Category: clean transportation

This Week’s Top 10: Ford wants to electrify China market, White House wants to pass cost of EPA vehicle emissions testing over to automakers

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Ford joining China EV market: Ford Motor Co. is now in agreement with Daimler, Tesla, and General Motors on the importance of China in the global electric vehicle market. Ford is launching the Mondeo Energi plug-in hybrid in China early next year and an all-electric small SUV in that market within five years. The EV will go more than 280 miles on a charge, and will also be sold in the U.S. and Europe. The automaker said that 70 percent of all Ford nameplates will have an electrified option in China by 2025; that will include hybrids, plug-in hybrids, and battery electric vehicles. That lineup will include all vehicles manufactured jointly through Changan Ford JV, which is a collaboration with Changan Automobile. EV sales are expected to stay strong in China, whether or not the government cuts back on its generous subsidies. “The time is right for Ford to expand our EV lineup and investments in China,” said Ford CEO Mark Fields. “We are prioritizing our electrification efforts on China to reflect its importance as a global electrified vehicle market and to make lives better, simpler and more cost effective for Chinese consumers.”
  2. EPA lab fees: The White House would like to see automakers pay for testing in the Environmental Protection Agency’s emissions testing lab. The Trump administration is proposing a $48 million budget cut that would close down the lab and cut 168 jobs. It would mean “pretty much shutting down the testing lab,” said Margo Oge, who led the EPA’s Office of Transportation and Air Quality under the Obama administration. Funding would come in by increasing fees that automakers and engine manufacturers would be required to pay for testing.
  3. Cap-and-trade protected for now: California’s cap-and-trade system was solidified by a state court – at least until 2020. The state program allows companies to purchase carbon credits through an auction or a secondary market and has produced millions of dollars in funding programs for clean transportation and fuels. A state appeals court has found that it’s not an illegal tax due to voluntary participation and the purchase of something with value, which keeps it from being a tax, according to the ruling. The program will stay in place through 2020 before becoming vulnerable to legal challenges. Since its launch in 2012, California has taken in about $4.4 billion on auction proceeds to be spent on clean energy, low-carbon transportation, and other programs supporting reductions in greenhouse gas emissions.
  4. 4 in I.D. lineup: According to Volkswagen design chief Klaus Bischoff, the fourth I.D. all-electric vehicle, a concept sedan, will be revealed at the Frankfurt Motor Show in September. It won’t be revealed before then, but it got a lot of “wows” from VW colleagues when they saw it for the first time, he said. That’s the fourth in the I.D. series to be built on the new MEB modular electric platform. The I.D. hatchback compact concept, unveiled in September at the Paris auto show, was the first and is scheduled for production in 2020. The I.D. Buzz microbus concept was revealed in January at the Detroit auto show, and the automaker will be showing the third one, an I.D. SUV concept, soon at the Shanghai Motor Show. The company recently told analysts that the I.D. concept hatchback is expected to have its design approved this August for a 2020 launch.
  5. Hybrid police car: Ford is rolling out the first hybrid police car, which was designed to meet certification standards law enforcement agencies require to meet their full pursuit ratings. The Police Responder Hybrid Sedan is being built on the Fusion Hybrid. The automaker designed the pursuit vehicle for agencies to cut fuel costs and decrease emissions while driving and idling. Ford received an EPA-estimated mpg of 38 combined city and highway, more than double that of the Ford Police Interceptor with its 3.7-liter, V6 engine and 18 mpg combined EPA rating. The police departments in Los Angeles and New York City will be taking deliveries this summer.
  6. AutoDrive Challenge: General Motors is sponsoring AutoDrive Challenge, a university competition with SAE International in autonomous vehicles. At SAE World Congress Experience in Detroit, they announced these universities will be demonstrating automated Chevy Bolts during a three-year challenge. Kettering University, Michigan State University, Michigan Tech, North Carolina A&T University, Texas A&M University, University of Toronto, University of Waterloo, and Virginia Tech are now competing. GM and SAE have been heavily involved in student competitions for advanced vehicle technology for years. Formula SAE race car design competition started in 1980, and GM is now sponsoring EcoCar 3 with the U.S. Department of Energy.
  7. TurboDock chargers: AeroVironment Inc. announced today that Hartsfield-Jackson Atlanta International Airport will install 102 of its TurboDock EV charging stations in the airport’s parking structures. Packed with features specifically designed to make it ideal for airports, including modular charging configurations, 120V capability and mobile app based access control, TurboDock helps EV drivers proceed with certainty, the company said. The installation is the most recent effort by the City of Atlanta and the Hartsfield-Jackson Atlanta International Airport to turn ATL into one of the greenest airports in the world.
  8. March EV sales: Tesla took No. 1 and No. 2 in U.S. electric vehicles sales, with about 3,100 and 2,500 units sold, respectively. The Chevy Volt came in third with 2,132 units sold and has been the top performing plug-in hybrid in U.S. sales through the first quarter. The Prius Prime was fourth on the list with 1,618 units sold.
  9. ACT Expo autonomous vehicle panel: “The Future of Intelligent Transportation: Connected & Autonomous Vehicles” will be one of the speaker panels at the upcoming Advanced Clean Transportation Expo (ACT Expo 2017). Attendees can learn more about the latest advancements in innovative vehicle technologies that are disrupting the way vehicles interact with other vehicles, the environment around them, and drivers. Featured speakers include Mike Roeth, North American Council for Freight Efficiency, an industry leader who understands the phases of truck automation and the expected ROI; Bill Burns, City of Columbus, Ohio, who played an integral role in combining electric and automated technology to win DOT’s Smart City Challenge; and Joanna Wadsworth, City of Las Vegas on launching the first electric autonomous shuttle on U.S. public roads. For further details on vehicle displays at the conference, you can view the vehicles list.
  10. ZEV mandate not going away: Read all about Plug In America’s history, along with the film “Who Killed the Electric Car?”, that goes back to 2003 and the California Air Resources Board’s controversial decision to become heavily influenced by pressure from automakers and scale back the zero emissions mandate. Times have changed, with CARB unanimously deciding to stay with the ZEV program as planned without any changes through 2025.

This Week’s Top 10: CARB stays with clean car program, Keystone pipeline backed by Trump administration

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. California stays with it:  The California Air Resources Board has approved the Advanced Clean Cars (ACC) program, which reaffirms vehicle emissions standards set through 2025 should stay on track. The approved measure also mandates development of stronger requirements for vehicles manufactured in subsequent model years. It was created in 2012 in conjunction with the federal fuel economy and greenhouse gas rules, which may be weakened in Washington by the Trump administration over the next year. It could be the start of a clash between California and the federal government. California’s zero-emission vehicle regulation requires auto manufacturers to produce an increasing number of plug-in hybrid, battery electric, and fuel-cell electric vehicles. CARB also approved the South Coast Air Quality Management District’s comprehensive air quality plan.
  2. Keystone pipeline approved:  The U.S. State Department’s approval of the Keystone XL pipeline is expected to face a series of hurdles in states directly affected and which have yet to approve. President Donald Trump had committed to Canadian oil company TransCanada to lift the Obama administration’s ban on the pipeline. The 1,200-mile pipeline will transport heavy crude oil from tar sands mines in Canada to a second existing pipeline, which will deliver the crude oil to specialized refineries in Louisiana and other parts of the Gulf Coast. Environmental groups such as the Sierra Club are expected to file legal challenges to final approval and building of the pipeline.
  3. Tesla gets new investor:  Tesla Inc. reported that Chinese tech giant Tencent Holding has taken a 5% stake in the electric automaker for $1.78 billion. Tencent has been playing a role investing in U.S. and Chinese mobility startups in self-driving, electrified vehicles. The company has been best known for its WeChat mobile messaging app. Other EV-maker investments include NextEV, a Shangai-based startup which recently renamed itself Nio. That company has a Silicon Valley office not far from Tesla’s headquarters. Future Mobility is another Chinese startup Tencent has funded.
  4. Uber crash:  Uber is returning part of its autonomous test fleet to San Francisco after experiencing a collision Saturday that ended up grounding the fleet. Uber has been cleared from the accident in Tempe, Ariz., with police saying the crash occurred because a human-driven vehicle failed to yield to the autonomous Uber test vehicle. Uber’s test vehicles are able to travel autonomously, but the company keeps a human driver in the passenger seat ready to take over the car if necessary. Uber, as a company, continues to deal with a wave of bad news.
  5. Musk backs artificial intelligence venture:  Tesla CEO Elon Musk has taken on another passion: Neuralink. Musk is backing the startup venture that, as he says, will merge “biological intelligence and digital intelligence.” The business will be centered on creating devices that can be implanted in the human brain. The end game will be helping human minds partner with software and keep pace with advancement in artificial intelligence. Memory could be improved, and the capacity for human minds to interface with computing devices will be tested. The new system will explore how brain interfaces might alleviate the symptoms of dangerous and chronic medical conditions such as epilepsy and severe depressive disorder. Musk is excited about being part of the “neural lace,” which is a sci-fi term for a brain-computer interface humans could use to improve themselves. He’s been known for debating other entrepreneurs in the artificial intelligence community, which is tied into SpaceX, robotic manufacturing, autonomous vehicles, and other topics.
  6. New York EV incentives:  New York has set up an incentive program for purchasing electric vehicles that supports longer range, affordable cars. Only a few vehicles, like the Tesla Model 3 and the Chevy Bolt EV, will take advantage of the full $2,000 incentive. Requirements for the full incentive are selling electric cars with a range of over 120 miles and a price tag at less than $60,000. Expensive electric cars like the Tesla Model S and Model X, and the BMW i8, can only receive a $500 incentive.
  7. Aerovironment and eMotorWerks:  AeroVironment will be integrating eMotorWerks’ JuiceNet smart-grid electric vehicle charging platform into AeroVironment’s line of charging products. The worked relationship is aimed at helping consumers find increased charging capabilities utilities to assist in managing demand load aggregation. EV drivers will be able to tie in their smartphones, web, and Amazon Alexa voice control over charging. They’ll also be able to tap into other features like looking at real time and historic energy usage for charging and notifications of charging status and other resources for lowering their utility bills.
  8. ACT Expo keynoters:  The speaker lineup has been announced for ACT Expo 2017. Thom Shea, President and CEO of Adamantine Alliance, will share his experience on navigating through challenging times based on his experience as a highly decorated U.S. Navy SEAL, author, and leadership and human performance coach. With a number of policy and budget changes at the federal level, and the always present oil price roller coaster, the advanced technology and alternative fuels sectors face continued uncertainty and possible headwinds. Other speakers announced by ACT Expo include: Pete Melin, Director of Zero Emission Technology, Metro Transit of King County on managing a transit fleet integrating 120 battery electric buses into its operations; Kathryn Garcia, Commissioner, New York City Department of Sanitation on the world’s largest sanitation department testing DME and other efficiency measures; Sandra Berg, Vice Chair, California Air Resources Board on the agency’s role in advanced clean transportation policies; Kary Schaefer, General Manager, Marketing and Strategy, Daimler Trucks North America on leading the way in technology development for advanced clean trucking; Rob Neitzke, President, Cummins Westport on the company’s experience launching the game changing .02g NOx engine. Plus dozens more. See the full agenda and you can get a good look at the display vehicles.
  9. MUD chargers:  A new report by UCLA’s Luskin Center for Innovation identifies multi-unit dwellings (MUDs) that could be targeted for outreach as they exhibit high latent demand for plug-in electrified vehicles (PEVs) and low-cost installation of charging equipment. In order to reach California’s goal of 1.5 million zero emission vehicles by 2025, residents of apartments, condominiums and other MUDs need to be assured that they can charge their PEV at home, writes, Alex Turek, Project Manager, at Luskin Center.
  10. Cost of fuel economy standards:  International Council on Clean Transportation, an independent research group, released a report stating that automakers costs could be reduced by 34 percent to 40 percent per vehicle in the 2022 through 2025 phase of the federal fuel economy standards if enacted from what was approved in January by the Obama administration. Much of that is already happening with automakers utilizing new technologies like turbochargers and advanced transmissions, and lighter weight materials such as aluminum. ICCT has played a role in the Volkswagen diesel emissions scandal investigations, and worked closely with California Air Resources Board and the U.S. Environmental Protection Agency on the findings.

