Fleet management Archives

Schneider Electric’s Mike Calise on what EVs and charging need to succeed

For Mike Calise, director of electric vehicles at Schneider Electric, mainstream adoption of plug-in electric vehicles boils down to widespread deployment of the charging infrastructure everywhere – homes, workplaces, retail stores, carsharing, car rental, and public sites. When asked about California’s recently enacted Electric Vehicle Charging Stations Open Access Act, Calise says he and his company support the open system for charging station access and payment. Calise says there are two larger issues to address than roaming – electric vehicle battery capacity and the number of charging stations out there.

The company would also like to see European Union countries adopt a consistent charge and plug standard, as it varies by which country you’re charging in now. Schneider Electric, a global company specializing in energy management, has been very involved in charging station installations across the US and Europe. Prominent recent installations have included Caesars Entertainment Corp. at its northern Nevada Casino properties, Red Cross Silicon Valley Chapter, and the Hacienda Business Park in Pleasanton, Calif.

Hacienda Business Park serves Oracle, Kaiser, and Schneider Electric and offers an interesting example of a new business model using an electric vehicle car-sharing service. This collaboration between Schneider Electric, Toyota, City Carshare, and other business park tenants, allows employees at this location to commute to work by train and bike and have a rental car available for errands, lunch, and other short trips, through City CarShare, with the EVlink charging infrastructure from Schneider Electric.

Fleets that are bringing in plug-in electric vehicles and on-site charging stations are discovering a few key benefits of making the investment – one of them being strengthening employee retention, says Calise. “Drivers understand the benefits of EVs, including the dollar-cost benefits – and it gets replicated (among their peers),” he said.

Workplace charging is definitely an amenity – an employee perk – and has been part of several companies strengthening their images in the community, he said. “Installing a $10,000 charger, and having HOV lanes in certain states, has employees bragging about it and the company they work for,” he said.

EVlink is a complete electric vehicle charging solution that delivers flexible, safe, reliable, and compatible charging of electric vehicles. Schneider Electric’s EVlink charging stations are used in public and private locations such as residential, retail stores, restaurants, resorts/hotels, hospitals, office buildings, universities, apartment complexes, and destination centers.

In late September, Schneider Electric announced its “Charge the World Change the World” initiative, a philanthropic program to give EV drivers an opportunity to have a meaningful impact on global sustainability when purchasing an EV charger. For every EVlink home charging station sold in North America, Schneider Electric will donate a solar powered, battery operated LED lamp to a family without access to electricity. Here’s a video to share with others – for every 100 views of the video, Schneider Electric will donate another light to a family.

Big Picture: GM takes on Tesla, How to market green vehicles to nerds

GM CEO Dan Akerson’s strategy to wipe Tesla Motors off the map
There’s more information coming out on General Motors’ agenda taking on competitor Tesla Motors. It seems to be based on the historic trend of a giant automaker wiping out a small startup. GM is willing to become the loss leader, and has the deep pockets to make up for it long term. GM CEO Dan Akerson told The Detroit News: “We’ll sell more (Chevrolet) Volts and lose less money on the Volts than they’ll lose on the (Tesla) Model S.” GM’s executive management wasn’t happy with the findings from a market study conducted during the summer and led by GM vice chairman Steve Girsky. Akerson is also skeptical that Americans will ever buy plug-in vehicles in large numbers. (Detroit News Reporter David Shepardson wrote that Tesla’s profits came entirely from California’s zero-emission vehicle credits and other credits – though many would disagree with that statement.) GM’s strategy to knock out Tesla seems to be based on a three-fold plan: 1. Flood the market with cheaper Chevy Volts. 2. Launch and flood more with a soon-to-be released $30,000 200-mile range electric car. 3. Go head-to-head against the Model S with the extended range, and comparably priced, Cadillac ELR. “But I do think when the (Cadillac) ELR comes out late this year, early next — it’s certainly in the same postal code as Tesla, but now we’re going to move up,” Akerson said. “It’s not going to be a mass-produced car.”

Toyota going very direct in its marketing of RAV4 EV
Marketing strategies used by automakers are changing at a consistently fast pace these days as unexpected trends and opportunities continue popping up; for example, what was initially a DVD rental company – Netflix – now produces and promotes its own TV series. Toyota has one of its own – marketing the all-electric RAV4 to go after tech-savvy early adopters who subscribe to DirecTV’s satellite service in Los Angeles, San Francisco, and San Diego. The TV ads are ending up on the TV screens of this micro-niche audience through what’s called dynamic advertising. Marketing data firms provide DirecTV with consumer information from credit cards and other sources to identify the most likely prospects that would have interest in the electric RAV4. These are consumers likely to buy new gadgets.

