The Pennsylvania Department of Transportation has invited four companies to submit proposals to develop clean-burning, compressed natural gas fueling stations at public transit agencies around the state.
The private partner will design, build, finance, operate and maintain CNG filling stations at up to 37 transit facilities.
The four companies submitting proposals were chosen based on their financial capability to carry out the project, their background and experience in managing comparable projects and their understanding of the project, according to the press release.
PennDOT will soon issue a Request for Proposals that the selected teams will review before a final request is issued in the spring. PennDOT expects proposals will be submitted by summer and the project will be awarded in late summer or early fall.
The state’s P3 Board approved the CNG project Sept. 29.
PennDOT will also 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.
According to PennDOT, Pennsylvania became the second-largest natural gas producing state in the nation in 2013. 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.
Gov. Tom Corbett signed the Public and Private Partnerships for Transportation Act in July 2012.