NYC Selects Sprague to Deliver Renewable Diesel for Ferry Fleet

June 26, 2025
By transitioning its fuels to RD, the municipal ferry system is estimating it can lower lifecycle greenhouse gas emissions by up to 60%, according to reports.

The New York city department which runs the municipal marine fleet including the Staten Island Ferry has been testing renewable diesel for its vessels and now is committing to the fuel full-time.

Energy and material handling firm Sprague Operating Resources has been selected by the New York City Department of Citywide Administrative Services (DCAS) to supply the renewable diesel (RD). By transitioning its fuels to RD, the municipal ferry system is estimating it can lower lifecycle greenhouse gas emissions by up to 60%, according to reports.

The contract marks a crucial agenda in New York City's plan, announced in October 2024, to transition its marine vessels to lower greenhouse gas (GHG) emission fuels.

RD is refined from used cooking oil and waste fats to be chemical identical to fossil-fuel diesel but could present an environmental advantage because of lower emissions and the feedstocks which absorb carbon dioxide during the refining process.

"Supplying renewable diesel for the city's ferry fleet aligns perfectly with Sprague's long-standing commitment to providing sustainable and renewable energy solutions,” said David Glendon, Chairman at Sprague. “This contract is a testament to our team's capabilities and our shared vision with the city of New York."

Earlier this year, the New York City DCAS awarded its first tender to buy RD for its ferries, basing its offer on the New York Harbor R99 price published by the reporting agency Argus. The municipal department already had shifted most of its heavy-duty and off-road vehicles to renewable diesel.

Refining capacity for RD is growing. Oil refinery and pipeline firm Phillips 66 has convered a former San Francisco Bay oil refinery to renewable biofuels and sustainable aviation fuel.