Valero Plans Alternative Fuel Stations

The company will build new stores equipped to dispense alternative fuels, such as natural gas and E85.

May 02, 2011

SAN ANTONIO - As it constructs new locations, Valero Energy Corp. will make sure the stations can offer a variety of fuels, including E85 and natural gas, the Express News reports. "In certain markets they're already consuming natural gas in vehicles," said Bill Klesse, CEO of Valero.

Already in Colorado, natural gas dispensers are at some stations and the company will add the same in Texas "if there is market demand," said Klesse. One station near Valero??s headquarters in San Antonio will be built with a natural gas dispenser.

Valero also will put electric charging stations in locations where space and demand permits, although the company is not as enthusiastic about electric vehicles as other alternative fuels. Klesse said using electricity to power cars can be "problematic."

The company has found it more cost-effective to add E85 pumps to locations during initial construction rather than outfitting existing stations with those pumps. Converting pumps to E85 comes with a hefty $100,000 price tag, said Klesse.

For more on the future of fuels, watch the NACS TV series on the topic at nacsonline.com/gasprices.

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