GE Capital, Canada Announces Agreement with Shell to Facilitate Trucking Industry's Shift to Natural Gas Vehicles
GE Capital, Canada has announced the signing of a commercial agreement with Shell Canada Products (Shell) with a view to facilitate the trucking industry's adoption in Canada of liquefied natural gas (LNG), a cleaner-burning, less expensive fuel.
Under this agreement, GE Capital and Shell will work together to reduce monthly payments for truck fleets that lease natural gas vehicles (NGVs). Specifically, fleets owners can sign natural gas fueling contracts with Shell and, separately, secure leases for LNG vehicles with GE Capital. The agreement covers equipment that will purchase fuel from Shell's facilities.
GE Capital has been providing wholesale and retail financing to the country's commercial trucking sector for 35 years. This announcement continues GE Capital's efforts to promote the use of NGVs in the commercial trucking space.
"Through this agreement, we're giving over-the-road trucking companies the financial incentive to make the shift from diesel to natural gas," said François Nantel, leader of GE Capital, Canada's transportation business. "Working with Shell will help address truck operators' concerns regarding the trucks' value and incremental capital investments and allow them to access the benefits of LNG vehicles from day one."
In general, LNG is used for vehicles that undertake long hauls, while compressed natural gas (CNG) is used for those that undertake shorter hauls.