Looking beyond the White House for strategic planning in clean transportation

The Trump administration is keeping the president’s campaign promises supporting fossil fuels and pushing back on clean energy and efficient, clean transport. The State Department’s approval of the Keystone XL pipeline last week raised hackles further for many. Low-to-moderate gasoline and diesel prices aren’t helping make the business case for clean fuel and technologies, either.

Breakthroughs in vehicle fuel efficiency and emissions reductions, clean fuel infrastructure, battery range, renewables, and electrified vehicles sales, are helping solidify the business case for policy and funding support; but, it isn’t the right time to gain broader support.

Fleet operators and suppliers attending the Work Truck Show and Green Truck Summit recently in Indianapolis reported on mixed results for sales. Interest in alternative fuel trucks rose from 2011 through 2013, when fuel prices approached $4 a gallon nationally, but has stayed down since then. Customers are harder to see with payback on the investment taking longer. Perception of things changing in Washington also played into the mood.

Some companies and fleets had good news to report. California-based Motiv Power Systems has been seeing an uptick for electric delivery trucks and school buses built on a Ford truck chassis. State-based incentive programs are taking the pressure off likely cuts in federal subsidies, the company said. California continues to be strong, and the New York and Chicago metro areas have paid off with similar purchase incentive programs in place. AmeriPride Services, a linen and uniform supply company, will bring 30 Motiv trucks to its fleet.

Daimler AG’s Mitsubishi Fuso division said it will bring a new line of electric work trucks to North America this year. A lease program will be offered for its eCanter medium-duty electric truck. The company said it will also rollout a second generation model within two years. Fuso forecasts growing market demand for urban electric trucks as cities in Europe consider banning fossil-fuel trucks by 2030 through climate change policies; and pressure by cities to reduce congestion, pollution, and noise is helping grow demand.

UPS, known for having the largest and most diverse alternative fuel fleet, announced it will spend $90 million to add six more CNG fueling stations and to purchase 390 CNG and 50 LNG trucks.

Ohio-based Workhorse Group showed its all-electric pickup truck that will come to market next year. Recently, the company announced it has received Letters of Intent from fleets totaling 2,150 of the Workhorse W-15 electric pickups. Deals are being made with Duke Energy, Portland General Electric, the city of Orlando, Southern California Public Power Authority, Clean Fuels Ohio, and one other utility.

Soon after the Work Truck Show, a port trucking company announced it will bring in low carbon natural gas engine trucks using Cummins Westport’s new ISX12 G natural gas engines. Total Transportation Services Inc., a large drayage trucking company serving the Ports of Los Angeles and Long Beach, has started using one of the trucks to move cargo containers around the port complex.

An 8.9-liter version of the Cummins Westport engine has been certified by the California Air Resources Board to produce 90 percent less NOx than permitted in diesel engines under the current guideline of 0.2 grams per horsepower-hour; a 12-liter variation is also expected to gain CARB approval. If run on renewable natural gas, heavy-duty trucks can reduce greenhouse gas methane emissions by 70%, the company said.

On the passenger vehicle side, several auto analysts see Trump rolling back fuel economy mandates as having limited effect – with other market forces leading the way. Aggressive targets Europe and China will have more impact on the globalized auto industry than it would have had years ago. Strong and growing consumer expectations for increasing fuel efficient vehicles is another market dynamic that can’t be ignored, they say.

California, Oregon, and eight states in the northeast, are following California’s zero emission vehicle mandates. Collectively, these states make up 30 percent of U.S. auto sales. Automakers have faced many years of resenting California’s rules going back to catalytic converters and the first gas stations with E-10 gasoline. Now they’re concerned over high targets being far ahead of consumer demand for all-electric, plug-in hybrid, and fuel cell vehicles.

Tangible growth in clean transportation and energy appear to need a combination of long-term strategic planning more common in Asia, and with technology innovations usually seen first in the U.S. and Europe. Automakers like Toyota and Honda are leading-edge in engine performance, efficiency, electronics, and alternative powertrains; but they tend to take a more conservative and gradual approach to rolling out zero emission vehicles and automated systems. That said, Toyota’s kaizen philosophy of “change for better” has influenced other global automakers and suppliers and brought improvements in quality, safety, and integrating its technologies with partners such as dashboard infotainment features.

Luxury automakers are committing to roll out futuristic and electrified vehicles in large volumes much sooner, but they’ll need to gain sustained support from board members, shareholders, and customers. There is a great deal of concern about making electric vehicles more profitable.

BMW’s “A new era has begun” video released last week says it all. Strategies are described for the company’s Vision Next 100 models from its BMW, Mini, Rolls-Royce, and BMW Motorrad motorcycle brands. The Motorrad Vision looks like it was designed for the next “Batman” movie; the three car models look like they won’t be released for a long time. Everything will be connected and automated, and most of them electrified.

Commercial vehicle makers (heavy trucks, work trucks, vans, and buses) are in a similar spot, complying with stricter emissions standards and convincing buyers to reach a tipping point and make acquisitions taking longer to justify in return on investment.

Europe and China emissions targets don’t appear to be lowering. EU headed there for years with concern over diesel with VW scandal pushing it over the edge. Daimler and BMW have taken on huge goals for sales with these markets being critical and Tesla’s presence and public awareness spreading globally.

China is starting to cut back on manufacturer and car buyer subsidies, but the government stays committed to reducing emissions in the country. It’s plug-in vehicle sales boom is a sign of that, and China may take on a regulatory structure similar to California’s. While down at the beginning of the year with softening incentives, they seem to be going back up.

Most of the experts speaking on industry panels, and writing white papers and policy on the issues, do see transformational technologies and mobility models moving along much faster than expected.

The Institute of Transportation Studies at the University of California-Davis just released survey results tied into the ITS-Davis’ new policy initiative, “Three Revolutions: Sharing, Electrification and Automation.” That report features a set of policy briefs written by transportation policy experts; and in-depth survey interviews with 40 experts on the subject from government and nonprofit organizations, and representatives from automakers and technology companies. About 70% think that by 2040, fully autonomous vehicles will make up more than 20% of vehicles sold in the U.S. Shared rides will go from 5% of all passenger miles by 2030 to more than 20% of miles driven by 2040, according to about 80% of the respondents.

Most vehicles used by ridesharing and carsharing firms till be zero emission vehicles by 2050, about 70 of survey respondents said. That includes battery electric, plug-in hybrid, and fuel-cell vehicles.

