Clean Up Your Fleet. for lower emissions, better air quality. Introducing a practical approach to cleaner, more efficient fleet operation

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Marcia Henderson
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1 Clean Up Your Fleet for lower emissions, better air quality Introducing a practical approach to cleaner, more efficient fleet operation Regional Environmental Center for Central and Eastern Europe, Szentendre, Hungary, 18 = 19 September 2008

2 Session 1: Sustainable transport and the importance of cleaner fleet management 1. United Nations Environment Programme & the Partnership for Clean Fuels and Vehicles 2. Transport and the environment: energy, air quality and climate change 3. Options fuels, vehicles, efficiency 4.The role of fleets and fleet managers

3 1. United Nations Environment Programme & the Partnership for Clean Fuels and Vehicles

The Partnership for Clean Fuels and Vehicles (PCFV) 110 partners, global

down sulphur in diesel and gasoline fuels - adopt cleaner vehicle

per million (ppm) or below worldwide, concurrent with clean vehicles and

4 The Partnership for Clean Fuels and Vehicles (PCFV) 110 partners, global consensus: - global elimination of leaded gasoline by end phase down sulphur in diesel and gasoline fuels - adopt cleaner vehicle requirements and technology reduce sulphur in vehicle fuels to 50 parts per million (ppm) or below worldwide, concurrent with clean vehicles and clean vehicle technologies, with roadmaps and timelines developed regionally and nationally.

6 Technical expertise Networking Funding support National working groups Fuel quality & data Vehicle standards Diesel technology Cleaner fleets Cost/benefit analysis Awareness campaigns

7 2. Transport and the environment: energy, air quality and climate change

8 Air Quality & Road Transport Worldwide - Every year 1.5 billion people in cities breathe air that exceeds World Health Organization standards; - In developing countries the health effects of air pollution cost in excess of 5% of GDP (e.g. 7% China) - WHO air quality guidelines do not specify a lower limit for PM you cannot reduce it enough - Reducing levels of fine particles (PM 10 or lower) can reduce deaths in cities by up to 15 % /year - Increasing attention on ultra fine particles (PM 2.5 or less) - Last 30 years: air quality, fuel quality, vehicle controls in US, Europe, Asia

9 EU transport 3.5% global CO2 2005, OECD/ITF - Climate Change: Transport 24% of global CO2 emissions from fossil fuel combustion; road transport 74% of this - CO2 transport to grow by 120% by 2050 over to 2000 levels. -Emissions from light duty vehicles grow more slowly, but are still 90% higher in 2050 than in 2000.

10 Global Fleet - Kyoto reduction 8% by 2012 from all sectors - Light duty vehicle fleet is to triple by Almosttwo-thirds of the global vehicle fleet will be found in non-oecd countries.

11 Vehicle emissions in EU 25 decreased by 1/3 in past decade - despite growing number of vehicles Vehicle CO, PM emissions down 30-40% from 1990 Ambient SOx down 70 % since 1990, NOx down 35 % Why? Mainly due to innovations in exhaust gas treatment in road vehicles and improved fuel quality. Strict standards - Fuel Sulphur ppm, Euro IV, Euro V in 2009, Euro VI 2013/2014

12 Loss in life expectancy (months) due to PM 2.5 Particulate Matter Avg. 9 months of life expectancy lost 386,000 premature deaths annually 110,000 serious hospital admissions annually Ozone 21,400 premature deaths annually EURO billion/year in 2020 Transport remains main source of health-damaging pollutants in EU-27

13 3. Options fuel quality vehicle standards efficiency improvements

Cleaner Fuels and Vehicles: A System - Low-sulphur and lead-free fuels affect emissions directly + vehicle technology -Andenable the use of cleaner vehicle technology which can

14 Cleaner Fuels and Vehicles: A System - Low-sulphur and lead-free fuels affect emissions directly + vehicle technology -Andenable the use of cleaner vehicle technology which can further reduce pollutants by around 90% - Cleaner fuels (ultra-low sulphur petrol and diesel) allow for the use of latest high-fuel efficiency technology in vehicles % reduction in CO2

