Author Archives: Jason Mathers

Saving Billions While Cutting Climate Pollution

More fuel efficient, lower emission heavy trucks are good for business, good for consumers, and good for combating climate change. By deploying existing and emerging technologies to improve truck efficiency, the U.S. can save billions in fuel expenses while cutting harmful climate pollutions by millions of tons.

EDF is calling on the Obama Administration to set new fuel efficiency and greenhouse gas standards for heavy trucks that cut fuel consumption by 40 percent compared to 2010 levels. These standards would apply for freight trucks and heavy-duty work trucks, such as box delivery trucks, bucket trucks, beverage delivery trucks and refuse trucks.

Analysis by leading environmental and energy efficiency advocates, including EDF, demonstrates that bold heavy truck standards are technically feasible and will be effective in cutting oil consumption and climate pollution.

Strong standards will be good for American business and consumers too.

EDF and Ceres examined how strong standards would affect the cost of moving freight by trucks. The results are unequivocal — strong standards will save companies money.

For example, an owner of a new tractor-trailer unit stands to save between $21,000  and $36,000 during the first year the truck is in service.

By 2030, the combination of both phases of standards will cut fuel use by 1.4 million barrels per day and reduce carbon pollution by 270 million metric tons, compared to the fuel use and emissions that would occur without fuel efficiency improvements.

Companies stand to save nearly $8 billion dollars in 2030 too, as the cost-per-mile to move freight will decrease by $0.07 a mile as a result of the second phase rules alone.

By 2040, these savings could grow to $25 billion annually, as the net effect of the second phase of the standard alone could be to reduce the per-mile cost of moving freight by 21 cents.

Our finding of significant financial benefits of strong fuel efficiency and GHG standards is consistent in magnitude with previous analysis. A recent report by the Consumer Federation of America looked at similar Phase 2 standards and found net savings of $250 to consumers, rising to $400 per household in 2035 as fuel prices and transportation services increase.

With such savings at hand, a natural question is why do we need new standards in the first place? We need new standards because well-designed federal standards foster the innovation necessary to bring more efficient and lower emitting trucks to market.

Strong standards break down barriers that keep technologies from moving from the test track to the assembly line.

Manufacturers need to be confident in market demand in order to develop and launch efficiency improvements. Strong standards give them the certainty they need.

Fleets are often weary of investing in advanced technologies; as such capital investments could put them at a disadvantage if fuel prices drop suddenly, like they did in 2008. For-hire trucking fleets also directly pass on a large percentage of their fuel bill through fuel surcharges to their customers, thus distorting the economic incentive to invest in efficiency.

Manufacturers and fleets can benefit significantly from strong standards. As the EDF analysis demonstrates, manufacturers will have a market for more valuable equipment; while fleets will achieve significant overall savings.

In fact, this is just the type of impact we are seeing from the first phase of heavy trucks standards, which went into effect at the start of this year. Fleets and Manufacturers are praising the rule and new, cost-effect offerings have come onto the market.

Moving forward on strong heavy-truck efficiency and emissions standards is a step that our country needs to take.

Posted in Cars and Pollution, News| Comments closed

Trucks delivering six miles per gallon won't work in the long haul

Here’s something to think about next time you are stuck in traffic next to an 18-wheeler: The average tractor-trailer can travel only six miles per gallon of diesel.

These heavy trucks travel a lot too; averaging more than 120,000 miles a year or 20 roundtrip drives between Boston and San Francisco. Freight trucks are on the road for one primary purpose: to get goods to all of us. In fact 70% of U.S. freight tonnage is moved by tractor-trailer trucks. Over the coming years, demand for freight services is expected to grow even more. And this is driving up fuel consumption and greenhouse gas emissions.

A call for strong fuel efficiency standards

But it is possible and affordable for tractor-trailer trucks to get nearly 11mpg by 2025. The Obama Administration can set new fuel efficiency and greenhouse gas standards for heavy trucks that cut fuel consumption by 40% compared to 2010 levels. These standards would also apply for heavy-duty work trucks, such as box delivery trucks, bucket trucks, beverage delivery trucks and refuse trucks.

