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Home My WebLink About5.b. Receive update on the electrification of Central San's Fleet Page 1 of 11 Item 5.b. CENTRAL SAN August 15, 2022 TO: REAL ESTATE, ENVIRONMENTAL AND PLANNING COMMITTEE FROM: MELODY LABELLA, RESOURCE RECOVERY PROGRAM MANAGER RITA CHENG, SENIOR ENGINEER AND HEATHER RAMAMURTHY, MANAGEMENT ANALYST REVIEWED BY: LORI SCHECTEL, ENVIRONMENTALAND REGULATORY COMPLIANCE DIVISION MANAGER ROGER S. BAILEY, GENERAL MANAGER SUBJECT: RECEIVE UPDATE ON THE ELECTRIFICATION OF CENTRAL SAN'S FLEET I n September 2020, Governor Newsom issued an executive order requiring sales of all new passenger vehicles to be zero-emission by 2035. A new regulation currently under development by the California Air Resources Board will soon impose a requirement on public agencies, including Special Districts, for the electrification of certain fleet vehicles. Funding assistance and rebates may be available to assist with this effort. Staff will review the attached presentation to update the Committee on these developments, opportunities, and next steps. Strategic Plan re-In GOAL TWO: Environmental Stewardship Strategy 1 -Achieve compliance in all regulations, Strategy 4- Identify and advance sustainability initiatives, including reducing energy usage and emissions ATTACHMENTS: 1. Presentation August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 21 of 33 Page 2 of 11 ram- 4 UPDATE ON FLEET ELECTRIFICATION Melody LaBella, P.E. - Resource Recovery Program Manager - Rita Cheng, P.E. Heather Ramamurthy �� -- Senior Engineer Management Analyst Real Estate, Environmental & Planning Committee August 15, 2022 CENTRALSAN 4906-1 y FLEET ELECTRIFICATION �- REGULATORY DRIVERS - Rita Cheng, P.E. Senior Engineer Regulatory Compliance z 1 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 22 of 33 Page 3 of 11 ZERO-EMISSIONS VEHICLES (ZEV) REGULATIONS �FQCALIFORNIA AIR RESOURCES BOARD Advanced Clean Fleets Regulation Governor Executive Order N-79-20 100% ZEV sales by 2035 CENTRAL SAN ADVANCED CLEAN FLEETS (ACF) REGULATION - APPLICABILITY • Public agencies, drayage operations, and high-priority fleets that own, lease, operate vehicles with a gross vehicle weight rating (GVWR) greater than 8,500 pounds • Includes cities, counties, public utility, special districts • Applies to medium-duty (MD) and heavy-duty (HD) vehicles 4 2 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 23 of 33 Page 4 of 11 ADVANCED CLEAN FLEETS (ACF) REGULATION - ZERO-EMISSIONS VEHICLE (ZEV) ADDITIONS Requires ZEVs when adding vehicles to the fleet* 50% of additions starting in 2024 100% of additions starting in 2027 *Until 2035, agencies may purchase near ZEV (NZEV) if no ZEV is available. AW 5 CFNTRAISAN ACF REGULATION - PUBLIC FLEET EXEMPTIONS AND PROVISIONS Early ZEV Backup ZEV or NZEV Mutual • Additions Vehicles Unavailability Exemption . . • Incentivizes early May purchase an May purchase Allows for purchase of ZEV adoption ICEV as a backup ICEVs,if qualifies Classes 4-8 ICEV • Early ZEV Must operate less CARB to maintain a For entities with signed purchases prior to than 1,000 miles list of ZEVs not agreements to send 2024 count annually, commercially vehicles to assist in towards future excluding available declared emergencies requirements emergency miles Does not apply to 75%of fleet must be ZEVs • • ZEVs purchased Report annual pickups,buses,box Cannot be used for beyond 50% odometer readings trucks,vans,or any vehicles where mobile addition Central San may tractors fueling can return vehicle requirement also to 80 percent of capacity in count towards utilize this C50 specialty one hour exemption to future maintain back-up vehicles(e.g. Does not apply to pickups, requirements gasoline/diesel Hydros and buses,box trucks,vans, Rodders)may tractors,or any vehicle vehicles in the qualify if electric configurations available as fleet versions are NZEVs unavailable CARB:California Air Resources Board ' ICEV:Internal Combustion Engine Vehicle 6 CFNTPAISAN 3 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 24 of 33 Page 5 of 11 PRELIMINARY VEHICLE REPLACEMENT TARGETS (ASSUMING NO EXEMPTIONS) ReplacementPreliminary 10-Year • . (Minimal Requirements to Ensure Compliance) Phase 1 2024-2026 2 medium duty ZEVs Phase 2 2027-2029 7 medium duty ZEVs Phase 3 9 medium-duty ZEVs and 1 heavy-duty ZEV 2030 and Beyond 6 electric Hydros and Rodders,when available All light-duty ZEVs(after 2035) 7 FLEET ELECTRIFICATION FINANCIAL AND PLANNING CONSIDERATIONS - Heather Ramamurthy _ - Management Analyst Planning & Development Services - I8 s 4 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 25 of 33 Page 6 of 11 REBATES & GRANTS PG&E Electric Vehicle(EV)Fleet Infrastructure and charger rebates to offset costs to customers who own/lease Program Rebates property and acquire at least 2 heavy truck EVs by 2024.PG&E will cover all costs for electrical infrastructure from the transformer to the customer's meter(TTM). $4,000 per vehicle over 6,000 Ibs California Clean Fuel Reward Rebate for purchase or lease of a new EV with a battery capacity greater than 5 (CFR)Rebates kWh from a participating retailer.