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

Calise_Mike_Schneider ElectricFor 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: Tesla Motors dealing with battery fire, September sales figures

Tesla Model S fireHave you seen the YouTube video that went viral a few days ago – where passengers driving down a street in Kent, Wash., view a Tesla Model S on fire? The car struck metal debris on Oct .1 in the town near Seattle – said to be a “curved section” that fell off a semi-trailer. First responders said that the fire occurred in the electric vehicle’s lithium-ion battery. “The geometry of the object caused a powerful lever action as it went under the car, punching upward and impaling the Model S with a peak force on the order of 25 tons,” Tesla CEO Elon Musk wrote in a statement. “Had a conventional gasoline car encountered the same object on the highway, the result could have been far worse.” The driver was safe and only had good things to say about the car. Tesla’s booming stock price dropped 10% over two days but looks like it could be coming back. It will most likely turn out to be similar to what Chevrolet went through with the NHTSA report on the Volt lithium battery catching fire in a test; or to Nissan going through the wringer last year over the Leaf’s battery life receding in extreme heat conditions in Arizona. The Volt and Leaf are doing just fine, and the Model S will probably come through in sales and reputation if handled the right way by Tesla Motors.

In other Tesla news, the automaker is moving forward to direct sales in Virginia. The Virginia Department of Motor Vehicles and the Virginia Automobile Dealers Association reached an agreement late last week to allow the automaker to apply for a single dealership license. Tesla withdrew a lawsuit and now needs to get approval from the Virginia Motor Vehicle Dealer Board, the state regulatory agency that oversees dealers in the state, before it can begin selling vehicles in Virginia. Tesla Motors has taken another step toward expanding its fast charger options for Model S drivers. For $1,000, you’ll soon be able to get a CHAdeMO fast-charger adapter. While the 50 kilowatt CHAdeMO stations aren’t nearly as fast of the 120 kW Tesla Superchargers, there are a lot more of them out there on the roads – primarily in the Pacific Northwest region.

Correction: California funding of 100 hydrogen fueling stations
As reported by a Green Auto Market reader close to the story…. The coverage of California’s governor approving bills last week incorrectly reported funding for 100 hydrogen fueling stations in the state. It wasn’t $20 million in one lump sum – it needs to be described as “either $20 million per year or a potential total of $220 million during the life of the extended program (until 2023).” My reporting assumed that hydrogen stations would cost $200,000 each but it’s actually costing a bit more than that amount. So, if you catch incorrect reporting, please let me know. If you completely disagree with what I wrote, please let me know. It could inspire and fuel another commentary from me.

September sales figures didn’t break records, but the metal was still moving
Electric Drive Transportation Association just released electric vehicle sales numbers for September 2013. About 8,127 plug-in vehicles were sold last month – 4,477 plug-in hybrids and 3,650 battery electric vehicles. The numbers weren’t as high as August’s record sales, but they do show a 40% jump over September 2012. Cumulative 2013 sales for plug-ins were 117% higher than they were by this time in 2012. There were 33,576 hybrids sold last month, which correlates with the overall downward sales trend in new vehicle sales in the US market. Long term, it looked better – total sales for hybrids in 2013 were 21% higher than they were in the first nine months of 2012.

New book follows the money trail shaping renewable energy
“Do you get the feeling that the energy industry and the Congress that it owns are deliberately lying to you? If so, you are 100% correct,” according to an announcement that 2GreenEnergy.com Editor Craig Shields just had his third book published, Renewable Energy: Following the Money. The book features another set of interviews; the effects that economics and financial power have on the course of the energy industry are explored by high-ranking officers in the US military, lobbyists, scientists, economists, environmentalists, journalists, and heads of NGOs. I applaud Shields’ hard work and wide ranging perspectives on renewable energy and clean transportation. I admire how much he’s kept his word on staying in the trenches on where all of this is going as a business – whether that be through attending key conferences or interviewing experts of all genres for his books and blog. This new book digs into what I would describe as what “Deep Throat” ex-FBI official W. Mark Felt kept telling reporter Bob Woodward about the Watergate scandal: “Follow the money trail.”

