clean transportation Archives

This Week’s Top 10: EV sales were down a little bit in September, Electric Drive Transportation Association joins up with ACT Expo

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…….

Nissan Leaf continues to lead the pack. Electric vehicle sales saw a little bit of softening in September after two months of strong numbers – falling short of the recent 10,000 per month mark with 9,340 units sold last month. That was 15% greater than one year earlier; for the year, 88,149 units have been sold – a 30% gain over the first nine months of 2013. The Nissan Leaf continues to steam along, reaching its 19^th consecutive month of year-over-year increases. Hitting 2,881 units sold last month was nearly a 50% gain over last year’s 1,953. The Chevy Volt didn’t do as well – hitting 1,394, its lowest sales number since February and down from September 2013’s 1,766. The new 2016 Volt will be rolled out at the Detroit Auto Show in January, and current sales are expected to remain down for 2014 and 2015 models. The Tesla Model S isn’t reported but was expected to sell about 1,300 last month. Right behind the Model S is the BMW i3, which sold 1,022 last month – its second month over 1,000 sold. The company expects to roll out a higher share of i electric and plug-in hybrid models in the US in coming months. Tesla has raised interest with CEO Elon Musk’s recent tweet about unveiling its mysterious Model D on Oct. 9. Tesla also gained interest in its used car remarketing strategy in an Automotive News feature article. Tesla is developing a certified pre-owned (CPO) vehicle program for its off-lease Model S units. That should make it more competitive with pre-owned luxury models from BMW and Mercedes-Benz, the company said.
EVs will play a larger role at ACT Expo. Alternative Clean Transportation (ACT) Expo and Electric Drive Transportation Association (EDTA) have formed a new event partnership for 2015 ACT Expo, taking place May 4-7 in Dallas. The partnership signals a renewed focus on the rise of electric vehicles; it’s one more significant step that event manager Gladstein Neandross & Associates (GNA) has taken to expand the fuels and technologies being embraced by the clean transportation community.
RFS gets an impressive list of supporters. A group of 33 state governors is asking the US Environmental Protection Agency to increase blending mandates for its soon-to-be-announced ruling on Renewable Fuel Standard volumes for biodiesel and cellulosic ethanol. The Governors’ Biofuels Coalition says that decreasing RFS volumes could hurt production of biofuels from waste products.
Spiking gas prices is a scare tactic, UCS says. The Union of Concerned Scientists (UCS) says that the possibility of rising gas prices in California being warned by oil companies won’t take hold. With California’s cap-and-trade rule from AB 32 (California Global Warming Solutions Act) and the Low Carbon Fuel Standard coming from that legislation, oil companies are saying that with their increasing state taxes, they’ll have to pass that on to gas station pumps. A new report by UCS states that concerns about rising gas prices are overblown; the group thinks that any increases in transportation costs will be offset by savings from decreased oil consumption.
What happened at Paris Motor Show? Green Car Reports traveled overseas for the opening of the famous auto show. Here’s their list of impressive debuts…… Citroen C4 CactusAIRFLOW concept car…… 2016 Ford C-Max……… Infiniti Q80 Inspiration concept….. 2017 Jaguar XE diesel…….. 2016 Mitsubishi Outlander Plug-In Hybrid…….. Renault Eolab concept…….. Volkswagen Passat GTE Plug-In Hybrid and Volkswagen XL Sport.
USDA investing $91M in biofuel plant. Secretary Tom Vilsack said that the US Department of Agriculture is offering a $91 million loan guarantee to help finance an innovative advanced biofuel plant in Rapides Parish, La, with the Cool Planet corporation. The Cool Planet facilities will produce about eight to 10 million gallons of reformate per year at full capacity. Often referred to as a “drop-in” fuel, reformate is an ingredient in gasoline and jet fuel that can be added during the regular refinery process.
Full-size Transit van on propane. Roush CleanTech will be offering a propane-powered Ford Transit full-size van to fleets by the middle of 2016. The Transit is in development now with Roush, and will be certified under Ford’s Qualified Vehicle Modifier (QVM) program. For the latest on the benefits of bringing propane autogas into a fleet, see a recent Q&A article by Michael Taylor, director of propane autogas business development at Propane Education & Research Council.
Lamborghini enters EV space. Lamborghini announced at the Paris Motor Show it will roll out its first-ever plug-in hybrid vehicle. The Asterion LPI 910-4 concept car has a V-10 aspirated engine and three electric motors. The company said the Asterion can get 30 miles to the gallon on the lithium electric battery alone.
Green Across America Trip #2. The compressed natural gas (CNG)-powered Honda Civic road trip across the country that started in 2012 by Evelynn Corbitt and Curtis Martin, national chairman for Green Across America, will make its run this month in coordination with Alternative Fuel Vehicle Odyssey Day 2014. There will be scheduled stops in Lynden, Renton, Portland, Lebanon, Eugene, Medford, Saratoga, Paso Robles, Santa Maria, Los Angeles, Long Beach, and San Diego. The road trip will be supported by Clean Cities coalitions in Washington, Oregon, and California, the National Alternative Fuels Training Consortium (NAFTC), and CNGChat.com.
More propane conversion centers in Alliance AutoGas. Alliance AutoGas now has 100 member companies in its network with Virginia-based Better Fuels and Oklahoma-based CNG Interstate. CNG Interstate has traditionally specialized in compressed natural gas conversions for light- and medium-duty fleet vehicles and has become active in the propane autogas space.