Already maxed out selling to early adopters? Don’t forget about nerds
Check out my post on Autoblog Green covering the launch of RideNerd.com. This could be the ultimate car shopping site for those consumers demanding detailed information on new car choices based on fuel economy, smog and greenhouse gas emissions, and cost of ownership. Nerds are hardcore researchers and analysts – and do comparison shopping to the nth degree.
Here are a few other points I would make about this unofficial market segment that could be of interest to those marketing new vehicles….

They’ve loved gaming from an early age – Dungeons and Dragons, Playstation, X-Box, and Nintendo.
They tend to have expertise in what’s being displayed at Comic-Con.
They tend to have an odd sense of humor – enjoying gallows humor, social satire, and bizarre movie scenes such as the Knights of the Ni demanding shrubbery in “Monty Python and the Holy Grail.”
They’re generally strong in mathematics and science during their school years.
Being right about something is a very big deal; debates go over well unless the nerd can be proven wrong – then it doesn’t go so well.

If you’re wondering how I’ve become so well informed about the lifestyle habits of nerds…. Let’s just say I only performed above average in math and science classes, but I’m good at asking engineers (aka “engi-nerds”) and scientists to explain, in layman’s terms, the nuts and bolts. I’ve never been too interested in gaming and haven’t purchased graphic novel superhero biographies. I do watch the Monty Python movie whenever I get a chance.

Tesla-Mania: Tweeting for engineering staff to deliver self-driving cars
Of course Tesla Motors CEO Elon Musk couldn’t let self-driving cars slip away as major automakers have announced plans to roll out autonomous cars by 2020. Musk and his company have covered it all – Tesla’s own branded version of fast chargers, battery swapping, the fastest commuter rail line concept ever conceived, customized lease packages, fashionable retail stores and service centers, Model S road trips, and chumming with loyal Twitter followers. Musk recently tweeted a “help wanted” ad on the social media site. He’s calling it an “autopilot system” for the Model S. Engineers who’d like work on that project for Tesla should contact the company at autopilot@teslamotors.com.

Car sharing is here to stay, and growing to large numbers
Navigant Research thinks car sharing is set to fly – from the current number of 2.3 million subscribing members around the world to more than 12 million by the end of the decade. Global revenue is expected to be growing by a large volume – from $1 billion this year to $6.2 billion in 2020. Automakers and car rental companies have jumped in the pool, taking on Zipcar (owned by Avis) and a few other upstart brands.

Chesapeake leaves natural gas vehicle market
Chesapeake Energy Corp. has eliminated its seven-member natural gas vehicle team, which had been responsible for part of the Oklahoma City-based oil and natural gas company’s efforts to develop additional markets for gas usage. Chesapeake has played an important role in adoption of NGVs and development of the infrastructure, and these vehicles play a major role in its own fleet, as Tim Denny, Vice President of Administration, explains in this video. Rich Kolodziej, president of Natural Gas Vehicles for America, said Chesapeake has been an important player, but other companies and organizations have taken on that role now.

Ford employees gaining access to workplace charging stations
Ford Motor Co. is joining ranks with what a few competitors have been doing – installing electric vehicle charging stations – at more than 50 of its US and Canadian offices and manufacturing plants. It’s being done to offer employees a perk – making workplace charging available. The automakers will start installing its 200 chargers in November and will continue rolling them out next year. Employees will be able to charge free for the first four hours on any Ford vehicle.

My day at AltCar Expo and thoughts on what it takes to create a strong green vehicle event

I had mixed feelings about once again attending AltCar Expo at the Santa Monica Civic Auditorium and its outside parking lot. I’ve been attending since 2009 (it started in 2006 and just completed its eight year), and it’s always been a must-attend conference – the most comprehensive ride and drive out there; excellent speaker panels with veteran experts in the field (government agencies, university research centers, automakers, infrastructure partners, consultants); display booths from automakers and organizations; and usually something very distinct you won’t forget (“Oh, I didn’t know the ports were using all-electric drayage trucks.”)

I’ve also had concerns about it. If you do a news search on AltCar Expo, you’ll see very little coverage of this significant conference. The attendance is also pretty light. I would think there would be a lot more people showing up (for example, on the fleet-focused sessions on Friday) in a city that’s considered to be a bellwether for alternative fuel vehicles and EV charging stations – not to mention that it’s one of the trendiest, wealthiest cities on the west coast. There are a lot of residents who own electric vehicles and support the basic premises behind alternative fuel vehicles – not to mention that Southern California is usually one of the leading markets where automakers first deliver green vehicles.