Strong, new fuel efficiency and greenhouse gas standards for our nation’s heavy trucks are achievable, cost-effective and critical to cutting greenhouse emissions and fuel consumption – all while we continue to depend on trucks to deliver the goods we need and want. The slideshow below highlights some of the technology available to meet bold standards as well as the significant cost, oil and emissions savings from such standards.

Bold fuel efficiency standards are good for our economy, environment and energy security. One fact that just jumps out at me is this: These standards will cut our oil consumption by 1.4 million barrels a day. That sounds like a big number and it is. It’s a bit higher than the amount of oil we import daily from Saudi Arabia.

They will also be good for trucking fleets too. These trucks will cost $30,000 less to fuel a year.

Strong fuel efficiency and greenhouse gas standards for heavy trucks are an important part of the President’s Climate Action Plan, and EDF will continue to work towards strong standards through our unique combination of industry engagement, regulatory design expertise and technical know-how.

This post first appeared on our EDF Voices blog

Posted in Cars and Pollution, Economics, Policy| 2 Responses, comments now closed

A momentous week for trucks: Walmart unveils “Jetson” truck and President Obama announces next generation fuel efficiency standards

(This post originally appeared on EDF + Business)

What a great week it’s been for the future of trucks. Walmart unveiled a prototype, concept next generation tractor-trailer truck that they have affectionately dubbed “Jetson.” This morning, President Obama laid out a timeframe for action on developing the next generation truck efficiency standards – standards that will improve the fuel efficiency of American trucks, bolster energy security, cut carbon pollution, save money and support manufacturing innovation.

Innovation is critical to curb the growing climate pollution and fuel consumption from our nation’s freight trucks – which are projected to increase by 40 percent between now and 2040. But innovation is best supported by strong standards.  A well-designed efficiency program can speed the deployment of clean, energy-efficient technologies and the infrastructure to support their widespread use nationwide.

We have seen the success of this combination many times.  The trucking industry has delivered incredible innovation in meeting stringent standards for particulate matter and oxides of nitrogen, and the first phase of greenhouse gas and fuel efficiency standards. And through their own innovation, manufacturers are meeting these standards in advance of compliance deadlines, doing so for lower costs, and delivering substantial, real-world benefits.

The second phase of fuel efficiency and greenhouse gas standards for trucks and trailers will build on this foundation of success. But they will also build on the innovation of companies like Walmart who are pushing the envelope. 

 The unveiling of Jetson, officially called Walmart Advanced Vehicle Experience (“WAVE”) came during a live webcast of Walmart’s annual Global Sustainability Milestone Meeting on Monday.

At first glance the prototype truck is simply cool looking, and explains why it got the nickname Jetson.  But it is also incredibly fuel-efficient. The tractor is super aerodynamic – in order to achieve the dramatic aerodynamics, the driver sits in the middle of the cab and the engine is under the cab instead of in front of it.  The entire cab lifts up to give access to the powertrain.

The trailer also benefits from advanced aerodynamics. And it is built “almost exclusively from carbon fiber.” Because of this, the trailer weighs 4,000 pounds less than a standard trailer, which would enable it to legally carry more product. The front end is also convex – which enhances the aerodynamics and increases storage capacity.

The power system for the truck is a revolutionary combination of a microturbine; battery storage; electric motor.

While some of the technologies in the Jetson truck may not be street ready in the next few years, Walmart sees value in pushing itself and its vendor partners – Peterbuilt Trucks, Great Dane Trailers and Capstone Turbine – just a little bit farther. And their efforts demonstrate the potential to truly revolutionize our heavy trucks and trailers. Doing this well will require a combination of innovative technology and strong, well designed efficiency standards.

The cleaner freight trucks being made in America today show that when our nation works together we can achieve lasting progress for our economy and our environment – through innovation and common sense policies to advance and secure the transformative cleaner freight trucks of tomorrow.

