CNG Drops Below $1 Per Gallon

KFOR  – Tuesday, January 08, 2013
 

The price of compressed natural gas (CNG) is typically cheaper than regular unleaded gasoline, an average of about $2 per gallon cheaper in recent years.

The CNG price around Oklahoma City is now a jaw-dropping $.99 per gallon.

Last week the price at area Oncue Express stations was $1.49 per gallon.

It dropped 50 cents last Thursday after the federal government re-instated a 50-cents-per-gallon tax credit as part of the fiscal cliff agreement.

For Josh Chapman and the folks at CNG of OKC, the price drop has been great for business.

CNG of OKC converts all makes and models of gasoline vehicles to run on CNG fuel.

“We love it; it’s great for business,” Chapman said. “99 cents a gallon and normally you get a little better fuel mileage when you run on CNG, so you really can’t be that.”

The biggest drawback for consumers in the cost to convert.

Even with thousands in Oklahoma State tax incentives, it is still $6,000 to $10,000 to get your gasoline guzzler to run on CNG.

Land Enterprises Roofing Company just paid to convert the company’s first vehicle last week.

The conversion cost $8,100 and owner Brian Land is considering two more conversions in 2013.

“It’s Oklahoma fuel, that’s what sounds good to us,” Land said. “When financially it made sense it was a no-brainer. Do the calculations and see if it works out for you. For us it made sense.”

There are now almost 100 CNG fueling stations across Oklahoma.

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This article was first published by KFOR.

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Comments

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midmountian
Thats great for you folks in Oklahoma but here in Las Vegas The price is 2.49 a gge I don't understand how it can be .99 in OK. and 2.49 in NV Somebody is making a killing Clean Energy is the suppler in Las Vegas someone needs to do something or cng will not take off like it should. I mean how can there be that much of a difference in prices
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David.Phillips
How about a Badge for appearing in the Channel 4 spot this week on the New $.99 price at OnCue!
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exLeaf
Competition is great I just noticed that ONG lowered their price to $0.90 and 7 Eleven in Moore is a champion with $0.79
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KeithHarmon
@midmountian. I hear what your saying Clean energies here in Denver charges $2.70/gge which is more than gasoline. If that company wasn't so greedy they might actually sell more fuel.
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OKCNGer
What happened to Loves Stores stores?  They are still at $1.59 in lots of places.
How come they have not stepped forward with the 50 cent reduction in CNG prices
at the pump like OnCue?
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Roldigs
I may be confused but, does OK have a regulated CNG market?  Are the stations operated by the Public Utility (ONG) and non-profit?  That would explain them dropping price $50 cents with the rebate.  A for-profit company could not sell CNG for $1.00.  Maybe someone from OK can explain the CNG market in OK.   In Houston - $2.25 GGE.
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JoeBlow1008
Clean Energy charges 2.89 in Elk Grove CA...its on sale at 3 neighboring communities for 1.87 to 2.12.   Its unfortunate that Clean Energy is profiteering instead of encouraging the switch to alternative fuels.  Sounds like they are gouging people all over the country. Its a shame...and shame on them.