Employee PEV Engagement Initiative
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- Scott Thornton
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1 Employee PEV Engagement Initiative Since their limited introduction in select U.S. markets five years ago, plug-in electric vehicles (PEVs) have won accolades from early-adopter consumers and fleets for their quiet, powerful performance, high-tech driving experience, and operating savings. Early PEV drivers have become ardent advocates for PEVs. Today, more than 320,000 PEVs are on U.S. roads, coast-to-coast. More than 20 different PEV models are available from 15 automotive brands. As more vehicle styles and platforms become available in more markets nationwide, there is good reason to be optimistic about the future growth of PEV sales. 1 Broad scale adoption of PEVs will not happen by itself, however. The PEV industry and its stakeholders including electric utilities must move beyond early adopters and proactively engage a more tentative and cautious marketplace. The majority of consumers still know little or nothing about PEVs or how they stand to benefit from them. Our industry plays an important leadership role in PEV market development. By leveraging one of our most important assets our employees we can demonstrate the benefits of PEVs and spur adoption among our customers and in our communities. Utilities can help enable the market success of this transformational technology by implementing an Employee PEV Engagement Program. Why Electric Transportation? PEVs can deliver significant cost savings to consumers, as well as broader environmental, economic, and energy security benefits. They will help our country reduce its dependence on oil, create new, high-quality American jobs, and enter an era of clean transportation. For the electricity industry, PEVs represent an untapped opportunity to grow beneficial load, develop the utility of the future, and meet sustainability goals. continued
2 Grow Beneficial Load Electricity as a transportation fuel presents a significant opportunity to grow beneficial load that improves asset utilization and serves as a grid-balancing resource. The unique, flexible load of PEV charging has the potential to put downward pressure on rates and reduce costs to all ratepayers. This effect was recently quantified in a report by ICF International on behalf of four California utilities that considered electricity consumption and distribution system upgrade costs under three PEV penetration rate scenarios. It concluded that revenue from PEV charging more than covered the costs incurred by the utility to deliver the electricity to charge the vehicles, resulting in downward pressure on rates and a benefit to all ratepayers, not just PEV owners. 2 Longer-term, the flexible nature of PEV charging could also be leveraged to integrate renewable generation onto the grid by helping to mitigate the intermittency of resources like solar and wind. Develop the Utility of the Future While PEVs are often considered within the realm of transportation only, PEVs are just one of a whole range of new technologies that are changing how utility customers interact with the grid. PEVs are among the most technologically advanced devices available today, utilizing innovative communications technologies and onboard energy storage systems. Becoming an active participant in the market development of PEVs unlocks an unparalleled opportunity for our industry to explore and evaluate the potential and challenges of integrating technologies that are fast emerging on the distribution system. Advance Your Company s Sustainability Goals Transportation electrification contributes to regional, state, and national environmental goals and can advance your company s sustainability goals. The environmental benefits of PEVs are well-documented and validated. For example, the National Research Council writes: Therefore, the committee concludes that the premise for the task that there is an advantage to the United States if a higher fraction of miles driven here are fueled by electricity from the U.S. electric grid is valid now and becomes even more valid each year that the United States continues to reduce the GHGs that it produces in generating electricity. 3 Analysis by the scientific advocacy group Union of Concerned Scientists concludes that no matter the U.S. region, a PEV has lower global warming emissions than the average new compact car, which gets 28 mpg. Sixty percent of Americans now live in regions where a PEV produces fewer global warming emissions than even the most efficient gasoline-hybrid vehicle. 4 Why Employee Engagement? The workplace is a powerful pathway to driving PEV adoption. 5 With EEI member companies representing more than 500,000 employees, encouraging PEV adoption within our industry alone will move the needle. Beyond that, an Employee PEV Engagement Program positions your company to lead by example, support customers proactively, and glean insight into PEV effects on the grid. It also presents direct benefits to your company and employees. Lead by Example Your company s PEV engagement activities demonstrate to your customers and community that you support and use the technology you are promoting. Moreover, your company s PEV activities demonstrate at a broader level your leadership on technology innovation, and enable you to speak from an informed position. Build the Market While Supporting Customers Your Employee PEV Engagement Program helps build the PEV market. Lessons learned in your own program will help your employees better understand and promote PEV technology to your customers. Armed with expertise developed from first-hand 2 Employee PEV Engagement Initiative - Edison Electric Institute