15 Fuel Quality - Lead-free: ambient Pb decreases, blood lead level and loss of IQ decreases, catalytic converters can be used for 90% emission reductions - Low sulphur All Vehicles: - SO2 emissions from diesel and petrol vehicles and particulate matter tend to increase in direct proportion to the amount of sulphur in the fuel. -Ultra-fine particulate matter emissions reduced on average by 33.4% when going from 500 ppm diesel to 50 ppm diesel. Petrol: TWC catalyst max efficiency below 50 ppm; HC, CO, NOx reduced

16 Diesel: - PM emissions from diesel vehicles are an order of magnitude higher than PM emissions from properly functioning petrol vehicles - Euro V filters on all diesel vehicles particle # limits Source: ICCT

17 Clean dieselization requires clean fuel - Global light-duty diesel vehicles to double in 10 years - Diesel Durable, fuel efficient: 20-40% above gasoline, reduction in CO2 - New diesels may be competitive with hybrids, cleanest gasoline engines -Engine developments (last 15 years - direct injection, high-pressure injection, computer controls, aftercooling) do not require specific sulphur levels, but more durable with lower sulphur fuel - High pressure injection systems - only approved for high quality/low sulphur diesel markets

18 Fuel Quality Program Evolution Lead Removal Volatility Controls & Oxygenate Introduction Catalytic Converters Initial Benzene & Sulfur Reduction Olefin & Aromatic Content Limits Sulfur Elimination Advanced Emission Control Systems Introduction of Renewable Fuels (Biofuels) Objective: Control Emissions of Traditional Air Pollutants Objective: Energy Security & CO 2 Reduction Source: IFQC

19 Auto Oil coordinated effort to combine fuel and vehicle change for optimal benefits 1992 agreement between European Commission, Auto manuf, oil industry to meet air quality standards Result Euro legislation and standards European Commission Parliament Council Auto Oil 1 Emissions Directive 98/69 Fuels Directive 98/70 Auto Oil 2 Revision proposal for Directive 98/70 Directive 2003/17 Review process Environmental parameters 01/01/ ppm sulfur 100% market 10 ppm Sulfur 01/01/ EN (gasoline) EN (diesel fuel) C.E.N. EN EN EN EN (FQMS) EN EN EN (sampling) EN EN (FAME) Source: IFQC

20 CEE Diesel Sulphur

21 Market Share of Diesel with 10 ppm Sulfur Content in EU-27 (2006) Market Share 10ppm Diesel FI >80% market share 30-80% market share SE EE 10-30% market share <10% market share No data DK LT LV Non EU27 Member State IE Use of tax incentive for 10 ppm sulfur fuel UK BE NL LU DE CZ PL SK FR (Motorways ) AT SI HU RO IT BU PT ES Source: IFQC MT EL CY Source: IFQC

22 Global Trends for Sulphur in Fuels -China and India moving to low sulphur -136 countries: 33% 500 ppm or below; 67% above 500 ppm. - changing quickly

23 Emissions Standards Rely on Fuel Sulfur Levels EPA g/bhp-hr EPA 98 NOx = 4.0 P = 0.10 EPA 04 NOx = 2.5 P = 0.10 Diesel 15 ppm EPA 07 NOx = 0.25 P = 0.01 EURO g/kw-hr EURO III NOx = 5.0 P = 0.10 Combined EURO III-IV EURO IV EURO V NOx = 3.5 P = 0.02 NOx=2.0 P=0.02 Diesel 50/10 ppm 10/05 10/08 Fuel neutral standards? Source: Michael Walsh

24 Comparison of NOx and PM regulations for HD diesel vehicle among Japan, USA and Europe PM g/kwh JAPAN Challenging value 2007 US JAPAN Possible due to low sulphur fuels, vehicle technologies EURO US 2003 JAPAN 2005 EURO4 0 JAPAN NOx g/kwh JAPAN 2000 EURO US Source: Michael Walsh

25 Example: Mercedes Benz BlueTec, Euro IV + V Selective Catalytic Reduction NOx down 75-90% 50 ppm or lower

26 Retrofit: New York City Transit Source: NRDC NYC Transit: largest transit fleet in the U.S. 2 million customers/day on 4,700 buses After 7-year NRDC campaign, NYC Transit agreed to a fleetwide Clean-Fuel Bus Program based on Systems Approach early retirement 15 ppm sulphur from 2000 more than 3,200 new buses purchased (including 600 CNG and 325 Hybrid-Electric) 3,200 particulate filter retrofits Goal: Reduce diesel pollution, as fast as possible, using existing infrastructure