Resources to review on the cleantech investment front

Hey there, startup cleantech company executive, are you looking for investors? Would pitching to GM Ventures and other corporate investors on your advanced vehicle technology be of interest to you? If that be the case, check out Cleantech Group’s new online i3 platform. Beyond that announcement, what research tools are out there now for those seeking venture capital and corporate investors or IPOs?

The way i3 works is that start-ups are able to highlight key information about their business model, differentiators, financial backing, partnerships, and leadership team. This process facilitates executives in corporate strategy, R&D, and other business units being able to view a company’s profile in i3 and quickly assess a potential fit. With the new i3, corporate users are now able to get in touch with start-ups worldwide that might make for the best fit, and easily keep track of what their internal team is doing to build their innovation pipeline. Start-ups have more opportunities to find their next partner or investor. You can participate in a webinar on Oct. 15 or 16 to learn more.

CleanTech OC’s 2014 Conference & Expo will be taking place tomorrow, Oct. 7, in Irvine, Calif. I’ll be attending the event that highlights key technologies and drivers spurring economic growth in the Orange County clean technology industry. This is the only annual conference in Orange County dedicated to covering the clean technology space and connecting industry stakeholders throughout the region and state. The LA Cleantech Incubator is hosting its second annual Cleantech Global Showcase during that time – Oct. 6-7 at the landmark Los Angeles Theater.

If you’re interested in tracking stock in cleantech, clean transportation, renewable energy, biofuels, smart grid, and other related fields, check out Alt Energy Stocks and Seeking Alpha. It’s good to review market capitalization, stock price trends, earnings statements, and analyst commentaries on key players in green transportation. Green Auto Market – Extended Edition tracks publicly traded companies in green transportation, along with newsworthy items on private investments, mergers and acquisitions, and government incentives and loans.

“We see the tough realities that innovators face – the political, economic, and technology trends that, when fully understood, influence clean energy business strategies,” says Craig Shields, editor of 2GreenEnergy. Shields and his colleagues bring together investors and investment opportunities in clean, renewable energy and electrified transportation. You can sign up for the free “2GreenEnergy Alert” newsletter, which covers a wide range of topics from lessons learned at a wind energy conference to the latest on ocean acidification. You can also buy one of Shields’ books, including Renewable Energy – Facts and Fantasies.

Biofuels Digest is a good newsletter to sign up for and receive each business day; its editor, Jim Lane, is a name you’ll hear mentioned regularly. He and his staff dig deep into the geopolitical issues surrounding biofuels from the Renewable Fuel Standard to developments in growing overseas markets; and how biofuels are playing out in other markets like cosmetics, medical products, and jet fuels. Advanced Bioeconomy Leadership Conference (ABLCNext), organized by Biofuels Digest, will be taking place in San Francisco next month. Biomaterials, biogas, and ethanol will be among the topics discussed by leaders in the field.

It’s also a very good idea to get on the Navigant Research email list and find out about new market reports being released and events coming up. Smart is the keyword used by the market intelligence firm – smart energy, utilities, transportations, and buildings are tracked and analyzed. You’ll see reports on everything from autonomous vehicles and a forecast of global electric vehicles sales to challenges being faced in the charging infrastructure and making sense of the expanding business of nanotechnologies.

Big Picture: GM has high hopes for a redesigned Chevy Volt; Smith Electric Vehicles shuts down production

General Motors would like to pick up steam on sales of its plug-in hybrid Chevrolet Volt. To get there, GM will be selling two versions of the redesigned 2016 Volt. One will be a lower-priced version with a smaller battery pack and shorter driving range. That will be carried overseas through GM’s Opel division in Europe. The next versions of the Volt will go into production in about 16 months at the automaker’s Detroit-Hamtramck plant. That plant will get a $384 million investment that will be aimed toward the Volt and a new flagship Cadillac sedan and a redesigned Buick LaCrosse.

GM would like to reduce product cost and make the Volt more profitable, and expects to achieve necessary cost reductions in the 2016 model. The automaker would also like to see stronger sales results without investing so much on incentives. The Chevrolet brand reported selling just 58,158 units since the Volt was launched nearly 40 months ago.