CARB streamlines propane and NGV upfits, but Peter Ward calls for it to go further
The Cal­i­for­nia Air Resources Board (CARB) has stream­lined the process for propane auto­gas and nat­ural gas vehi­cle upfits through approv­ing changes to its rules. This brings the process closer to require­ments of the US Envi­ron­men­tal Pro­tec­tion Agency. Peter Ward of Alter­na­tive Fuels Advo­cates would like to see the process go fur­ther, where adjust­ments to the require­ments could be made with­out hav­ing to go to the Board each time. It’s the first substantial revision to the CARB rules in 18 years. Ward would like to see continued cooperation and mutual interest continued between CARB and the industry. “Keep the regulations nimble,” he said.

Highlights from Plug-In 2013 in San Diego

  • Debate continued by panelists on how public charging should be funded. Some say it should be essentially free to the public – paid for by retailers wanting to offer consumers incentives for showing up and staying a while. Some charger makers and others argue that most of the charging is happening at home and the EV drivers should just have to swipe their credit card to charge somewhere else. However, one-time processing fees could be a problem for acceptance of these systems by consumers. Then there’s the problem of too many people charging during peak hours when utilities are limited in how much energy should be flowing to charging stations. It’s likely there are not enough EVs out there yet for it to be a problem, but the worry continues.
  • Via Motors has a contract to build and deliver $20 million worth of plug-in hybrid pickups and vans to over 50 participating fleets. The fleets will also be sending real-time data to the US Department of Energy to study for improvements in fuel economy and emissions.
  • ABB launched the Terra 53 for North America. This 50 kW DC fast charging station meets both SAE Combo and CHAdeMO standards for battery electric vehicles, all in one station.
  • A coalition of US and German automakers unveiled a public combo charger at the Fashion Valley Mall in San Diego—in an eVgo Freedom Station. It uses the CCS plug and combines a J-1772 Level 2, 240-volt charge point with direct current (DC) fast charging.
  • Eaton released its Dual AC Level 2 charging stations for simultaneous charging of two EVS. The stations can charge electric vehicle batteries up to three times faster than traditional charging systems to offer a cost-effective solution.

And in other news during a busy week…..

  • Clean Energy Fuels released  its “Redeem” renewable natural gas fuel. The company says it is the first one to commercially distribute a renewable natural gas vehicle fuel made from waste streams such as landfills, large dairies and sewage plants directly to fleets around the country and at 35 public Clean Energy stations throughout California. Clean Energy says it’s 90% cleaner than diesel and comes from biogenic methane, or biogas – methane generated by decomposition of organic waste. The target is to produce and distribute 15 million gallons of Redeem in its first year.
  • General Electric Co, Whirlpool Corp, Eaton Corp and others are developing more affordable natural gas vehicle home refueling systems. For about a tenth of the price of current models, plus installation, they aim to sell the new units to the millions of homes across America that are already hooked up to natural gas pipelines. Energy providers in Georgia, California and Utah are working on distributing new refueling units in the next two years. Honda has also expressed interest in the new technology.
  • UK-based hydrogen fueling company ITM Power has a 4.45 million (pounds) project that will integrate its hydrogen energy storage and vehicle refueling system on the Island of Wight. It’s called EcoIsland Hydrogen Vehicle Refueller, which is supported by the UK’s innovation agency, the Technology Strategy Board.
  • General Motors is expanding its collaboration with the U.S. Army’s Tank Automotive Research, Development and Engineering Center (TARDEC) to develop hydrogen fuel-cell technology. It ties in with GM’s new fuel-cell development facility in Pontiac, Mich., which is about 20 miles from TARDEC’s new fuel-cell research lab in Warren, Mich. The two entities will focus on testing the durability and performance of fuel-cell materials. In related news, Daimler and GM will be investing in two other fuel cell projects aimed at advancing the vehicle technologies and building out the fueling infrastructure. Daimler is putting about $500 million into a network of hydrogen stations in Germany over the next 10 years.
  • The Toyota RAV4 electric version took the top ranking away from last year’s winner, the 2013 Lexus GS 450h in the Automobile Club of Southern California’s 2013 Green Car Guide. Results come from the organization’s Automotive Research Center, which has been a leading vehicular emissions test lab since the late 1960s. Testers look at how hybrid, alternative fuel, electric, fuel efficient, and extremely low emitting gasoline-powered vehicles on the market are performing following a number of patterns vehicles are typically experiencing.
  • Kia will release the 2015 Soul EV, the first electric car from a Korean automaker to be sold in the US beyond concept cars displayed at auto shows.
  • The US Environmental Protection Agency wants to make right with consumers to avoid future fuel economy rating meltdowns like the ones we’ve seen lately. EPA will be giving more information about its audits and data submitted by automakers. Results from 20 recent fuel-economy audits will be released soon to the public to start the changeover.