Posted in News| 1 Response, comments now closed

New Truck Efficiency Standards Are Great News for American Innovation

We've partnered with businesses, builders, and local communities to reduce the energy we consume. When we rescued our automakers, for example, we worked with them to set higher fuel efficiency standards for our cars. In the coming months, I'll build on that success by setting new standards for our trucks, so we can keep driving down oil imports and what we pay at the pump.

- 2014 State of the Union Address

First, here’s the bad news:

Climate pollution from America’s heavy trucks is projected to increase by more than 130 million tons between now and 2040. That’s expected to be the largest increase in emissions from any single source.

The average new heavy-duty diesel truck sold last year got slightly less than six miles per gallon.

Most of these trucks travel upwards of 120,000 miles and burn more than $80,000 worth of fuel per year.

This inefficiency has real costs for our economy. We import millions of barrels of oil to fuel heavy-duty trucks. Businesses, both small and large, spend billions on the fuel needed to move freight. You and I pay for this too, when we buy those products.

Now here’s the good news:

It doesn’t have to be this way. We have the tools today that we need to change this.

We have the technology to decrease freight truck emissions. We can cut 20 percent off our current trajectories by 2030, and go much further by 2040.

In fact, a recent analysis by the American Council for an Energy-Efficient Economy found that it’s realistic to expect new trucks to achieve something approaching a 40 percent fuel consumption reduction, compared to 2010 trucks, within the next decade,

Well-designed federal standards can foster the innovation necessary to bring more efficient and lower emitting trucks to market. Manufacturers need to be confident in market demand in order to develop and launch efficiency improvements. Scaled production can drive down costs, further enhancing the payback truck fleets will experience through lower fuel bills.

EDF has set out a blueprint for rigorous greenhouse gas and fuel efficiency standards. Through smart, well designed policies and American innovation, we can cut climate pollution and save fuel costs while strengthening our security and winning the race to deploy clean energy technologies in the global marketplace.

Many companies already have developed — and are bringing to market — the tools we need to meet a strong standard.

Examples include:

Eaton, a manufacturer of truck transmissions — they’ve launched a powertrain package that can improve fuel efficiency by up to six percent.

Cummins, Inc. and Peterbilt Motors Co., which build truck engines and manufacture trucks, respectively – they partnered last year to build a truck that uses 50 percent less fuel than typical long-haul tractors, according to an article in the Indianapolis Star. It averaged 9.9 miles a gallon in road tests. They did this through a suite of improvements; including capturing otherwise wasted thermal energy.

Smart Truck Systems, a supplier of aerodynamic products to the trucking industry – they have a product that can cut fuel consumption from tractor-trailer combination trucks by over 10 percent through advanced aerodynamics.

Also available to us:

To understand the positive economic potential of adopting strong truck fuel efficiency standards, we only need to look back to the start of this month.

On January 1st, our nation’s biggest trucks became subject – for the first time ever – to fuel efficiency standards. These standards cover trucks from large pick-ups to tractor-trailers. They will cut climate pollution by almost 300 million tons while saving truck operators $50 billion.

For combination tractor-trailer trucks, these standards will cut annual fuel costs by more than $18,000 at today’s prices. The fuel savings will pay back the increase in upfront costs in less than five months.

Companies that rely on trucking to move goods stand to benefit significantly too. These companies will see a decrease of around eleven cents in the total cost-per-mile to move freight. Across their supply chain, large freight shippers will save millions of dollars each year because of this rule.

These are real savings that businesses, big and small, are starting to see in their bottom line today.

These first generation standards were created with the broad support of the trucking industry and many other key stakeholders. Among the diverse groups that supported the standards were the American Trucking Association, Engine Manufacturers Association and the Truck Manufacturers Association, the United Auto Workers — and of course EDF.

But this is just the beginning.

With the right political and commercial will, we can build on the partnership created during the development of the current standards to find common ground on the next phase of truck efficiency rules.