And in other clean transportation news……

More bad news on the EV startup front: Smith Electric Vehicles, based on Kansas City, Mo., has temporarily stopped plant operations. The company is best known for its Smith electric delivery truck, and says that it’s not shutting down operations for good. CEO Bryan Hansel says manufacturing the vehicles has yet to become profitable; he says suppliers and investors have been informed that it’s a temporary shut down and is part of the company’s plan to scale up production and sell enough of them to turn a profit.
Tesla Motors is setting up a new finance arm to entice companies to lease the Model S as one of their fleet vehicles. Small and medium-sized businesses will be able to calculate the leasing cost on Tesla’s website will offer them an attractive value proposition. The new Tesla Finance unit offers leases through partner banks with a guaranteed resale value. Tesla is also getting ready to start selling cars in China this month. Tesla CEO Elon Musk will be delivering a few of the first ones to customers. He’ll also be meeting with representatives from China Petroleum & Chemical (also known as Sinopec) this month about constructing charging units in the refiner’s nationwide network of service stations. The charging network is expected to start in Beijing and then roll out to surrounding areas.
CleanFUEL USA has rolled out the propane autogas industry’s first complete fuel network management system for electronic dispensers. Using CleanFUEL eCONNECT, fleet managers can economically monitor and control fuel inventories faster and easier than ever before with real-time data insight, flexible report storage, and remote access capabilities.
The Environmental Protection Agency may continue to be sympathetic to the biofuels industry; EPA Administrator Gina McCarthy recently spoke to the issue at North American Agricultural Journalists meeting in Washington DC. McCarthy expects the EPA’s final rule to be different than the proposed version released in late 2013. After reviewing more than 200,000 on the Renewable Fuel Standard proposal, EPA is looking more closely at the realities of the fuel market, with one of them being the realities of the fuel blend wall. The agency expense more legal challenges for any RFS standards. “We need to be able to justify it in court, McCarthy said.
Tesla Motors has taken a swing at “lemon law king” attorney Vince Megna’s lawsuit against the electric vehicle maker. While insisting that it doesn’t believe in automotive “lemon laws,” the company says there are several good reasons to be skeptical about the lawsuit and denied some of the claims. Megna made a big splash on the internet with a Youtube video on behalf of client Dr. Robert Montgomery of Franklin, Wis.; Montgomery stated in the filing that he had a number of problems (such as a malfunctioning door handles) with his Tesla Model S that led to it being pulled of the road for 66 days. He wants Tesla to buy it back under a law that take affect after the vehicle is pulled off the road at least 30 days during its first year of life.

NAFA and CALSTART launch Sustainable Fleet Standard Program

During its annual conference last week, the NAFA fleet management association launched the Sustainable Fleet Standard Program in collaboration with CALSTART. It a first-of-its-kind “best practices” program supporting fleets in increasing efficiency and reducing emissions and fuel consumption for their vehicles. “The importance of sustainable practices becomes more evident each day,” said NAFA President Claude Masters. “By becoming more energy independent and efficient, our members will extend benefits to their bottom line and their customer base.”

The Sustainable Fleet Standard Program will be complimentary to existing federal programs, but also sets a standard by which fleets can assess their progress. The program has two purposes – to encourage and make it easy for fleets to take first steps toward clean transportation; while also setting a strong framework to reward those fleets already taking real action. Member organizations will be assisted in assessing their practices to decrease fuel dependence and emissions; and to increase vehicle efficiency, improve performance, and reduce harmful pollutants. In recent years, many fleets have been learning the win-win scenario clean transportation brings in reducing emissions and operating costs.

CALSTART has been working with NAFA for several years on providing educational resources to fleets on advanced and clean vehicle technologies. The non-profit organization has more than 150 member companies and works with industry and government partners to support growth in the industry. “NAFA’s central role in the fleet industry will help this program create a tipping point for sustainable transportation,” said John Boesel, president and CEO of CALSTART. “We’re working with NAFA to make sure the standard is strong, but easy to use by any fleet, whether just starting out or far down the road on sustainable operations.”

The timing of this launch has been quite relevant. NAFA says that developing and launching this new program coincided with a speech given by President Barack Obama in February 2014 supporting a national vehicle sustainability initiative. “By applying this standard to fleets and vehicles of all sizes, NAFA is engineering a program that has the power to shift vehicle sustainability standards on a universal level,” NAFA’s press release says. You can also learn more and stay informed on the program as it approaches implementation, at NAFASustainable.org.

