Sprague Celebrates 25 Years of Pioneering Ultra-Low Sulfur Diesel in NYC, Setting a Global Standard for Cleaner Air

(Sprague) Sprague Operating Resources LLC, a leading provider of energy solutions across the Northeast, is proud to celebrate the 25th Anniversary of its groundbreaking work with New York City Transit (NYCT) that pioneered the commercialization of Ultra-Low Sulfur Diesel (ULSD) in the United States. This historic effort began a full decade before the federal mandate took effect, accelerating a major shift in public policy and technology.

The introduction of ULSD was a critical step in a broader effort to address New York City’s persistent air quality issues. In the late 1990s and early 2000s, with asthma hospitalization rates a major concern across the city, officials faced mounting pressure to curb pollution.

Sprague celebrates 25 years since the commercialization of Ultra Low Sulfur Diesel (ULSD), a milestone that began in New York City in 2000 with its partnership with the MTA New York City Transit Authority. By introducing ULSD a full decade before it became federally required, Sprague helped pave the way for cleaner air, reduced emissions, and a national shift toward sustainable diesel solutions.

In the face of limited and expensive options—like compressed natural gas buses—NYCT sought an innovative, cost-effective solution.

“In the late 1990s, the NYCT was committed to reducing the environmental impact of the bus fleet,” said Dana Lowell, former head of Research & Development, NYCT Department of Buses. “We immediately saw the value of diesel particulate filter (DPF) technology and were eager to test it. But there was one problem; we needed a ‘special’ ultra-low sulfur diesel fuel to make it work.”

After an extended field test with emissions reporting by Environment Canada, ULSD proved to lower emissions and work with existing equipment seamlessly. In September 2000, Sprague took a bold, proactive step, becoming the pioneer supplier of ULSD to the Metropolitan Transportation Authority (MTA) for the NYCT Clean-Fuel Bus Program. This move occurred a full decade before the federal Environmental Protection Agency (EPA) mandate for all on-road ULSD took full effect, in 2010.

The key to the program’s success was its pragmatic, technology-neutral approach, which invited the fastest and most cost-effective innovations to reduce diesel bus pollution.

ULSD, with a sulfur content of 15 parts-per-million (ppm) compared to the previous standard of up to 500 ppm, did more than just clean up the fuel itself. Crucially, it paved the way for the adoption of modern emissions-reduction technologies, such as DPFs, on diesel buses and trucks.

“The result was a solution that eliminated more than 90 percent of the problem, and a solution that was easily scaled to other transit and trucking fleets across the country and around the world,” said Rich Kassel, who led the “Dump Dirty Diesels” campaign at the Natural Resources Defense Council at the time and co-chaired the task force that considered the technology options.

By pairing the cleaner fuel with the new filter technology, the NYCT program ultimately cut harmful particulate matter pollution from its bus fleet by over 90% by 2006, setting a global standard for urban mass transit.

“We also knew that every dollar spent to clean up old diesel trucks would yield more than twelve dollars in health benefits, making diesel clean-up extremely cost-effective,” said former New Jersey Governor Christine Todd Whitman, who was the Administrator of the U.S. Environmental Protection Agency (EPA) at the time.

“This wasn’t just a product switch; it was a commitment to public health, cleaner cities, and the future of transportation,” said Steven J. Levy, Managing Director at Sprague Energy, a central figure in the company’s clean fuel initiatives. “Twenty-five years ago, we recognized the opportunity to partner with NYCT in their quest to reduce emissions. Sprague’s investment in supply and distribution infrastructure proved that ULSD could be implemented at scale, long before the industry was ready. It’s what we do—find solutions for ourselves and our customers.”

Following the tragic events of 9/11, Sprague’s early investment also allowed construction equipment at the World Trade Center site to operate with cleaner fuel. This became a model for “clean construction,” dramatically reducing emissions during the massive rebuilding effort in Lower Manhattan.

Sprague’s leadership was recognized by federal authorities. In 2003, Mr. Levy hosted then-EPA Administrator Christine Todd Whitman and EPA Region II Administrator Jane Kenny at one of Sprague’s ULSD terminals to highlight the private sector’s role.

The pioneering legacy of the ULSD conversion continues to drive Sprague’s work. That same spirit is evident in the company’s recent focus on Renewable Diesel (RD), a modern, drop-in non-fossil fuel replacement for traditional diesel that significantly cuts greenhouse gas emissions and particulate matter.

“Everything old is new again,” commented Barry Panicola, Managing Director of Commercial Sales at Sprague. “The same way ULSD was introduced before it was required, we’re now doing the same with renewable diesel. ULSD afforded a clean air solution in the early 2000s, and today, RD offers an immediate, non-fossil fuel option as we transition to electrification and other future technologies. We’re seeing history repeat itself, with even better outcomes.”

From delivering the first gallons of ULSD to the MTA, to supplying cleaner fuel for construction at Ground Zero, and now leading the RD introduction to the maritime industry, Sprague’s legacy of clean fuel leadership continues.

As Sprague marks this 25-year milestone, the company reaffirms its dedication to leading the energy transition, ensuring that its customers stay ahead of environmental mandates, while it continues its legacy of delivering cleaner, more sustainable energy options to the communities it serves. Learn more at https://www.spragueenergy.com/sustainability/.

Founded in 1870, Sprague Operating Resources LLC is an energy and materials handling company based in Portsmouth, NH. With a rich 155-year history of fueling possibilities and powering progress, Sprague offers a diverse portfolio of products and services, including fuel storage, fuel delivery, electricity, material handling, material storage, natural gas, and solar. Sprague serves commercial, industrial, wholesale, utility, and municipal customers across the Mid-Atlantic, Northeast, and Quebec. READ MORE; includes VIDEO