UGI Energy Services, Philadelphia enter biofuel agreement

UGI Energy Services LLC, a Wyomissing, Pennsylvania-based subsidiary of UGI Corp., recently entered into a partnership with the city of Philadelphia to supply renewable natural gas (RNG) for the city’s compressed natural gas- (CNG-) powered trash compactors.

Under the terms of the agreement, the city will purchase biogas sourced from Pennsylvania and regional landfills, aiming to reduce landfill flaring and grow local markets for RNG.

“We are pleased to partner with the city in this important program,” UGI Energy Services President Joe Hartz says. “We source biogas from a portfolio of landfill projects to ensure security of supply for our customers and prioritize production from Pennsylvania landfills for delivery to customers located throughout the commonwealth.”

The partnership marks the first time the city is using RNG environmental attributes for its CNG fleet. The renewable fuel will power the 35 CNG-fueled trash compactors that currently serve neighborhoods throughout Philadelphia.

“The city’s partnership with UGI Energy Services is an important step toward advancing our vision of a cleaner municipal fleet,” Philadelphia Office of Sustainability Director Liz Lankenau says. “Through our partnership, UGI Energy Services will prioritize capturing and reusing gas from local landfills to power our trash compactors, which supports the local market for fossil fuel alternatives like renewable natural gas.”

According to UGI, the project creates new demand for methane produced by waste decomposition in landfills, reducing the amount of gas flared at participating facilities and allowing for RNG to be injected into the gas distribution system.

“By transitioning our city fleet to renewable natural gas, we’re investing in smarter energy and a more sustainable future,” says Joseph Rosati, commissioner of the Philadelphia Department of Fleet Services. “This initiative demonstrates our ongoing commitment to a cleaner municipal fleet and responsible city leadership.”