Big Picture: Plug-in electric vehicle sales (especially the Leaf) have a great month, Bad news for California green car shoppers

Sales of US plug-in electric vehicles were solid in March, with the Nissan Leaf seeing its best March ever. About 9,000 EVs were sold last month, versus about 6,900 in February – an increase of about one third. The Leaf had 2,507 units sold in March and 5,184 for the quarter; Nissan had a 12% increase in Leaf sales over March 2013. The Leaf was far ahead of the Chevrolet Volt in March and in the first quarter; General Motors reported that the Volt sold 1,478 in March and 3,296 in the first quarter. The March figure was exactly the same number of units sold in March 2013, and its best monthly sales figure since December 2013. Tesla doesn’t report its monthly sales figures, but it’s estimated to have been in the 1,200 to 1,300 range, down from February sales.

The Toyota Prius Plug-in Hybrid came in right behind the Volt and likely ahead of the Model S at 1,452 sold in March. That was nearly double the 786 plug-in Priuses sold a year ago and its best monthly figure since October 2013. The Ford Fusion Energi and C-Max Energi both saw increases in March over the previous month and year, with the Fusion Energi selling 899 units and the C-Max Energi closing the month at 610 sold.

And in other clean transportation news……..

Car shoppers in California will be sad to hear that they’ll have to wait a few months to get rebate checks – and if they’ve purchased a plug-in hybrid, they won’t receive a green carpool lane sticker (granting driver-only access to diamond lanes). Funds for the $2,500 rebate on battery electric vehicles and $1,500 for plug-in hybrids have run out. Funding for the state’s Clean Vehicle Rebate Project is expected to come back but probably not until late summer or early fall. Green HOV carpool lane stickers for plug-in hybrids ran out after 40,000 of them had been issued. Battery electric vehicles will still be receiving carpool lane stickers.
The school bus market has been where propane autogas has taken big steps forward in recent years, and there’s been another sizable purchase announcement – the nation’ largest single order of autogas-fueled buses by a single district. Broward County Public Schools (based in Ft. Lauderdale, Fla.), the nation’s sixth largest school district, purchased 98 alternative fuel school buses to lower its operating costs while improving the environment. The county expects a six-month return on investment for the additional cost of these alternative fuel buses; the county will be able to lock in an autogas fuel price at substantially less than the cost of diesel and expects to reduce maintenance costs due to propane’s clean-burning properties.
Natural gas vehicles (NGVs) have passed a couple of milestones with fleets. Ryder System, Inc., has driven over 20 million miles with more than 500 liquefied natural gas and compressed natural gas vehicles in its fleet. The company reported that it replaced about 3.1 million gallons of diesel fuel with domestically produced natural gas and reduced more than 559,000 metric tons of carbon dioxide emissions. Waste Management is continuing its commitment to NGVs replacing diesel-fueled trucks; the garbage transport company expects to possibly convert its entire fleet over to compressed natural gas vehicles by next year.
Tesla Motors and the Alliance of Automobile Manufacturers filed a petition with the National Highway Traffic Safety Administration seeking permission to replace side mirrors with cameras. Cameras could be mounted on the side, and they would be much smaller than typical side mirrors and placed just about anywhere on the vehicle. They would help aerodynamics and fuel economy. A few experts are very nervous about the safety ramifications.
As for green vehicle conferences……Plug-In 2014 will be taking place at the San Jose Convention Center on July 28-30. Details will be coming out soon. As for ACT Expo 2014, check out the preview guide.
Average fuel economy for new vehicles sold in the US is continuing to rise. It reached a new high in March at 25.4 mpg, according to researchers at the University of Michigan Transportation Research Institute. That number has been climbing steadily since the beginning of the year.
BMW, Daimler, Honda, Hyundai, Toyota and several hydrogen and fuel cell supplier companies have agreed to deploy a total of 110 hydrogen fuel cell vehicles in several European locations including Copenhagen, London and Munich and develop new clusters of hydrogen refueling stations in a deal valued at $51.5 million. They are expected to be operational by 2015.
California Air Resources Board has modified its zero emission vehicle credits for automakers, taking away some of the credits for Tesla Motors and other OEMs. Tesla sold credits worth $129.8 to other automakers last year in California; that was based on seven credits per car sold in the state, and it’s been dropped down to four credits per car sold.
Zap and Jonway Auto have launched the “Urbee,” the smallest electric vehicle in their EV product line. The neighborhood electric vehicle is being marketed to aging populations in smaller cities and for utility government vehicles. Santa Rosa, Calif.-based Zap and its China-based Jonway Auto subsidiary unveiled the Urban EV at the Chinese Electric Motor Vehicle Exhibition in March.
ParkMe, which provides parking information and reservations by mobile devices, is expanding its market beyond Planet Earth. The company announced that its reservation system will go into immediate effect at every one of the Earth’s extra-orbital docking stations, and it’s set to expand beyond Mars by summer. “With the launch of ParkMe’s new technology, the galactic community will never again worry about circling the galaxy looking for a space to park,” the company said. Editor’s note: This announcement was made on April Fool’s Day, so you might want to wait on booking your intergalactic travel reservation.
GM is expected to announce it will update its Detroit-Hamtramck assembly plant, spending $450 million and adding 1,400 new jobs. It’s tied into building a redesigned Chevrolet Volt that likely to launch in model year 2016.