27 Fleetwide PM Reduced 85% In 5 Years While Fleet Grew By 33% PM (t/yr) Buses Source: NRDC analysis of NYC Transit data Emissions measured in tons/year

Lessons Learned from NYC Transit RETIRE the oldest and dirtiest diesels as soon as possible REPLACE with the cleanest fuels and technologies,

28 Lessons Learned from NYC Transit RETIRE the oldest and dirtiest diesels as soon as possible REPLACE with the cleanest fuels and technologies, using a systems approach RETROFIT remaining vehicles with PM controls, using the systems approach to match pollution control equipment to available fuel

29 Promoting fuel & vehicle efficiency 1- Improving fuel efficiency with existing technology 2- New fuel efficient vehicles plug ins? Hydrogen? 3- Introducing low carbon fuels - Carbon fuels will remain energy source of choice 4- Consumers, labeling 5- Policies

30 Improving fuel efficiency w/ existing technology MPG-CONVERTED TO CAFE TEST CYCLE UNITED STATES EUROPE JAPAN AUSTRALIA CANADA CHINA S. KOREA CANADA 2 CHINA AUSTRALIA S. KOREA EUROPE 1 1/3 better than US JAPAN UNITED STATES Source: Passenger Vehicle Greenhouse Gas and Fuel Economy Standards: A Global Update, International Council on Clean Transportation, 2007

31 EU CO2 Limit Proposal - After power generation, road second biggest source of greenhouse gas emissions in EU (road 84% of transport, which is 28% of overall) -CO 2 emissions from road transport rose by 26% between 1990 and 2004; no Kyoto reduction - CO2 from new passenger cars from 160 grams per km to 120 grams per km in 2012 (fleet average) - engine modification, improved transmission, aerodynamic, lighter - 19% reduction of CO2 emissions Level GLOBAL playing field?

32 New vehicles Hydrogen vehicles? not very energy efficient, expensive, hydrogen fuel infrastructure and source Plug-in Hybrid Electric Vehicles? - Promising 3L/100 km in tests, Low emissions, very high efficiency; battery technology needs further development range, still expensive Electric vehicles? Most energy efficient option most promising, 10% of energy needed to move a petrol car, technology needs further development batteries: range, power Where will the electricity come from? Renewables or coal?

Considerations In 2050 the majority of vehicles will be found in developing/transitional countries markets and standards crucial New technologies like PHEV too expensive for wide introduction

33 Considerations In 2050 the majority of vehicles will be found in developing/transitional countries markets and standards crucial New technologies like PHEV too expensive for wide introduction in emerging markets; infrastructure? Use existing energy infrastructure petrol and/or electricity Tata Nano?? 3,000 USD Euro II met, Euro IV + coming 5L/100 km better than global 4l/100 km average

34 low carbon fuels Biofuels sustainability concerns; 2 nd generation? Not all feedstock equal; octane replacement, biodiesel low sulphur Hydrogen source, infrastructure Coal-to-liquid clean but energy and water intensive; double greenhouse gases in lifecycle Fossil fuels 4/5 of energy today

35 Consumers: information and involvement Consumer information - EU Directive 1999/94/EC - Hybrid Prius can save 8,000 Euro in fuel over lifetime Fuel efficiency information

36 Need for policies Combine with awareness and labeling New fuel efficient technologies need support for market introduction subsidies not enough Wide application & equal playing field Global Fuel Economy Initiative (GFEI) - 50% increase in efficiency by 2050 Accelerated time scale in industrialized countries Promote fleet renewal (age restriction imports) Ensure cleaner fuels available

37 Incentives for clean vehicles in EU - Reduced vehicle and road taxes - Tax breaks on pre-compliance vehicles Euro IV, V - Reduced toll charges - Reduced/zero congestion charges in city centre - Tendering of contracts

39 4. The role of fleets and fleet managers Role of the REC?

Motor Vehicle Emissions and the Government Response

Motor Vehicle Emissions and the Government Response Bruce Bertelsen Michael P. Walsh May 26, 2000 "Meeting Meeting Mexico's Air Quality Challenges" 06/19/00 1 Introduction Motor Vehicles Contribute to