“This survey shows us that without thoughtful collaboration and community-facing policies, these changes would lead to increased inequities, vehicle travel and greenhouse gas emissions. We need to be creative to steer these innovations to the public interest,” said ITS-Davis Director Dan Sperling.

BMW outlined its experience in carsharing services in its new corporate sustainability report. The German automaker reported that more than 853,000 customers worldwide used the BMW Group’s carsharing services in 2016 – an increase of 45% compared with the year before. In Europe, BMW’s DriveNow fleet has more than 5,400 vehicles with all-electric i3s making up about 15% of the fleet. Around 190,000 customers have already driven approximately 6.5 million emission-free kilometers with the fleet’s electric BMW i3

The European DriveNow fleet currently comprises more than 5,400 vehicles, of which 15.4% are pure electric BMW i3s. As of 31 Dec. 2016, DriveNow served around 607,000 customers in Germany and roughly 815,000 Europe-wide (2015: over 580,000 Europe-wide). DriveNow is one of the main driving forces for electro-mobility in Germany. Around 190,000 customers have already driven approximately 6.5 million emission-free kilometers (about 4.04 million miles) with the fleet’s electric BMW i3.

This Week’s Top 10: Trump cutting DOE grant funding, Ford launches electrified QVM program

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Federal funds cut:  If the Trump administration’s 2018 proposed budget passes in Congress, two important federal funding programs for green vehicles and cleantech will go away. The proposal would eliminate the U.S. Department of Energy’s Advanced Technology Vehicle Manufacturing Loan Program (ATVM) and Advanced Research Projects Agency-Energy (ARPA-E). To absorb Trump’s proposed $54-billion increase in defense spending, big cuts will be made to other federal agencies. These two Department of Energy funding programs have been able to tap into DOE-sponsored university programs and public/private alliances with vehicle makers and tech suppliers. The first-ever mass market electric vehicles in the U.S. – the Chevy Volt, Nissan Leaf, and Tesla Model S, had benefited from federal backing.
  2. Ford eQVM program: Ford is adding OEMs in electrified vehicles to the Advanced Fuel Qualified Vehicle Modifier (QVM) program. These vehicle modifiers and upfitters develop and install electrified and hydraulic hybrid powertrains for Ford trucks and vans. The eQVM program kicks off with three developers – XL Hybrids, Motiv Power Systems and Lightning Hybrids. These companies offer electrification or hydraulic hybrid solutions for a range of Ford vehicles popular with fleet and commercial customers, including F-150, F-250 to F-550 Super Duty, F-650 and F-750 medium-duty trucks, Transit and E-Series vans and chassis, and F-53/F-59 stripped chassis.
  3. Uber upheaval: Jeff Jones, the president of Uber, is quitting the ridesharing company after only being there about six months. The move by the No. 2 exec, sources say, is directly related to the multiple controversies there, including charges of sexual harassment. Uber’s list of controversies is long and complicated, including the Waymo lawsuit on Uber stealing its technology for self-driving cars. The company said it plans to review and commit to diversity goals and publish results from a sexual harassment investigation over the coming weeks. Arianna Huffington, a company board member, said a probe into the company’s culture and harassment claims is likely to be completed by the end of March. Huffington will help oversee the investigation along with Eric Holder, the former U.S. attorney general.
  4. VW MEB product launches:  Volkswagen is preparing to launch its first all-electric I.D. car in 2020 on the new MEB modular electric platform. The company is concerned that increasingly strict emissions rules in China and Europe will need to be taken very seriously. VW brand CEO Herbert Diess told analysts last week that the I.D. concept hatchback shown at the Paris auto show last year is expected to have its design approved in August for the 2020 launch; followed by an electric SUV coming out after 2020, with a concept being revealed next month at the Shanghai motor show. The I.D. Buzz minibus concept previewed at the Detroit auto show in will be the third EV and should come out in 2022. China will play the most important role for VW meetings its ambitious EV sales target over the next decade.
  5. Lucid Air pricing:  Lucid Motors has revealed the pricing of Lucid Air, the company’s all-electric supercar that was unveiled in December. Lucid says it will charge $60,000 for a 400-horsepower, rear-wheel drive version of the sedan, which will have 240 miles of range. The company is currently taking $2,500 reservation down payments; the car is scheduled to begin shipments in 2019.
  6. VW settlement:  Volkswagen’s Electrify America subsidiary will be installing 320 kW fast chargers in California as part of the $2 billion settlement from the diesel emissions scandal. The chargers will not be proprietary to VW and will use Combined Charging Systems, CHAdeMO, and open protocols like Open Charge Point Protocol (OCPP) in the chargers being placed. In total, the company plans to install between 2,000‐3,000 chargers (mostly Level 2 and 50 kW DC chargers) at 400 or more individual stations.
  7. NextEV finds another backer:  Chinese search engine giant Baidu will be investing about $600 million in Chinese startup NextEV. NextEV already has the backing of tech giant Tencent Holdings and Hillhouse Capital. The startup launched the world’s fastest electric car, the Nio, at a bay area event. Both NextEV and Baidu have licenses to test out there self-driving cars in California, so electrified autonomous vehicles should be part of the alliance.
  8. NGVs in Europe:  European Alternative Fuels Observatory released a special edition report on the natural gas vehicels in that market. This edition is dedicated to the use of natural gas vehicles in Europe. Some facts about the NGV market in. The latest figures show that there are about 1.3 million NGVs in Europe. They fuel up at more than 3,600 CNG stations in Europe with the top five infrastructure countries being Italy, Germany, Sweden, Netherlands, and Austria. There are more than 50 different models of CNG and LNG vehicles available in Europe. NGVs are years ahead in Europe as these vehicles and fuel played an important role in several decimated countries like Italy recovering from World War II.
  9. Goodbye Model S 60: Tesla’s Model S 60 will go away after April 16 orders as Tesla cuts out the least popular, and least expensive, electric motor and battery pack option. The cheapest option will be the S 75 and the starting price will go from $71,300 to $77,800. There will be a wider gap between those looking for the cheaper Model 3 and pricey Model S and Model X.
  10. Hydrogen station webinar:  Today at 12 noon (PST), you can join the California Fuel Cell Partnership for a brown-bag webinar update about hydrogen station network development in California. This webinar will provide general, non-technical overview about: retail fueling network development status; next retail stations ready to come online; proposed CEC funding of 16 additional stations; and SOSS system updates​. To participate from 12 noo to 1:00 pm PST, register here. You can also participate in a Q&A after the presentations.

This Week’s Top 10: Trump releasing fuel economy policy, VW pleads guilty in U.S. and faces more in Europe