Navigant Research report and supply chain sustainability standards point to an evolving auto industry

The roles played by global automakers are continuing to shift in two core areas: what products and services will be delivered and how vehicles will be manufactured. A new study by Navigant Research and revised supply chain sustainability standards agreed upon by leading automakers illustrate the evolving automotive marketplace and the role clean transportation standards will play. As previously mentioned, the identity of automakers is changing from vehicle builders to transportation service providers.

Navigant Research’s new report, “Alternative Revenue Streams for Automakers,” analyzes the push toward a more sustainable transportation system that’s coming through plug-in electric vehicles (PEVs), vehicle-to-grid, vehicle-to-building, home energy management, solar energy, charging, carsharing, and smart parking services. Now that PEVs have been adopted by thousands of consumers, automakers are seeing more opportunities to play a role in home electricity networks, workplaces, and commercial locations that need integration of charging services. Automakers in North America, Europe, and Japan face stringent fuel economy and emissions reduction targets – and mature markets where new vehicle sales are starting to flatten out. Playing an expanded role in sustainability transportation meets their need for additional revenue streams and complying with government mandates.

Another factor behind these trends are growing concerns about increasing urbanization that will lead to increased traffic congestion and air pollution. Greater restrictions on vehicle use are being seen in London, New York, Beijing, Tokyo, and other major cities. Automakers such as BMW are creatively testing out new programs to address urbanization that include carsharing, smart parking, and charging locations connected to mobile devices. The main challenge automakers face is lacking the expertise and experience to move forward in new areas such as home energy management or vehicle-to-grid – so partnerships with suppliers with expertise in these new systems are being tested out.

These alternatives will not replace the manufacturing and marketing of new vehicles, but are expected to generate more than $1 billion in revenue for the auto industry by 2018, according to the report. Carsharing services will play a large part in this revenue, followed by vehicle-to-grid.

Fourteen major automakers have just agreed to the “Automotive Industry Guiding Principles to Enhance Sustainability Performance in the Supply Chain.” Two leading corporate responsibility business associations, AIAG and CSR Europe, have expanded automaker membership for suggested principles for supplier relationships based on sustainability standards that were first adopted in 2009. Now, participants include BMW, Chrysler, Daimler, Fiat, Ford, General Motors, Honda, Jaguar/Land Rover, PSA Peugeot Citroen, Scania, Toyota, Volkswagen, Volvo Cars, and Volvo Group.

This set of broad principles for suppliers addresses environmental issues, working conditions, human rights, and business ethics. The guidelines apply to first-tier suppliers as well as their subcontractors and suppliers. Affected business practices in the new standards include: reducing greenhouse gas emissions, energy, and water consumption; increasing use of renewable energies; improving waste management; and training of employees.

The list of global automaker that have signed on to these standards is missing some of the major companies such as Nissan Renault, Hyundai Kia, Subaru, and Chinese automakers. Yet, it is a significant announcement illustrating, along with the Navigant Research report, how different the auto industry is becoming compared to 10 years ago.

DOE funding more Advanced Technology Vehicle Manufacturing loans

Finding funding sources for manufacturing advanced, clean vehicle technologies had another boost last week. U.S. Department of Energy (DOE) Secretary Ernest Moniz announced that DOE has revised and updated its Advanced Technology Vehicles Manufacturing (ATVM) program, which offers low-interest loans to carmakers and their suppliers. Loans will likely go to auto parts suppliers and not automakers, according to Peter Davidson, executive director of the DOE’s Loan Programs Office.

The program is focused on loans for more fuel-efficient gasoline and diesel engines, along with plug-in electric vehicles and natural gas vehicles. That would include components needed for advanced engines and powertrains, light-weighting materials, advanced electronics, and fuel-efficient tires. The DOE is also open to offering loans to suppliers based outside the US that may be interested in moving production to the US.

The $25 billion lending program was approved by Congress in 2007 and has about $16 billion remaining. In 2009, the ATVM program issued nearly $9 billion in loans to original equipment manufacturers (OEMs) of vehicles and components.

Loans went out to Ford, Nissan, Tesla, and Fisker in 2009 – and it became a target of heated debate in Washington especially during the 2012 presidential election campaign. Losing $139 million to Fisker after its bankruptcy made it worse, along with the $400 million loan to solar power supplier Solyndra that meant another big financial loss for DOE. Ford is paying off its $5.9 billion loan, and Nissan is coming through on its payments for its $1.6 billion loan; Tesla paid off its $465 million loan last year long before the final payment was due.

