The sustainability trend has swept across the transportation and fuel industries in recent years. Biodiesel has helped G&D Integrated, a for-hire carrier, meet its own environmental goals and win business.
Helping the Environment and Profits
G&D Integrated has found that sustainability is not only about its own goals, but also what it can do to meet its customers’ goals to be environmentally friendly.
“We’ve noticed that there are more and more customers asking us to participate in their sustainability efforts,” says Vince Buonassi, group manager of transportation programs at the for-hire carrier. “We’ve actually been awarded freight based on our biodiesel usage.”
Those customers are found worldwide and do business in heavy equipment manufacturing and parts fulfillment, agricultural machinery, automotive parts and components, food containers and food packaging.
Located in central Illinois, G&D Integrated’s services include transportation, warehousing, and distribution and logistics. On the transportation side, it offers point-to-point hauling, dedicated contract carriage, ocean container drayage and freight brokerage.
Its fleet of 430 vehicles travels up to 26 million miles annually. The diesel-powered units run year-round on a blend of 20 percent biodiesel and 80 percent petroleum diesel, which is known as B20.
Biodiesel has been key not only in the company’s sustainability efforts but also in growing its business. For instance, biodiesel usage is showing up in some RFPs and, Buonassi says, has been “directly related” to the company winning bids. It also has helped G&D Integrated strengthen its relationship with East Coast ports that want to reduce their carbon footprint.
“Many of our customers analyze their entire supply chain for environmental impact, and some have even gone as far as incorporating sustainability into their purchasing departments,” he says.
Significant carbon reduction
The reduction in carbon dioxide emissions from G&D’s use of biodiesel is equal to nearly 230,000 fewer gallons of gasoline consumed each year. Particulate matter is reduced by 2,854 pounds annually. The numbers come from the B20 Club, a program from the Illinois Soybean Association and the American Lung Association.
“We’re talking a material difference here,” Buonassi says.
G&D Integrated started using biodiesel several years ago after its fuel supplier, Ag-Land FS Inc., introduced the company to the fuel.
“They were claiming that this product would not only cost us less money but also would not result in any efficiency losses,” Buonassi says.
He has found that to be true and says biodiesel has not caused G&D Integrated to increase its rates.
Fuel that performs
G&D Integrated started with a B11 blend before quickly moving up to B20. Each time, it rigorously tested the fuel.
“What we observed was there was absolutely zero degradation in performance,” Buonassi says.
In fact, biodiesel added lubricity. It has also performed well in cold weather. Buonassi credits partnering with a quality vendor like Ag-Land FS to getting a good product. The fuel comes from REG.
“A company like REG has production facilities that make top-of-the-line, quality-controlled biodiesel,” he says. “And they’re sourcing different forms of feedstock that go through testing before being converted to the end product.”
It’s an end product that Buonassi credits with helping G&D Integrated stay ahead of the curve.
“There’s really no sense in fighting the tide of sustainability,” he says. “A lot of other truck carriers will. At G&D, we feel it's our duty to be good environmental custodians, and it makes business sense for us.”
The Bottom Line
G&D Integrated's biodiesel use reduces:
Carbon dioxide emissions by the equivalent of 230,000 gallons of gasoline annually
More than 2,800 pounds of particulate matter
No drop in fleet performance compared with petroleum diesel. Uses up to a B20 blend in cold weather.
G&D Integrated has been awarded business because of biodiesel use.
Watch: G&D Integrated Explains Biodiesel Benefits
Before G&D Integrated fully embraced biodiesel, it extensively tested how it's fleet performed. See the results.
Petroleum Wholesale Gains a Competitive Edge with Biodiesel
Published on: Feb 08, 2019
By adding diversity to its fuel offerings, the company benefits from tax incentives, price advantages
and better supply management.
In 2013, John Cook, president
and CEO of Petroleum Wholesale, which includes Sunmart convenience stores, brought diversity to the company’s fuel offerings when it started offering biodiesel.
“Basically, all of our competitors started bringing it in. So it didn’t take us long to realize we needed to get into it to stay competitive,” Cook says.
Today, 95 percent of Petroleum Wholesale’s locations offer biodiesel. Stores start at a B10 blend, move up to B15 a couple of months later, and then B20 a couple months after that. And the company has heard no complaints from customers.
“There’s no downside to biodiesel, and a lot of advantages to it,” Cook says. The benefits include state incentives such as an exemption from the diesel fuel tax, price advantages over traditional diesel, the easing of some supply
issues, biodiesel being a renewable fuel and its clean-burning properties.
Choosing a supplier to keep up with the company's growing demand.
A concern before Petroleum Wholesale began offering biodiesel was availability because of the limited number of production facilities in the biodiesel industry.
Petroleum Wholesale partnered with Renewable Energy Group, Inc. (REG), which has biorefineries and terminals throughout the U.S. Cook believes it’s best to do business with the largest suppliers, and REG being one of the biggest producers of
biomass-based diesel in North America means it can offer a stable supply and competitive pricing. Cook says REG provides high-quality biodiesel and getting fuel from REG has never been a problem.
Cook’s satisfaction with REG is about more than the biodiesel the company supplies, however. He says REG employees consistently go above and beyond in helping Petroleum Wholesale improve its business. One example, he says, is the numerous times
his company has been under contract for a certain number of gallons of biodiesel for a month, and toward the end of the month, they ask for more.
“REG has accommodated us in every instance,” Cook says.
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