As for this year’s AltCar Expo, a few moments really stood out – Terry Tamminen – former head of California’s EPA during the Schwarzenegger administration when AB 32 and the Low Carbon Fuel Standard were being implemented – gave a clear picture of what’s happening in policy; Jon Coleman, fleet sustainability and technology manager for Ford’s North American Fleet, Lease and Remarketing Operations, had some very direct comments to make about the value proposition that needs to be fulfilled for EV charging and CNG refueling stations to go beyond symbolic to practical; Genze is launching an electric motorbike in the first quarter of next year that should stand out as utilitarian and hip to Millennials; and the Cal State Los Angeles EcoCAR 2 team was on hand (and so far is in second place among 15 universities in the US and Canada in this EPA and General Motors sponsored competition), displaying its converted Chevy Malibu plug-in hybrid flex fuel version. It was interesting to hear how strong sales have been since the recent introduction of Ford’s new F-150 natural gas pickup (the first half-ton CNG-powered pickup to come to market). I’ve always looked forward to attending AltCar Expo, and have always enjoyed the experience and learned a great deal about this important, new industry. I’ve just wanted to see a lot more people show up and have their own experiences with the technology.

It’s not the only green vehicle conference that faces big challenges increasing attendance, sponsorships, and other revenue to cover costs and pay for promotional campaigns – and playing a much-needed role helping to set a foundation for business growth. The Green Fleet Conference & Expo is coming up, put on by Bobit Business Media, publisher of the flagship Automotive Fleet; but there are only a limited number of people likely to attend even though it’s an excellent conference. ACT Expo is the most successful, highest attended green fleet-focused conference, and has successfully filled the void that opened up when the Alternative Fuel Vehicle Institute annual conference ended in 2010. Plug-In 2013 is coming up soon in San Diego and has been influential; the Electric Drive Transportation Association annual conference has been essential for EV stakeholders for several years; and NGV America’s annual conference is the flagship natural gas vehicle event. Still, attendance is limited at all of them, and their influence in media coverage, government policies, public opinion, and vehicle buyer decisions is slim. For those wondering what it’s going to take for green vehicle sales to increase along with all the positive environmental, energy, and economic impacts that many people are quite articulate about, I would say that successful conferences, trade shows, and vehicle displays are the meat and potatoes that need to go on tables.

Here are my thoughts on what could raise the numbers….