by Jon LeSage, editor and publisher, Green Auto Market

  1. Fuel economy policy: President Donald Trump is expected to announce the new administration’s stance on the fuel economy and emissions policy on Wednesday. After meeting with automaker executives in a Detroit suburb, Trump will likely announce extending the public comment period and softening the mandates for automakers. The largest automakers have been asking the Trump administration to revise the mandate to be more in line with the market – making it difficult to sell smaller, fuel efficient cars, hybrids, and plug-in vehicles. Auto executives started approaching Trump administration transition team members soon after the election and staff members and advisors after the inauguration. They were upset with the Obama administration over cutting off the comment period and finalizing the mandate.
  2. VW guilty plea: Volkswagen pleaded guilty on Friday to fraud, obstruction of justice, and falsifying statements in the diesel car emissions scandal. It was part of a $4.3 billion settlement that had been reached with the U.S. Justice Department in January and was the first time the automaker has pleaded guilty to criminal charge in any court around the world. Legal battles also started heating up in Europe about the same time. Criminal investigations are intensifying across Europe, and thousands of consumer lawsuits have been filed. The lawsuits could add up, as there are a lot more owners in Europe of VW brand diesel cars.
  3. BMW sales double: BMW Group announced that global sales of its plug-in vehicles more than doubled in the first two months of 2017, over that period the year before, to more than 10,000 units sold. Vehicles currently for sale include the BMW i3 in battery electric and extended range plug-in hybrid versions; and the i8, X5, 3-Series, and 7-Series plug-in hybrids. Coming up next will be the BMW 530 iPerformance plug-in hybrid and the Mini Cooper SE Countryman All4 The company expects plug-in vehicles sales to increase through the launch of the plug-in hybrid BMW 530e iPerformance this month, and the Mini Cooper S E Countryman All4 plug-in hybrid in June.
  4. Renewable diesel: Oil refining company Neste has become the world’s largest supplier of renewable diesel. Recent additions to the client list include UPS for delivery vans and Google for its buses that transport employees to and from work. Fleets are taking to it for reasons found in support for renewable diesel – cutting carbon emissions, particulates, and NOx significantly without having to convert over diesel vehicles. Nearly 80% of the company’s renewable products are based on waste and residues.
  5. Detroit Electric: Detroit Electric has a $1.8 billion investment through a joint venture with a Chinese company that will roll out the long delayed SP:01 and other vehicles. The startup electric sport carmaker launched in 2008 and took the name of one of the very first electric carmakers that hadn’t been building cars for over a century.  Detroit Electric has created a joint venture with Far East Smarter Energy Group, a Chinese company that makes batteries and electrical components. The two companies will get production started by the end of this year for the SP:01, and are  planning for two more electric car models in the near future.
  6. Tesla energy storage: Tesla Energy is working on getting business overseas – Australia and Kauai. Tesla CEO Elon Musk has made an offer to Australia by tweeting with Australian tech billionaire Mike Cannon-Brookes. Musk pitched him on bringing Powerwall and Powerpack products to the South Australia state to have the necessary energy backup in case of another emergency. South Australia was hit by a state-wide blackout during September and are interested in Musk’s $25 million, 100 megawatt hour offer. In another deal, Tesla Energy has set up a a 13 megawatt solar farm that generates energy stored in a 52 MWh Tesla Powerpack storage set. It fits well into Hawaii’s mission to free the islands from fossil fuels for energy and transportation. Watch the video.
  7. In-wheel drive: Protean Electric is partnering with Consolidated Metco to develop an electric in-wheel drive system to provide hybrid-electric solutions for the medium and heavy-duty commercial vehicle markets. The companies say that the drive system will enable ConMet’s OEM and fleet customers to address the tightening of  safety and emissions regulations, increasing demands for improved fuel efficiency, weight and drivetrain packaging optimization, and shifts in vehicle demands for long-haul and urban delivery.
  8. Ford wins award for sustainability practices: Ford was named one of the World’s Most Ethical Companies for the eighth straight year by Ethisphere Institute, which the automaker says is the longest streak for any auto manufacturer. The award honors companies “who recognize their role in society to influence and drive positive change in the business community and societies around the world.” Ford’s Partnership for a Cleaner Environment (PACE) program with its supply chain partners helped the company make the list. The program, which started in 2014, added tools that help suppliers reduce carbon-dioxide emissions and waste. Members of PACE share best practices in reducing carbon and adopting procedures for reducing water and energy consumption.
  9. Site tours: ACT Expo 2017 has announced three technical tours for those attending the conference in Long Beach, Calif., in early May. Monday, May 1, 1 p.m. – 4 p.m.: Join American Honda at its North American Headquarters in Torrance for a reveal of its three Clarity models. The reveal will include an overview of national marketing efforts to deploy the Clarity as well as an opportunity to get in the new vehicles and test them out. Monday, May 1, 1 p.m. – 4 p.m.: City of Long Beach has one of the most diverse and innovative municipal fleets in the nation, offering an array of fuel and vehicle types with renewable diesel, renewable natural gas, and plug-in hybrid vehicles. Attendees will see an assortment of city vehicles, as well as its renewable fueling infrastructure, extensive maintenance shop, and fleet charging infrastructure. Thursday, May 4, 1 p.m. – 3 p.m.: Long Beach Container Terminal is the world’s first zero-emission marine container terminal. It uses fully automated battery electric cargo handling equipment to move containers through its terminal. While there is a lot of talk of heavy-duty vehicle automation, LBCT has more than 60 battery electric units running in every day service. Visit this incredible project, and also see how these units autonomously change their own battery packs! Enhance your ACT Expo experience by adding an offsite tour for just $50. You can also view a video about the upcoming event.
  10. Low carbon pathways: The California Air Resources Board’s Low Carbon Fuel Standard (LCFS) staff has released for public comment four new Tier 2 renewable diesel (RD) pathways using soy oil, used cooking oil, tallow, and corn oil at the Diamond Green facility in St. Charles, Louisiana. Diamond Green Diesel (DGD) uses the UOP Ecofining Process to produce RD from Used Cooking Oil (UCO), tallow, corn oil, and soybean oil. The Ecofining Process hydrogenates triglycerides and free fatty acid feedstocks which are then isomerized to create a high-quality hydrocarbon fuel.

This Week’s Top 10: Conflict and confusion over biofuel blends, Green car sales beat overall sales in February

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Battle over biofuels: Conflict and confusion over biofuel blends in gasoline – and who will do the blending – continue to shake up Washington. Renewable Fuels Association President Bob Dineen told Reuters last week that Carl Icahn, an oil industry billionaire and advisor to the Trump administration, had told Dineen that the administration would be taking a favorable position for refiners such as corn ethanol producers. The fuel blending of about 10% ethanol to gasoline would be sent down the supply chain to gasoline marketers through an executive order by the president, Dineen said. Icahn and the White House later denied this was said to Dineen. Biofuel groups and producers have been upset that Icahn has been playing this role for the White House. The oil executive demanded during the election campaign that the obligation and costs should go to fuel blenders and not to oil companies and their supply chain partners. Several biofuel companies have also been upset with RFA for taking what had appeared to be a position opposing their stance on the matter. As of Monday, oil refiners including Valero Energy Corp. and CVR Energy Inc. (in which Icahn owns a majority stake) currently have to show environmental regulators they are meeting annual mandates; they’ve urged the federal government to push this compliance further downstream to fuel blenders and integrated oil companies. The White House says it’s taking this request under review. In other related news, U.S. ethanol production set a new record of 15.33 billion gallons in 2016, according to data from the U.S. Energy Information Administration (EIA). The EIA data showed that the average gallon of gasoline likely contained slightly more than 10.0% ethanol in 2016. The American Petroleum Institute (API) estimates that Environmental Protection Agency rules on 2017 biofuel volumes will put the ethanol-to-gasoline ratio at 10.4%, higher than the 9.7% ration recommended by the oil industry association.
  2. Green car sales in February: Sales of hybrid and plug-in vehicles were up sizably from January in the usual seasonal sales pattern, and both categories beat the overall market according to HybridCar’s Dashboard. Total light-duty vehicles sales were down 1.1% from February 2016, but hybrids saw an increase of 16.3% and plug-ins saw a leap of 45.12% over the previous year. The Chevy Bolt continued to do well, finishing fifth for all plug-in electrified vehicles sold in the U.S. during February. The Chevy Volt had another leading month, finishing in first place with 1,820 units sold; that compares with the No. 2 Tesla Model S, finishing at about 1,700 units sold. For hybrid vehicles, the Toyota Prius Liftback took its first position back from the Ford Fusion Hybrid but both vehicles have sold at nearly the same totals so far in 2017.
  3. EPA likely to issue revised fuel economy: The U.S. Environmental Protection Agency is expected to reverse course this week on the 2022-25 phase of the fuel economy and emissions standards. The unexpected decision made by the agency at the very end of the Obama administration to approve the proposal and cut short the public comment period has been a source of tension with automaker executives and Washington officials. Last week, auto trade groups representing Ford, General Motors, Honda, Toyota, Volkswagen, and others asked recently approved EPA Administrator Scott Pruitt to withdraw the Obama administration’s decision to finalize the rule in January. That had cut short the timing for giving public comments, which was originally supposed to go until April 2018. They would also like to see the rule become more favorable to automakers than what was finalized under the Obama administration. The EPA notice coming out soon is expected to state that the agency will work in tandem with the U.S. Transportation Department to set consistent standards in the ruling, a source said.
  4. Trouble keeping Tesla’s talent: Pressure to get the Tesla Model 3 out on time has led to tough working conditions at the company – and exodus of management. CFO Jason Wheeler’s  departure, just 15 months after he joined Tesla from Google, will be the latest in a round of executives leaving the company. Former execs speaking confidentially said it has to do with long work hours prepping for high-volume production and a tense working environment that reflects the persona of CEO Elon Musk. Of course, setting up shop in Silicon Valley is known to run the risk of high-churnover rate. A Tesla spokesman said the company’s attrition rate was below average among technology companies.
  5. Uber facing heavy criticism: Uber is feeling a “blowback” over the aggressive fighter approach taken by CEO Travis Kalanick and its corporate culture, with the latest being an apology sent to staff by Kalanick over a conflict he’d engaged in with an Uber driver captured on video. Kalanick and others at the ride-hailing giant are known for plunging into new markets around the world, price-war fighting Lyft and overseas competitors, and taking on lofty goals like deploying self-driving and flying cars. The company had been hit hard by news coverage and social media posts leading to Kalanick quitting President Donald Trump’s economic advisory panel over the immigration ban; having a female engineer protest over alleged sexual harassment; being sued by Alphabet’s Waymo over claims its self-driving car’s intellectual property had been stolen; and using a tool called “Greyball” used to fool regulators into thinking the company is not providing ride services in markets where it’s not supposed to be operating. Lyft, its toughest U.S. competitor, is quietly looking to raise $500 million in funding to expand; smaller ridesharing companies such as Juno are able to take advantage of frustration over pay to poach Uber drivers. “I must fundamentally change as a leader and grow up,” Kalanick, wrote in a note to Uber employees last week. “This is the first time I’ve been willing to admit that I need leadership help and I intend to get it.”
  6. What will happen to Ampera-e?: The future of the Opel Amera-e, built on the Chevrolet Bolt platform, is up in the air now that General Motors has sold its stake in the Opel/Vauxhall subsidiary to French automaker PSA Group. The $2.3 billion dollar sale will make PSA the second-largest automaker in Europe. PSA will gain intellectual property licenses from GM as vehicles transition over to PSA platforms. It may be that the originally planned launch of the Bolt as the Ampera-e in Europe will stick to that plan and roll out later this year. Green Car Congress reports that GM and PSA expect they will collaborate on further deployment of electrification technologies. PSA may also source long-term supply of fuel cell systems from the GM/Honda joint venture.
  7. Maven lengthens sharing time: General Motors’ Maven carsharing division has launched a four-week rental plan through a program its calling Maven Reserve; that adds to its previous longest rentals by 24 days. Carsharing members in Los Angeles and San Francisco can now schedule rental of a Chevrolet Volt or a Chevrolet Tahoe for an hourly, daily, or monthly fee, the company said on Friday. Markets being aimed at include entertainment industry people in L.A. and entrepreneurs in San Francisco. It’s expected to expand later to other markets.
  8. Workplace charging in NYC: Calstart yesterday launched “Charge to Work,” a first-of-its-kind electric vehicle workplace charging initiative to increase the adoption of EVs in the New York City area. It’s a three-year marketing and outreach campaign seeking to bring support from over 100 businesses that will encourage their employees to replace their conventional gasoline-engine vehicles with clean and efficient EVs. Announced by New York Governor Andrew Cuomo, Charge to Work supports the governor’s Charge NY program, which is accelerating the growth of the electric vehicle market in New York State through education, research, consumer outreach and financial support for the installation of charging stations across New York. The goal is to spur 450 electric vehicles (EVs) and the installation of 132 Level 2 EV charging ports.
  9. 2,150 PHEV pickups sold: Workhorse Group Inc. is now working with Clean Fuels Ohio to bring 500 units of the W-15 Plug-In Electric Pickup trucks to Ohio-based fleets. The company says that, overall, it has received Letters of Intent for 2,150 units of its upcoming plug-in hybrid pickups. The company has received LOIs from Duke Energy, Portland General Electric, the City of Orlando, Southern California Public Power Authority, Clean Fuels Ohio, and one other utility. The company currently builds medium-duty PHEV work vans for several fleet companies including FedEx, Penske, UPS, Ryder, DHL, USPS, and more.
  10. Lucid Air details: During a recent test drive, startup Lucid Motors revealed more details on its upcoming luxury electric car, the Lucid Air. The starting price is $165,000 for the Launch Edition, in which 255 units will be made in 2019. That one gets a 130 kWh battery pack that can carry the car about 400 miles. After that, the Air will see production scaled up to build a cheaper edition. That one will have a 100 kWh battery with about 300 miles of range. Before any of these electric cars roll out, the Lucid will have to put in place its $700 million production plant in Casa Grande, Ariz., which is slated to start production in 2018.

