IdleAir Not Letting Lower Diesel Prices Stop Idle Reduction Growth
A partnership with Duke Energy is allowing a truck stop facility to be installed in Kenly, N.C. Photo courtesy Duke Energy.
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A partnership with Duke Energy is allowing a truck stop facility to be installed in Kenly, N.C. Photo courtesy Duke Energy.
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As temperatures heat up around the country, IdleAir is working to expand the number of fleets using its idle reduction technology to keep trucks cool and provide power for cab comforts.
IdleAir offers heat and air conditioning, power, TV, Internet and other services at truck stops, terminals and other locations to reduce overnight truck idling. But low fuel prices have made it harder for truck owners to justify the investment in idle reduction services and technologies, whether that be APUs or electrification.
When Convoy Solutions bought the defunct Idle Aire and resurrected it as IdleAir in 2010, diesel fuel was running about $3 a gallon retail. Last year it averaged about $2.30. If idling takes a gallon of fuel per hour, and the charge for Idle Air at truck stops is $2.19 per hour, that’s not a lot of savings (although bundles are available that can get that cost down to as low as $1.75 per hour.)
“We’ve had to be more competitive on a price basis because diesel prices are 40% lower than they were in 2014,” IdleAir CEO Ethan Garber told HDT in an interview.
Last year, Idle Air said it was responding to the challenge of lower diesel prices by offering more value, locking in long-term electricity rates when possible, streamlining internal operations to reduce costs — and focusing more on building its facilities at fleets.
Fleets and IdleAir
IdleAir’s traditional market is owner-operators at truckstops. But today, major fleets such as Covenant Transport and Western Express are tying IdleAir usage to their fuel cards on a seasonal basis, allowing them to turn on the access to the service only in the summer months, relying on more-efficient bunk heaters …Read the rest of this story