UPS Investing $70 Million in Propane-Fueled Delivery Trucks

UPS said it expects the fleet of delivery trucks will travel more than 25 million miles per year, displacing 3.5 million gallons of gasoline and diesel fuels.

Mar 5, 2014 at 1:52PM

In a move to add to its fleet of more than 3,150 alternative-fuel vehicles, today UPS (NYSE:UPS) announced it will be investing approximately $70 million to create a delivery fleet that is fueled by propane across rural Louisiana and Oklahoma, and potentially other states.


Source: UPS.

The investment will result in UPS installing 50 fueling stations at various locations that will be used to fill the 1,000 delivery trucks -- which can travel up to 200 miles on a tank of propane -- it plans to purchase. The company also highlighted it currently has almost 900 propane vehicles, which are currently in use in Canada. The operations in the U.S. are expected to begin by the middle of this year.

"The UPS alternative fuel strategy is to invest in the most environmentally friendly and economical energy sources," said the chief operating officer of UPS, David Abney, in a company press release. "Propane meets those criteria as a clean-burning fuel that lowers operating costs and is readily accessible, especially on rural routes in the United States. States that attract this type of investment with tax incentives and grants will factor into the UPS deployment strategy."

UPS said it tested a fleet of 20 propane-powered delivery trucks successfully in Gainesville, Ga., over the winter. It also worked with equipment manufacturers and the non-profit Propane Education & Research Council (PERC) to secure the necessary permits and certifications with federal and state authorities.

UPS said it expects the fleet of delivery trucks will travel more than 25 million miles per year, displacing 3.5 million gallons of gasoline and diesel fuels. The company said propane has greater price stability and access to supply as a result of the increase in natural gas production across the United States. 

The Propane Education & Research Council says propane is a hydrocarbon (C3H8) that is sometimes referred to as liquefied petroleum gas, LP-gas, or LPG. "Propane is produced from both natural gas processing and crude oil refining, in roughly equal amounts from each source," according to the council.


Patrick Morris has no position in any stocks mentioned. The Motley Fool recommends United Parcel Service. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.


Compare Brokers