calstart successes 2010 overview

Overview of CALSTART’s Role in Growing the Clean Transportation Technology Industry

Advanced Transportation Technologies

John BoeselPresident and CEO

Clean TransportationSolutions SM

Copyright CALSTART 2010

CALSTART Has 140+ Members (partial list)

Copyright CALSTART 2010

CALSTART’s Four-Part Role to Grow the Clean Transportation Technology Industry

Member Services Fleet & Port Consulting

Technology Commercialization

Identifying opportunities, building teams, securing funding, and

advancing technology, vehicles, fuels, and systems

Helping ports, property developers, transit districts, and fleets seeking to implement cost-

effective customized solutions

Providing value-add services to companies: timely information,

partnering, new business opportunities, conferences,

technology evaluation

Advancing key policies, advising policymakers, and helping companies

plan for the future

Unique Combination!

PolicyFuel & Technology

Neutral = Honest Broker

Copyright CALSTART 2010

Amerigon – an Individual Company CALSTART Success Story

• Amerigon began operations in CALSTART business incubator in 1993

• CALSTART helped Amerigon secure public funding to develop technology, build prototypes, and conduct testing of its high efficiency climate control system

• Amerigon had successful IPO, listed on the NASDAQ (ARGN)

• Amerigon’s product is available in 20 different cars with five different automakers - firm operates with healthy gross margins and positive net income

• Amerigon’s subsidiary, BSST, is exploring ways to use the thermo-electric technology to further improve vehicle efficiency

Copyright CALSTART 2010

Heavy-Duty Hybrid Drivetrain System Development (1993-2000)

• CALSTART played a key national role in securing & managing (partially) more than $100 million in federal funding for HD hybrid propulsion system development

• Fed $ matched by >$100 million in state/private investment

• DARPA/FTA Programs directly lead to bus manufacturers offering product in 2000-2002– Allison (Gillig/MCI, New Flyer),

ISE Research (Thor/MCI/New Flyer), BAE (Orion), Enova (Wright Bus, EvoBus, AVS), Solectria (AVS), and Santa Barbara Electric Bus Works

• 2000-2010 – hybrid bus market share in US grows from 0-7%

1st AF HE Transit Bus

1st Turbine HE Bus

1st Gasoline HE Bus

1st Commercial HE Bus

1st E-School Bus

Buses demonstrated under DOT/DOD programs

Copyright CALSTART 2010

Hybrid Trucks: No Product in 2000 to Offerings by Every Major Truck

Manufacturer in 2008

• CALSTART’s joint program (Hybrid Truck Users Forum) with U.S. Army’s National Automotive Center (NAC) connected fleets and suppliers – ultimately demonstrating high demand for hybrids to truck OEMs

• 2010 > 2,500 trucks on the road

35 Trucks & Buses at HTUF Ride and Drive – South Bend, IN October 2008

Copyright CALSTART 2010

CARB (AB 118) Hybrid Truck Incentive Program a Major Success

• More than 650 trucks & buses to be deployed under program• > $19 million in rebates (vouchers) issued in 6 months• South Coast AQMD adding $1.5 million for LA Metro Region • CARB board has approved $25 million for FY 2010-2011 budget • CALSTART recommended $100 million over four years

SOLD OUT 8/30!!!

SOLD OUT 8/30!!!

www.californiahvip.org

Copyright CALSTART 2010

• CALSTART organized diverse coalition of transit operators, bus manufacturers, and suppliers to get $49 million in 2006 federal transportation bill (TEA-LU) for fuel cell bus research, development, and demonstration

• CALSTART built team and won $12.5 million in FTA funding for 5 projects in CA– All American Fuel Cell Bus– Accelerated testing of buses in Bay Area– First fuel cell APU/hybrid bus (Muni – SF)– 2 sub-system component development

projects

CALSTART Lead National Effort to Secure $49 Million in Federal Transportation Bill

“All American” Fuel Cell Bus

Fuel Cell Bus Used by AC Transit and SunLine Transit

Copyright CALSTART 2010

Learning from Sweden – Making Renewable Natural Gas a Viable Fuel in the USA

Copyright CALSTART 2010

Renewable Methane: Building Upon the Success in Sweden

• In 2003, through partner Volvo Car Corporation, CALSTART developed a partnership with Business Region Goteborgi to work together to develop RNG in CA and SE

• CALSTART lead 2 delegations of CA industry and govt. leaders to Sweden to learn about RNG leading to MOU of cooperation

• CA approved use of RNG in pipeline as credit toward RPS

• CARB included RNG in initial analysis for Low Carbon Fuel Standard

• CEC made $25+ million in awards for RNG production plants

(from left to right) CA Under Secretary for Resources Joe Desmond, SE Minister Anna Sommestad, and CA Energy Commissioner

James Boyd sign MOU related to cooperation in bioenergy between California and Sweden

(Stockholm 2006)

Copyright CALSTART 2010

Biomethane is the Lowest Carbon Fuel…CARB GREET Analysis

*Does not include indirect land use change emissions for ethanol

Fuel Pathway Impact (gCO2e/MJ)