This Week’s Top 10: Waymo claims Uber stole self-driving car tech, Workhorse supplying 500 plug-in hybrid pickups to utilities

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. Waymo sues Uber: Waymo has filed a federal lawsuit claiming Uber and its self-driving truck company stole Waymo’s self-driving car technology. Uber is dismissing the allegations, calling them a “a baseless attempt to slow down a competitor.” In the San Francisco federal court, the complaint alleges that an Otto self-driving truck employee earned that company more than $500 million before Uber acquired Otto. The suit alleges that Uber allegedly built a Lidar system for its own self-driving test project that lifted confidential designs from Waymo’s own technology. The company had committed “calculated theft” of Alphabet’s technology, the filing said. Uber committed to “vigorously” defend against the claims in court.
  2. Plug-in pickups: Workhorse Group will be supplying 500 of its W-15 Plug-In Electric Pickups through an agreement made with Southern California Public Power Authority (SCPPA), a joint power authority made up of 11 municipal utilities and one irrigation district in the region. The company cites letters of intent also being signed with Duke Energy, Portland General Electric, the City of Orlando, and other fleet clients for acquisitions of electric trucks. Workhorse says tat the W-15 light duty platform design is an extension of the E-Gen electric technology used in its medium-duty delivery trucks. It will be revealed at ACT Expo 2017 in Long Beach, Calif, with an expected starting price of $52,500 and deliveries beginning in 2018.
  3. Tap into event promotions: Don’t forget about working Green Auto Market to promote your industry events. Readers show a lot of interest in upcoming events and resources they can utilize to participate, as you can see in this week’s special feature on Green Truck Summit and ACT Expo 2017. GAM has been able to offer support and promote conferences through event coverage, e-blast announcements to readers, updates and links to websites, social media (such as an active Twitter page), and video. Those interested can reach me at jon@jonlesageconsulting.com.
  4. Musk’s email on UAW: CEO Elon Musk has asked Tesla workers to turn down joining the United Auto Workers union, according to a leaked email. Reported by BuzzFeed, Musk’s email disputed claims about harsh working conditions made by an employee, and criticized the UAW’s efforts to organize workers at the carmaker’s Fremont, Calif., factory. The email argues that the UAW’s “true allegiance is to the giant car companies” that Tesla is challenging. Musk is concerned that the unionization would work to get in the way of the company’s “mission to accelerate the advent of a clean, sustainable energy future.”
  5. Panamera plug-in hybrid: Porsche says that the new Panamera Turbo S E-Hybrid will be the new flagship in the Panamera line for its “electromobility” and power delivery. The all-wheel drive plug-in hybrid is expected to deliver impressive performance numbers in power and torque. The company said that the Panamera Turbo S E-Hybrid shows the “high importance of electromobility to Porsche.” It will go 50 kilometers (31 miles) on battery only; but that comes from European NEDC standards and would be less in the U.S.
  6. Carbon tax: ExxonMobil CEO Darren Woods is backing the Paris Agreement and has called for a carbon tax to reduce U.S. emissions. In a blog post on the ExxonMobil website, Woods outlined his company’s plans to boost natural gas generation, energy efficiency, biofuels and carbon capture and storage to help drive down emissions. Woods replaced Rex Tillerson in January. Tillerson now serves as Secretary of State under President Trump. Tesla CEO Elpn Musk has been asking Tillerson to support bringing a carbon tax through Washington.
  7. Short range Clarity: Honda’s all-electric Clarity, which debuts this spring in the U.S., will only be able to go about 80 miles on a single charge, according to Automotive News. Honda said the 80-mile range has been based on two factors: building it on a platform right for the fuel cell and plug-in hybrid versions, and keeping the electric Clarity affordable to the typical Honda customer. “A pillar of the Honda brand is affordability, and if Honda came out with some obscenely priced long-range electric car, what does that do for the brand?” Steve Center, vice president of environmental business development at American Honda Motor Co. “Most of our customers would not be able to acquire it.”
  8. Mercedes EQ Power: Mercedes is launching the EQ Power sub-brand this summer, the company announced. All of the next hybrid and EV models will come out under the new brand, which was first revealed at the 2016 Paris Motor Show. Future AMG hybrid models will have EQ Power+ designations. The company has said it will launch 10 battery electric models by 2025 under the EQ umbrella, with the first model expected to arrive in 2019.
  9. 4 more Gigafactories: As a note to investors sent with its quarterly financial report, Tesla said it expects that long-term demand for its electric vehicles require the company to add four more Gigafactories beyond its current Nevada plant. One of the four will be established at SolarCity’s facility in Buffalo, N.Y., which Tesla acquired through the acquisition of the solar power company; the other three will probably be placed overseas such as in Europe and Asia.
  10. VW e-Golf doubles range: Volkswagen of America has gained a 50% increase in estimated range by the U.S. Environmental Protection Agency for the 2017 Volkswagen e-Golf. The new e-Golf can go 125 miles on a single charge, up from 83 miles in the previous model year. A new lithium-ion battery has 35.8 kWh, up from 24.2 kWh. It also received a better EPA fuel economy rating with 126 MPGe in city driving, 111 MPGe highway and 119 MPGe combined. That’s up over 126/105/116 respectively in comparable ratings for the 2016 model in EPA ratings.

This Week’s Top 10: GM and Lyft bringing out self-driving Bolts soon, Battles ensue over autonomous vehicle rules