3 experience, your employees will provide informed answers on PEV technologies and charging, and therefore, better customer service. Understand PEV Effects on the Grid Many utilities are conducting their own grid reliability studies around PEVs, and some are examining employee PEV workplace charging data as a component of their studies. Data gathered as part of a workplace charging program, for example, could provide information that supports resource planning, load growth, and forecasting efforts. Employer and Employee Benefits Your company and employees stand to benefit from an Employee PEV Engagement Program. Some companies see workplace charging as an employee recruitment and retention tool. Others see it as a way to enhance employee productivity; since some states offer PEVs access to carpool or toll lanes, employees who drive PEVs may spend less time commuting, arrive at work less stressed, and be more productive at work. Having access to workplace charging allows employees who drive PEVs to fuel their cars while they work. Charging at work can double a PEV driver s daily driving range, resulting in more electric miles driven. The mere existence of workplace charging can be the enabling factor for some employees to consider purchasing PEVs. Employee PEV Engagement Initiative Summary EEI is launching an Employee PEV Engagement initiative that expands upon the success of the Fleet Electrification initiative. We are asking member utilities to further their leadership on electric transportation by encouraging and enabling their employees to drive PEVs. EEI has worked in collaboration with the Electric Power Research Institute to develop a comprehensive set of materials that support utilities in the development of their own PEV Engagement Program: a web-based Cookbook or how-to guide and Utility PEV Case Studies. The materials are available to all members through the Employee PEV Engagement online portal. Cookbook The Cookbook offers a curated experience with a manageable number of key resources that EEI considers most useful to utilities. It is organized into two sections, Education and Adoption. Figure 1: Topics covered in the Education section of the Cookbook Educa on PEV Interest Survey Ride & Drive PEV Calculator The Education section provides easyto-access information that utilities can use to educate their own employees about PEVs. This section is organized into various education tools that a utility could implement, as shown in Figure 1. Tools or activities that are easiest to implement are listed in the left column, and the more complex or resource-in- PEV 101 Brochure FAQs/Fact Sheets Lunch & Learn PEV Interest Groups Employee Tes monials Employee Ambassador Employee Training Videos Edison Electric Institute - Employee PEV Engagement Initiative 3
4 Figure 2: Workplace Charging topics included in the Adoption section of the Cookbook Incen ves Adop on Strategies Workplace Charging Utility PEV Case Studies Short case studies will highlight individual utilities programs to support employee PEV adoption. Each case study will summarize the utility s chosen approach, its unique considerations and decision-making process, successes and challenges, and lessons learned. Participating utilities and their program topics are in development. Topics planned include utility workplace charging, utility incentive programs, and utility fleet PEV programs. Make the Case Manage Your Program Develop A Plan Report Program Outcomes tensive tools and activities are listed in the center and right columns. Each suggested education tool or activity is presented with recommended supporting resources. The Adoption section of the Cookbook considers two primary tools that utilities may implement to proactively encourage employee PEV adoption: incentives and workplace charging. Here, the content draws on the experience of EEI utility members who have developed these tools for their own PEV programs. The incentives page highlights available government incentives and examples of incentive program designs that utilities and other businesses are considering or implementing. For workplace charging, the Cookbook draws on utility experience to date in a step-by-step approach for researching, planning, and implementing a program. Figure 2 shows the topics considered by the Workplace Charging section of the Cookbook. Endnotes 1. Navigant Research