We can do this in a way that enables American businesses to thrive, cuts the need for imported oil by hundreds of millions of barrels a year, and slashes climate pollution by more than 100 million tons a year.

That’s why it was great to hear President Obama’s call to action in the State of the Union Address about the next phase of truck standards. We already knew that we could do it – now it looks like we will.

(Click here to read more about this issue, including EDF's blueprint for rigorous greenhouse gas and fuel efficiency standards)

Posted in Cars and Pollution, Economics, Greenhouse Gas Emissions, Policy| Comments closed

Hail to the Chief, Indeed: President's truck order will bring fuel-saving technologies to scale

This was originally posted on the Innovation Exchange blog.

There is no question that tools exists today to significantly reduce fuel consumption by medium and heavy-duty trucks. The recent National Academy of Sciences’ report on reducing emissions from these vehicles explored this in-depth as did another recent report from NESCAUM. The key question is: can we deploy these tools at an acceptable cost?

The answer is closer to “yes” than ever before, thanks in part to President Obama’s statement last week instructing the National Highway Traffic Safety Administration (NHTSA) and the Environmental Protection Agency (EPA) to develop rules to reduce emissions from medium and heavy-duty trucks – which consume over a quarter of the nation’s liquid fuels.

The most advanced of our fuel-saving tools, such as the hybrid system for medium-duty trucks, face a significant upfront cost barrier. While these systems can payback over the lifetime of the vehicle, the ROI timeline is too extended for most businesses to justify the cost without external incentives. Other, more incremental strategies such as single-wide tires face cultural and cost barriers as well. The resulting upfront capital cost versus long-term operating savings conundrum slows the adoption of these tools and delays emission reductions.

Fuel-saving components need to be produced at a large enough scale to spread out the fixed costs over time while simultaneously bringing the dollar cost down. By creating a nationwide standard for greenhouse gas emissions, the President has put us on a path to finally reach this scale. Imagine that instead of spreading the fix costs of developing and producing medium-duty hybrid powertrains, or single wide tires over a few hundred vehicles a year, these costs are spread over tens of thousands of trucks annually. The ROI for any one unit will instantly be much more attractive. This is what can happen with a strong federal rule.

How will this impact the business community? Consumers, shippers and carriers will be better off with more efficient, cleaner trucks. Operating costs will be lower and less exposed to fuel price volatility. The increased capital costs should be manageable with the advantages of scaled economies. Some of the increased upfront cost will likely be recouped through hire residual values too.

Of course, technological improvements alone aren’t sufficient. There remain many opportunities to reduce emissions through better operational practices, particularly for freight. From reducing empty backhauls, cutting idling, dropping curb weight, decreasing packaging and improving trucking loading, every truck trip can get more done. Some trips can be avoided all together or simply moved to more efficient modes of transportation.

Medium-and-heavy duty trucks will continue to play a vital role as we transition into a carbon constrained world. These trucks are needed to deliver food and beverages to restaurants and stores, drop off packages at homes and offices, and move goods across the nation. However, they will use less fuel for each of these actions. That’s a good thing for the environment, our pocketbooks and energy security.

Posted in Cars and Pollution, Climate Change Legislation, News, Science| Comments closed

Redefining Green for Corporate Fleets

Jason Mather's profileNearly 7 million passenger vehicles on the road today are in commercial operations. These vehicles are driven hard, averaging nearly double the mileage, fuel consumption and emissions of personal vehicles. As a result, fleets are not only expensive to operate, but are also a major source of global warming pollution.

Environmental Defense Fund has been working with some of the largest commercial fleets – including Fortune 500 titans Abbott, DuPont and Owens Corning – to identify ways to reduce fuel consumption, costs, and greenhouse gas emissions. Our efforts have delivered results. Fleets that fully implemented the program outlined below reduced their emissions by an average of 14 percent, and reduced lifecycle operating costs by 4 percent.

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Posted in Cars and Pollution| Comments closed
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