will provide SoCalGas with a F-550 Super Duty Truck to evaluate the prototype truck's performance under real-world conditions. SoCalGas was chosen to evaluate how the truck can meet the rigorous demands of utility work and because of its climate and geographical location. The demonstration project will also include a temporary hydrogen refueling station at SoCalGas' Bakersfield facility. The truck is expected to deploy in 2025.
This project represents a unique opportunity to decarbonize large fleets like utilities that require long ranges, fast refueling, onboard power needs, and 24/7 emergency response.
"The companies that drive our economy and especially our transportation sector must collaborate on developing innovative technologies as we make the transition to a cleaner tomorrow," said State Senator Josh Newman. "This groundbreaking project will not only reduce greenhouse gas emissions from the transportation sector, but it also offers promise toward tackling America's current energy challenges."
"Ford's strategy to reduce carbon emissions across the globe includes investigating multiple technologies that will help us achieve these goals across a broad spectrum of applications," said Jim Buczkowski, executive director, Ford Research and Advanced Engineering. "For our wide spectrum of Ford Pro customers, there are application gaps that battery electric vehicles just can't fulfill yet, so we're looking at hydrogen fuel cells to power larger, heavier commercial vehicles while still delivering zero tailpipe emissions."
"We are honored to work with Ford on their strategy to help reduce emissions," said Neil Navin, vice president of clean energy innovations at SoCalGas. "This project is a critical step toward finding real-world solutions to decarbonize heavy duty transportation such as our utility fleet with Ford's H2 Fuel Cell Electric F-550."
SoCalGas will continue to work with partners on research, development, and demonstration projects in the areas of clean fuels, hydrogen technology, and infrastructure.
Already, SoCalGas' fleet includes 50 hydrogen fuel cell electric vehicles (HFCEVs), making the company among the first utilities in the nation to start transitioning to hydrogen-powered vehicles. More recently, SoCalGas announced plans to install 1,500 electric vehicle chargers at 67 company facilities by end of 2024. Currently, a third of SoCalGas' over-the-road fleet operates on clean fuels.
In May the company won the "Leading Private Fleet" Award at the 2022 ACT Expo, North America's largest advanced transportation and clean fleet event. The award recognizes leadership that goes above and beyond what is required to achieve sustainability in a company's fleet operations.
And earlier this year, SoCalGas announced a proposal to develop Angeles Link, a green hydrogen energy infrastructure system that could deliver clean, reliable energy to the Los Angeles basin to provide a path to decarbonize sectors that require clean fuels and cannot currently be electrified, including heavy-duty transportation.
SoCalGas has more than 10 active hydrogen pilot projects as part of its commitment to being the cleanest, safest, and most innovative energy company in the country. More information about SoCalGas' hydrogen innovation can be found at http://socalgas.com/hydrogen.
Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, and increasingly renewable gas service to 21.8 million consumers across 24,000 square miles of Central and Southern California. Gas delivered through the company's pipelines will continue to play a key role in California's clean energy transition—providing electric grid reliability and supporting wind and solar energy deployment.
SoCalGas' mission is to build the cleanest, safest and most innovative energy company in America. In support of that mission, SoCalGas aspires to achieve net-zero greenhouse gas emissions in its operations and delivery of energy by 2045 and to replacing 20 percent of its traditional natural gas supply to core customers with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by landfills, and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for customers. SoCalGas is a subsidiary of Sempra (NYSE: SRE), an energy services holding company based in San Diego.
This press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions with respect to the future, involve risks and uncertainties, and are not guarantees. Future results may differ materially from those expressed or implied in any forward-looking statements. These forward-looking statements represent our estimates and assumptions only as of the date of this press release. We assume no obligation to update or revise any forward-looking statement as a result of new information, future events or other factors.
In this press release, forward-looking statements can be identified by words such as "believes," "expects," "intends," "anticipates," "contemplates," "plans," "estimates," "projects," "forecasts," "should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "in process," " construct," "develop," "opportunity," "target," "outlook," "maintain," "continue," "progress," "advance," "goal," "aim," "commit," or similar expressions, or when we discuss our guidance, priorities, strategy, goals, vision, mission, opportunities, projections, intentions or expectations.