The DOE is expected to be more cautious this time about the loans given, and has committed to exercising transparency practices for tracking return on investment. Automotive suppliers tend to fly under the radar compared to automakers, which means there will likely be less scrutiny and criticism for the DOE this time around.

The decision was good news for the Natural Resources Defense Council (NRDC). “This is good news for drivers who want cleaner cars, faster and cheaper. A successful restart of the retooling loan program can help clear bottlenecks in the supply chain and ensure that clean energy jobs that might otherwise go overseas, are instead ‘onshored,’” wrote Roland Hwang, Director, Transportation Program, Energy & Transportation Program.

Big Picture: More actions on Tesla stores in Ohio and Arizona, Toyota Financial Services starts up Asset-Backed Green Bond

In the wake of New Jersey’s decision on Tesla Motors’ right to run corporate retail stores, there are two more states seeing developments. Ohio Gov. John Kasich has received a letter from General Motors expressing concern that the state would allow Tesla to expand beyond the two Ohio stores it currently has in operation. GM thinks the state should oppose legislation allowing Tesla to open more stores, as it would allow Tesla to compete under a different set of rule. “We understand discussions are ongoing over legislation which could provide a broad exemption for a single manufacturer, Tesla Motors Inc., to circumvent long-established legal precedent on how new motor vehicles are marketed, sold and serviced in your state,” Selim Bingol, GM’s senior vice president of global communications and public policy, wrote in the letter.

Arizona may allow Tesla to sell directly to consumers at retail stores within the state – if the company is willing to have a service center in the state to handle repairs and warranty issues. The state’s Senate Commerce, Energy and Military Committee voted three-to-two to push forward this bill in the legislature. Arizona Senate Majority Leader John McComish called the bill a “pre-emptive strike” against future laws that outlaw Tesla’s direct-sale model. The bill will need to go before another committee for review, then would go to the full Senate.

And in other clean transportation news…….

Toyota has a very interesting offer through its Toyota Financial Services (TFS) captive finance arm – the auto industry’s first-ever Asset-Backed Green Bond; the company is outlaying $1.75 billion, which was upsized from $1.25 as institutional investors have expressed interest in this clean transportation investment opportunity. TFS will use the proceeds from Green Bond toward the purchase of retail finance contracts and lease contracts for Toyota and Lexus vehicles that meet high green standards as established by three criteria: gasoline-electric hybrid or alternative fuel powertrain; minimum EPA estimated MPG (or MPG equivalent for alternative fuel vehicles) of 35 city / 35 highway; and California Low-Emission Vehicle II (LEV II) certification of super ultra-low emission vehicles (SULEVs) or higher, which would include partial zero emissions vehicles (PZEVs) and zero emissions vehicles (ZEVs). Qualifying models from Toyota include: Prius, Prius C, Prius V, Prius Plug-in, Camry Hybrid, Avalon Hybrid, and RAV4 EV. From Lexus, qualifying vehicles are CT 200h and ES 300h.
Producing more than 5,000 compressed natural gas (CNG) fueling tanks last year is one of several positive signs that Quantum Fuel Systems is on a turnaround that should continue, according to stock market analyst website Seeking Alpha; that’s more than double the amount of tanks that were produced in 2012. The company was close to collapsing 12 to 18 months ago, but a corporate restructuring has been completed and seems to have a brighter future. Quarterly earnings were reported earlier this month – positive earnings were reported for the first time in quite a while. The company’s share price has increased by more than 250% in the past 12 months. About 10,000 tanks are expected to be delivered in 2014.
The Energy Independence Summit will be taking place in Washington, DC, March 30-April 2. Leaders in clean transportation will be gathering to share best practices and educate federal policy makers about the benefits of the US Dept. of Energy’s Clean Cities program. The need for additional tools and resources to overcome barriers to the widespread use of clean vehicles and fuels will also be discussed. You can contact Ken Brown at Transportation Energy Partners at ken@akbstrategies.com or (202) 674-7777 if you have questions or would like additional information about the Summit.
The CHAdeMO electric vehicle fast charging protocol, which was initially adopted in Japan by domestic automakers, has been officially recognized as an international DC charging standard by electrical standards organization the International Electrotechnical Commission. The final draft international standards were approved by committees in January 2014, and were finally published last week on the IEC website. The number of CHAdeMO fast charging stations doubled in 2012 to more than 2,000 units are expected to grow, the association said last year.
Dish Network unveiled 47 new propane-powered vehicles at an event on Friday in Hawthorne, Calif. Roush CleanTech converted Ford E-Series vans for Dish Network, and the company’s goal is to deploy 200 of these alternative-fuel vehicles that will run on propane autogas.
Volvo Trucks is bringing its full range of alt-fuel vehicles to the 2014 Mid-America Trucking Show in Louisville, Ky. That lineup will include: Volvo VNL 300 CNG with 400-horsepower 11.9-liter Cummins Westport ISX12 G engine; Volvo VNL 300 LNG with 455-horsepower Volvo D13-LNG (compression ignition) engine; and Volvo VNL 300 dimethyl ether (DME) with 435-horsepower Volvo D13-DME engine.
BMW plants to produce more than 100,000 electric vehicles per year to meet tougher European emission standards that reach a key mandate level by 2020. CEO Norbert Reithofer told reporters that BMW will increase production levels of its i3 and i8 in 2018 in anticipation of getting up to 100,000 units annually in order to meet the stricter carbon dioxide emission standards. BMW was pleased to see that its i3 took 10,000 internet orders when it went online last fall.

