Business

Environmentally friendly and economical: more and more companies in Ukraine prefer CNG fuel

PepsiCo-Ukraine has launched a project to switch to blue fuel for trucks, which is being implemented in partnership with the logistics company Milk Service and the state-owned enterprise Ukravtogaz. This was reported by PepsiCo-Ukraine, according to Komersant ukrainskyi.

CNG trucks are already operating in the Kyiv region, transporting dairy products. In March 2024, PepsiCo-Ukraine launched a new 500 km route Kyiv-Mykolaiv.

What are the benefits of using this particular fuel?

As Anton Siryk, director of Milk Service, explains, “CNG trucks reduce CO₂ emissions compared to diesel trucks and also demonstrate higher technical reliability due to the absence of compounds in natural gas that damage the catalyst, which extends the life of the engine and its components.”

“CNG produces almost no particulate matter and provides cleaner combustion. This fuel allows us to cut costs and reduce the negative impact on the environment,” adds Kostyantyn Dovgal, Director of Ukravtogaz.

For PepsiCo-Ukraine, the pilot project on the use of CNG fuel is part of the global comprehensive business transformation of PepsiCo – #PepsiCoPositive, which is centered on sustainable development.

What is “PEP Positive”?

“It’s not just a business strategy; it’s a transformational way of doing business, from production to marketing and distribution,” says Ramon Laguarta, Chairman and CEO of PepsiCo.

According to him, as a global convenience food and beverage company, PepsiCo’s business depends on agriculture, and the Positive Agriculture program includes efforts to promote regenerative farming practices, improve water efficiency in crop irrigation and sustainably source key ingredients from suppliers.

As part of this strategy, the company is purchasing new electric, hybrid and gas vehicles to expand its fleets in the United States, Latin America and Europe, and expanding the use of new sources of renewable energy, such as biogas, which converts production by-products into biomethane, a renewable fuel that can be used to generate electricity.

The development of environmentally friendly transportation is becoming a priority for Ukraine as well

“Ukravtogaz, a part of Naftogaz Group, has already signed 9 agreements with leading transport and logistics companies that provide for the use of vehicles running on more environmentally friendly compressed natural gas (CNG).

“Ukravtogaz is building the infrastructure for the transition to cleaner fuels.

“We are creating a network of filling stations that will allow businesses and carriers to easily integrate CNG into their operations. Our goal is to make eco-friendly fuel available to everyone who cares about efficiency and environmental friendliness,” says Konstantin Dovgal, CEO of Ukravtogaz.

In addition to the logistics company Milk Service, which is the main carrier of PepsiCo Ukraine, the partner network of Ukravtogaz has already included passenger carriers Pivden Trans LLC, owners of public transport Unis-Eco PE, as well as such companies as Ekor TZ LLC, Foodingredients LLC, Marcus Ukrinvest LLC, and Rossa LLC.

What is CNG fuel or blue fuel?

Compressed natural gas (CNG) is an alternative type of automotive fuel that is gaining more and more popularity in the world every year. It is a fuel that not only provides significant cost savings for businesses, but also significantly reduces their environmental impact.

In large cities, cars and public transport produce up to 90% of all harmful air emissions. And the use of CNG reduces CO₂ emissions by 80% compared to diesel fuel, provides cost savings of up to 50% and extends engine life by 30-40%.

CNG is also the safest fuel compared to diesel, gasoline or propane-butane.

In addition, this type of fuel is a transitional solution to the use of biomethane and hydrogen, which meets European environmental standards.