Get connected with major car shows. What about moving AltCar Expo in front of the LA Auto Show? Sure, it might be competing with the Green Car of the Year award, but it’s likely that efforts could be combined – such as continuing to have the ride and drive at the Santa Monica Civic Auditorium parking space; but what about having the speaker sessions at the LA convention center during the media days or during a dedicated event promoted by the auto show? There’s going to be a very interesting connected car event at LA Auto Show in November – maybe it could have been fused together as a broader topic? Smart transportation?
Coordinate the event with trade groups, research centers, and exhibitors. Last year, it was very productive to attend a pre-conference hosted by the Luskin Center for Innovation prior to the global EVS26 conference (put on by Electric Drive Transportation Association) at the LA convention center. It was fascinating information offered during presentations, but to a very limited audience. A much larger number attended EVS26, but once again, it was pale in comparison to many other events at that conference center. Organizations and businesses want to make gains in marketing exposure, public education, and through supporting technologies and sometimes controversial issues. I would think they should be included in the event planning process way ahead of time – and that could be one to two years out.
Get connected with fleet managers and Clean Cities coordinators. NAFA is doing a lot of it now through its relationship with Calstart and US Dept. of Energy’s Clean Cities leadership. But fleet managers and Clean Cities coordinators are down in the trenches and bring a lot of experience and expertise to the table. Put them on your conference planning committees.
Get celebrities to show up. Certainly, it would be tough to get big names to be placed on conference brochures – I doubt Elon Musk would be willing to be a keynote speaker; Neil Young and Willy Nelson support biofuels but are unlikely to put on a concert; T. Boone Pickens might show up and speak, but is likely to charge a hefty speaker fee; Tom Hanks was proud to drive an EV1 but would be very hard to get ahold of unless you’re a Hollywood insider. Ed Begley, Jr., is passionate about electric vehicles but might not be willing to speak at a conference in Chicago. Still, there are a lot of interesting and somewhat famous people out there who advocate and drive green vehicles – and could be convinced to come support the cause. Celebrities could include politicians, newscasters, experts (such as authors of influential books in the field), academics, actors, singers/musicians, athletes, and leaders of advocacy organizations. They might not be widely known, but could be icons to a sophisticated audience. And let’s be honest about it – we live in America, and celebrities are as big it gets. You might find that superficial, but just about every cause I can think of utilizes celebrities in their promotional campaigns whenever they can, and it tends to grab attention and conversation.
Location, location, location – and timing. Some markets usually deliver higher attendance than others, and it’s probably best to not have these types of conferences scheduled too close together.
Find sponsors willing to monetize the event. They’ll want a lot in return, but how unreasonable would that really be? All of the major conferences have a handful of large backers and sometimes a long list of companies willing to pay their dues to get on the list and perhaps exhibit at booths and host gala events – product unveilings, award shows, keynote speakers, etc.
Work together with organizations looking for such an event. The automotive and transportation sectors are chock full of organizations striving to better serve their memberships. Many are chomping at the bit to host an annual conference that elevates their importance and influence and brings together key stakeholders for valuable networking and education activities.
Make the ride and drive and vehicle displays distinct. One measure of an influential conference is the number of unveilings that happen during press conferences. There is a difference between what’s referred to by the conference planners as a product introduction and the actual launch of something. And if there’s no major unveilings to be announced, there are other ways to go – introducing a new mobile app; an upgrade to a vehicle’s features and color options; engine and powertrain enhancements; and infrastructure launches. If it’s been displayed at five conferences already, don’t claim it to be an introduction. As for ride and drives, there are ways to make it unique for that location – and user friendly for people standing in line waiting for their turn. Automakers sometimes offer incentives for car shoppers to earn when they show up at the ride and drive and go buy one of the new cars soon after.
Get lots of media coverage before, during, and after. Some conferences are good at getting media sponsors and offering perks for them to show up and create valuable content in articles, videos, podcasts/radio, and photo galleries. Targeted trade, professional, and special interest publications are critical to draw and reach important niches, but don’t forget about mainstream media. Getting reporters from Bloomberg, Reuters, Wall Street Journal, major media from the hosting city, and business publications, is a given for the big auto shows. Getting them to show up at niche conferences is a tough sell, but it becomes more newsworthy if a governor or a championship-game-winning coach are scheduled to drive up in their plug-in cars (or hydrogen fuel cell vehicle, natural gas vehicle, propane-powered truck, biodiesel bus, or hybrid vehicle) and say great things about the cause. Blogs and social media will also play a vital role in getting the word out.
Hold the speaker panels somewhere nearby that upgrade the professionalism and appeal of the event – such as at a nearby hotel where business conferences are popular these days.

Automakers are willing to send newly launched vehicles to car shows all over the world. They’re spending lots of money to reach eager consumers who love attending annual car shows and conferences. Green vehicles are unlikely to see anything of this size and scope, but the sales numbers are slowly inching up; and at some point, we’re going to see millions of them on the roads. To keep these vehicles running safely and efficiently, it will take a lot of people skilled and experienced in the field to be networking with and educating each other at significant industry conferences.

ARI’s Brian Matuszewski on what fleet managers are doing on the sustainability front

Does your organization have a sustainability officer on staff? The last time I counted, there were 19 of these filled management positions at US-based vehicle manufacturers; nine at automotive supplier companies; 16 at transportation companies (including fleet management, cargo transport, and delivery companies); and 12 in the energy sector (and that includes NPOs and research centers). Not all of them have the word “sustainability” in their job titles. They’re typically responsible for carrying out environmental and energy efficiency initiatives for their organizations; it tends to cover the end result of the entity (such as manufacturing clean, fuel efficient vehicles) and internal processes such as energy efficiency, recycling, and waste management. Sustainability has to do with what gets handed over to future generations.

Brian Matuszewski is one of the few sustainability officers, so far, in fleet management. He serves as manager – strategic consulting, sustainable strategies at ARI, one of the top fleet management companies based in the US. Matuszewski spoke to me last week about his duties at the company – and what it’s like to be among the growing movement of management professionals focused on sustainability issues. ARI’s clientele includes fleets in the corporate, government, and NPO sectors. The Cornell University graduate previously served at the US Environmental Protection Agency, as an analyst at P&L in Mexico City, and joined ARI earlier this year.

He’s primarily focused on supporting clients’ efforts to operate sustainable fleets with alternative fuel vehicles, fuel efficiency, and research and consulting services. Fleet managers are interested in implementing organizational targets to reduce carbon and greenhouse gas emissions, supporting their country’s energy independence, and maximizing operational efficiencies and cost reductions. Matuszewski starts out by assessing fleet data and working with clients on integrating what makes the most sense for them.