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. GM bringing out 1,000s of automated Bolts: General Motors believes enough in the synthesis of electric vehicles, autonomous driving, and shared rides to roll out “thousands” of self-driving Chevy Bolts through its Lyft alliance by 2018. That comes from two sources familiar with the matter who weren’t identified. GM’s Maven carsharing business unit is likely to be involved in managing some of the automated Bolts as well, sources said. That would make for the largest fleet deployment of self-driving vehicles ever seen, as Waymo, Uber, Ford, Fiat Chrysler Automobiles, and others prepare for commercialization of the nascent technology. Analysts think that the fusion of EVs, AVs, and mobility will be taking place in increasingly crowded, polluted cities around the world. Automated EVs can be recharged efficiently and cheaply, are much easier and cheaper to maintain than ICEs, and can converge more logically with computers already driving AVs. Human drivers are expected to deliver most of the trips for Lyft, Uber, Maven, Zipcar, and others in the near future, but autonomous vehicle trips are thought to provide a solution to mobility services getting hit with peak demand during periods when there aren’t enough drivers out there and fares are known to skyrocket.
  2. Battles ensue over future of autonomous vehicles: Thorny legal issues are being delved into as autonomous vehicle technology strides forward. Waymo, Uber, a few automakers, and industry groups are working against potential new state laws that would only allow automakers to test autonomous vehicles in those states. Michigan started it all off with a bill that was given input from General Motors limiting access to state testing to automakers. The state did revise the bills wording of “motor vehicle manufacturer” based on suggestions by Uber and Waymo to include companies developing and testing self-driving systems. Tennessee, Georgia, Maryland, and Illinois are reviewing bills in line with Michigan’s first version limiting access to automakers, Automotive News reports. Last week, executives from Toyota, General Motors, Volvo, and Lyft urged the U.S. Congress to unify the patchwork of state laws governing testing and development of self-driving cars. One of the problems has been how much the regulatory structure varies by state, with California wanting a more careful, phased in testing and adoption procedure and Michigan supporting fully autonomous vehicles in the near future. Ford Motor Co. has found that gradual, semi-autonomous vehicle testing hasn’t been the way to go; with several Ford engineers falling asleep during test runs. The rides have been relaxing enough for engineers to fall asleep and take away the human safety factor. Ford agrees with Alphabet’s Waymo self-driving car division and a few other automakers that Level 5 fully autonomous is the way to go; there are also several other automakers who disagree over that one and think vehicles should stay at Level 3 for now and complete extensive testing.
  3. Fighting over fuel economy standards: Automakers and environmental groups are prepared for a long-term skirmish over the future of the 2025 federal fuel economy and emissions standards. Tension increased after a recent letter was sent o President Donald Trump signed by 18 auto industry executives asking him to reinstate a U.S. Environmental Protection Agency review of fuel economy regulations through 2025. Automakers say that the U.S. Environmental Protection Agency unfairly cut the public comment period short before the Obama administration left office. Automakers had been sending out warning to the administration on job loss and heavy costs connected to manufacturing and marketing these fuel efficient vehicles; when the public has been showing more interest in SUVs, crossovers, and pickups. Environmental groups have been threatening legal action if the rule gets weakened.
  4. Some Nissan dealers love the Leaf: While the Nissan Leaf has been seeing softening sales in the U.S. in the past couple of years, some markets are very strong for the electric car. It depends a lot on the dealers. In Seattle, the Leaf is outselling the brand’s volume-leading car, the Altima. In Kansas, Delaware, New Jersey, Minnesota and Connecticut, Leaf sales have risen by double and triple digits in the past few months, according to Brian Maragno, Nissan’s director of electric vehicle marketing and sales. Boulder Nissan loves the Leaf and plans to sell a lot more them; other dealers are wondering what’s next for Nissan EVs in the pipeline. Ride and drive events work well for Boulder Nissan. “The Leaf now accounts for 80 percent of the new cars we sell here,” Ted Christiano, executive manager of Boulder Nissan in Boulder, Colo. “We’re doing a great business with them.”
  5. Prius Prime sales: The Toyota executive considered to the “father of the Prius” when it was launched 20 years ago thinks that the plug-in hybrid will hit the million unit sales mark faster than the original hybrid version. Toyota chairman Takeshi Uchiyamada said he expects Prius plug-in hybrids to pass the one million unit sales mark in less than 10 years, which is how long it took for the hybrid Prius to reach that sales benchmark; that will include the original Prius Plug-in Hybrid and the new Prius Prime. The company expects to sell about 60,000 Prius Primes a year, with more than half of these vehicles being sold in Japan. The original Prius plug-in hybrid only had about 75,000 units sold from its launch in 2012 to its closure in 2015. “Environmental awareness has become a bigger issue today than it was 20 years ago, and demand for environmentally conscious products has increased,” Uchiyamada said.
  6. Greenest and Meanest: The Hyundai Ioniq Electric won the highest-ever green car score in American Council for an Energy-Efficient Economy’s annual Greenest vehicle award, with the BMW i3 coming in a close second. Each car is given a green score by ACEEE based on an environmental damage index, which estimates pollution coming from vehicle manufacturing, the production and distribution of fuel that powers the vehicle, and vehicle tailpipe emissions. The Mercedes-Benz AMG G65 was named the Meanest vehicle on this year’s list, tying with the Chevrolet G2500 Express passenger van; these vehicles are considered to be the least friendly to the environment.
  7. Advanced biofuels: A new Lux Research study sees first- and second-generation biofuels bowing out to newer low-carbon fuels. Biodiesel is projected in the study to lose 26 percent market share by 2022 due to the rapid growth of low-carbon and high-performance drop-in biofuels such as renewable diesel. The study predicts advanced biofuels will nearly double in five years to 9.6 billion gallons per year. “A new era of technology commercialization has brought the global biofuels industry to the cusp of a tipping point, as new facilities target low-carbon and high-performance drop-in biofuels,” said Runeel Daliah, Lux Research associate and lead author of the report.
  8. Midwest coalition: A new group called Evolve will bring together supporters of electric vehicles from Illinois, Indiana, Michigan, Minnesota, North Dakota, Ohio, and Wisconsin. The American Lung Association and other organizations are joining together with these states to promote the campaign. Evolve is also partnering with eight regional Clean Cities coalitions, which will be hosting more than 200 events across the Midwest states starting this year through 2020.
  9. Volvo electrified launches: Volvo will be bringing out a three-cylinder engine plug-in hybrid, a battery electric vehicle (its first production BEV), and a new 48-volt micro hybrid in 2019. This new three-cylinder PHEV will feature a 9.7-kilowatt hour lithium ion battery in the tunnel, an electric air conditioning compressor, a seven-speed dual-clutch transmission, and a 55-kW electric motor. Estimated battery-only range will be about 31 miles.
  10. Smart electric cars: Mercedes-Benz USA has announced that Smart cars is becoming an electric-vehicle only brand. For the U.S. and Canada markets only, the company will stop selling the gasoline-powered Smart ForTwo coupe and convertible later this year. The Smart lineup will consist exclusively of the all-electric Smart electric-drive coupe and cabrio. “Developments within the micro-car segment present some challenges for the current Smart product portfolio,” Dietmar Exler, CEO of Mercedes-Benz USA, told dealers in the letter, which was obtained by Automotive News. “Therefore, with the launch of the fourth-generation Smart ForTwo electric drive this summer, the Smart lineup will consist exclusively of the zero-emissions Smart electric-drive coupe and cabrio in the U.S. and Canada.”

Clean fuels and energy: looking into the next decade

If you were to study the U.S. Energy Information Administration’s chart on transportation sources/fuels used during 2015, it could end up being depressing – unless you’re set up to do well investing in petroleum. If jet fuels were removed from the chart, the share of gasoline and diesel would increase and dominate the pie chart even more; the other categories would increase, too. Biofuels and natural gas lead the way in alternative fuels, while electricity and propane autogas are lumped together in the “other” category, along with a few other types. If you were to look at what’s fueling electric power plants, renewable energy is in a similar situation compared to fossil fuels; though it has gotten better.

The market is also showing real signs of getting better for clean fuels and energy over the next decade or more. Several new electric, fuel cell, and alternative fuel-modified vehicle models will be launched and produced in higher volumes; the charging and fueling infrastructure will continue to grow; and breakthroughs in advanced fuels, renewables, and technologies are beginning to see positive signs of reaching commercial-grade production.

Trump and economics: The Trump administration is clearly unsupportive of decarbonization, renewables, and other clean fuels. But the market forces appear to be large enough to more than compensate for the impact of a fossil-fuel friendly administration, and whichever man or woman follows Trump to the White House in the next decade.

“Based on the signals it has sent so far, the administration seems to have little incentive or appetite for getting in the way,” Matt Tomich, who was appointed Energy Vision’s president last year, wrote in a recent GreeBiz.com column.

That level of investment is substantial; while Silicon Valley and other venture capital groups pulled away from renewables and electrification starting in 2008 (and over to mobile apps and devices), some of them are coming back. That can be in alliance with a few government entities as well. China invested $100 billion in renewables last year, according to Tomich. Clean energy is surging toward becoming a multi-trillion-dollar market; and the U.S. is seeing renewables generate more energy than any other country except China. Along with clean energy, Energy Vision is projecting that several promising renewable energy markets are emerging, including renewable natural gas. It burns as cleanly as geologic natural gas and can use the same pipelines for delivery. It’s made from biogas emitted by decomposing organic materials such as farm waste, food waste and municipal wastewater, which are renewable, ubiquitous resources, Tomich said.

RNG and RD:  Renewable natural gas and renewable diesel are seeing incentives increase, and demand for the fuel growing from fleets. California’s low carbon fuel standard includes them as qualifying fuels, which helps infrastructure suppliers make that investment. In October, the city of San Diego joined a growing list of cities in California adopting renewable diesel. As part of the city’s goal of cutting its greenhouse-gas emissions in half by 2035, it will soon fuel its entire municipal vehicle fleet with renewable diesel, making it the largest in the nation to embrace the clean fuel.

Renewable energy: Scientific American recently reported that renewable-energy sources such as solar and wind are expected to account for 8% of U.S. electricity-generation capacity in 2017, according to the U.S. Department of Energy. Solar growth is behind much of it. For the first time ever, new solar-generating capacity is expected to exceed new generating capacity for wind and natural gas, according to the report.

DME:  Oberon Fuels said that it has its first customer demonstration of a Dimethyl Ether (DME)-powered Mack truck, a Mack Pinnacle. Oberon, a DME producer, and Mack are working with the NYC Department of Sanitation (DSNY) to operate the demonstration vehicle at the Fresh Kills Landfill, and evaluate performance and overall drivability. The test is the first step in the city’s evaluation of both DME trucks and DME fuel as a potential long-term strategy to help reduce greenhouse gas emissions by 80% by 2050; and to achieve the city’s goal of sending zero waste to landfill by 2030. DME has quite a few supporters, as it has the performance qualities and energy efficiency of diesel but can lower CO2 emissions by 95%

Advanced batteries:  Lithium-ion batteries are starting to see improvements being deployed in new electric vehicles for better energy storage capacity, with more technology innovations just around the corner. Along with lithium-iron phosphate batteries, researchers are fascinated with the potential of nanotechnology. In Europe and the U.S., innovative nano-material based supercapacitors are set to bring mass market appeal for PEVs much more possible; with graphene being well received as a potential nano-material. The amount of energy in which supercapacitors are able to store is generally about 10% that of electrochemical batteries. The ElectroGraph project is being supported by the European Union and a consortium of 10 partners from research institutes and industries. One of their main objectives is to develop new types of supercapacitors with significantly improved energy storage capacities.