Electric Vehicle Geographic Forecasts. Overall, the United States is expected to be the largest market throughout the forecast period, with annual PEV sales in 2024 exceeding 860,000 in the conservative scenario and 1.2 million in the aggressive ICF International California Transportation Electrification Assessment Phase 2: Grid Impacts National Research Council Overcoming Barriers to Deployment of Electric Vehicles. overcoming-barriers-to-deployment-of-plug-in-electric-vehicles 4. Union of Concerned Scientists How do EVs Compare with Gas- Powered Vehicles? Better Every Year 5. U.S. Department of Energy Workplace Charging Challenge Progress Update 2014: Employers Take Charge. sites/prod/files/2014/11/f19/progress_report_final.pdf 4 Employee PEV Engagement Initiative - Edison Electric Institute
5 HOW TO GET INVOLVED Recognizing that broad adoption of PEVs is an unparalleled opportunity for our business and that leading by example with our employees is an important step to realizing this vision now is the time to take action. EEI is asking its member companies to take the following steps to demonstrate its commitment as an industry: Fill out the Commitment Form: Visit the online portal to fill out our online commitment form. Each company will be asked to designate a point of contact as well as an executive that will sponsor its Employee PEV Engagement Program. Complete the EEI Tracking Tool: Visit the online portal to complete our online tracking tool. Providing some basic details about where your company stands today will help us establish an industry baseline and track our progress. Implement an Employee PEV Engagement Program: Develop and execute a program to encourage employee PEV adoption at your utility. There is no one-size-fits-all solution; every utility will determine how to design a program to meet their needs. At a minimum, the program must: Assess the demand: Determine the level of interest among your employees. This will help your company track the success of your program over time. The Cookbook includes guidelines for how to conduct a successful survey. Provide workplace charging: Offering employees a place to charge at work is an important motivator. It is up to the individual company to determine the scale and complexity needed to achieve their workplace charging goals, but the Cookbook provides a guide on how to get started. By committing to the Employee PEV Engagement initiative, you will be joining a collaborative effort to accelerate PEV adoption. Many utilities have already implemented employee PEV programs; by joining this initiative, you will be able to further improve your program and learn from the experiences of others. For those companies just getting started, this initiative will allow you to quickly get up to speed. The purpose of this initiative is to establish a baseline of commitment across the industry so that we all benefit from the shared success of our efforts. Our goal is to have all EEI member companies implement an Employee PEV Engagement program by To make this goal a reality, we encourage your company to commit now and get started. The Employee PEV Engagement online portal will be available on EEI s Web site at: Educate your employees: Provide educational tools to your employees to raise familiarity with the technology and encourage adoption. The Cookbook includes examples of educational materials to use, or you can create your own. Edison Electric Institute - Employee PEV Engagement Initiative 5
6 The Edison Electric Institute (EEI) is the association that represents all U.S. investor-owned electric companies. Our members provide electricity for 220 million Americans, operate in all 50 states and the District of Columbia, and directly employ more than 500,000 workers. With $90 billion in annual capital expenditures, the electric power industry is responsible for millions of additional jobs. Reliable, affordable, and sustainable electricity powers the economy and enhances the lives of all Americans. EEI has 70 international electric companies as Affiliate Members, and 270 industry suppliers and related organizations as Associate Members. Organized in 1933, EEI provides public policy leadership, strategic business intelligence, and essential conferences and forums. For more information on EEI programs and activities, products and services, or membership, visit our Web site at EEI wishes to thank the following individuals for their support in the development of this project: EPRI: Dan Bowermaster and Andra Rogers Executive Sponsors: John Slanina, CenterPoint Energy; Deborah Korenek, CenterPoint Energy; Elsie Eisenbarth, Westar Energy; Carol Dillin, Portland General Electric Project Team: David Owen, CenterPoint Energy; James Ellis, PG&E; Marie Steele, NV Energy; Joey Ross, Portland General Electric; Bryan Coley, Gulf Power; Danielle Pickard, Florida Power & Light; Namrita Merino, Southern California Edison; Mike Waters, Duke Energy; Lisa Rice, DTE Energy; Jamie Knapp, J Knapp Communications June 2015
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