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

AltCar ExpoI 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….

  1. 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?
  2. 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.
  3. 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.
  4. 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.
  5. 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.
  6. 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.
  7. 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.
  8. 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.
  9. 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.
  10. 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.

Solid used vehicle segment to reach: green cars

EPA used vehicle labelLooking for a profitable used vehicle market segment to reach? How about green cars – hybrids, electric vehicles, and fuel efficient vehicles? Franchised and independent dealers are seeing a lot of used inventory on the market today, and some of it, especially trucks, is seeing strong pricing. What we’re seeing though, such as in Manheim’s latest report, is that dealers are doing well by selling lots of used vehicle the right way. Prices might be down on small, fuel efficient cars and hybrids, but all things considered, they’re not bad – and selling a lot of them can be profitable.

There are two interesting announcements from last week that speak to the issue – one is that Nissan has added its Leaf electric car to its certified pre-owned vehicle list; and the other is an online tool for used cars rating fuel efficiency and emissions from the US Dept. of Energy (DOE) and Environmental Protection Agency (EPA).

Certified Leafs will get an extended warranty of seven years or 100,000 miles on both the electric system and powertrain. To be considered, the used Leaf must be less than five years old, have fewer than 60,000 miles, and have at least nine of 12 bars of battery capacity remaining on the gauge. It also needs to have a clean Carfax history report, and pass an inspection where 167 separate items are checked. Two warranties on the battery pack will remain in place – eight years or 100,000 miles, and five years or 60,000 miles, with a few performance indicators being checked on each warranty. The new certified program adds to the protections.

For the DOE and EPA offering, dealers and consumers can now place a used car label based on fuel economy and emissions performance. It’s a free online tool allowing for creation of a consumer-friendly label that lists gas mileage and CO2 emissions levels of used vehicles sold in the US since 1984.

Other indicators that used green cars is a viable market segment to reach include eBay’s Green Driving (which they say gets a lot of traffic); NADA Used Car Guide’s Plug-in Electric Vehicles: Market Analysis and Used Price Forecast; and ALG’s Alternative Powertrain Perceived Quality Study.

Workplace charging is taking off, but what does it take to succeed?

For car shoppers to take plug-in electric vehicles seriously, Level 2 and fast chargers should be installed at four locations:

  1. Homes
  2. Workplaces
  3. Starbucks
  4. Trader Joes

In all seriousness, analysts say that the workplace is the leading charging location for now. According to statistics from Ecotality, workplace chargers are used three times as much as typical public chargers. A recent survey by the charger company found workplace charging grew by leaps and bounds in the first half of the year – an increase of about 61% in the first six months of 2013.

The sales figures play into the interest and use at the workplace. There were more than 8,600 plug-in hybrid/extended range and battery electric vehicles sold in the US in June 2013 versus about 3,300 in June 2012.

workplace chargingAs of late July, there were 7,849 public and private non-residential charging stations in the US; 1,579 were located in California, according to the US Dept. of Energy. Workplace charging plays a significant role in the non-residential charging station networks in California, where Google and other employers are taking them very seriously. Google sees them as a key perk for keeping skilled technologists on their payroll and not losing them to a nearby tech company in Silicon Valley.

In its guide for employers interested in setting up workplace charging stations, the Minnesota Pollution Control Agency presented eight steps to take for a successful workplace charging infrastructure….

1. Survey employees on their interest in a workplace-charging program.
2. Discuss findings and EV charging needs amongst employees and company’s decision-makers.
3. Examine different types of EV charging equipment options and compare the benefits and costs (Level 1, Level 2, and fast charging).
4. Determine who will own the EV charging equipment – employer, parking lot owner, or third party.
5. Look for any existing incentives that might be available for workplace EV charging.
6. Create a company policy on workplace charging.
7. Contract with a certified electrician to determine ideal locations, comply with local permitting, and install the equipment.
8. Install signage and alert employees.