SoCalGas Showcases Zero Emissions Hydrogen Fuel Cell Electric Technologies by Kenworth and Toyota at 2024 World Ag Expo

Rhea-AI Summary

Southern California Gas Company, Kenworth Truck Company, and Toyota Motor North America display hydrogen fuel cell electric vehicles at World Ag Expo to promote decarbonization and reduce emissions. SoCalGas aims to convert 50% of its fleet to alternative fuels by 2025 and achieve a 100% zero emissions fleet by 2035, highlighting the importance of hydrogen technology in reducing greenhouse gas emissions and improving air quality.

Insights

Energy Sector Analyst

The collaboration between Southern California Gas Company (SoCalGas), Kenworth Truck Company and Toyota Motor North America Inc. marks a significant step towards the adoption of hydrogen fuel cell technology in the transportation sector. The display of zero emissions hydrogen fuel cell electric vehicles (FCEVs) at the World Ag Expo serves as a tangible demonstration of the progress in this field.

From an energy perspective, the shift towards hydrogen as an alternative fuel is noteworthy. Hydrogen FCEVs emit only water vapor, making them a clean energy option. The transportation sector, being a major contributor to greenhouse gas and nitrogen oxide emissions, stands to benefit greatly from this transition. SoCalGas's move to convert a substantial portion of its fleet to alternative fuels, including hydrogen, aligns with California's environmental goals and could influence other companies to follow suit.

The implications for the energy market are twofold. Firstly, a rise in demand for hydrogen could stimulate investments in hydrogen production, storage and distribution infrastructure. Secondly, the adoption of hydrogen technologies may impact the oil and gas sector by potentially reducing the demand for fossil fuels in the long term.

Automotive Industry Analyst

The advancement of hydrogen fuel cell technology in heavy-duty transportation, as demonstrated by the Kenworth T680 FCEV truck, is a significant milestone. The truck's ability to provide a driving range of up to 450 miles on a single hydrogen fill, combined with quick refueling capability, addresses one of the primary concerns in the logistics industry—vehicle uptime.

Kenworth's collaboration with Toyota to utilize Gen 2 Toyota Fuel Cells is a strategic move that merges Toyota's expertise in fuel cell technology with Kenworth's presence in the commercial trucking market. The successful pilot program at the Port of Los Angeles further validates the real-world application of this technology.

For stakeholders, including investors and commercial fleet operators, the transition to zero emissions vehicles could lead to reduced operational costs over time, due to lower fuel and maintenance expenses associated with electric drivetrains. However, the initial capital expenditure for these vehicles and the development of refueling infrastructure could pose challenges.

Environmental Policy Expert

The integration of hydrogen fuel cell electric vehicles into commercial fleets, as demonstrated by SoCalGas, Kenworth and Toyota, has significant environmental policy implications. California's aggressive climate goals necessitate the reduction of emissions from the transportation sector and the deployment of FCEVs is a promising avenue to achieve these targets.

The environmental benefits of FCEVs, such as zero tailpipe emissions and reduced local air pollution, align with policy measures aimed at improving air quality. The state's support for hydrogen infrastructure development could be bolstered by such private sector initiatives. However, the environmental impact of hydrogen production itself must be considered, as it is only as clean as the energy source used to produce it.

Policy incentives for companies adopting clean technologies, like tax credits or grants, could accelerate the transition to a low-carbon economy. The long-term success of these initiatives will depend on the scalability of hydrogen production and the availability of renewable energy sources to ensure a truly sustainable hydrogen supply chain.

The innovative hydrogen technology can help commercial customers decarbonize their fleet and reduce local air pollution from the transportation sector, the largest generator of greenhouse gas and nitrogen oxide emissions in California.

