SEO Idle Reduction Presentation

Diesel Truck Idling Reduction Grant Program

Driving the Green Highway ExpoState Energy OfficeNovember 1, 2013

Wisconsin Diesel Truck Idling Reduction Grant Program

• Assist motor carriers in the purchase and installation of idle reduction equipment

• Cost sharing program to reduce diesel truck idling

• The primary goals:– Reduce air pollution emissions– Reduce fuel consumption– Promote field testing

Why was the Program Created?

• Trucking Industry worked with the state legislature to address the:

– Rising fuel costs– Anti-idling laws throughout the country– A need to field test before making the investment– Motor carriers pay a significant amount of fuel and

road taxes; return on investment

Diesel Idling Reduction Grant Program

• Created by the Governors Budget Bill, 2005 Wisconsin Act 25

• WI motor carriers that own and operate their truck tractors are eligible for up to 50% of the cost of the unit and installation

• $1 Million will become available July 1, 2014

What is the Funding Source?

• Petroleum Environmental Clean Up Fund Award (PECFA) –funded by the states petroleum inspection fees of $0.02 gallon

• Funding is appropriated in the states biennial budget and has a sunset date of June 30, 2015

• SEO is working to remove that provision of the statute

Why Use Idling Reduction Technologies?

• In Wisconsin more than 13,000 long-haul heavy-duty trucks idle overnight for required rest stops at least some fraction of the time, using almost 14 million gallons of fuel per year.

• Can be reduced without compromising driver comfort or vehicle equipment operations.

• Provides significant fuel savings. Reducing fuel consumption will minimize the financial impact of costly diesel fuel to businesses as well as reduce the effects of diesel fuel pollution, which can negatively impact human health.

Allocations

• Allocations for small fleets. The department may annually allocate up to 25 percent of the grant funding, for awarding to applicants who own and operate 50 or fewer truck tractors.

• In any fiscal year the department may not pay to any one applicant more than 20 percent of the amount appropriated

• The department may set cutoff dates for accepting the applicants and then prorate the awards to the applicants if the total funding requested exceeds the available funds

Eligibility

• Applicants must meet certain requirements:– Common, contract or private motor carrier transporting

freight– Headquartered in Wisconsin

• Applicants principal central administrative office is located in WI, or• Applicant business pays at least 80% of its payroll to employees

employed in Wisconsin

• Owns and operates their truck-tractor• Complies with grant conditions• Must pay at least 50% of the cost of the unit and

installation

Technologies

Types of Idling Reduction Technologies

• APU – Auxiliary Power Units• BP – Battery Powered Units• ERS - Energy Recovery Systems• DFH- Direct Fired Heaters• SmartWay Verified Technologies List

– http://www.epa.gov/smartway/technology/idling.htm

• You Choose!

Eligible UnitsOnly trucks with post-1998 diesel truck engines are eligible.

Applicant’s Number of Eligible Trucks

Maximum Number of Units Funded

1 1

2 to 10 2

11 to 50 2 or 10% of the applicants eligible truck tractors*

51 to 250 6 or 7% of the applicant’s eligible truck tractors*

251 to 500 18 or 6% of the applicant’s eligible truck tractors*

501 to 2,500 30 or 5% of the applicant’s eligible truck tractors*

Over 2,500 125 or 3% of the applicant’s eligible truck tractors

*Whichever is greater

Reporting

• Grant recipients are required to submit a baseline, six, and twelve month report provided by the department

• The baseline and twelve month reports will include an engine download (ECM)

• Data requested includes– Miles per gallon– Idling time– Vehicle usage– Drivers opinions

Awards from 2007-2012

• More than 2,143 idling reduction technologies have been funded

• $7.8 million dollars has been allocated to participating fleets

• Each year more than 1 million gallons of diesel fuel are saved – Environmental health– Human health

Fiscal Year Fleet Size Units Award AmountFY07 Large Fleet 185 747,274.64$ FY07 Small Fleets 49 252,725.36$

Total 2 1,000,000.00$ FY08 Large Fleet 431 1,469,092.17$ FY08 Small Fleets 121 457,788.66$

Total 552 1,926,880.83$ FY09 Large Fleet 130 482,170.10$ FY09 Small Fleets 116 442,105.09$

Total 246 924,275.19$ FY10 Large Fleet 456 1,593,316.71$ FY10 Small Fleets 106 406,683.29$

Total 562 2,000,000.00$ FY12 Large Fleet 211 756,556.88$ FY12 Small Fleets 60 242,833.44$

Total 271 999,390.32$ FY13 Large Fleet 223 748,402.35$ FY13 Small Fleets 55 251,597.65$

Total 278 1,000,000.00$ Grand Total 2,143 7,850,546.34$

Diesel Truck Idling Reduction Grant Program Award Totals

Challenges

Lessons Learned +

• Wisconsin motor carriers clearly accept idle reduction equipment as a cost saving necessity

• Increased fuel mileage• Reduced idling time• Prevent cold-starts• Reduced air emissions• Driver comfort

Lessons Learned -

• Driver training /awareness is necessary• Eliminate paperwork– Reports are cumbersome– ECMs are expensive to acquire

• Weight of the units• Additional cost to upkeep the units• Leased vehicles are not eligible• More funding

In Summary

– Provides a financial incentive for trucking companies to experiment with idling reduction units

– Funding has been approved in the state biennial budget, funds will be available on July 1, 2014

– Sign up on our website to be notified of when the application will become available

State Energy Office

The State Energy Office is committed to supporting Wisconsin's policy of assisting in the deployment of

reliable, balanced, cost-effective and environmentally responsible energy projects. The Office assists business, industry, and local governments with information and financial assistance with clean energy projects. http://

www.stateenergyoffice.wi.gov/[email protected]