GE Capital lease option for alternative fuel trucks

GE Capital Canada has signed a commercial agreement with Shell Canada Products designed to facilitate the trucking industry’s adoption in Canada of liquefied natural gas (LNG), a more environmentally-friendly, less expensive fuel, by offering reduced monthly lease payments on alternative fuel vehicles.

Under the terms of the deal, fleet owners must first sign an LNG fueling contract with Shell. Afterwards, the fleet will go to a truck manufacturer and get a quote for the natural gas vehicle (NGV) to take to GE Capital for a leasing agreement.

“Through this agreement, we’re giving over-the-road trucking companies the financial incentive to make the shift from diesel to natural gas,” said François Nantel, leader of GE Capital, Canada’s transportation business. “Working with Shell will help address truck operators’ concerns regarding the trucks’ value and incremental capital investments and allow them to access the benefits of LNG vehicles from day one.”

In general, LNG is used for vehicles that undertake long hauls, while compressed natural gas (CNG) is used for those that undertake shorter hauls. The aim of the new approach is to make the more expensive LNG trucks more economically comparable to diesel equivalents.