Big Picture: Northern California AltCar Expo starts up, Intertek working with DOE on AFV data collection for petroleum use reduction

AltCar Expo is continuing to expand beyond Santa Monica, Calif., with the first Northern California AltCar Expo held at Richmond’s Craneway Pavilion on Friday and Saturday. Plug-in vehicle readiness and deployment of alternative fuel infrastructure tools for local government agencies were explored in speaker panels, and electric vehicles, hybrids, and vehicles powered by hydrogen, natural gas, and propane were available for test drives. AltCar Expo Texas will host its fifth annual meeting March 28-29 at the Irving Convention Center; it’s taking place in coordination with the Propane Engine Fuel Summit on March 27.

The free two-day event in Richmond, Calif., kicked off Friday morning with remarks from Mayor Gayle McLaughlin, Contra Costa County Supervisor John Gioia, and Randall Winston, special assistant to the executive secretary office of Gov. Jerry Brown. Scheduled speakers on Friday included Jon Coleman of Ford, Steve Ellis of Honda, Jeannie Lam of Nissan, and Christine Kehoe of the California Plug-In Electric Vehicle Collaborative. “Plug-In Electric Vehicle Readiness Plan for Local Governments & Industry,” was hosted by the Association of Bay Area Governments, the Bay Area Air Quality Management District, and the Metropolitan Transportation Commission. The session focused on suggested actions elected officials can take in their communities to support electric vehicle deployment. “Best Practices for Deployment of Alternative Fuels Infrastructure-Tools for Local Government Agencies” was hosted by the Bay Area Air Quality Management District, and the San Francisco, East Bay, and Silicon Valley Clean Cities Coalitions. It focused on best practices for the sighting and permitting of natural gas and hydrogen infrastructure.

The daylong Propane Engine Fuel Summit in Texas will feature Texas schools and businesses using propane autogas. Presentations from the City of Fort Worth, CleanFUEL USA, Dallas County Schools, Dallas-Fort Worth Clean Cities, and Northwest Propane Gas Co., will cover topics such as refueling infrastructure, economic and environmental factors, and propane industry equipment. Santa Monica’s flagship AltCar Expo, the ninth annual, will be held September 19-20 at the Santa Monica Civic Center in Santa Monica, Calif.

And in other clean transportation news……..

Intertek is working with US Department of Energy (DOE) and several national laboratories to collect data on alternative fuel vehicle street performance and reduction of petroleum consumption. Testing includes vehicle performance, durability, and operational costs. Intertek has a lot of experience in this space, being a leading provider of global testing, quality, and safety solutions. Most battery electric and plug-in hybrid models have been included in the study, along with hybrids, the Honda Civic Natural Gas, and the Volkswagen Jetta TDI. Vehicle performance data is being collected through Intertek’s data logging systems at a closed course test track. Fleets are also involved in the data collection – as the test models are driven daily for nearly 200,000 miles over three years. Each car is equipped with Intertek’s data loggers, which use Wi-Fi to automatically upload the operational data.

Coda Automotive has gone away, but its new identity – Coda Energy – is up and running. Coda Energy has installed about 20 of its “CODA Core” Tower systems at commercial and industrial sites across California. Fortress Investment Group, which picked up Coda’s assets last year in June for $25 million during Coda Automotive’s bankruptcy, will be providing financial backing for a total of 100 systems over the next few months. Fortress is investing about $64,000 for each 30-kilowatt, 40-kilowatt hour lithium-ion battery based unit. Coda’s new combined system received Underwriters Laboratories (UL) 1973 safety standard certification last month. Coda’s customers for this grid battery system will pay only 50% of whatever savings the systems provide to annual utility bills. Reducing demand charges is the primary economic driver for these battery systems – and these types of battery storage systems are expected to become more important going forward as a way to retain renewable energy for electricity.

