Did You Know?

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According to Automotive Fleet’s 2010 U.S. Fleet Statistics, there are more than 10.8 million cars and trucks in fleet operation today.

Source: Automotive Fleet.

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Objectives Discuss the role of fleet managers Explain what a green fleet is and

why they are becoming important Identify alternative fuels for use in

green fleets Discuss the eight key areas in fleet

management and how alternative fuels and advanced technology vehicles relate to each

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Management evolves through changes in: Public policy/initiatives Energy costs Business demands

Internal decisions to consider: Purchasing premiums Retrofitting costs Conversion costs Onsite vs. offsite

Maintenance Fueling

Roles of Fleet Managers

Figure 1: Fleet vehicles. Source: AFDC.

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Types of Fleets Public – Fleets operated by federal,

state, and local governments. These fleets are typically subject to mandates which include the use of alternative fueled and advanced technology vehicles.

Private – Fleets operated by private business and organizations. Currently most mandates are followed on a voluntary basis.

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To Green or Not to Green? What is a green fleet?

Uses alternative fuels and advanced technology vehicles to Reduce the carbon footprint of the

company Lower emissions Improve fuel economy Sustainable and/or domestic fuels

Roles of fleet management are changing with alternative fuels and advanced technology vehicles.

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The Energy Policy Act (EPAct) considers

the following to be alternative fuels: Ethanol, methanol, alcohols

85% or more alcohol with gasoline

Domestic natural gas/liquid fuels from natural gas

Liquefied petroleum gas

Hydrogen Electricity Pure biodiesel (B100)

* DOE may designate other alternative fuels if certain criteria are met

What are Alternative Fuels?

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The EPA also has issued additionalrequirements for alternative andrenewable fuels definitions. Renewable fuels must meet

greenhouse gas (GHG) emissions reductions when compared to 2005 baseline (gasoline/diesel)

Lifecycle GHG reductions Additional Categories by Threshold

Renewable fuel ~ 20% Advanced biofuel ~ 50% Biomass-based diesel ~ 50% Cellulosic biofuel ~ 60%

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The Internal Revenue Service (IRS) considers

the following to be alternative fuels: Liquefied petroleum gas

Compressed natural gas

Liquefied natural gas

Liquefied hydrogen Liquid hydrocarbons

derived from biomass

* Biodiesel, and ethanol are NOT considered alternative fuels by the IRS

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Figure 2: Estimated consumption of vehicle fuels in the U.S. by fuel type. Source: EIA.

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Consumer awareness about petroleum consumption and its effects

Price increases and fluctuations of conventional fuels

Corporate image Federal, state, and local

mandates and incentives

‘Drivers’ of Change

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More than 225 million vehicles More than 70% of petroleum

consumption More than 11 million barrels

per day

Transportation Fuel Consumption

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Figure 3: Net imports and domestic petroleum as shares of U.S. demand. Source: EIA.

Conventional fuels vs. alternative fuels

U.S. = 22% of the world’s total petroleum

49% petroleum consumed= imported

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Transportation fuel accounts for over two-thirds of national petroleum consumption and remains the second largest expense in a fleet manager’s budget.

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Figure 4: U.S. oil consumption by sector. Source: White House.

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National Highway Traffic Safety Administration - CAFE

Energy Independence and Security Act of 2007 35 MPG by 2020; 54.5 MPG by

2025 5% increase each year

Federal Fleets Lead by Action

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Energy Policy Act of 2005 – Dual-fuel AFVs must use alternative fuel

unless unavailable; percent alternative fuels blended in transportation fuels increase to 36 billion gallons by 2022

Energy Independence and Security Act of 2007 – Federal agencies must set and meet

petroleum consumption reduction milestones; agencies must install at least one renewable fuel pump

Presidential Memorandum Regarding Fuel Efficiency Standards of 2010 as amended in 2011 Gave NHTSA and EPA joint rulemaking

powers through 2025

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New government standards for fuel economy and emissions will cause new vehicle purchase prices to increase by $8 billion, but will save $50 billion in fuel over the life of the equipment.

Source: The White House.

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The National Association of Fleet Administrators (NAFA) has identified eight key areas in fleet management for any and all fleets. Asset management Business management Fleet information management Maintenance management Risk management Financial management Professional development Vehicle fuel management

Key Areas of Fleet Management

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Asset Management Asset management is the task of

managing and controlling all of a company’s tangible and intangible assets. Vehicles Facilities and equipment Employees

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Asset Management with GreenFleets

Purchase/lease/conversion of alternative fueled vehicles (AFVs) for a mixed fleet

Additional equipment such as special tools, additional safety equipment, analyzers, and sensors

Additional fueling system for onsite fuel storage and delivery for additional fuels or electricity

Employees that are both knowledgeable and comfortable with the conversion

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Some AFVFleet Assets

Figure 6: Large LPG storage tank for propane vehicle fueling station.

Figure 5: Time-fill CNG station equipment.

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Business Management Business management

encompasses the education, polices, and laws that affect the business in day to day operations. Outside agencies Compliance Relationships Internal policies and procedures Streamlined operation

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Business Management with Green

Fleets Maintenance and operator

training for AFVs Permits, placards, and compliance Protecting new assets Operating and marketing the

‘green’ fleet

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Internal and External Operations

Figure 7: Introducing and training employees on AFVs. Figure 8: Fuel delivery truck.

