4 governors say they’ll replace fleets with natural-gas vehicles

— The governors of Colorado, Oklahoma, Pennsylvania and Wyoming are teaming up to encourage U.S. automakers to develop inexpensive vehicles that run on natural gas, a valuable resource in each of their states.

Their plan is to start replacing thousands of vehicles in their state fleets with ones that run on natural gas, in turn driving demand for more filling stations and cars that run on alternative fuel, according to a memorandum of understanding the governors signed last week.

Colorado Gov. John Hickenlooper touted the idea as a market-driven way to build demand for natural gas-driven school buses, pickups and vans while also supporting jobs, reducing U.S. reliance on foreign oil, cutting emissions, and providing fuel that is the equivalent of $1.25 per gallon cheaper than gasoline.

“Not only do we not send billions of dollars out of the country, it’s a cleaner-burning fuel that is significantly less expensive,” Hickenlooper said in announcing the effort.

Republican Gov. Mary Fallin of Oklahoma and Hickenlooper, a Democrat, led the initiative. Hickenlooper said the National Governors Association would help promote the idea to other states.

Colorado alone has about 5,800 vehicles in its fleet, plus about 2,000 more within the state Department of Transportation, state fleet manager Art Hale said.

Production of natural gas vehicles today remains low. Honda makes a Civic that runs on natural gas, but it’s more expensive than a standard Civic.

There are an estimated 120,000 in the U.S., said David Hill, vice president of operations in Encana Natural GasInc.’s natural gas economy division. There are about 960 fueling stations nationwide, he said.

Arkansas has just three stations open to the public, in North Little Rock, Fort Smith and Damascus, according to the most recent information available.

Business, Pages 72 on 11/13/2011

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