Wireless charging:  Some analysts see wireless electric vehicle charging being as, or more, important than fast charging in supporting adoption of plug-in electrified vehicles (PEVs). Some automakers are showing interest, but mass adoption is still years away. Mercedes-Benz will be the first on the market, offering wireless charging on its S550e plug-in hybrid this year. Wireless uses inductive charging with two coils of wire in two objects, such as a pad on the electric car connected to its battery and a separate pad on the ground. When the pads are close enough, an electromagnetic field transmits current and charges the battery. Suppliers, including Qualcomm, Momentum Dynamics, and Evatran Group, are in talks with automakers about integrating this technology into their product planning.

Advanced biofuels:  Signs are in place that producers are adopting advanced fuels over traditional corn-based ethanol that makes up about 10% of gasoline sold in the U.S. Cellulosic ethanol has major corporate backing from DuPont, POET, and Abengoa. Synthetic Genomics and ExxonMobil recently extended their agreement to conduct joint research into advanced algae biofuels after making significant progress in understanding algae genetics, growth characteristics, and increasing oil production. Gevo, Inc., just announced that the U.S. Environmental Protection Agency has approved the pathway for isobutanol produced at Gevo’s Luverne, Minn., plant to be an advanced biofuel under the Renewable Fuel Standard program. The company also announced that a 12.5% blend of its bio-isobutanol with gasoline marketed for use in automobiles has begun to be sold in the Houston area.

PEV sales volume:  More than 700,000 PEVs were sold in China, Europe, and the U.S. last year, with China in first place and about double the size of U.S. sales, then came the U.S., Norway, U.K., France, Germany, Netherlands, Japan, Sweden, and Canada. Sales numbers have been shooting up in the past two years, with incentives and a wide variety of PEVs available, driving growth in China. The U.S. and Europe are also seeing impressive gains. If this trend continues over the next 15 years, PEVs will make a decent share of global new vehicle sales, well beyond the current level of about 1% of global sales.

Long-range: The Chevy Bolt and Tesla Model 3 were thought to be bringing the future of longer-range rides in a PEV to the market. That’s already starting to be seen with the Chevy Bolt getting a 238 miles per charge rating by the EPA. The new Renault Zoe all-electric small car was launched last year with 250 miles per charge based on Europe’s NEDC standards, which would be less in the U.S. under EPA standards. While it will take until the end of this year for the 200-mile plus Model 3 to roll out, Tesla just broke through another barrier – the 300 miles per charge level. Tesla just launched a Model S 100D with 335 miles of range per charge and a starting price of $95,800 (plus destination) before incentives. It’s powered by a 100 kWh battery, and is awaiting an official EPA rating on its range following the agency’s preliminary estimate. The electric automaker also launched the Model X 100D with a 100 kWh battery and 295 miles of range, based on the preliminary EPA estimate. Volkswagen, BMW, Daimler, GM, Ford, Toyota, Nissan, and Honda have each committed to launching an impressive lineup of PEVs through 2025. Startups like NextEV, Lucid Motors, Faraday Future, and Fisker, Inc., are preparing for their first wave of launches taking on Tesla in the high-performance end with bragging rights for the fastest, longest-range all-electric supercars on the market.

Charging by speed and energy source:  As of one year ago, Tesla had 253 Superchargers installed in the U.S., there were 1,530 CHadeMO chargers, and 387 CCS/Combo fast chargers in place, according to Fleet Carma. That number has gone up in the past year and makes up over 10% of what the Department Energy says makes for a total of 15,315 charging stations in the U.S.; with Level 2 chargers also being a significant growth area in recent years. Utilizing renewable energy sources to charge PEVs still has a long way to go, but the current numbers became more impressive over the past year. California makes up about 50% of PEV sales in the U.S. Last year, about 27% of its electricity retail sales were powered by renewables including solar, wind, geothermal, biomass, and small hydroelectric. The state’s aggressive Renewables Portfolio Standard is aiming to reach 33% by 2020 and 50% by 2030; which looks possible to accomplish. Another factor to consider is that a lot of PEV owners charge their vehicles through their own clean power source, usually solar panels on their houses.

New hydrogen fuel cell alliance:  Fuel cell electric vehicles are way behind PEVs and other alternative fuels in vehicles sold in the U.S., Europe, and Japan. Automakers are still dedicated to the fuel and technology, though, as spelled out recently in a KPMG study. That became more evident last week when Toyota, BMW, Daimler, Honda, and Hyundai, announced that they’re joining up with several other companies to invest a combined $10.7 billion in hydrogen-related products within five years. Thirteen automakers, and energy and industrial companies, are forming a hydrogen council to support hydrogen fueling and FCEVs; and to provide another channel beyond battery power to hit the zero emission vehicle mark.

“The world of energy is transforming very, very fast,” said Shell CEO Ben Van Beurden at the World Economic Forum in Davos, Switzerland; Shell is one of the alliance’s partners. “Hydrogen has massive potential.”

Other OEM alliances:  Other FCEV alliances were created in recent years with General Motors and Honda exchanging patents. Toyota and BMW created an alliance to share technology and funding. Another consortium had been set up with Nissan, Ford, and Daimler. It’s been a slow process, with Nissan announcing its first fuel cell cars many not come out until 2020 or the next year. A fuel-cell version of Daimler’s Mercedes GLC may be launched this year; however, it isn’t clear whether its technology is a result of the partnership with Nissan and Ford.

Hydrogen stations:  Nikola Motor Co., which operates hydrogen fuel cell semi-trucks, will be rolling out a nationwide network of hydrogen fueling stations that will be accessible to other fuel cell vehicles, the company recently announced. That would increase the U.S.’s present status of 33 hydrogen stations more than 10-fold to 364 more stations built by Nikola. This infrastructure network will begin construction in a year, in January 2018, and will begin opening in late 2019, according to CEO Trevor Milton. Toyota, Honda, Hyundai, Mercedes, and other automakers developing fuel cell cars, will be very interested in seeing this happen.

Propane autogas: According to a study prepared for the U.S. Department of Energy, propane vehicle sales are expected to increase from 12,900 in 2014 to about 34,750 per year by 2020, and then to about 52,500 vehicles per year by 2025. Market segments include fleets using light-duty and medium-duty work trucks. While the introduction of new vehicles and engines has been slower than anticipated, and greater market penetration will be delayed somewhat by the decline in the propane fuel cost advantage caused by lower oil prices, the availability of new emissions-certified engines and the growing acceptance of propane vehicles by commercial vehicle fleet operators, irrigators, and commercial landscapers will lead to continuing growth in these markets.

Roush CleanTech has found converting and selling propane-powered school buses to be taking off in the market, along with its propane vans and heavy-duty pickups.  It took the company six years to sell over 14,000 propane vehicles, but the company is on track to sell 6,000 more vehicles converted to run on propane autogas by the end of 2017. The company says that it’s been able to make the business case that propane makes for a better, more cost effective alternative fuel than compressed natural gas.

Natural gas: Earlier this month, NGVAmerica commended the release of a new study by scientists from West Virginia University’s Center for Alternative Fuels, Engines and Emissions. The study published online by Environmental Science & Technology was supported by the Environmental Defense Fund and numerous organizations from the natural gas industry, including a variety of NGVAmerica members. The industry is seeing significant advancements where technologies are being deployed in the latest generation of natural gas engines and fueling infrastructure. These are dramatically lowering emissions, providing North American fleets with the ‘greenest’ choice, said NGVAmerica President Matthew Godlewski.

The industry group also commented on the fact that the WVU study did not examine the increasing role renewable natural gas that can reduce total GHG emissions by more than 80%. NGVAmerica estimates that 20% to 30% of all natural gas used for transportation is now RNG.

Refuse giant and NGVs: Waste Management this month released its annual sustainability report, which announced that the company recycled and composted more than 14 million tons of materials from the waste stream in 2015; and as a company, Waste Management is a net greenhouse gas reducer. Its fleet uses more 5,100 natural gas vehicles, which the company says is the largest fleet of its kind in North America. The company reported using technology at landfill-gas-to-energy facilities to power the equivalent of 470,000 households, offsetting 2.5 million tons of coal per year and 2.5 million tons of carbon dioxide emissions per year. You can view the report here.

Biofuels: As previously mentioned, advanced fuels are pivotal to the future of biofuels. The EPA last week denied a request from oil refiners to waive some of their advanced biofuels use requirements from 2016 in the Renewable Fuel Standard. The agency in a letter to the American Fuel and Petrochemical Manufacturers said it was denying the group’s request to waive some of the volumes that previously the agency said would be required for use in 2016, citing short supplies. EPA had set up a waiver credit system to help oil companies meet annual targets set by Congress for required use of cellulosic ethanol. Development of the advanced biofuel industry has been slower than lawmakers expected when they established annual targets in 2007.