Landfill gas to renewable CNG 11.26Biogas to renewable CNG 13.45Landfill gas to renewable LNG 15.56Biogas to renewable LNG 17.78

Electricity (best case renewable mix) 34.90Hydrogen (best case scenario) 33.09Ethanol (Corn - best case) 46.60*Ethanol (Brazilian sugarcane) 27.40*Ethanol (Forest waste – best case) 21.40

Gasoline (CA reformulated) 96.09Diesel (ULSD) 94.71Fossil (conventional) Natural Gas 68.00

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• Greater than 80% carbon reduction compared with conventional fuels

• Less than half the carbon emissions of electricity and H2

• Lower carbon emissions than cellulosic ethanol

Biomethane has the lowest carbon content of any fuel analyzed by CARB:

Copyright CALSTART 2010

Renewable Roadway Deployment

• CALSTART received DOE grant to build 14 retail biofuel (E85/B5-20) stations in California – with heavy concentration in Sacramento Metro Area

• With partner Propel, taking part in program funded by federal and state sources to build 100+ stations in CA

Copyright CALSTART 2010

500+ EV Charging Stations

• During the 1990’s CALSTART managed a statewide EV infrastructure development and deployment project that resulted in more than 500 public EV charging stations

• Program included participation of state’s five largest utilities

• CALSTART helped secure and manage federal, state, and regional grants

Copyright CALSTART 2010

CalSTEP Action Plan

• Action Plan released in Sacramento in January 2007 included 10 key recommendations

• Three key action areas:– Diversifying Fuel Supply– Improving Vehicular Efficiency– Reducing the Need to Drive

• ‘Primary’ and ‘Supporting’ actions– Pro business, economic growth– Assist with AB 32 implementation

Copyright CALSTART 2010

Status of CalSTEP Action Plan Recommendations (10/09)

Alternative Fuel Portfolio Standard (LCFS)

Energy Security & Tax Realignment & Relief

Smart Communities (SB 375)

CA Alt Fuels Infra Partnership (AB 118)

CA Renewable Fuel Production (AB 118)

State Fleet Leadership Challenge (AB 236)

Funding for Transportation (AB 118)

Vehicle Labeling Program (AB 1229)

Planning Revolving Loan (SB 375)

Pay-As-You-Drive Insurance (AB 2800/Regulation)

Inquiry Formal Process Initiated Statute/Regulation Implemented

Copyright CALSTART 2010

CALSTART Played Leadership Role in Establishing AB 118 Program in CA

• AB 118 (Núñez) signed into law by Governor Schwarzenegger in 2007 the program provides $200 million/year for 7.5 years ($1.5 billion total) primarily for the purposes of reducing greenhouse gas emissions from the transportation sector

• Program jointly administered by CA Energy Commission ($120 million) and CARB ($50 million) – Additional $30 million for vehicle scrappage

• Support both research, development, and demonstration of new technologies advanced vehicle incentives, and deployment (incentives) for low carbon fuels and advanced vehicles

• CALSTART has worked to ensure full funding for program in each budget since legislation adopted

Speaker Núñez

Governor Schwarzenegger

Copyright CALSTART 2010

• Based on CalSTEP Action Plan Assemblyman Huffman introduced legislation to offer optional Pay-As-You-Drive (PAYD) insurance in CA

• Concepts offers lower insurance rates for consumers who drive less

• At August 2008 press conference in Sacramento State Insurance Commissioner agrees to implement PAYD by regulation – program to be effective in summer 2009

PAYD Press Conference in Sacramento (from left to right: CA State Insurance Commissioner Steve Poizner, John

Boesel of CALSTART, State Assemblyman Jared Huffman, and Lauren Navarro of EDF) – May 2008

California Adopts Low Mileage Insurance Program

Copyright CALSTART 2010

Governor Signs Legislation Backed by CALSTART – Key Element of CA Growth Agenda

• To support growth of clean transportation tech industry in State of California, and thereby provide support for state’s leading policies, CALSTART sponsored legislation to tackle major in-state manufacturing barrier

• Prior to passage of Senate Bill 71 (D-Padilla) in 2010, CALSTART was one of three states with a sales tax on purchase of cleantech manufacturing equipment

• CALSTART is working with State Treasurer’s office on effective program implementation

CALTART CEO speaking at January Press Conference Supporting Cleantech

Manufacturing Equipment Sales Tax Exemption

Copyright CALSTART 2010

Raising Profile CA Clean Transportation Technology Industry

• CALSTART has organized numerous conferences, events, and meetings in Sacramento to raise awareness of policymakers of job creation potential of industry

• CALSTART 2009 report identified over 200 California companies and organizations in clean transportation technology sector

• Industry could be leading source of future jobs – leverages talent from CA’s engineering schools and entrepreneurial spirit

Copyright CALSTART 2010

CALSTART Summary

• Since inception in 1993 CALSTART has provided over-all leadership and support for growth of Clean Transportation Technology Industry

• Programs have helped wide array of fuels and technology move from prototype to market

• Policies have focused on “win-win” opportunities that have helped over-all industry grow

Clean Transportation Solutions SM

www.calstart.org

Advanced Transportation Technologies SM