Boston’s MBTA is launching a partnership with STX Group to participate in the Federal Renewable Fuel Standard (RFSII) program, an initiative expected to generate $4 million in revenue for the MBTA over the contract term.
“The Healey-Driscoll Administration and the legislature have given us tremendous support for our operational needs, said MBTA GM/CEO Phillip Eng. “By securing the revenue this program provides, the MBTA is doing its part to identify additional revenue opportunities that will further support our operations. In doing so, we can continue to improve and maintain safe, reliable, and more frequent transit service across all modes.”
The RFSII Program
The RFSII program, administered by the Environmental Protection Agency (EPA) in cooperation with the Department of Agriculture (DOA) and Department of Energy (DOE), requires that a specific volume of renewable fuel be used to replace or reduce the quantity of fossil fuel in transportation.
The MBTA operates a fleet of 175 buses that utilize compressed natural gas (CNG) as a fuel source out of its Cabot and Arborway bus facilities. The CNG used by these buses, when paired with Renewable Natural Gas (RNG), qualifies as a Cellulosic Biofuel and makes the MBTA eligible for payments under the RFSII program.
“Sustainability is one of the MBTA’s core goals,” said MBTA Chief of Energy and Environment Janis Kearney. “The MBTA’s partnership with STX advances this goal by both redirecting agricultural and industrial methane emissions to productive ends and securing an independent revenue stream to support MBTA operations.”
MBTA’s Contract with STX
The MBTA’s five-year contract with STX will generate $800,000 per year by pairing the MBTA’s 200,000 MMBtu annual CNG consumption with a commensurate amount of RNG.
The RNG utilized in this program is sourced from a diverse portfolio of sources, including landfill-, dairy-, and wastewater-based RNG production facilities, which prevent the escape of methane generated on-site by diverting it for commercial use.
The launch of the program was a collaborative effort between multiple teams at the MBTA, including Energy and Environment, Procurement, Advertising and Revenue, and Bus Operations.