Biodiesel:  Biodiesel so far has been the leading advanced biofuel qualifying for Renewable Identification Credits under the Renewable Fuel Standard. It has an advocate in the industry – General Motors – which has not backed away from selling diesel vehicles after the emissions scandal and so far hasn’t been pulled into it. Biodiesel adds another appealing element to the fuel for the automaker and its fleet clients.

GM and biodiesel:  During the National Biodiesel Conference this month, John Schwegman, director of commercial product and medium duty for GM Fleet, announced GM will add to its lineup of B20-capable vehicles, making for the auto industry’s most expansive lineup of diesel-powered vehicles this year. That biodiesel-capable vehicle lineup includes Chevrolet Express full-size vans; Silverado HD full-size pickups; the Colorado midsize pickup; Low Cab Forward commercial truck; 2017 Cruze compact car; and the 2018 Equinox compact crossover SUV. Schwegman said that GM is “very optimistic on the diesel market.” The company has more than two million diesel vehicles on the road today in the U.S. and is making all its existing and future diesel vehicles B20 compliant.

New EPA head on RFS: Oklahoma Attorney General Scott Pruitt, who will soon be EPA administrator if approved, is expected to crack down on federal fuel economy and emissions standards; unless the process is too long and dragged out to reverse EPA’s January decision, and if there are clean energy mandates made by the Obama administration that are more important to the Trump administration to overturn. As for the Renewable Fuel Standard, lawmakers from Midwestern states asked about his views on biofuels during the Senate confirmation hearing. Pruitt said he would support the U.S. renewable fuels standard, which requires biofuels like ethanol to be blended in gasoline, but said the program needed some tweaks.

He has taken measures against the RFS. As attorney general of Oklahoma, Pruitt in 2013 filed a friend of the court brief with the U.S. Supreme Court in which he argued the EPA ignored the risks that gasoline with more than 10 percent ethanol can pose to vehicle fuel systems as well as the RFS requirement’s possible effect on food prices. He has been prone to support fossil fuel companies. In Oklahoma, he’d received more than $318,000 from fossil fuel companies for his election campaigns. Ethanol advocates have said they’re going to work on being heard by Pruitt. Sen. Chuck Grassley (R-Iowa) would like to speak with him about it. “I look forward to working with the president-elect and his nominees to continue the success of domestic biofuels,” Grassley said.

This Week’s Top 10: VW settlements and indictments, EPA claims on FCA diesel emissions

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

  1. VW settlements and indictments: Volkswagen continued to settle criminal and civil charges with U.S. federal agencies, while six VW executives were indicted by the Department of Justice tied to the German automaker’s diesel emissions scandal. One executive was arrested at a Miami airport while trying to leave for Germany, while five of the six were thought to be residing in that country. Additional VW executives are being investigated and may face charges, Attorney General Loretta Lynch said. In its settlements, VW agreed to pay a $2.8 billion criminal fine to the federal government, and will operate under the oversight of a court-appointed independent monitor for three years. The company will additionally pay $1.45 to settle civil claims filed by the Customs and Border Protection agency over violations of U.S. customs and environmental laws. The automaker will also pay the DOJ $50 million for additional claims falling under the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA). VW is also waiting to see the outcomes and costs coming from investigations by state attorneys general; and from lawsuits brought by shareholders who accuse Volkswagen of waiting too long to disclose the financial risk of its emissions cheating.
  2. EPA claims on FCA diesel emissions: The U.S. Environmental Protection Agency on Thursday accused Fiat Chrysler Automobiles of illegally using hidden software to allow excess diesel emissions to go undetected. About 104,000 affected vehicles include the light-duty model year 2014, 2015, and 2016 Jeep Grand Cherokees and Dodge Ram 1500 trucks with 3-liter diesel engines sold in US, the EPA said. FCA vehicles are being investigated for software that calibrates an engine’s performance and controls emissions levels, and that can shut off in certain situations. FCA shares plummeted with a possible maximum fine of about $4.6 billion possibly being filed. Share prices have stabilized in Europe since then. Fiat Chrysler Chief Executive Sergio Marchionne rejected the allegations, characterizing the dispute as whether the automaker had completely disclosed software that protects the engine. Marchionne also said that FCA was planning updated software to address EPA concerns.
  3. EPA closes mid-term review: The EPA has finalized its move to end the mid-term review on 2025 fuel economy standards aiming for average mileage to be in the low-50s (and closer to upper 30s mpg on window stickers). The federal agency had received objections from automakers in November when it shortened the timetable for the mid-term review of its mandate to raise corporate average fuel economy of new vehicles; the agency had received public comments on whether to modify the 2022-2025 model year vehicle emission rules. Timing was moved up from April 2018 to January by the EPA, prior to the Trump administration taking over the executive branch. Automakers have been in talks with the Trump transition team, arguing that the strict rules impose significant costs and are not in line with consumers favoring pickups and SUVs over small, fuel-efficient cars. Consumers Union, the policy division of Consumer Reports, praised the decision for offering some protection from future gas price volatility and significant fuel savings, even if gas prices stay down.
  4. Bolt platform: General Motors CEO Mary Barra last week said a “huge range of vehicles” will be spun off from the Chevy Bolt electric car platform, while at the Detroit auto show; few details were given. “The Bolt is our platform that we’re going to continue on and have a huge range of vehicles,” Barra said, “so we haven’t announced them yet, but you’re going to see more coming.”
  5. ACT Expo: The Advanced Clean Transportation (ACT) Expo has released an agenda for the annual event, taking place May 1-4, 2017, once again in Long Beach, Calif. It offers an opportunity to gain insight on the latest trends and technologies driving the future of fleet transportation, including: Available near-zero and zero emission technology from leading OEMs; Volkswagen settlement funds and other lucrative grants and incentives; Current policy landscape: what to expect from the new Trump Administration; Future of heavy-duty trucks: ultra-efficient, platooning and automated trucks; Developments in electric vehicles and charging infrastructure for all applications; Increasingly sustainable and connected urban mobility; and, The role of fleet vehicle operations in Smart City. There’s a Call for Abstracts, due February 3, for presenters interested in speaking at the conference.
  6. Hybrid pickup: Honda is adding a dedicated hybrid pickup to its lineup for a 2018 rollout. It’s part of the Honda Electrification Initiative, which will add to the company’s electrified vehicles. That announcement was made by Takahiro Hachigo, Honda’s president and CEO, at the Detroit auto show. The hybrid pickup will be manufactured at a plant in the U.S. Honda set a global target for two-thirds of all sales to come from electrified models by 2030 and to halve its total company CO2 emissions from 2000 levels by 2050. “Half of the all-new models Honda will launch in the United States in the coming two years will be electrified vehicles,” Hachigo said. “In the long term, electrified vehicles are key to the future of carbon-free mobility.”
  7. DME-powered trash truck: Oberon Fuels said that it has its first customer demonstration of a Dimethyl Ether (DME)-powered Mack truck, a Mack Pinnacle. Oberon, a DME producer, and Mack are working with the NYC Department of Sanitation (DSNY) to operate the demonstration vehicle at the Fresh Kills Landfill, and evaluate performance and overall drivability. The test is the first step in the city’s evaluation of both DME trucks and DME fuel as a potential long-term strategy to help reduce greenhouse gas emissions by 80% by 2050; and to achieve the city’s goal of sending zero waste to landfill by 2030.
  8. Self-driving Uber cars: Although Uber is setting up autonomous vehicle test projects around the country, the company has no plans to replace all its drivers with robots. Speaking last week at the Automotive News World Congress in Detroit, Sherif Marakby, vice president of global vehicle system for Uber, said that drivers’ jobs will not be eliminated. The key benefit to bringing autonomous vehicles into its fleet will be to reduce costs to customers during peak demand times when prices can skyrocket up as much as five times the normal fare rate. Several Uber customers have been complaining about this “surge pricing” practice as a form of gouging. “The biggest problem in ride-sharing is supply — having enough drivers in peak times. Automated vehicles will help smooth out surge times,” he said.
  9. Free Tesla charging fading away: Supercharging is only going to be free for limited periods of time for Tesla drivers. Starting January 15, the company enacted a new program offering Model S and Model X owners that give them about 1,000 miles, or 400 kilowatt-hours, per year for free. From there, the cost for Supercharging will differ from state to state and province to province. Examples of what it will cost include a trip from San Francisco to Los Angeles, a distance of 383 miles, that will cost about $15. Driving from Los Angeles to New York will cost about $120.
  10. Two electrified vehicles in Detroit: Guangzhou Automotive Corporation (GAC) was the only Chinese automaker at the Detroit auto show this month. Two thirds of its new launches are electrified vehicles. The GE3 is a new electric crossover, the first vehicle based on GAC’s new electric-car platform. It will be launched on in China in March. The platform will be used in an upcoming sedan, an SUV, and a multi-purpose vehicle (MPV). The GAC EnSpirit is a plug-in hybrid concept car previewing a sporty coupe-SUV. The third vehicle is a GS7, a five-seat gasoline-engine SUV. It is a smaller version of the existing seven-seat GS8 SUV. GAC is the fifth largest automaker in China, and builds vehicles with joint venture partners, FCA, Honda, Mitsubishi, and Toyota. The Chinese automaker also manufactures vehicles under its own Trumpchi brand. That brand name wasn’t promoted at the Detroit auto show.