TULARE, Calif., Feb. 12, 2024 /PRNewswire/ -- Southern California Gas Company (SoCalGas) alongside Kenworth Truck Company (Kenworth) and Toyota Motor North America Inc. (Toyota) are displaying two zero emissions hydrogen fuel cell electric vehicles (FCEV) at the annual World Ag Expo this week. SoCalGas' booth will showcase Kenworth's Class 8 T680 hydrogen FCEV truck powered by Toyota, as well as one of SoCalGas's zero emissions fleet vehicles, a hydrogen fuel cell electric Toyota Mirai. As part of SoCalGas' ASPIRE 2045 sustainability strategy, SoCalGas has converted 38% of its over-the-road fleet to run on alternative fuels like hydrogen, renewable natural gas, and battery electric. The company aims to continue growing its alternative fuel vehicle (AFV) fleet, with an interim goal of reaching a 50% AFV powered fleet by 2025 and a 100% zero emissions fleet by 2035.   

"Incorporating multiple options like hydrogen, renewable natural gas, and electric vehicles, especially for medium- and heavy-duty transportation, can help provide companies and California a reliable and resilient path to reduce greenhouse gas and nitrogen oxide emissions and improve air quality in our local communities," says Don Widjaja, vice president of Customer Energy Solutions at SoCalGas. "Continued investment and advancements in zero greenhouse gas emissions technologies like hydrogen can help accelerate decarbonization efforts in agriculture, round-the-clock operations at the ports, and regional and long-haul trucking operations."

Last year, Kenworth and Toyota completed a joint pilot program at the Port of Los Angeles where Kenworth customers operated 10 prototype T680 hydrogen FCEV trucks in a real-world setting. The program's success laid the foundation for Kenworth and Toyota engineers to develop the T680 FCEV that is the focus of its commercialization plans. The T680 FCEV is powered by Gen 2 Toyota Fuel Cells with 60kG of onboard compressed hydrogen storage behind the cab. The fuel cell stacks provide power to a 310kW electric motor, bolstered by 200kW of onboard battery storage, that together efficiently provide 415 continuous horsepower with a range up to 450 miles on a single hydrogen fill.

"Kenworth is proud to pioneer one of the longest driving ranges of zero emissions trucks on the market," said Kevin Haygood, Kenworth assistant general manager for sales and marketing. "With quick refueling, our regional and long-haul customers can achieve round-the-clock operations with an option that reliably and sustainably decarbonizes their fleet."

Also on display at the booth is one of SoCalGas' zero emissions hydrogen fleet vehicles, the Toyota Mirai, which uses a hydrogen fuel cell to generate the electricity that powers the vehicle. The latest 2023 model has a range of up to 402 miles, with city/highway milage of up to 76/71 mpg equivalent respectively.

"The Japanese word Mirai means 'future,' and our cutting-edge Mirai helped shine a light on how hydrogen can provide a viable pathway to a zero emissions future for company fleets," said Thibaut de Barros Conti, general manager Fuel Cell Solutions, Toyota Motor North America. "Because of the scalability of our hydrogen-powered fuel cell electric technology, we were able to integrate it into the Kenworth T680 truck to highlight how commercial customers can reduce their carbon footprint, operate more sustainably, and still maintain current range and refueling expectations."

SoCalGas has exhibited at every World Ag Expo since its inception in 1968, and the company's booth is located at the corner of H & Median Street. There is also a 30-foot shovel on display to emphasize the importance of calling 811 prior to beginning any project that involves digging. Call 811 or click here before digging, and follow 811 safety tips during your project. Learn more about SoCalGas' sustainability efforts at https://www.socalgas.com/sustainability.

About SoCalGas
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 over 21 million consumers across 24,000 square miles of Central and Southern California. We believe 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 infrastructure 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 infrastructure company based in San Diego. 

For more information visit socalgas.com/newsroom or connect with SoCalGas on X (formerly Twitter) (@SoCalGas), Instagram (@SoCalGas) and Facebook. 

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions about the future, involve risks and uncertainties, and are not guarantees. Future results may differ materially from those expressed or implied in any forward-looking statement. 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 otherwise.

