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Alternative Fuel Opportunities Ahead

Alleyn Harned

Alleyn HarnedVirginia Clean Cities

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• Opportunity of alternative fuels – Jobs, security, environment, choice

• Governor signs legislation and Executive Order beginning transition of state vehicles to alternative fuel on July 12, 2011

• Millions in investment for alternative fuels at state level

• Nation’s largest propane autogas deployment project

• Comprehensive EV planning effort statewide and in Richmond

• 3rd party sales for electricity for Evs and nighttime off peak rates

Alternative Fuels

Virginia Alternate Fuel Leadership - McDonnell

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• Carbon Monoxide (CO) – Cardiovascular disease, damage nervous system 56-95% of US CO

is emitted by vehicles

• Nitrogen Oxides (NOx) – Respiratory damage – autism link - 55% from vehicles

• Particulate Matter (PM) – Aggravate asthma, emphysema, bronchitis, heart disease,

lung disease, water pollution – directly from vehicles

• Ozone – Smog – reduce lung function

• Greenhouse Gases (GHGs)– Global pollutant, CO2

most abundant

WHY - Health and Environment

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• Rising Petroleum Prices U.S. Owns 2-3% of world oil reserves

U.S. Uses 25% of worlds oil

• Volatility of Petroleum Market– 2013 highest fuel costs on record in U.S. – Significant production domestically, but 50% imports

• Survey Finds 62% of Fleet Managers Plan to Purchase More Fuel-Efficient Vehicles in 2013

– 70% of respondents think fuel cost may go up in 2013

• CHOICE

Oil Dependence

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Reducing Petroleum ConsumptionPetroleum = most consumed energy source in U.S.

About half of petroleum used is importedU.S. spends

$1 million per minute on petroleum$Nearly one billion per day on petroleum imports$297 billion per year on petroleum imports

VA transportation 99 % petroleum - gasoline diesel$13.4 billion a year in VA on petroleum for transportation Statistically, 100% of our oil is out of state (99.98%)

90,758,000 barrels imported, 12,000 produced (2011 EIA)

$35 million a day leaves the Commonwealth

Oil Dependence

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Figure 2: Primary energy consumption by Source and Sector

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33 State Picture

Texas

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North

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Alaska

Califo

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Oklaho

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New M

exico

Louis

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Wyo

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Mon

tana

Miss

issipp

i

Feder

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P5

Alabam

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Illino

is

Mich

igan

Arkan

sas

Penns

ylvan

iaOhio

India

na

Wes

t Virg

inia

Kentu

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Florida

Nebra

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South

Dak

ota

Nevad

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New Y

ork

Tenne

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Miss

ouri

Arizon

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Virgini

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10,000

20,000

30,000

40,000

50,000

60,000

70,000

U.S. Oil Production Monthly Thousand Barrels (Oct 2012, EIA)

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Platinum Level Sponsors & Strategic Partners

One designated statewide Coalition in Virginia - since 1996

501c3 not-for-profit & James Madison University partnership

Supported by stakeholder members, DOE, DMME, and grants

Managing alt fuel deployment and education programs on behalf of governments, fleets, and other stakeholders

Strategies:• Partner with States & Local Organizations, Public and Private fleets• Provide Outreach, Education, & Information Resources• Facilitate Infrastructure Development• Provide Technical & Financial Assistance

Virginia Clean Cities Snapshot

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CNG E85 HEV Elec Biod LPG

010002000300040005000600070008000

1301

7058

1665

130

4620

430

Virginia Alternate Fuel Fleet Vehicles 2012

Alternative Fuels: What’s Included ?

Technology Portfolio – Assistance of VA Clean Cities:• Alternative (non-petroleum) Fuels & Vehicles

• Biodiesel, Ethanol, Hydrogen, Electric, Propane, Natural Gas • Advanced Vehicles (e.g., HEVs, PHEVs) • Vehicles and Driver Choices that Increase Fuel Economy• Idle Reduction

2012 Green Fleet effort9.2 million gasoline gallon equivalent reduced70,000 tons of GHG reduction

Virginia’s Growing Alt Fuel Effort286 Alt Fuel Stations (+100 in ‘12)80 fleets with Alt Fuel Vehicles15,206 Alt Fuel Fleet Vehicles

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http://www.afdc.energy.gov/locator/

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http://www.afdc.energy.gov/locator/

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Biodiesel

• Biodiesel – 4,620 vehicles, 36 stations in VA– Renewable fuel produced by processing vegetable and animal fats– Often blended with diesel at levels from 5% to 20% biodiesel– Works with practically any diesel engine, little/no modification– Three active producers in Virginia, made around 2 million gallons

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Ethanol and E85

• Ethanol - E85 – 7058 fleet vehicles, 22 stations (13 public) in VA – A renewable alcohol fuel, blended with gasoline– 10% ethanol can be used in most vehicles without modification– 15% blends OK for 2001 and up vehicles– E85 –85% blended with 15% gasoline– Compatible with 9 million Flex Fuel cars on the roads today

• ½ of Ford and GM’s lineup

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LPG – Propane -Autogas

• Propane – LPG - Autogas• LPG, 70 stations, 430 vehicles• Inexpensive Fuel ($2.21/gal)• Save $1 to $2 a gallon• Vehicles run on propane, tanks are

higher capacity than your home grill, but same fuel• 85% of propane is domestic resource• Get autogas rate, not grill rate

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Natural Gas

• Natural Gas, 1300 fleet vehicles, 17 stations in Virginia• Vehicle runs on compressed or liquid natural gas from pressurized tank• Fewer emissions, and 75% less nitrogen oxides• Local domestic fuel - $2.39 is recent public price in Richmond VA• Potential for landfill renewable gas projects (95% fewer emissions)• Bi-Monthly calls with state regional project reports - great interest • New stations (Richmond, Dulles, Norfolk, Chesapeake VA)

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Electric

Three groups of EVs: Hybrid electric vehicles (HEVs) Plug-in hybrid electric vehicles (PHEVs) Battery-powered electric vehicles (BEVs)

All EVs utilize electric motors and energy storage systems

Each type offers different advantages Battery life, charge time Electricity production may still produce emissions EV battery/tech price vs. conventional vehicle price

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Clean Cities Web Resources

Clean Cities AFDC

FuelEconomy.gov