NGV Global

The California Energy Commission has approved 11 awards for projects that will demonstrate the possibilities for cutting-edge natural gas-powered, hybrid, and electric trucks and buses to reduce petroleum use, cut pollution and provide jobs. The awards leverage almost $20 million in state funding with $9.3 million in federal stimulus money and $39 million in private funds.

“California’s investment in alternative fuels and technology will leverage nearly two-and-a-half times as much money for an important part of our transportation sector,” said Energy Commissioner Anthony Eggert. “While electric and hybrid cars get much of the media attention, advances in large, heavy-duty trucks and buses can replace millions of gallons of petroleum each year.”

Listed below are the projects that incorporate natural gas elements:

* By far the largest award – a combined total of more than $35.6 million – will go to the San Bernardino Associated Governments (SANBAG), a council of 24 city governments and San Bernardino County which serves as the area’s transportation planning agency. It is partnering with Ryder Truck Transport Services to purchase and deploy up to 262 heavy-duty natural gas trucks and to construct two liquefied natural gas (LNG) refueling stations. The Energy Commission, using funds from its Alternative and Renewable Fuel and Vehicle Transportation program, will provide $9,308,000 to pay the difference between the natural gas-powered trucks and the typical vehicle that would operate on petroleum. The US Department of Energy will also provide $9,308,000 in federal stimulus funding from the America Recovery and Reinvestment Act of 2009. An additional match of $17,062,737 will be provided by the project’s participants, who include, in addition to SANBAG and Ryder Trucks, the Southern California Clean Cities program, and Gladstein, Neandross & Associates, an environmental consulting firm.

The LNG-powered trucks will displace over 2 million gallons of petroleum-based diesel fuel per year, reducing greenhouse gas emissions by 20 to 30 percent and cutting area emissions by more than 7,600 tons of CO2 per year. The project will provide work for 82 construction workers and create 346 California maintenance and service support jobs.

* The Energy Commission will provide $2,100,000 in funds from its Alternative and Renewable Fuel and Vehicle Transportation program to develop a hybrid, heavy-duty commercial vehicle that operates on both electricity and natural gas. Daimler Trucks, the largest commercial heavy-duty truck manufacturer in North America, will install the hybrid drive system on a Freightliner M2 heavy-duty commercial frame. The Freightliner M2 platform can be adapted for local and long-distance hauling, as well as refuse collection, utility operations and even school buses. Daimler projects that every 1,000 trucks placed into service will create 130 maintenance and support jobs and will reduce emissions by 43,860 tons of CO2 as they displace 8 million gallons of diesel fuel. Daimler forecasts that 20,000 units will be operating in California by 2020.

In addition to the Energy Commission’s funding, the project participants will supply match funding of $3,153,452. Technical support partners in the project include the South Coast Air Quality Management District, BAE Systems for the axle hybrid electric drive system and California Cartage Company for demonstration of the trucks in Southern California.

* For heavy-duty class 8 trucks, the Kenworth Truck Company will demonstrate a hybrid electric drive system that uses a natural-gas powered micro-turbine. The Energy Commission will provide $1,458,735 in Alternative and Renewable Fuel and Vehicle Technology funds, to be matched by $1,603,325 from the project’s participants. FedEx will use the natural-gas powered hybrid in their on-going operations starting in 2012. The project is expected to reduce greenhouse gas emissions by 46 tons and diesel fuel by 13,800 gallons per truck per year. At full commercialization, this project can create over 6,000 high tech and green tech jobs in California by 2025 to 2030. Other participants include the Southern California Gas Company; Clean Energy, the fuel supplier; Capstone Turbine Corporation; Brayton Energy LLC; Arvin Meritor, provider of the hybrid drive system; and CALSTART, program management for the project.

* The Gas Technology Institute (GTI) and Cummins Westport will demonstrate a unique, low-emission, high efficiency natural-gas engine designed for regional hauling and heavy vocational truck applications. Swift Transportation will demonstrate one engine in a class 8 highway tractor for 12 months. The Energy Commission will provide $1,777,364 for the project, while additional match funding of $3,600,000 will be provided by the project participants. The new engine should improve fuel economy up to 10 percent from current spark-ignited natural-gas powered engines used in Class 8 trucks. The project will reduce greenhouse gas emissions by 20 to 25 percent and fuel use by at least 20 percent or the equivalent of 10,770 diesel gallons per truck annually.

* Electric Vehicles International, LLC will create a medium-duty electric vehicle that uses an LNG-powered motor and generator to extend its range. The powertrain will be integrated into 10 medium-duty pickup trucks owned by PG&E. The Energy Commission will provide $1,153,053 for the project. Match funding of $2,839,777 will be provided by partners EVI; PG&E; Light Engineering, supplier of the motor and generator; Valence Technology,the battery provider; and Altec Industries, a provider of engineering support. Compared to one of today’s diesel-powered medium-duty vehicles, each range-extended electric vehicle will use 3,333 gallons less fuel each year, saving $10,000 in fuel costs and producing 74,000 fewer pounds of CO2 annually. This project will create 20 new green jobs in one of the nation’s hardest hit regions, Stockton, California, which has an unemployment rate of 16.9 percent, and many more jobs will be available when vehicle production increases.

* In the central San Joaquin Valley, the City of Lemoore and the Lemoore School District will partner to develop a compressed natural gas (CNG) fueling station that will be open to the public 24 hours a day and serve both the City and School District’s vehicles. Both fast filling and slow filling options will be available. The Energy Commission will provide $200,000 for the project, while the two partners will supply $465,405. Concerned with severe localized health impact issues from existing diesel school buses, the San Joaquin Valley Air Pollution Control District will provide technical assistance. Lemoore plans to replace its existing fleet with natural gas vehicles over the next five years, and wants to produce much of its needed natural gas from the local wastewater treatment plant. The new school buses will reduce greenhouse gas emissions by 21 percent over diesel vehicles, cutting emissions by approximately 32 tons between 2012 and 2020. Lemoore’s fleet is expected to displace over 444,680 gallons of petroleum-based diesel fuel between 2012 and 2020. The project will provide approximately 12 short-term construction jobs and two long-term jobs at the station.

* The Energy Commission will provide $500,000 to the Sacramento Regional Transit District to install three CNG dispensers at its bus maintenance facility. The fueling station will also be available to Twin Rivers Unified School District and neighboring transit agencies. Partners will provide $4,200,000 in matching funds. The new fueling station will support the existing natural gas bus fleet and its expansion over the next few years. The CNG-powered buses supported by the station will displace over 2.6 million gallons of petroleum-based diesel fuel each year, in the process producing 21 percent fewer emissions than similar diesel vehicles and reducing emissions by more than 7,600 tons of CO2 per year.

Assembly Bill 118 (Núñez, Chapter 750, Statutes of 2007) created the California Energy Commission’s Alternative and Renewable Fuel and Vehicle Technology Program. The statute, subsequently amended by Assembly Bill 109 (Núñez, Chapter 313, Statutes of 2008), authorizes the Energy Commission to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change policies.

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