$750 per vehicle CA Clean Vehicle Rebate Project Rebates for purchase or lease of new,eligible zero-emission and plug-in hybrid light- (CVRP)Vehicle Rebates duty EVs. $2,000 per vehicle CA Hybrid&Zero-Emission Point-of-sale discounts to power California communities and drive commercial Voucher Incentive Project(HVIP) technology transformation.$7,500 for 2b class vehicles,such as transit vans.(Up to $120,00 for very heavy-duty trucks.) California Energy Commission Example:GFO-21-602-IDEAL ZEV Workforce Pilot funds workforce training (CEC)and CARB Grants r 9 9 PG&E FLEET ELECTRIFICATION ASSISTANCE 1 1 .........11. .................. Utility assets Meter Electric panel/ Charger Plug-in Ie.g.:power lines, switchgear electric transformer vehicle To the meter[TTM) Behind the meter EV supply infrastructure [BTM)infrastructure equipment . IEVSEI PG&E planning can take 18 to 24 months to be reviewed and approved. CFNTPAISAN 10 S August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 26 of 33 Page 7 of 11 AVAILABLE ZEVS 140 ZEV Models Commercially Available in US Class 2b O i 4 S ix QU Class 3 �, o w Class 4 29 gClass 5 10 + F- Class 6 21 T 52 Class 7 17 _ Class 8 FAIIIIIIIIIIIIII 49 �f 0 10 20 30 40 so NUMBER OF ZEV MODELS More than 500 ZEV models available worldwide I; CENTRALSAW 11 TRUCKS ON THE MARKET NOW ac1il Ford F-150 Lightning Rivian R1T � 1 Ford e-Transit Van ' iz CFNTPAISAN 12 6 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 27 of 33 Page 8 of 11 INNOVATIONS: BIG TRUCKS AND MOBILE CHARGERS �mr y.,,�..,•...r m..�. ' 13 13 SAMPLE FUEL COST SAVINGS PER YEAR Based on your selections,using electricity instead of fossil fuel saves$10,000 per year_ ANNUAL FUFL COSTS RHlan R1t E Eli vewies E Savings $14,000 $12,000 $10 000 $8000 $6,000 $4 000 $2000 so- Fassl Fuel Elednrity Fuel Savings ' 14 CFNTPAISAN 14 7 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 28 of 33 Page 9 of 11 CITY OF FAIRFIELD FLEET ELECTRIFICATION • Willdan Consulting developed robust long-term fleet electrification plan • Estimated maintenance costs and provided training documentation • Modeled routes and energy for 60 transit and 80 medium/heavy duty vehicles for city transit and the water treatment plant • Developed plan to implement Electric Vehicle Supply Equipment (ESVE) and convert 140 medium- and heavy-duty vehicles before 2040 • Piloting: • Two 5,000 lb. Caterpillar forklifts • Three F-150 Ford Lightning pickups • One Ford cargo van • One 124 kW DC Fast ABB Charger for water treatment plant • Three 19.2 kW Series 7 Plus SemaConnect chargers at City corp yard • Two 19.2 kW Series 7 Plus SemaConnect at water treatment plant CENTRALSAW 15 EAST BAY MUNICIPAL UTILITY DISTRICT PILOT AND ROADMAP • All fleet passenger vehicles are currently hybrid or plug-in electric • Developed Green Fleet Roadmap to eliminate all fleet direct emissions by 2030 • First water utility to join CALSTART coalition supporting MD and HD trucks; MD/HD purchases will be ZEV/NZEV starting in 2024 • Installed dual EV charging stations in January 2021 for fleet, employee and public use Capital Cost Payback Period = [Revenue + LCFS — Cost] monthly • For dual workplace EV charging stations with 10 users, payback period calculated is under five years for the Payby-App system. • Four metric tons CO2e reduction credit is generated quarterly. Based on market pricing, the payback period with Low-Carbon Fuel Standard (LCFS) sales is under two years. ' 16 CFNTPAISAN 16 8 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 29 of 33 Page 10 of 11 MULTIPLE DRIVERS FOR FLEET ELECTRIFICATION AT CENTRAL SAN Financial incentives through rebates and fuel savings Net Zero Greenhouse Gas Reduction Advanced Clean Fleets Regulation RegulationS Governor's Executive Order N-79-20 17 NEXT STEPS Develop Fleet Build Charging Purchase Electrification Stations Plan 18 9 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 30 of 33 Page 11 of 11 QUESTIONS? CENTRAL SAN 19 10 August 15, 2022 Special REEP Committee Meeting Agenda Packet- Page 31 of 33