Along with green vehicle acquisition decisions, Matuszewski said that ARI’s Environmental Management System helps clients monitor energy efficiency, manage waste going to landfills, implement recycling programs, and track baseline data globally. These days, fleet managers wear a lot of hats – their duties go way beyond fleet management; ARI assists fleets in reducing emissions and increasing efficiency in different facets of fleet management duties. Some fleet managers are working closely with sustainability managers within their organizations. “Fleet managers are getting some pressure from sustainability officers – buy more hybrids, etc.,” Matuszewski said. “The fleet manager’s job is a lot more comprehensive.”

European fleets are dealing with taxation on emissions, and in the US, several government and large corporate fleets are implementing sustainability initiatives – generally designed to meet carbon emissions targets. Smog emissions are not a priority for fleets these days due to advanced technologies that are commonplace in new vehicles; reducing CO2 emissions is a top priority for a growing number of fleets. Diesel powertrains are being tracked, too, and a lot of that is being dealt with effectively by regulatory compliance including diesel being sold now at fueling stations that “combust fuel in a clean way,” Matuszewski said.

As for alternative fuel vehicles, that varies fleet by fleet – plug-in electric vehicles, hybrids, natural gas vehicles, propane autogas, and biodiesel are being looked at. “Alternative fuels are not the only way to go green,” he said. “They’re optimizing fuel efficiency, and gasoline and diesel engine vehicles can be pretty clean.” At the end of the day, fleet managers have to meet their organization’s goals when making fleet vehicle acquisitions. “Whether you believe in global warming or not, you need to make a strong business case,” Matuszewski said.

You may notice that quite a few Millennials (along with Baby Boomers and Gen Xers) can get pretty fascinated and passionate about sustainability – and might end up choosing to travel down that career path, as did Matuszewski. “At the university setting, it’s become a hot topic and not a fad,” he said. The terminology now includes cleantech, clean transportation, and sustainability. Whether it be students majoring in engineering, architecture, public policy, or business management, a lot more of them are adding it to their degrees and are becoming active in campus in organizations such as Net Impact. “A lot of people coming from college see it happening and feel good about it,” he said. It makes a lot of sense to them – in creating economic growth and innovation. It was a hot topic at Cornell University while he attended, and he’s been seeing a lot of topical conferences taking place across the country.

Matuszewski also emphasized that automakers are not getting enough credit for embracing sustainability. For example, Ford’s Rouge plant now utilizes a zero emissions building, and soybeans are being used inside Ford vehicle interiors, he said. Fleets are going in that direction, too, and are making a solid contribution to sustainability through the volume of vehicles they’re purchasing, setting up onsite alternative fueling, and are part of building the infrastructure. ARI works with clients to extract and analyze data and “customize sustainable solutions,” he said.

Big Picture: Nissan joins Tesla in selling ZEV credits, Volvo Trucks upping its green credentials, Toyota improving Prius performance

Here’s my take on top news stories of the week:

One of the gains made by selling plug-in electric vehicles in California is gaining zero emission vehicle (ZEV) credits and selling them to your competitors. Nissan Motor Co. now joins Tesla Motors in selling green-car credits. California requires large automakers to sell electric or other ZEVs in proportion to their market share in the state. Nissan has sold enough Leafs that it can sell its excess carbon credits to other automakers. The Tesla Model S can generate up to seven ZEV credits because of its range of as much as 300 miles per charge and the option of swapping its battery pack with a charged one (the company will open its first battery swap facility by year’s end). The Leaf earns three credits through the state program.
Volvo Trucks is upping its green credentials even more – Through its Climate-Smart City Distribution project, emissions from 400 distribution trucks were cut between 30% and 80% over three years. Volvo worked with several partners to improve the efficiency of distribution operations in Gothenburg, Sweden. Conventional diesel distribution trucks were replaced with vehicles using renewable fuels – biodiesel, biogas, and dimethyl ether (DME); hybrid technology; and methane-diesel fuel. Volvo and Mack Trucks are committed to bringing DME powered trucks to roads soon; earlier this year, Volvo unveiled plug-in hybrid buses as part of a field test.
Toyota is optimistic that its next generation Prius will get even better fuel economy and cost even less. Improvements will come through using lighter materials and significant advances in battery, electric motor, and gas engine technologies, the company said. Toyota thinks its miles per gallon rating on the hatchback Prius will gain from 50 mpg to near 55. It’s likely to come out in 2015. It next generation batteries will have higher energy density. For the Prius and other Toyota models, the automakers is working on a diverse set of batteries – lithium ion, nickel metal hydride, solid state, lithium air, and magnesium.
Electric Drive Transportation Association (EDTA) and its GoElectricDrive Foundation have a partnership with Green Sports Alliance dedicated to improve the environmental performance of sports teams and facilities. Since being founded in March 2011 by six professional teams and five venues, Green Sports Alliance now has over 170 professional and collegiate teams from 15 different sports leagues. Members include Anaheim Ducks, Baltimore Ravens, Boston Red Sox, LA Dodgers, Miami Marlins, New York Jets, and University of Texas Longhorns. EDTA and Green Sports Alliance will show organizations the benefits of integrating electric drive in their fleets, and giving fans a place to charge up their EVs while watching a ballgame, said Brian Wynne, president of EDTA.
The 2013 AltCar Fleet Conference and Expo will be put on by the City of Santa Monica on Sept. 20-21. It tends to offer the best green vehicle display and ride and drive with just about e everything you can think of available to check out. As for speakers at the Friday fleet conference, these will include Terry Tamminen, former secretary of the California Environmental Protection Agency; David Friedman, deputy administrator of the National Highway Transportation Safety Administration; JR DeShazo, director of the Luskin Center at UCLA; Randall Winston, special assistant to the executive secretary, office of Governor Edmund G. Brown, Jr.; Jon Coleman, fleet sustainability & technology manager for Ford Motor Co.; and Richard Battersby, Public Sector Fleet Manager of the Year, from East Bay Clean Cities. Vehicle debuts will include Southern California Gas Company’s west coast introduction of four new prototype consumer vehicles built to run on compressed natural gas and capable of using gasoline as backup.
CleanFUEL USA has just brought in Blair Poulsen as its director of sales; Poulsen brings more than 23 years of propane industry experience to the company. He was most recently regional sales and marketing director for Heritage Propane and AmeriGas Propane, and currently serves on the Nevada Board of Regulation of Liquefied Petroleum Gas. Poulsen will lead a team serving clients in propane refueling infrastructure and OEM vehicle technology, including Thomas Built Bus, Collins Bus, General Motors Corp., and Freightliner Custom Chassis Corp.
You think regenerative braking is pretty cool? How about a regenerative suspension? German automotive parts maker ZF says it’s bringing the first technology of its kind to the world. ZF Friedrichshafen AG has teamed up with Levant Power Corp. to product a system that works like regen braking, recapturing energy when the suspension gets put in motion. It would take away the large amount of energy needed by suspension systems and increase fuel economy.
Is your community burdened by dirty coal? How about converting over to cleaner natural gas? Navigant Research is hosting a webinar on Sept. 10 that will explore that topic. Utilities are shutting down a lot of aging coal-powered plants through 2020. There are costs and complexities involved in switching over to natural gas that will be discussed by panelists, including examples of plants that have gone through these conversions in recent years.
States like California are digging into the best financial models for reducing traffic congestion and repairing worn out roads. Vehicle Miles Traveled (VMT) taxes, gasoline tax increases, road tolls, increasing vehicle licensing and registration fees, transportation-focused sales tax, and infrastructure bonds – and all they pluses and minuses – are explored in an article that was just published in Westways. It’s a very tough issue that states are going through.
Reincarnated electric carmaker Detroit Electric will still be making its all-electric SP:01, only it won’t be happening in Detroit. Its Lotus-based sports car will be made in the Netherlands, and production will start in the fourth quarter of this year. The company was going to bring jobs to Detroit initially – 2,500 cars per years with a workforce of 100. Plans started being delayed in June, as the company said it couldn’t find the right manufacturing location in Wayne County, Mich., where Detroit is located.

WEX whitepaper educates fleets on alternative fuel vehicles as demand increases

While alternative fuel vehicles started noticeably showing up in fleets in the early 1990s, they haven’ t become significant in numbers or budgets until recently. Now fleets are acquiring all types of green vehicles, and that includes government fleets, corporate, service and delivery, utility, trucking, car rental, and car sharing companies. They’re also continuing to buy the most fuel efficient vehicles on the market, but alternative fuels have more importance now than 20 years ago when Clean Cities started up.

WEX Inc., formerly known as Wright Express, just sponsored a new whitepaper on the topic – “Going Green, Saving Green: A Fleet Manager’s Guide to Alternative Fuels Best Practices.” WEX is the leader in fleet fueling payment cards systems, and is now bringing that over to electric vehicle charging and natural gas refueling stations. It’s interesting to see a company like WEX release this type of whitepaper – the importance of alternative fuel vehicles has gained enough presence to inspire a whitepaper. It’s reminiscent of NADA Used Car Guide recently releasing a special report on resale value trends for the Nissan Leaf and Chevy Volt – after having ignored the issue for quite a long time.

