The Kroger Company (NYSE: KR) announced that it will be the first in Oregon to deploy a fleet of heavy-duty trucks that run on liquefied natural gas (LNG). The 40 trucks will replace 40 diesel trucks currently in use, and are expected to start making store deliveries in the Portland metropolitan area by the end of 2014.
Use of natural gas fuel not only reduces operating costs for vehicles, but also reduces greenhouse gas emissions up to 23% in medium- to heavy-duty vehicles.
“This is the first step in Kroger’s effort to transition our fleet to alternative fuels,” said Kevin Dougherty, the firm’s group vice-president and chief supply chain officer. “Converting to LNG trucks will allow us to reinvest savings into lower prices for our customers while also benefiting the environment.”
The trucks will make deliveries to about 50 Fred Meyer and QFC stores as far south as Corvallis OR and as far north as Longview WA, averaging approximately 175 miles per day, six days a week, 52 weeks a year. They are expected to reduce greenhouse gas emissions by about 755 metric tons per year, which equates to removing roughly 159 passenger cars from the road annually. The fleet will be fueled at a new, private LNG fueling station at Kroger’s Clackamas Distribution Center, which will be designed and engineered by Clean Energy Fuels Corp (NASDAQ: CLNE).
“These trucks are nearly identical to our diesel fleet, which allows us to have minimal impact on operations and still achieve the same caliber and standard of performance,” said Matt Hoffman, Kroger regional logistics director, based in Portland. “They are truly the prototype truck of the future—the safest, cleanest, and quietest way for our hard-working drivers to deliver product to the stores.”
More about Kroger’s transportation sustainability efforts can be found at http://sustainability.kroger.com.
Kroger has more than 375,000 employees who serve customers in 2,640 supermarkets and multi-department stores in 34 states and the District of Columbia under two dozen local banner names. These include Kroger, City Market, Dillons, Food 4 Less, Fred Meyer, Fry’s, Harris Teeter, Jay C, King Soopers, QFC, Ralphs, and Smith’s.
Access www.kroger.com for further information.