In this press release, forward-looking statements can be identified by words such as "believe," "expect," "intend," "anticipate," "contemplate," "plan," "estimate," "project," "forecast," "should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "in process," "construct," "develop," "opportunity," "initiative," "target," "outlook," "optimistic," "poised," "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: decisions, investigations, inquiries, regulations, denials or revocations of permits, consents, approvals or other authorizations, renewals of franchises, and other actions by the (i) California Public Utilities Commission (CPUC), U.S. Department of Energy, U.S. Internal Revenue Service and other governmental and regulatory bodies and (ii) U.S. and states, counties, cities and other jurisdictions therein where 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 third-party consents and approvals; macroeconomic trends or other factors that could change our capital expenditure plans and their potential impact on rate base or other growth; litigation, arbitrations and other proceedings, and changes to laws and regulations, including those related to tax and trade policy; cybersecurity threats, including by state and state-sponsored actors, of ransomware or other attacks on our systems or the systems of third parties with which we conduct business, including the energy grid or other energy infrastructure, all of which continue to become more pronounced; the availability, uses, sufficiency, and cost of capital resources and our ability to borrow money on favorable terms and meet our obligations, including due to (i) actions by credit rating agencies to downgrade our credit ratings or place those ratings on negative outlook, (ii) instability in the capital markets, or (iii) rising interest rates and inflation; failure of our counterparties to honor their contracts and commitments; the impact on affordability of our customer rates and our cost of capital and on our ability to pass through higher costs to customers due to (i) volatility in inflation, interest rates and commodity prices and (ii) the cost of the clean energy transition in California; the impact of climate and sustainability policies, laws, rules, regulations, disclosures and trends, including actions to reduce or eliminate reliance on natural gas, increased uncertainty in the political or regulatory environment for California natural gas distribution companies, the risk of nonrecovery for stranded assets, and our ability to incorporate new technologies; weather, natural disasters, pandemics, accidents, equipment failures, explosions, terrorism, information system outages or other events that disrupt our operations, damage our facilities or systems, cause the release of harmful materials or fires or subject us to liability for damages, fines and penalties, some of which may not be recoverable through regulatory mechanisms or insurance or may impact our ability to obtain satisfactory levels of affordable insurance; the availability of natural gas and natural gas storage capacity, including disruptions caused by failures in the pipeline system or limitations on the withdrawal of natural gas from storage facilities; 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 Infrastructure Partners, Sempra Texas, 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 Infrastructure Partners, Sempra Texas, Sempra Mexico, Sempra Texas Utilities, Oncor and IEnova are not regulated by the CPUC.

 

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SOURCE Southern California Gas Company

FAQ

What vehicles are being displayed at the World Ag Expo by SoCalGas, Kenworth, and Toyota?

SoCalGas, Kenworth, and Toyota are displaying two zero emissions hydrogen fuel cell electric vehicles at the World Ag Expo - a Kenworth Class 8 T680 hydrogen FCEV truck powered by Toyota and a hydrogen fuel cell electric Toyota Mirai.

What is SoCalGas' sustainability strategy regarding alternative fuels?

SoCalGas aims to convert 50% of its over-the-road fleet to alternative fuels like hydrogen, renewable natural gas, and battery electric by 2025 and achieve a 100% zero emissions fleet by 2035 as part of its ASPIRE 2045 sustainability strategy.

What is the range of the Toyota Mirai hydrogen fleet vehicle?

The latest 2023 model of the Toyota Mirai has a range of up to 402 miles, with city/highway mileage of up to 76/71 mpg equivalent respectively.

What is the power output and range of the Kenworth T680 hydrogen FCEV truck?

The Kenworth T680 FCEV is powered by Gen 2 Toyota Fuel Cells with 60kG of compressed hydrogen storage, providing 415 continuous horsepower with a range up to 450 miles on a single hydrogen fill.

What was the joint pilot program completed by Kenworth and Toyota last year?

Kenworth and Toyota completed a joint pilot program at the Port of Los Angeles where Kenworth customers operated 10 prototype T680 hydrogen FCEV trucks in a real-world setting, leading to the development of the commercialized T680 FCEV.