California RNG Developer Extends Supply Deals

California-based renewable natural gas (RNG) developer Clean Energy Fuels said December 15 it had signed new and extended contracts for more than 58mn gallons of its Redeem™ RNG to meet continued demand growth in key business segments.

“Our customers have continued to operate their essential businesses at a very high level, despite significant challenges from the Covid-19 pandemic,” said Nate Jensen, Clean Energy’s senior vice president, renewable fuels. “Our customers have demonstrated their commitment to sustainable transportation by enthusiastically embracing our ultra-low carbon Redeem™ RNG.”

The largest of the contracts is with CR&R Environmental Services, a waste and recycling collection company serving much of southern California. It has extended one contract for 20mn gallons of Redeem™ to fuel 225 waste collection trucks at its Garden Grove and Perris stations and extended another for 9mn gallons to fuel 125 waste and recycling trucks operating in San Juan Capistrano.

Other new and extended contracts, Clean Energy said, will serve customers in the heavy-duty trucking, solid waste collection and public transit segments. Outside the transport sectors, National Cement, based in Encino, has purchased 15 new RNG-fueled concrete mixers through Clean Energy’s Zero Now program and signed a multi-year agreement for 675,000 gallons of Redeem™.

Redeem™ was the first commercially available RNG vehicle fuel, derived from capturing biogenic methane produced by the decomposition of organic waste from dairies, landfills and wastewater treatment plants. Redeem™ reduces greenhouse gas emissions by at least 70%, and even up to 300% depending on the source of the RNG.