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Fleet Information Management Fleet information management

deals with tracking data and operating the business’s fleet in the most efficient way possible. Fleet data Logging and documentation Third party interaction Database of information

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Fleet Information Managementwith Green Fleets

Fleet conversion will require additional vehicles and components

New ‘problem’ documentation Additional record keeping for

vehicles, operators, training, and equipment

Telematics

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Benefits of a Telematics Approach City of St. Louis Fleet Vehicles 313 of 2,440 vehicles implemented Records

Routes Speed Distance traveled Amount of time at rest Figure 9: How a telematics information gathering system works.

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Maintenance Management Maintenance management includes

ensuring that all maintenance is completed for all equipment and vehicles as well as for employees’ training. Peak efficiency of vehicles Employee training Equipment and employee maintenance Reduction in downtime and increased

efficiency Environmental (fluid and waste disposal)

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Maintenance Managementwith Green Fleets

AFV maintenance and safety training for in house

Outsourcing to specialized maintenance garages

Onsite fueling, recharging Recording keeping of

maintenance schedules

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Importance of Maintenance Walled Lake Consolidated School

District (WLCSD)

Figure 10: Maintenance worker checking diagnostics and inspecting one of the 119 buses at WLCSD’s transportation facility. Photo courtesy of Jill Segal.

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Risk Management Risk management pertains to all

the actions fleet managers take to avoid accidents and problems as well as the ability to plan ahead to appropriately deal with accidents when they do happen. Prevention and preparedness Control and mitigation Insurance

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Risk Management with GreenFleets

AFV safety training High pressure fuel systems Conductive/corrosive fuels Cryogenic fuels High voltage electrical equipment

Codes, permitting, placards and safety labels

Fueling procedures Proper insurance

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Placards

Figure 12: NPFA placards for stationary fuel storage.

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Figure 11: DOT placards for fuel transportation.

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Hazard RatingCategory Number Description

Health (Blue) 4 Materials that under emergency conditions can be lethal.

3 Materials that under emergency conditions can cause serious injury.

2 Materials that under emergency conditions can cause temporary incapacitation or residual injury.

1 Materials that under emergency conditions can cause significant irritation.

0 Materials that offer no hazard beyond that of ordinary combustible material.

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Flammability (Red) 4 All liquids and gases with a flash pointbelow 73°F and a boiling point below 100°F.

3 All liquids and gases with flash points at or below 73°F and a boiling point at or above 100°F and those liquids havingflash point at or above 73°F and below 100°F.

2 All liquids with a flash at or above 100°F and below 200°F or solids that readily give off vapors.

1 All liquids, solids, and semi solids with flash points at or above 200°F.

0 Materials that will not burn.

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Reactivity (Yellow)

4 Materials readily capable of detonation or explosive reaction at normal temperatures and pressures.

3 Materials which when heated and under confinement are capable of detonation and which may react violently with water.

2 Materials which will undergo a violent chemical change at elevatedtemperatures and pressures but do not detonate.

1 Materials which are normally stable but may become unstable incombination with other materials or at elevated temperatures andpressures.

0 Materials that in themselves are normally stable, even under fireconditions.

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Special Hazards (White)

Special hazard symbols, such as,

W (water reactive)

OXY (oxidizing material),

CRY (cryogenic material),

COR (corrosive material),

POI (poisonous material), or

the radiation warning symbol.

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Financial Management Financial management includes

forming a budget for the business’ fleet, and making financially feasible purchases. Leasing/purchasing Return on investment (ROI) Replacement/life cycle analysis Outsourcing Budgets

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Financial Management with Green

Fleets Partial or complete fleet operation Vehicle conversion vs. OEM Used AFV, resale value, conventional

vehicle values Onsite or offsite fueling In house or outsourced AFV

maintenance Volume costs for fuel or electricity Laws, taxes, incentives Fuel economy

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Financial Management

Figure 12: Rossmoor Pastries CNG vehicle fleet.

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QUICK FACTSFuel Type: Natural Gas (CNG)Fuel Production: Onsite natural gas compressor stationCNG Vehicles: 17 (94% of fleet)Fuel Consumption: Over 34,000 gallons of natural gallons per yearDriving Range: Up to 180 miles

QUICK FACTSFuel Type: Natural Gas (CNG)Fuel Production: Onsite natural gas compressor stationCNG Vehicles: 17 (94% of fleet)Fuel Consumption: Over 34,000 gallons of natural gallons per yearDriving Range: Up to 180 miles

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Professional Development Professional development covers

continual education and corporate responsibility for all fleet employees. Top to bottom training Ethical standards Corporate responsibility and

leadership Environmental concerns

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Professional Development with

Green Fleets Training Knowledgeable staff Green branding Partnerships Sustainability program

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Figure 13: Sustainability program, green branding, outreach program at UNC.

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Professional Development

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Vehicle Fuel Management Vehicle fuel management deals

with the manager’s fuel choice and the environmental and economic impact it has on the fleet operation. Fuel choice Budget Onsite or offsite fueling Fuel consumption tracking Forecasting

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Vehicle Fuel Management withGreen Fleets

Onsite vs. offsite (centralized vs. decentralized)

Fueling policies Fuel cards Fuel economy monitory Type of fueling Requirements, incentives, and

taxes GGE and MPGe

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Vehicle Fuel Management Fleet

Figure 14: University of Central Florida E85 onsite fueling station and fueling infrastructure.

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Fuel Economy and Idle Reduction benefits for all fleets Idle time Tire pressure Driving and operating habits Telematics

Beyond Alternative Fuels

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Fleet managers should be aware of all available fuels and technologies

Consumer acceptance of green fleets Benefits of each option should be

carefully weighed and implementation tailored to your fleet

Importance of 8 key areas in fleet management

Additional practices and technologies are available

Continuously changing fleet management landscape

Summary