Hyundai Motor Co. is entering the battery-powered vehicle market in 2016 through its Kia Motors subsidiary. An electric version of the Soul compact will start being built in Korea next month, eventually ending up at destinations in the US and Europe. The battery electric Soul is expected to run 92 miles per charge; the global sales target for this year is 5,000 Soul EVs. In other news, Hyundai has another MPG problem – the automaker is restating the mileage rating on another one of its vehicles – the 2014 Sonata sees its rating drop from 29.6 mpg to 28.4 mpg. In 2012, Hyundai and Kia had an investigation by the US Environmental Protection Agency and acknowledged that its original stated mileage on cars like the Hyundai Elantra and Kia Soul had been inflated somewhere between one and six miles per gallon.

Biofuels will continue to see growth, but at a much slower pace than originally expected, according to a Lux Research study. The industry is expected to grow to 60.4 billion gallons a year between 2013 and 2017, a 3.2% annual growth rate – but far less than the 19.6% annual growth rate experienced between 2005 and 2013. The “food vs. fuel” debate and imminent blend limits for biodiesel and ethanol by the US Environmental Protection Agency have created impediments. Next-generation feedstocks like waste oils and cellulosic biomass are not tied up in the food supply and could unlock significant economic advantages; and next-gen biofuels – such as renewable diesel and butanol – can offer higher blends, but are not quite mature, according to the report.

Volkswagen is testing out lithium-air battery technology that could triple storage capacity. The new battery could hold much more power than its size would indicate – a 24.2 kWh battery perhaps holding 80 kWh of energy; its range could skyrocket up to 300 miles per charge. VW is keeping it under wraps for now – including when it might be installed in one of its cars.

Walmart is testing out a “WAVE” vehicle in its fleet – Walmart Advanced Vehicle Experience – which will be 20% more aerodynamic than counterparts because it’s being made out of carbon fiber; its micro-turbine hybrid powertrain can run on a variety of fuels. There’s also an electric motor and battery storage system being tested out. The carbon fiber body would cut out 4,000 pounds from the truck; it’s 53 feet long – the first time sheets that large have been manufactured. The goal here for Walmart is to double its fleet fuel efficiency by 2015, which the company says it’s 80% on the way to meeting.

Consultant’s notebook: Forget Facebook, best deal on alternative fuels

It’s been about two months since I launched LeSage Consulting – thanks very much for the support and feedback. Here are some of my notes on the experience so far……

Social Media Hits and Misses: As internet marketing guru Bob Bly wrote about last week, social media has limited value for B2B marketing – especially Facebook (which somehow produced $7 billion in ad revenue last year). Facebook is great for photo galleries, “friending,” and reading about the fun one of your old high school chums is having standing in line at Starbucks. Everyone has an account on Facebook and, I would suspect, that in the next five years, there will be 10,000 more Facebook-type sites customized to a plethora of groups – special interests, hobbies, geography, politics, spirituality, environmental, business networking, etc. I’m seeing a lot more value in LinkedIn and Twitter. LinkedIn is very good for networking with like-minded professionals (check out my Clean Transportation interest group) and getting people to subscribe to your e-newsletter and take your survey. I’ve been surprised to see how important Twitter has become for business networking and special interest groups. Some companies are announcing new product and service offerings on webinars coordinated with tweets.

Compressed natural gas (CNG) is doing the best in transportation fuel prices; charging and alternative fuel stations are seeing growth and propane is still number two after charging stations (with E85 close behind propane). For those interested in receiving monthly reports on fuel prices, sales figures on hybrids and electric vehicles, and stock market performance of AeroVironment, Clean Energy, Tesla Motors, and others, you can opt for a paid subscription to Green Auto Market Extended Edition. You can also find a free sample copy of it there, too, on this site.

The Value of Time: Consultants need to have specialized expertise in their fields from work experience, education, accomplishments, and professional networking relationships – not to mention thousands of hours out in the trenches finding out what’s really going on out there. As a former consulting colleague (and current significant other) says to me all the time – What’s your time worth? Sending a proposal to a current or prospective client with fees based on project cost, or hourly estimate, or some variation, is one thing. But what about writing a freelance article? You could put in a lot of hours, and do a couple of rewrites, for $500 (or less – thank you, Elance). Perhaps that article goes out to a well-respected mass market publication, or to a very specialized niche publication read by managers in your field. Then, yes that’s worth the time and energy – it’s effective marketing and it doesn’t really cost you anything. But then there are other situations that come up that remind me that some of that time spent is not worth it. For example, I’ve had people contact me recently on LinkedIn for networking and promotion. They got something out of it, but I didn’t seem to – beyond the annoying learning experience of not doing that again.