The WEX paper provides fleets with best practices for cost-effective implementation of alternative fuels in a fleet. While media primarily focus on consumer behavior with green vehicles, this paper asserts that fleets are much better positioned to use alternative fuels – their choices are premeditated, unlike consumers’. They’re usually traveling along predetermined routes and can stop for recharging and refueling at given points. That makes it much more viable to plan strategically and contain costs. Here are five recommended tips on making it work….

#1: Know the station coverage in your area.
US government agencies have made significant infrastructure investments, bringing up the number to 11,800 stations – of which about 6,000 are charging stations. About 82% of alternative fueling sites are accessible to the public. The Dept. of Energy offers a comprehensive directory of charging/fueling sites around the country.

#2: Compare historical fuel costs.
Starting in 2008, the commonly used fleet industry terminology for spiking gasoline prices was “fuel price volatility.” It was quite volatile that year, which shot up fuel costs for fleets and hurt vehicle financing and remarketing programs. Switching over to alternative fuels can bring price stability to fleets, though they do have to build in the conversion costs and lifecycle costs of choosing hybrids and EVs over fuel efficient gasoline and diesel engine vehicles.

#3. Think in terms of total ownership cost.
While green vehicles tend to sell for a premium price over typical internal combustion engine vehicles, total cost of ownership can be very appealing – especially for fleets putting a lot of mileage on their vehicles. Fleets tend to study four cost categories: capital costs; maintenance costs; end of life recycling and replacement costs; and indirect costs.

#4: Find and use tax credits wherever you can.
It goes without saying that incentives like federal tax credits and state rebates are very attractive for fleets – and there are a lot of these offerings to choose from now. Calstart encourages fleets to stay informed on state voucher programs to reduce ownership costs. The DOE offers a useful site to find out about the latest federal and state programs. Keep in mind that you need to have good fleet reporting mechanisms in place to cash into these incentives.

#5. Think holistically about fleet fuel costs.
This is where experience will come to play. It depends very much on the regional location of the fleet – in some areas like California, the infrastructure is more solidly in place for natural gas fueling and EV recharging than in most other states. A fleet might have very limited routes with plenty of downtime, making EVs with Level 2 chargers a good buy. Other fleets may choose hybrids and fuel efficient cars and crossovers, depending on their mileage and coverage area and the available infrastructure in that area.

Stay tuned for more specialized reports on green vehicles and infrastructure to be released. These reports are likely to focus on the US and other key economic markets – China, India, Japan, Korea, Brazil, European Union, and Canada being the most important. Eventually, the economic impact of green vehicles and fueling will grab more attention as the numbers grow and the industry adds more layers to operations.

Green Automotive bringing electric shuttles to US market as part of broad strategy

We’ve certainly seen quite a few startup OEMs and battery makers go belly up in the electric vehicle space in the past three years. To survive and thrive in this newfound industry, building reliable, high performance product, marketing and “messaging” in a way that resonates with the core audience, and having solid financials, are key ingredients.

Green Automotive Company (GAC) is the holding company for three units – Liberty Electric Cars and GoinGreen in the UK and Newport Coachworks in the US. Ian Hobday, director of GAC, says the holding company has a business strategy of going “back to basics.” A steady cash flow is needed for EV makers, and each of GAC’s business units have revenue streams beyond EVs. “You can’t have 100 percent of your focus on EVs,” he said. “The volume’s not strong enough yet.”

His initial company, Liberty Electric Cars, was acquired last year by GAC and brings about eight years of experience in the European market to the table. It’s been delivering electric vehicles to customers in Europe for several years, and has other diverse offerings on the market including all Electric Range Rover conversions.

In November, Newport Coachworks will start building electric shuttle buses at its production facility in Riverside, Calif. The Newport Coachworks team has been in the bus market for years and was recently acquired by GAC. While most of the buses in chauffeured transportation tend to be converted from Ford E450 or F550 platforms, Newport Coachworks will be building its own electric buses from the ground up. Newport is tapping into Liberty’s experience delivering electric vehicles to parcel delivery and postal fleets, and to plumbers, gardeners, decorators, and other business customers. The shuttle bus is powered by an 80 kilowatt battery pack that goes about 100 miles on a charge; the A/C unit doesn’t need extra power during the trips as it has its own source, Hobday said.

