ENVIRONMENTAL DEFENSE FUND Milking the Cash Cow: Milking the Cash Cow: Incentives for Hybrid Trucks Incentives for Hybrid Trucks Northeast Diesel Collaborative Northeast Diesel Collaborative Rachel Beckhardt Rachel Beckhardt Environmental Defense Fund Environmental Defense Fund
ENVIRONMENTAL DEFENSE FUND Science Based Bipartisan Science Based Bipartisan Market Driven Alliance Building Market Driven Alliance Building
ENVIRONMENTAL DEFENSE FUND Corporate Partnerships at Corporate Partnerships at Environmental Defense Fund Environmental Defense Fund “Environmental Defense is probably the best NGO to find the inter Environmental Defense is probably the best NGO to find the intersection section “ between profit and planet.” ” between profit and planet. -- Bob Bob Langert Langert, VP Corporate Citizenship , McDonald , VP Corporate Citizenship , McDonald’ ’s Corporation s Corporation --
ENVIRONMENTAL DEFENSE FUND Our Partnership with FedEx: Our Partnership with FedEx: Creating a new generation of delivery trucks Creating a new generation of delivery trucks Project Goals: Project Goals: • Improve fuel efficiency 50% Improve fuel efficiency 50% • • Reduce particulate emissions Reduce particulate emissions • by 90% and NOx NOx by 75% by 75% by 90% and • Meet all performance Meet all performance • requirements requirements • Achieve same or lower cost Achieve same or lower cost • over lifetime of truck over lifetime of truck
ENVIRONMENTAL DEFENSE FUND Hybrid Truck Market* Hybrid Truck Market* 2000 150 1800 125 1600 1400 100 1200 1000 75 800 50 600 400 25 200 0 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Hybrid Trucks on the Road Fleets with Hybrid Trucks *Based on known orders to date. *Based on known orders to date. *Based on known orders to date.
ENVIRONMENTAL DEFENSE FUND But cost remains a critical But cost remains a critical challenge. challenge. High Cost Low Volume Low Demand Incentives are critical to making hybrids a Incentives are critical to making hybrids a competitive investment for fleets competitive investment for fleets
ENVIRONMENTAL DEFENSE FUND So what are we doing about it? So what are we doing about it? 1. Incentives Working Group 1. Incentives Working Group 2. Incentives Website (www.edf.org/hybridincentives www.edf.org/hybridincentives) ) 2. Incentives Website ( 3. Priorities for 2008: Federal 3. Priorities for 2008: Federal 4. Priorities for 2008: State 4. Priorities for 2008: State 5. EPA EPA’ ’s Clean Diesel Campaign: s Clean Diesel Campaign: 5. The Northeast Hybrid Truck Consortium The Northeast Hybrid Truck Consortium
ENVIRONMENTAL DEFENSE FUND Northeast Hybrid Truck Consortium Northeast Hybrid Truck Consortium Joint effort between Joint effort between NESCAUM and EDF NESCAUM and EDF to secure incentive to secure incentive funding to more new funding to more new hybrid trucks on the hybrid trucks on the road in New England. road in New England.
ENVIRONMENTAL DEFENSE FUND Why a heavy- -duty hybrid duty hybrid Why a heavy consortium? consortium? 1. Pools demand for hybrid Pools demand for hybrid 1. truck platforms truck platforms 2. Creates a geographic Creates a geographic 2. service center service center 3. Brings diverse Brings diverse 3. constituencies together constituencies together 4. Saves fleets $$ Saves fleets $$ 4.
ENVIRONMENTAL DEFENSE FUND Northeast Hybrid Truck Northeast Hybrid Truck Consortium Timeline Consortium Timeline • RFP opened in March RFP opened in March • • Recruiting NOW! Recruiting NOW! • Application due June 12 th th • Application due June 12 • • Award Notice Dec Award Notice Dec ‘ ‘08 08 • • Have 2 years to use Have 2 years to use • award money for new award money for new truck(s) ) truck(s
ENVIRONMENTAL DEFENSE FUND What you can do What you can do For more information For more information contact me: contact me: Rachel Beckhardt Rachel Beckhardt rbeckhardt@edf.org rbeckhardt@edf.org
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