Factors, among others, that could cause actual results and events to differ materially from those expressed or implied in any forward-looking statement include risks and uncertainties relating to: decisions, investigations, regulations, issuances or revocations of permits and other authorizations, renewals of franchises, and other actions by (i) the California Public Utilities Commission (CPUC), U.S. Department of Energy, and other regulatory and governmental bodies and (ii) the U.S. and states, counties, cities and other jurisdictions therein in which we do business; the success of business development efforts and construction projects, including risks in (i) completing construction projects or other transactions on schedule and budget, (ii) realizing anticipated benefits from any of these efforts if completed, and (iii) obtaining the consent or approval of partners or other third parties, including governmental and regulatory bodies; civil and criminal litigation, regulatory inquiries, investigations, arbitrations and other proceedings, including those related to the natural gas leak at the Aliso Canyon natural gas storage facility; changes to laws and regulations; cybersecurity threats, including by state and state-sponsored actors, to the energy grid, storage and pipeline infrastructure, information and systems used to operate our businesses, and confidentiality of our proprietary information and personal information of our customers and employees, including ransomware attacks on our systems and the systems of third-parties with which we conduct business, all of which have become more pronounced due to recent geopolitical events and other uncertainties, such as the war in Ukraine; failure of our counterparties to honor their contracts and commitments; actions by credit rating agencies to downgrade our credit ratings or to place those ratings on negative outlook and our ability to borrow on favorable terms and meet our debt service obligations; the impact of energy and climate policies, laws, rules and disclosures, as well as related goals and actions of companies in our industry, including actions to reduce or eliminate reliance on natural gas generally and any deterioration of or increased uncertainty in the political or regulatory environment for California natural gas distribution companies and the risk of nonrecovery for stranded assets; the pace of the development and adoption of new technologies in the energy sector, including those designed to support governmental and private party energy and climate goals, and our ability to timely and economically incorporate them into our business; weather, natural disasters, pandemics, accidents, equipment failures, explosions, acts of terrorism, information system outages or other events that disrupt our operations, damage our facilities and systems, cause the release of harmful materials, cause fires or subject us to liability for damages, fines and penalties, some of which may be disputed or not covered by insurers, may not be recoverable through regulatory mechanisms or may impact our ability to obtain satisfactory levels of affordable
insurance; inflationary and interest rate pressures, volatility in commodity prices, our ability to effectively hedge these risks, and their impact, as applicable, on our cost of capital and the affordability of customer rates; the availability of natural gas and natural gas storage capacity, including disruptions caused by limitations on the withdrawal of natural gas from storage facilities; the impact of the COVID-19 pandemic on capital projects, regulatory approvals and the execution of our operations; changes in tax and trade policies, laws and regulations, including tariffs, revisions to international trade agreements and sanctions, such as those that have been imposed and that may be imposed in the future in connection with the war in Ukraine, which may increase our costs, reduce our competitiveness, impact our ability to do business with certain counterparties, or impair our ability to resolve trade disputes; and other uncertainties, some of which are difficult to predict and beyond our control.
These risks and uncertainties are further discussed in the reports that the company has filed with the U.S. Securities and Exchange Commission (SEC). These reports are available through the EDGAR system free-of-charge on the SEC's website, www.sec.gov, and on Sempra's website, www.sempra.com. Investors should not rely unduly on any forward-looking statements.
Sempra Infrastructure, Sempra Texas, Sempra Mexico, Sempra Texas Utilities, Oncor Electric Delivery Company LLC (Oncor) and Infraestructura Energética Nova, S.A.P.I. de C.V. (IEnova) are not the same companies as the California utilities, San Diego Gas & Electric Company or Southern California Gas Company, and Sempra Infrastructure, Sempra Texas, Sempra Mexico, Sempra Texas Utilities, Oncor and IEnova are not regulated by the CPUC.
SOURCE Southern California Gas Company