Call to Action!
In July, the National Conference on Weights and Measures (NCWM) will vote on the diesel gallon equivalent (DGE) standard. The vote will take place at the NCWM Annual Meeting July 19 – 23 in Philadelphia, Pennsylvania. It is critical that natural gas advocates reach out to their state regulators in the next month in order to encourage them to support this important vote.
Our member NGVAmerica will attend the meeting to speak in support of the DGE proposal. However, state regulators need to hear from businesses in their affected states. NGVAmerica is asking members, trade allies, and other affected businesses to consider:
- Attending the NCWM Meeting and testify during the open session; this involves speaking from the floor during the open session; remarks are often given informally and do not have to be technical or detailed;
- Contacting state NCWM officials and urge them to vote for the DGE proposal;
- Writing a letter to your state representative urging them to support the DGE proposal and copy the NCWM Executive and others (we have prepared a sample draft letter);
- Contact elected officials in states where you operate and urge them to contact the states voting representative;
- Let us know if you state regulators have indicated how they plan to vote; and
- Let us know if you will be at the meeting in Philadelphia.
This standard compliments the gasoline gallon equivalent (GGE) standard that has been in place for more than 20 years. Under the proposal, retailers of CNG and LNG will be able to offer these fuels in diesel gallon equivalent units. CNG retailers would have the option of using GGE or DGE units but LNG would only be sold in DGE units.
Below are links to more information on state representatives and details on the upcoming Annual Meeting. If your state is represented on the L&R or S&T Committees, it would be helpful to also write those officials.
Link to State Directors: http://www.ncwm.net/resource/state-directors-all
Link to NCWM L&R Committee Members: http://www.ncwm.net/committees/laws-regulations
Link to NCWM S&T Committee Members: http://www.ncwm.net/committees/specs-tolerances
Link to NCWM Annual Meeting Details (July 19 -23, Philadelphia, PA): https://www.ncwm.net/meetings/annual/publication-16
As of this May 2015, ten states now officially recognize the DGE standard as the legal method of sale for natural gas. The latest state to do so was New Mexico, which on May 14 issued final regulations recognizing DGE for CNG and LNG. Twenty-five states also use the DGE unit for taxation of LNG.
About the Establishment of a Standard for Dispensing CNG and LNG in DGE Units
Establishing a standard for dispensing CNG and LNG in diesel gallon equivalent (DGE) units is important for the continued use of natural gas in trucking and other applications that traditionally use diesel fuel. The natural gas industry has requested that the National Conference on Weights and Measures (NCWM) adopt a DGE unit for CNG and LNG that is sold to truckers and other users who typically use diesel fuel. From the purchaser’s perspective, the pump display and readings would show the number of DGE units dispensed and information would be provided on the pump to show how natural gas is converted to DGE units. This is the only rational way to offer CNG and LNG when sold to truck operators. Under the proposal, LNG would only be sold in DGE units since LNG is expected to be used exclusively as a heavy duty vehicle fuel. CNG would be dispensed in GGE units at retail outlets serving the general public and would be sold in DGE units on pumps selling to trucks and heavy duty vehicles.
Standards adopted by NCWM in 1994 require CNG to be sold in gasoline gallon equivalents (GGE). That standard has benefited consumers and industry alike because it provides a common unit for comparing the average energy in CNG to the average energy in a gasoline gallon. It also provides a ready means of informing consumers as to the relative economic cost of natural gas compared to gasoline. All of the retail pumps used today in the U.S. use the GGE unit for dispensing CNG and all retail stations price CNG in GGE units. Moreover, many states increasingly are using the GGE as the most appropriate unit for taxing CNG.
The need for this action is driven by the fact that there currently is significant national interest in promoting increased use of natural gas in heavy duty vehicles where diesel fuel has traditionally been used. The federal government and many state governments currently have in place policies intended to expand the use of natural gas as a transportation fuel. Private firms are investing hundreds of millions of dollars establishing a national network of retail fueling stations to supply this fuel to motor vehicles. Development of a weights and measures standard for a DGE of natural gas will complement the effort made 20 years ago to create the GGE standard.