Beyond Oil: Trains Turn to LNG Fuel and Hybrid Locomotives

According to a new EIA report, the cost advantages of liquefied natural gas make it an attractive alternative to diesel fuel for major U.S. freight railroad companies. Hybrid diesel-electric locomotives on order for 5 states will power HSR routes.

2 minute read

April 16, 2014, 7:00 AM PDT

By Irvin Dawid


"Liquefied natural gas (LNG) likely will play an increasing role in powering locomotives in the coming years, according to a recent U.S. Energy Information Administration (EIA) report ," writes the staff of Progressive Railroading. EIA is located within the Department of Energy.

The reduction in diesel fuel consumed in the U.S. could be substantial, as well as the cost savings to the Class 1 railroads that are considering employing the LNG locomotives and tenders.

The seven Class Is consumed more than 3.6 billion gallons of diesel in 2012, or 7 percent of all diesel consumed in the United States. The fuel cost more than $11 billion to purchase and accounted for 23 percent of the railroads' total operating expenses, according to the report.

EIA states that the price difference between diesel and LNG fuel is driving the rail companies to consider natural gas, although "in addition to the risk surrounding future fuel prices, other factors including operational, financial, regulatory, and mechanical challenges also affect fuel choices by railroads."

These railroads are considering the use of LNG in locomotives because of the potential for significant fuel cost savings and the resulting reductions in fuel operating costs. Given the expected price difference between LNG and diesel fuel, future fuel savings are expected to more than offset the approximately $1 million incremental cost associated with an LNG locomotive and its tender. 

Rather than market forces, it is the Passenger Rail Investment and Improvement Act of 2008 (PRIIA) and EPA Tier IV diesel emission standards that drove Siemens to select hybrid diesel-electric locomotives to achieve "90 percent reduction in nitrogen oxide, a greenhouse gas, and in particulate matter (aka soot), which contributes to pollution and health problems," writes the senior editor of ThinkProgress, Annie-Rose Strasser, about the "higher" speed locomotives being built for Amtrak routes in California, Washington, Michigan, Missouri, and Illinois.

For an example of hybrid diesel-electrics, Strasser cites a European "hybrid locomotive that cuts energy use and carbon emissions by 25%. The system claws back kinetic energy that’s normally lost during braking, converting it to electricity that’s stored in a battery," wrote Co.Exist staff writer, Ben Shiller, last year about the conversion of a diesel locomotive to "a parallel hybrid, which means you can use either the diesel engine, a combination of the diesel and the batteries, or just the batteries."

According to UPI, Siemens will manufacture the trains at its "plant in Sacramento, California while the primary traction drive, a 4,400 hp-rated diesel engine with 16 cylinders and a cubic capacity of 95 liters, will be manufactured by Cummins Inc., in Columbus, Indiana."

Tuesday, April 15, 2014 in Progressive Railroading

"Planetizen federal action tracker" logo superimposed over black and white image of US Capitol dome.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

October 28, 2026 - Zachary Whalen

A car drives through a puddle, making a large splash. Rain pours down.

California plans to bury El Niño’s downpour

If the state plays its cards right, it may be able to store a billion acre-feet of El Niño’s water in aquifers.

October 28, 2026 - Grist

Lake Powell with much of the water evaporated.

Desperate measures: Advocates weigh draining Lake Powell to fill Colorado River

Draining the reservoir could reduce evaporation losses by a couple hundred thousand acre-feet.

October 30, 2026 - Yale Environment 360

People vote in Chicago behind blue privacy screens

Chicago voters approve permanent festival grounds, penalty for vacant property owners

Currently, major summer and fall festivals take over public parks for weeks at a time, drawing criticism from nearby residents

November 5 - Block Club Chicago

Mayor Zohran Mamdani speaks into a microphone. He wears a gray suit.

NYC votes to cut outdoor dining red tape, speed up permitting

New York City also voted to allow the Department of Transportation to begin work on urgent projects before notifying elected officials.

November 5 - The City Reporter

People in Los Angeles going to the polls, following a sign with an "I Voted" design

California appears to reject Prop. 45

The proposition would have expanded the projects that qualify for a streamlined environmental review, effectively paring down the California Environmental Quality Act.

November 5 - Cal Matters