What GAC is finding out is that customers appreciate the cost per mile differential with electrics buses – 14.5 cents per mile for typical shuttle buses and 2.5 cents per mile for electric shuttles. Drivers also love the fact that the electric bus has no vibration or noise – they feel more relaxed while doing their jobs, Hobday said.

A number of clients have been using GAC’s drivetrains in their own vehicles, including OEMs in Europe. They’ve also been accessing the Liberty E-Care service offering, which provides service and support for EVs already on the road, from trained and skilled technicians equipped with customized diagnostic tools.

GAC found California to be a smart place to launch its electric shuttle buses in the US market. It’s the largest market so far in the US for electric vehicles, and there’s incentives and support for the technology within the state. The company is also focused on getting as close to 100% as possible in using American parts and labor in its vehicles. GAC has been working with manufacturers of lithium ion battery cell makers such as Dow Kokam on its electric Range Rovers. GAC wants access to inherently safe, high energy density cells from US suppliers. “Why go to China? It’s much cheaper, but the failure rate is higher,” Hobday said.

GoinGreen is GAC’s retailer network in the UK. It offers a wide gamut of EV products – city buses, bikes, scooters, and city cars. It will be coming to California then launching a global rollout. As GAC acquired Liberty and GoinGreen, the idea was to consolidate operations, reach economies of scale, and to cover all the basics – from manufacturing electric powertrains and conversions, servicing the vehicles, and expanding retail store fronts. GAC serves the internal combustion engine sector, as well. As GAC and other thriving players in the EV market (i.e., Tesla Motors) know very well, good solid profits are required for EV makers to survive and thrive.

Volvo may have quietly changed history unveiling its DME-powered trucks

This could be a pivotal moment in alternative fuel vehicle history, up there with the Prius coming to America in 2000, and the Leaf and Volt being launched in late 2010.

Volvo Trucks is commercializing dimethyl ether (DME)-powered heavy duty trucks in North America, and here are a few things you should know about it:

It has the performance qualities and energy efficiency of diesel but can lower CO2 emissions by 95%. Let me say that again – 95%! Natural gas reduces greenhouse gas/C02 emissions 20% to 25% compared to diesel.
It produces no soot, which is a commonly referenced downside of diesel (including clean diesel). Because it produces no soot, no diesel particulate filter is necessary.
The fuel comes from a variety of domestic, sustainable sources such as biogas from food and animal waste, wasterwater treatment facilities, and landfills.
The fuel can also be tapped and converted from North America’s vast supply of natural gas. This would address the distribution, storage, and fueling challenges faced by natural gas vehicles – dealing with what NGVs face and also contributing to solutions; along with benefiting from a domestic fuel source that doesn’t have to be imported from a hostile overseas market.
The fuel is stored in lighter, simpler fuel tanks and lower psi systems than what’s needed for LNG and CNG systems. It’s similar to propane-powered vehicles in that regard.
DME has been on the market for years as an aerosol propellant in cosmetics and other household products. It’s a clean, non-toxic fuel.

It’s part of Volvo’s “Blue Power” alternative fuel strategy, and has been through ongoing US customer field testing of trucks powered by DME. It was demonstrated to an audience after being announced recently in Sacramento at the California state capitol building. The DME technology will be available in a Volvo D13 engine, the top-selling heavy-duty engine in the world. While not specified in its announcement, it appears that this alternative fuel will operate directly in Volvo Trucks’ engines with only minor modifications for fuel tanks.

Blue Power was started in 2007 in Brussels when Volvo showcased seven commercial vehicles powered by seven different CO2-neutral fuels, one of which was DME. More recently, Oberon Fuels has developed small-scale production units that can cost-effectively convert biogas and natural gas into DME. The first of Oberon’s innovative production units will go online this month in California’s Imperial Valley region and is being tested with Safeway. Oberon’s small-scale production units enable the development of regional fuel markets that service local customers engaged in regional haul, initially bypassing the need for a national infrastructure, the company said on its website.

Volvo Trucks is still committed to CNG and LNG offerings as well – its lineup already includes CNG-powered Volvo VNM and VNL model daycabs. The company is also producing its own proprietary LNG engine in VNL daycabs and sleepers next year.

Will DME makes its way to light-duty passenger vehicles? Very good question. AB Volvo split between cars and heavy trucks in 1999 when Ford bought the car division. Chinese company Geely Automobile bought Volvo Cars from Ford in 2010. Perhaps Volvo Trucks and Volvo/Geely could work together on it? I would imagine it’s possible that the alternative fuel and its storage tank could be made ready to go into gasoline-burning engines, though that may take a while to be workable. The large fuel tank could be prohibitive for passenger cars and more applicable to trucks – which is the case for propane as well.