Texas districts see cost savings from propane buses
Dallas County Schools is among the school systems in the state running buses on the fuel, and it reportedly saves about $500,000 annually with the $0.50-per-gallon tax credit. Officials from the Propane Council of Texas say that with the recent extension of alternative-fuel tax credits, districts will be able to save more money this year.
AUSTIN, Texas — The Propane Council of Texas reports that school districts around the state are saving money as a result of operating propane-powered school buses, and the council said that with the recent extension of alternative-fuel tax credits, they will be able to save more this year.
As SBFpreviously reported, the fiscal deal passed by Congress in early January includes provisions that benefit fleets that use alternative fuels. The so-called “fiscal cliff” bill extends tax credits for several alternative fuels, including propane autogas and compressed natural gas (CNG) and for related infrastructure.
A $0.50-per-gallon tax credit for propane, CNG and liquefied natural gas had also expired at the end of 2011, but the fiscal deal extends it through 2013 and applies it retroactively to 2012. Also extended through 2013 and applied back to 2012 is a $30,000 infrastructure tax credit for those and some other alternative fuels.
“It’s no secret that Texas schools have struggled in the wake of the roughly $5.4 billion state budget cut to public education funding last session,” said Jackie Mason of the Propane Council of Texas. “Many switched buses to propane autogas as a way to cut costs, and these tax extensions offer additional financial relief. Districts like Dallas County Schools have already saved millions on fuel costs with autogas buses, which also significantly reduce greenhouse gas emissions and harmful pollutants compared to gasoline or diesel buses.”
There are 2,078 propane-powered buses operating in 75 Texas school districts, according to the Railroad Commission of Texas.
The largest propane-powered school bus fleet in Texas, Dallas County Schools, saves about $500,000 annually with the $0.50-per-gallon tax credit. The district has utilized propane for nearly 20 years and saves approximately $1.5 million in fuel costs each year, according to Tim Jones of Dallas County Schools administration.
Northside Independent School District (ISD), the second-largest propane autogas bus fleet in the state with 40% of its buses running on the fuel, saved around $225,000 with the credit from 2011. Denton ISD recouped $170,000 with the 2011 credit, on top of saving $361,498 in fuel costs last year running buses on propane instead of diesel.
“The savings we experience with the tax credits increases each year as we add more propane autogas buses to the fleet,” Denton ISD Director of Transportation Aaron Robbins said. “Over a 13-year period as we’ve grown our autogas bus fleet from five to 104 clean vehicles, we have saved a grand total of $655,652 on the tax rebates alone.”
The Austin, Houston and Arlington ISDs recently installed new propane fueling infrastructure. Other Texas school systems running buses on the fuel include Alvin ISD, Conroe ISD, Eanes ISD, Leander ISD and Prosper ISD.
“Propane autogas is dependable and cheaper than gasoline or diesel," Mason added. "Plus, autogas vehicles and fueling stations are less expensive than other alternative fuels. For example, it’s possible to install 10 propane autogas fueling stations for the price of one compressed natural gas station. When you’re a fleet already working on a tight budget, those savings can mean the difference between switching to alternative fuel or not.”
More Alternative Fuels
A Solution Helping School Buses Charge Without Major Infrastructure Upgrades
Power Innovations International dishes on its EV charging technology designed to reduce infrastructure barriers, improve reliability, and support V2G applications for school bus fleets.
Read More →
New Eagle Launches All-in-One EV Control Platform
The new OpenECU NX3 platform integrates charging and vehicle controls into a single platform, with support for megawatt charging and vehicle-to-grid technologies.
Read More →
GreenPower Unveils New Heating Solution for Type A Bus
The all-electric bus manufacturer's new product aims to eliminate cold-cabin issues on its Nano BEAST zero-emission school buses operating in cold climates.
Read More →
Alt-Fuel Moves: Fleets Plug In for the Long Haul
School districts across the U.S. are moving electric school bus plans into operation, with new fleet deployments, charging infrastructure, and long-term electrification partnerships taking shape.
Read More →The Achilles Heel of School Bus Electrification: BetterFleet’s Take
BetterFleet’s managing partner discusses AI-powered EV fleet management, vehicle-to-grid challenges, and the real challenges in bus electrification today, from ACT Expo.
Read More →
You're On Your Own to Pick a Drivetrain [Op-Ed]
After years of federal pressure toward electric school buses, districts are suddenly being told to choose their own path. Let’s explore the risks, realities, and politics behind school bus drivetrain decisions.
Read More →Wattson: Thomas Built’s Largest EV School Bus Yet
Check in with Mark Childers on the new Wattson Type D electric school bus, featuring faster charging, expanded passenger capacity, and advanced safety technology.
Read More →The New Era of Electric School Buses: V2G, Bidirectional Chargers & More
The Mobility House discusses AI-powered charging, vehicle-to-grid technology, smart energy management, and the next phase of school bus electrification.
Read More →
Now Made in America: Proterra Turns to U.S.-Built EV Batteries
Proterra announced a new U.S.-sourced battery cell option for its Onyx platform, boosting domestic content by more than 600% and strengthening EV supply chain resilience for commercial vehicle OEMs.
Read More →A Look at the Battery Technology Powering Electric School Buses
Check in with Proterra on next-generation EV battery technology for school buses, including safety innovations, predictive diagnostics, EPA 2027 readiness, and the future of transportation from ACT Expo.
Read More →
